What does the data say?

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After walking through various ways to bundle products and seeing examples of how merchants have enabled it, it’s time to dig into the numbers. We analyzed a handful of companies that bundle their products in various ways and have found higher AOV and LTV.

When you bundle more than one product together, the price is obviously going to be higher than one individual product. That goes without saying and it would be unfair to claim an increase in AOV simply because of quantity. You can’t sell one product for $10 but three of the same product for less than that, it just doesn’t make sense.

However, gross merchandising volume (GMV) is a good indicator of whether saudi arabia phone data the bundling packages are working or not. In this case, a majority of product bundles saw not only higher AOV, but higher gross sales as well. This suggests that people are willing to purchase greater quantities when bundling products together, rather than waiting for shipments month over month.

While increases in sales are an excellent measure of success, you also want to be sure customers are sticking around. Maybe they’re just in it for the discount? On the contrary, these bundled products saw an average of 9% decrease in churn. Customers subscribed to these bundles are actually more likely to stay subscribed for a subsequent purchase.

Finally, we analyzed the impact of product bundles on LTV. Based on the data, average charges per customer did favor individual products vs. bundles. That being said, it wasn’t enough to outweigh the average customer LTV. Because of the higher average order value, bundled packages saw an average of 47% increase in LTV. The evidence suggests bundling increases average order value, increases retention, and increases lifetime value.