How to price a product bundle after packaging and postage

List the contents before setting the bundle discount

Write down each item, its quantity and the cost of making or buying it. Add personalisation or assembly time specific to the bundle. A bundle of different products needs their individual costs; multiplying one average can hide an expensive component.

Then identify shared costs. One outer box, one delivery label and one order-level payment charge may cover several items. Per-item protection or inserts may still multiply with quantity. Make those distinctions before deciding how much discount the bundle can support.

Calculate the actual combined order

For illustration, three items costing £4 each have £12 product cost. If shared packaging costs £1 and postage £4, the bundle costs £17 before fees and other allowances. At £27 revenue it contributes £10. At £24 it contributes £7 under the same assumptions.

Those figures show the effect of a £3 bundle reduction. Add the actual percentage/fixed fees and any expected return allowance before choosing a listed price. If the bundle needs a larger parcel, use that charge rather than the postage for one item.

Compare it with the alternative customers might buy

A bundle can increase the number of items in an order, but it may also replace a full-price sale the customer would have made. Compare a one-item order, separate purchases and the proposed bundle with their own costs. Keep the comparison honest about shared postage and fees.

Review demand and product mix after a test. A bigger basket is useful when it leaves enough contribution and fits production capacity. It is not automatically better if the discount gives away more than the shared fulfilment saves.

Before you use the result

• Cost every component and quantity.
• Separate shared order costs from per-item costs.
• Use the packed bundle's actual delivery charge.
• Include the full fee and return assumptions.
• Compare with likely one-item and separate-order alternatives.

Common questions