How To Use Product Bundles And Kits To Increase Revenue

February 07, 2018 Allison Hess

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Do you want to differentiate your brand from your competitors on Amazon? Do you want to move inventory, upsell products, and increase your profits?

Product bundles and kits are an easy, effective means of growing your Amazon business. Even one product bundle can improve your Amazon exposure, conversion, and seller ranking.

Why and how should you create a product bundle to increase your revenue?

What is a product bundle?

A product bundle is a group of related units sold in a single package. These are complementary products; they’re not variations of the same item, like the same item in different colors or sizes. For example, a product bundle would be selling a red hat with matching red gloves and red scarf. A product bundle would not be selling the same hat in red, blue, and purple.

Bundles are treated as a single listing. Let’s say you’re creating a blender bundle. You put a blender blade and a blender cap in the same bundle. These two become a single unit with its own unique UPC. The blade and cap are sold together, reviewed together, and even returned together (if the customer returns it). This blender bundle is completely separate from the two products that make up the bundle.

For example, Home Revolution offers a Bissel kit of a 5 pack of bags and 2 filters (#101087). We also sell the Bissel Zing 5 pack of bags by itself without the filters (#834157). These two have their own unique UPCs and reference numbers. The kit with 5 bags and 2 filters ends up providing more value for the price.

How To Use Product Bundles And Kits To Increase Revenue blender replacement parts bundle

Why use product bundles?

1. Offers value to consumer

Customers love bundles because of the value they provide. Usually, bundles offer some sort of discount compared to buying the units separately. This helps consumers save money when they’re buying multiple products.

Plus, it’s also more convenient for customers. For example, if a customer is looking to replace their Oreck Optimax filters, they might need both an air purifier and a carbon filter. Rather than searching around to find multiple filters that fit their specific air purifier, they can quickly and easily find the relevant kit with both types of filters for their purifier

Moreover, customers will take notice that your brand is offering these discounts. This shows that your brand wants to provide value. This can attract discount and loyal shoppers for future purchases.

2. Provides a competitive advantage

Creating a bundle takes extra time and effort because you need to create a separate product listing with its own UPC. A lot of sellers don’t make this extra effort to create product bundles—or they simply don’t know how.

This means that bundling your products can instantly place you at an advantage over your competitors who don’t have bundles. You’re providing a unique product and value to your customers that other sellers are not. Customers are more likely to purchase your bundle than purchase separate products from a competitor if you provide the kit at a discount.

In addition, product bundles have their own unique UPC. This means it’s harder for competitors to track your bundle or piggyback on your listing. Basically, you own that bundle.

3. Enhances visibility

Because bundles have a unique UPC, they show up as a separate listing in search results. This gives you more real estate and optimization opportunities on Amazon’s search page.

For example, a customer searches for the keyword “blender.” If you’ve optimized your listings for the word “blender,” then your blender blade and your blender cap will appear in the search results. That’s two opportunities for visibility, optimization, and conversion.

When you add a product bundle also optimized for the keyword “blender,” you have a third listing in the search results. This gives you more space in front of your customer, providing a third opportunity for sales.

Plus, since you own that UPC, that search result spot is your brand—not just your product. You’re the only one getting that visibility. You’re not sharing a product listing with other competitors.

4. Innately upsells

A product bundle automatically upsells your products. When you sell a single product, it’s up to the consumer to decide whether they want to buy the other complementary products that you offer. When you sell a bundle, you’re including those complementary units in an automatic upsell (at a slight discount).

This upselling can improve your cost-per-transaction rate, which can in turn boost your seller ranking. You’re also getting more revenue per sale, which can help pad your margins.

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5. Moves inventory

This upselling can help move stagnant or slow products. Units that aren’t moving as well can be put in a bundle to add value, while also pushing that inventory out of your warehouse.

For example, you sell an air purifier kit. Your air purifier filters are bestsellers, but your carbon filters aren’t moving as much. If you put your carbon filters in a bundle with your bestselling air purifier filter, you can help push the carbon filters as well. Your customers may not have come to Amazon to purchase carbon filters, but they purchase because they see the added value of the bundle.

** Home products, like Home Revolution goodies, are especially easy to bundle. People love buying multiples at a discount. For example, if they’re buying a vacuum, they will need the filters and bags as well. They want to buy all of the appropriate products at once and at a discount.

How do you create a product bundle?

1. Follow Amazon’s bundling requirements.

You have to be a Professional Seller in order to create product bundles. Individual Sellers don’t have the capacity to make new listings, and product bundles require a separate product listing.

Be sure to follow Amazon’s bundling guidelines as well.

2. Choose which products to bundle. 

Consider which of your products are naturally complementary. A blender, blender blade, and blender cap would be a great bundle because you’re providing all of the necessary units for your customer to start blending. But you can get creative with it as well. For example, if you were selling a blender, you could also sell a smoothie recipe book.

You can also get ideas of complementary products with Amazon’s “frequently bought together” section at the bottom of a product listing. This shows what other products customers buy or look at in relation to that unit. This is a great opportunity to bundle together these products at a discount, providing value for something customers are already searching for.

You should also check out your competitors’ bundles, if they have any. You want to create a unique bundle that outdoes your competitors’. How can you add more value to your customers?

For example, your competitor has a bundle with a blender, blender blade, and blender cap. You might decide to make a bundle with a blender, blender blade, blender cap, and smoothie mix for only $1 more than their bundle. It’s a small addition but it adds a unique differentiator that can put you ahead of the competition.

The more distinct your bundle, the less competition there will be against your brand.

3. Get a new UPC. 

Bundles need a unique UPC separate from those of their individual products. You’ll need to purchase a separate UPC barcode for your bundle. You can buy a UPC through GS1US or a third party like BuyABarCode, as long as you do your research first.

Not all Amazon categories require separate UPC bundles. Grocery & Gourmet Foods, Sports & Outdoors, and Home & Garden allow you to use one of the product UPCs. However, we still recommend purchasing a separate UPC in order to gain the benefits of visibility and reduced competition.

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4. Create a new product listing.

With your new UPC, you can now create your bundle’s product listing. Go to Inventory, Add A Product, and Create a New Product. This allows you to create a new product form. Fill out the form as you would with another product listing.

You’ll want to optimize this bundle listing as you would any other Amazon listing. Learn more about optimization with our partner Seller’s Choice: The Ultimate Guide To Amazon Listing Optimization.

5. Use bundle-worthy photos.

When you’re showcasing your bundle, you want to show off each product in the bundle and its benefits. You also want to demonstrate a relationship between the products. In the primary photo, you should show all of the items included in the kit. Then, use the other photos to showcase each product individually.

Note: all photos should follow Amazon image requirements.

6. Package your bundle for fulfillment.

Whether you’re using FBA or fulfilling yourself, you want to make picking and shipping your bundle as easy as possible. All of the products should be in the same bag or wrapped together so handlers know to ship it as a single unit.

The bundle’s UPC barcode should be on the front of the package with the individual product UPCs covered to avoid confusion. You should also put a sticker on the outside that indicates it’s sold as a set, like “do not separate” or “sold as set.”

The Bottom Line

Creating a product bundle can help you beat your competition, reach more customers, provide additional value, move stagnant inventory, increase your sales, and grow your business.

Want to start bundling?

Home Revolution products are the perfect goods to bundle!

Plus, our expert team will be with you every step of the way to build a successful and profitable Amazon business.

Register now to join the revolution!

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