Like many small business owners, you might be struggling to increase your revenue and drive more sales. It’s a common challenge, and price bundling is one of the best solutions. Bundling your services together in strategic packages is a proven way to boost sales and build loyalty, because it allows you to provide your customers with more value for their money while still maintaining your profit margins.

What is bundle pricing?

Bundle pricing, also known as product bundling or price bundling, means combining several related products or services into a package and offering them at a discounted price, rather than selling each item separately at full price.

This pricing strategy works well for small service businesses, because it allows you to provide more value to your customers while increasing your revenue and profit margins. Customers also enjoy feeling like they’ve got a special deal, so it helps drive more sales and loyalty.

There are a few popular bundling strategies that you can use for your business:

  • Behavioral targeting bundles cater to specific customer needs and lifestyles. For example, a photographer might offer a “new parent” bundle with baby photos, birth announcements, and first year photos.
  • Psychological pricing bundles use attractive price points, like $99 or $199, which seem like a bargain because of the “99” price, like a $199 “monthly marketing” bundle.
  • Competitive pricing bundles match or beat what your competitors are offering to gain new customers, so they’re designed to mirror or improve on rival bundles and services.
  • Ideal customer bundles are tailored to your best customers based on their common needs and buying behaviors, so you can offer extra value and exclusive options to keep them happy.

The benefits of bundle pricing

Bundle pricing is a win-win for your business and your customers. Here are some of the main benefits:

Increased revenue

By bundling multiple products or services together at a lower price, you make the total package more appealing and affordable. When you sell services as a bundle, you’ll also encourage customers to pay upfront for multiple services, which they’ll then want to use so that the purchase doesn’t go to waste. This results in higher overall total revenue and increases your average order value.

Higher sales

Bundles expose customers to new products and services they might not otherwise buy. It’s a great way to get them to try out new services that they aren’t yet familiar with, which helps expand your sales. If you’re selling products alongside your services, bundling also helps you clear slower-moving items by including them in packages with your bestsellers, which makes space for new inventory and generates sales of items that may otherwise languish.

Improved customer satisfaction

Customers love a good deal, and bundle pricing makes them feel like they’re getting more for less. Packages also save them time, because they don’t need to buy individual products separately, and it turns your business into a one-stop shop that meets multiple needs at the same time. This convenience and perceived value together build goodwill and customer loyalty.

Sharper competitive edge

Creative bundling gives you an advantage over competitors who only offer individual products or services. Your bundle deals attract new customers and encourage existing ones to buy more from you rather than your rivals, which boosts your competitive position in the market.

How to effectively price your service bundles

Now that you’re convinced about the value of using bundling, you’ll want to know how to put it into practice to the greatest effect. To make the most out of your service bundles, you need to know your ideal customer and understand what motivates them, so that you can leverage behavioral targeting and psychological pricing. Here are some top tips for creating and pricing service bundles.

Know your customer

Ideal customer profiles (ICPs)are a great way to put together appealing bundles. Think about which services are most important to them, and what additional services they are the most likely to use. Then group complementary services together into bundle packages, according to each ICP. To come up with a price, calculate the total cost of each service individually, then add a discount to make the bundle more attractive to your customers.

Cross-sell effectively

A simple but effective way of building service bundles is to combine complementary services. This is an excellent way to cross-sell to your existing customer base. For example, if you offer lawn mowing and hedge trimming services, create a lawn care bundle that includes both. Your current lawn mowing clients might be interested in the bundled deal, allowing you to earn additional revenue from a service they may not have purchased otherwise.

Tap into psychology

Another approach is to wield value pricing and competitive pricing strategies by lowering the price of your bundles by 10-30%. This taps into the psychological motivation of getting a deal. It’s also a good idea to set expiration dates for your bundles, to create a sense of urgency. Think about varying bundle prices and components to keep things interesting for repeat customers.

Provide flexibility

Offer a number of bundles at different price points, so that customers can choose the bundle that suits them best based on their needs and budget. You may also want to include the option to create a custom bundle, because some customers may prefer to pick and choose services to include in their own tailored package. Offering this flexibility and choice is key to delighting your customers.

Promoting your new bundles to customers

Once you’ve created some irresistible bundle offers, it’s time to spread the word to your customers. Here are some proven ways to promote your new service bundles:

Email marketing

Send an email announcing your new bundle deals to your current customer list. Highlight the key features and benefits, focusing on the value and savings. Use eye-catching images and clear calls-to-action to drive clicks and conversions, and consider offering an additional discount or bonus for customers who purchase in the first week.

Social media

Share appealing posts about your new bundles on all your social media platforms, like Facebook, Instagram, and LinkedIn. Share engaging photos, taglines, and short videos to capture interest, and engage with your followers by responding to their comments and questions. You can even build buzz by running social media contests and giveaways.

Referral programs

Your happiest customers are your best marketers, so think about offering them a referral bonus or discount for spreading the word to their friends and networks. This taps into the power of word-of-mouth marketing and social proof.

Retargeting ads

Use retargeting ads on social media and search engines to follow up with people who’ve visited your website. Remind them about your new bundle offers, and provide another opportunity for them to take advantage of the deals. Time-limited offers and scarcity messaging can be very effective here.


Each of the above tips is an effective way to promote your bundles, but using all of them together in an integrated approach maximizes your reach and impact even further. Feature your bundle deals in email newsletters, in a pop-up on your website, and at your physical business location. Educate your customers on the benefits of bundling and how much money they can save. The more exposure your customers have to the bundles, the more likely they are to purchase.

Price bundling is the secret weapon for better sales

Price bundling can be a game changer for your small service-based business. When done right, bundling taps into human psychology and buying behaviors in a way that benefits both you and your customers. You’re able to increase revenue by providing more value, and your customers get to save money on services they were likely going to buy anyway. It’s a win-win.

With price bundling, you can increase customer loyalty, drive higher sales, and boost your bottom line, so the next time you’re looking for ways to boost sales or delight your loyal customers, consider putting together a bundle.