Bundle Builder: How To Increase Revenue For Your Store

Key Takeaways:

‍‍What Is A Bundle Builder?

A bundle builder is an interactive element on a landing page that lets shoppers create custom product bundles with different products while seeing real-time pricing and savings depending on the quantity of products they select.

Key benefits include greater average order value and lifetime customer value, as well higher conversion rates due to less decision-making fatigue. Finally it serves as a valuable source of data on customer preferences for the brand. 

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What Is A Bundle Builder? 

A bundle builder is an interactive element, usually placed in the product buy box on a product detail page (PDP) that lets shoppers create custom product bundles with multiple items.

Unlike with static pre-made bundles, shoppers can mix and match different products while seeing real-time pricing and savings depending on the quantity (and sometimes, the type) of products they select. 

In most cases, the more products a shopper includes within a bundle, the steeper the price discount per item.  

These tools typically feature step-by-step interfaces, dynamic pricing updates, and inventory updates across all selected items.

Bundle builders add to the shopping experience by making it more than just individual item selection. It becomes a form of personalized package creation, and encourages larger orders by making the process more interactive for shoppers. 

On top of all that, they have emerged as one of the most effective tools for improving your online store performance.

While more complex solutions often require dev support, there are many third party Shopify integrations that let you set up bundle builders on your landing pages quickly and without code.

However, this method forces you to rely on tools outside of whichever landing page or online store builder you already use, further adding to the tech bloat (and high tech stack costs) you may already be experiencing as a brand.

Replo gives you an easy workaround with no added costs.

Our Landing Page Editor lets stores add bundle builders as a simple drag-and-drop component into any of their pages—without a single line of code.

Select product types, variations, and quantities per bundle; configure the preset discounts corresponding to the quantity of products in each bundle. With Replo’s bundle builder component, you can even set up tiered rewards!

Finally, tailor the background, styling, and spacing of each bundle builder to match the rest of your branding.

With this add-on, any online store visitors can now personalize their bundle options, making the shopping experience more engaging for shoppers—and more lucrative for brands.

Not only is Replo an end-to-end Landing Page Builder, Analytics, and A/B Testing platform, but the tool also features hundreds of ready-made templates modelled off of real life DTC brands, so you can get started building store pages and marketing funnels fast.

Read on to learn how bundle builders help grow revenue for your store.


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Bundle Builder: How It Increases Revenue For Your Store

The general benefits of adding a bundle builder to your product pages fall into the following four categories: 

Greater Average Order Value: Attractive Unit Pricing

Bundle builders have been shown to increase average order value, or the average monetary amount that each customer spends per order, by encouraging larger quantity purchases.

How?

When looking at the product page, customers are shown individual prices alongside bundle prices, which creates an anchoring bias where bundles appear more attractive, because they come with tiered discounts according to the size of the bundle.

In other words, the more they buy per bundle, the cheaper the unit price.

By decreasing the unit price through steeper promotions, the bundles become more attractive to shoppers, even if they end up spending more by purchasing a greater quantity or variety of items. 

For example, when placing a $30 product next to a $69 three-item bundle, the bundle feels like a deal, simply because it translates into $23 per item. The end result, however, is the customer purchasing 200% more than they would have if there was no bundle option at all.

In the long run, this drives up average order value (AOV) for the brand. 

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Higher Conversion Rates: Reduced Decision Fatigue

Time and again, we’ve seen that excessive choice in ecommerce can actually reduce both decision-making efficiency and shopper satisfaction.

Instead of overwhelming customers with dozens of individual products—leading to decision paralysis or choice overload—bundle builders present curated solutions to a single problem that your shoppers are facing.

The easier the decision making process is for shoppers, the more likely they’ll convert.

Bundle builder features such as step-by-step navigation, tiered rewards systems, progress indicators, and mobile-optimized interfaces help break complex decisions into manageable steps, while still giving shoppers the freedom to customize their order.

On top of that, pre-selected complementary products help “package” product decisions into smaller groups, making it easier for shoppers to decide what works best for them.  

This lessening of decision-making complexity means that shoppers get to feel more confident and at ease about their product purchases when they hit buy.

Increased Lifetime Customer Value: Cross-Selling And Upselling

Bundling is great for increasing your customer lifetime value, because it provides a valuable source of data on customer preferences that can then be used to inform cross-selling and upselling initiatives.

For example, if you see an insignificant pattern of your customers buying strawberry flavored sparkling water with their lemon flavored sparkling water, then you can safely assume that there is some overlap between these two preferences.

The next time a shopper adds strawberry sparkling water to cart, you can auto-recommend lemon sparkling water as a related product of interest on your landing page. Offering them a discount when they pair the two items together in a bundle will only further encourage that purchase choice.

But why cross-selling and upselling?

According to a 6-month retail pilot done by McKinsey, brands were able to drive overall yearly sales up by about 20 percent through cross-selling products from related categories. 

By neglecting bundling, brands are leaving a lot of potential revenue on the table.

Bundle builders allow brands to analyze purchase patterns—such as frequently bought together items—then present combinations of those products with discount incentives to encourage conversions.

Plus, when customers customize bundles, they develop "psychological ownership,” because they place greater value on a purchase they helped customize. 

This leads to higher repurchase rates and brand loyalty in the long term. 

Finally, advanced bundling systems can even include subscription bundling, loyalty program integration, and progressive bundling that introduces customers to new product categories.

Data Insights On Customer Preferences: Zero-Party Data 

Last but not least, bundle builders are a great source of zero-party data about in-depth customer preferences. This data can then be used to power detailed product personalization for customer targeted marketing through ads or email.

And, the more customized you can make your content and messaging, the more likely shoppers will resonate with the items you are trying to sell. 

Details include customer preferences about product preferences, price sensitivity, and category affinity, all highlighted during the bundle creation process. This information can then be used to build customer profiles for future outreach, email marketing flows, and product campaigns.

An interesting aspect to A/B test would be comparing the conversion rates or average order values of bundled products versus that of standalone products.

This gives brands a clear picture on which types of product should include a bundle builder option, and which drive more value without.   

Lastly, zero-party data collection on product preferences through interactive quizzes and browsing history can help brands present more targeted offers via bundle builders on the product page.

To learn more about how you can optimize for revenue with your landing pages or PDPs, check out the related blogs below. 

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