Boost Sales By “Bundling” Your Product Line

by Christine Hronec


The e-commerce market for dietary supplements creates ample opportunities for managers of emerging brands to gain market share. Effective brand management is key to establishing a consumer base as well as maintaing and growing one’s brand. While marketing is an essential element to the growth of any brand, there are more than a few other factors to consider when staging a growing supplement brand for success. One approach successfully implemented by several brands to boost overall profitability is to bundle products together. “Bundling is pervasive in several markets, and it works in many cases,” says Vineet Kumar, an assistant professor in the Marketing Unit at Harvard Business School. Consumers welcome bundles even at places like McDonald’s, where they can purchase burgers, fries, and drinks cheaper in a bundle—known as an Extra Value Meal—for cheaper than the products would cost if purchased individually [1]. This list provides the benefits of utilizing product stacks for those seeking to boost overall sales and profitability.

  • Maximize Market Penetration- When introducing a new product to the market, bundling supports the expansion of a dominant market position for the new product. Companies are able to effectively provide a new product with improved visibility and subsidize trial [2]. Dietary supplement companies find that whey proteins are the highest volume movers with the lowest margins. Introducing a higher margin product such as a new pre-workout with bulk protein products boosts overall margins.
  • Greater Consumer Value- End users are more likely to solicit the help of a personal trainer before that of a nutritionist with expertise in supplementation. When presented with a product stack designed to support fat loss or gaining muscle mass, guess work is eliminated with respect to what products to take in support of specific goals. Consumers value the grouped package more than the individual items [3].
  • Eliminate Guesswork “Beginners”- Just because one is a beginner with supplements doesn’t mean they are a beginner in the gym. Many potential consumers of advanced dietary supplements simply haven’t taken the next step in reaping the benefits of improved nutrition and tweaking their phsiques through advanced supplementation methods. Beyond the basic’s of taking a protein supplement to boost lean muscle mass, it has been found that 25 percent of professional baseball players and up to 50 percent of football players use creatine supplements [4][5].

Contact your sales representative for special discounting when ordering supplement stacks for private label brands.

[1] http://www.forbes.com/sites/hbsworkingknowledge/2013/01/18/product-bundling-is-a-smart-strategy-but-theres-a-catch/
[2] http://www.marketingprofs.com/2/bundling.asp#ixzz2Kbo6DvMs
[3] http://articles.mplans.com/product-bundling/
[4] http://www.muscleandfitness.com/supplements/boost-workout/your-first-supplement-stack
[5] http://www.mensfitness.com/nutrition/supplements/creatine

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