What Is Product Bundling? The Ultimate Guide for Shopify Businesses

Learn what product bundling is and how it can boost revenue and customer loyalty using effective bundling strategies with Bundle Builder.
What is product bundling? Find out what it is and how it will boost your business.

Every Shopify business owner wants higher sales and happier customers. But how do you increase your average order value (AOV) and move inventory faster—without spending more on ads? The answer is product bundling.

What Is Product Bundling?

Bundling encourages customers to buy more products at once by offering them as a package deal—often at a discount. It’s a win-win strategy: shoppers get more value, and you increase your total revenue per sale.

It’s one of the most effective ways to increase conversions, clear excess stock, and encourage repeat purchases. In real-world applications, product bundling might look something like this:

  • Tech: A smartphone bundle with a case, charger, and screen protector.
  • Beauty: A skincare set with a cleanser, serum, and moisturizer.
  • Fitness: A home gym bundle with resistance bands, dumbbells, and a workout guide.

Ultimately, bundling can be whatever makes sense for Shopify store and the products or services you offer. However, when done right, this strategy can really pack a punch for increasing your bottom line.

The 5 Most Profitable Types of Bundles for Shopify Stores

What is product bundling? Sometimes bundling similar products into sets can boost sales and draw customers.

There are several types of bundles, each with its advantages. The right one for your store depends on the products you offer and the preferences of your customers.Here are five popular methods proven to boost conversions and sales:

  1. Pure Bundling – Products are only available as a bundle (e.g., software suites).
  2. Mixed Bundling – Customers can buy items individually or in a discounted package (e.g., phone + accessories).
  3. Customizable Bundling – Shoppers build their own bundle from pre-selected items (e.g., meal kits, mix-and-match outfits, etc.).
  4. Fixed Bundling – A pre-curated set of products sold at a specific price (e.g., seasonal beauty gift sets).
  5. Dynamic Bundling – AI-powered Shopify recommendations that group items that are frequently bought together automatically.

Each type works differently depending on your target audience, product selection, and pricing strategy. Understanding your customers’ buying habits, product preferences, and pricing sensitivity will help you select the right bundling approach to maximize sales and customer satisfaction.

Why Shopify Business Owners Should Use Product Bundling

Still wondering why product bundling is such a game-changer for e-commerce? Here are four key benefits:

1. Higher Sales & Revenue

Bundling encourages larger purchases, leading to higher order values. Instead of just one item, customers buy multiple products at once—driving up your total revenue. This is particularly effective for complementary products that enhance each other’s use, making it an easier decision for buyers.

2. Faster Inventory Turnover

Got slow-moving stock? Pair it with a best-selling item in a bundle. This helps clear out old inventory without steep discounts. Rather than letting products sit in storage, bundling allows you to free up warehouse space and maintain a steady product flow.

3. Enhanced Customer Experience

Shoppers love convenience. Bundling makes it easier for customers to find what they need without searching for each item separately. Offering pre-selected product combinations can remove decision fatigue, making the checkout process faster and smoother.

4. Lower Marketing Costs

Selling products together reduces the need for deep discounts on individual items, keeping profit margins healthy. Additionally, marketing efforts become more cost-effective since you’re promoting multiple products in a single campaign rather than running separate promotions for each individual item.

Common Bundling Mistakes (And How to Avoid Them)

While product bundling is a powerful strategy, it’s not foolproof. Many Shopify store owners make mistakes that can hurt profitability or fail to drive conversions. Here are the most common bundling mistakes to watch out for:

Over-Discounting

❌ Don’t price bundles too low or you’ll eat into profits. 

✅ Instead: Offer a small but meaningful discount (10-20%) while maintaining healthy margins. The goal is to entice customers with value without undervaluing your products.

Bundling Unrelated Products

❌ Random product combinations don’t sell. Customers don’t see as much value in a grab-bag of items as they do in a package that makes sense.

✅ Instead: Group complementary products that naturally go together. Think of how a phone case, charger, and screen protector create a practical bundle that makes sense to the customer.

Forcing Customers Into a Bundle

❌ Some shoppers simply prefer flexibility. 

✅ Instead: Offer “build-your-own” bundle options to increase choice. This gives customers the ability to select the items they truly want, improving their shopping experience and increasing conversions.

Not Testing Bundle Performance

❌ Guessing won’t get you results. Rely on actual data to guide your strategy.

✅ Instead: Run A/B tests on different bundle types and pricing strategies to see what works best. Data-driven decisions will help refine your bundling strategy over time and optimize for maximum profitability.

By avoiding these common mistakes and implementing best practices, you can create bundles that provide real value to customers while driving more revenue for your Shopify store.

How to Price Your Product Bundles for Maximum Profitability

Pricing your product bundles right is important for maximum profits.

The right pricing strategyfor bundles ensures that customers perceive value while keeping your profit margins healthy. Keep these methods in mind:

Cost-Based Pricing

A straightforward method is to ensure that you cover the total cost of the bundled items while maintaining a healthy profit margin. Aim for at least 30% profit margins, even after applying a slight discount to encourage bulk purchases. This approach works well when bundling products with different cost structures, ensuring you don’t lose profitability.

Psychological Pricing Tactics

Strategic pricing can significantly influence customer behavior. Here are some proven tactics to consider:

  • Charm Pricing: Using numbers that end in .99 (e.g., $39.99 instead of $40) makes the cost feel lower and more appealing to shoppers. This subtle trick improves conversion rates.
  • Anchoring Strategy: Displaying a high-priced bundle next to a standard bundle makes the standard one seem like a better deal. This encourages customers to perceive more value and opt for a bundled purchase rather than a single product.
  • Tiered Pricing: Offering tiered options gives customers the flexibility to choose based on their budget, which maximizes both customer satisfaction and potential revenue.

Discount vs. Bonus Model

Instead of simply slashing prices, consider whether offering a free bonus item might be more effective. Customers often perceive added value more positively than a discount. For example:

  • Instead of offering a 10% discount, try including a free small product or accessory in the bundle.
  • Create a sense of exclusivity by positioning the bonus item as a limited-time offer that won’t always be available.
  • If discounting is necessary, ensure that customers understand the savings clearly. Show original pricing and highlight the cost advantage of buying the bundle rather than purchasing items separately.

A well-planned pricing strategy can significantly impact your sales and customer perception. Test different pricing methods to find the best approach for your Shopify store.

The Best Way to Set Up Bundling on Shopify (Without the Headache)

What is product bundling? The best product bundling can be done using an app like Bundle Builder to simplify set-up and sales.

Manually setting up bundles on Shopify can be frustrating. That’s where Bundle Builder comes in.

This intuitive app offers a streamlined solution that enables you to accomplish everything you need for a successful product bundling strategy. Create fully customizable bundles, automatically apply discounts when bundles are added to the cart, and integrate everything seamlessly with Shopify.

App-based solutions like Bundle Builder simplify bundling setup, letting you focus on growing your business instead of managing complex configurations.

Start Selling Profitable Bundles Today

At Staytuned Digital, our mission is to support Shopify business owners with the solutions they need to succeed. Questions about how our apps can transform your company? Contact us today for more information!

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