One of the best parts of FERMÀT's Bundle Builder is that you can create bundles quickly, cheaply, and without the logistics and data measurement headaches. That means you can test ideas quick, but where should you start?
Here's a tell-tale sign that bundles can help your funnel as well as some bundle ideas we have seen be very effective.
Your Funnel Could Benefit from a Bundle If...
Funnels with low AOV but strong conversion and efficiency metrics are great candidates for testing bundles.
An effective FERMÀT Funnel is excelling in three areas:
It's converting well (conversion rate)
It's doing so efficiently (acceptable CPA)
It's driving more dollars (higher AOV)
A funnel that has a good conversion and an acceptable CPA, but a low average order value is primed for a bundle.
Bundles can also help with conversion problems by bringing multiple products referenced in the ad into a single product, but more on that in a bit..
Bundle Strategies to Try
Here are a few strategies we have seen be effective for boosting AOV and profitability.
1. Combine top sellers with high-margin items
Every brand has a handful of products that are great for acquisition. They sell well and are easy to communicate. The problem is that they are not always high-margin or super profitable, especially if discounted for prospecting campaigns.
Within these FERMÀT Funnels try adding that top seller (acquisition hero) to a bundle that includes supplementary products that are higher margin.
This will increase your AOV but also increase your profitability per order.
Here's an example from Wrinkles Schminkles:
Here WS has created a bundle in FERMAT that is a play on their classic acquisition bundle. The big difference is that they have added two additional serum products. These are not top-selling products, but do have great margins. They then use FERMÀT's experimentation tools to compare how effective each bundle is.
2. Combine top sellers with high-consumption products
This tactic is similar to the one above. You use a top-selling acquisition product to anchor the bundle but then add products that have fast consumption.
With this bundle tactic, you are adding in a product to increase the perceived value of the entire bundle while also introducing an item that the customer is more likely to return and buy before the hero product runs out.
Here's an example from BEAM where the pre-workout gifts will run out long before the protein powder.
Here BEAM has added the pre-workout as a "gift" but it doesn't have to be free to be effective. The protein powder is likely to last the customer 30+ days. The pre-workout will last a few days. This gives the shopper a reason to come back and purchase, but also gives BEAM a bonafide reason to reach out sooner with their retention efforts.
3. Group all the products in an ad into a bundle
This bundle tactic helps boost AOV but can also be a great conversion booster as well. If you have ads in the market that feature several products in the same ad, you can easily bundle those products together inside of FERMÀT.
We have seen this be an effective way to get a customer to purchase all the products they saw in a "get ready with me" or "influencer spotlight" ad. Simply bundle the products in the ad together so that when the customer lands they can grab them all with one click.
While bundle building in the past was too cumbersome to build them for one-off ads like this, FERMAT makes it possible.
Here's how Essence Vault does it:
Here Essence Vault has constructed a bundle of products that are the same as the products an influencer (Liam) calls out in his ad. The customer goes from the ad that says how much he loves: 709, 200, and 199 to an experience that lets them easily grab those same fragrances. A consistent experience that leads to better conversion and higher AOV.
4. Test any bundle before you commit it to the site
The last recommendation is to try merchandising products together that have always been on your "maybe later" list. FERMÀT has made it dead simple to test any bundle you want without the logistical headaches. Just build a bundle, add it to a funnel and you're done.
If you need a refresher on how to build a bundle check out the how-to article here.