The Secret to Increasing Product Sales by Outsourcing Kitting Services

Virginia Miller
Virginia Miller
July 19, 2024
In this article

FAQs

What are the main benefits of product bundling?

The main benefits of product bundling include increased profit margins, higher order values, reduced shipping costs, and added convenience for customers. Bundling complementary products makes the shopping experience quicker and easier.

What are some popular product bundling strategies?

Some of the most popular product bundle types are subscription boxes, variety packs with multiple flavors/colors, and gifts with purchase that provide free bonus items. These creative strategies entice customers to spend more per order.

How can a 3PL help with kitting and bundle assembly?

A third-party logistics provider can efficiently handle high volumes of bundle assembly and kitting. This saves ecommerce companies time and money while also reducing fulfillment errors through quality control oversight.

Does product bundling increase average order value?

Yes, selling complementary products together in bundles has been shown to increase average order value substantially. Customers tend to spend 15-30% more when items are thoughtfully bundled together.

Can product bundles reduce fulfillment costs?

Bundling products can lower fulfillment costs in several ways - you save on packaging by using fewer boxes/mailers and you pay lower overall shipping rates when sending multiple items together in one package.

What steps are involved in bundle assembly?

Main steps for kitting product bundles include: selecting complementary items to bundle, creating unique SKUs, setting appropriate profit margins, efficiently assembling bundles, quality checking orders, and fulfillment/shipping.

Is outsourced kitting right for any ecommerce business?

Virtually any ecommerce merchant selling multiple product lines can benefit from outsourced kitting and bundle assembly. It optimizes order fulfillment operations so you can focus more on sales and marketing.