Bundle Pricing Strategy
Bundling raises average order value almost by definition — the actual strategic question is how much discount to offer so the bundle feels compelling without giving away more margin than the extra volume earns back.
By Marginory teamContent reviewed
Why bundling works
A bundle increases average order value by design — the buyer purchases multiple items in one transaction instead of one. This is valuable regardless of platform, since it spreads fixed per-order costs (a flat shipping fee, a per-order marketplace fee) across more revenue, improving overall order economics even before considering any discount offered.
Setting a discount that's actually profitable
The key check: does the margin given up on the discount exceed the margin gained from selling an additional unit that might not have sold otherwise? A bundle discount that's too shallow won't feel compelling enough to change buyer behavior; one that's too deep gives away more than the additional volume is worth.
Bundle price = Sum of individual prices × (1 − Bundle discount %)
Check: Bundle margin ≥ Your minimum acceptable margin threshold
Worked example
Two items normally priced $18 and $22, combined cost $22, 15% bundle discount:
Bundling doesn't have to mean discounting
An alternative approach — bundling at close to full combined price but framing the offer around convenience or a bonus item — can lift AOV without giving up margin at all. This tends to work best when the bundle solves a genuine buyer problem (a complete kit or set) rather than relying purely on price as the incentive.