A recent report by Expedia revealed 20-30% savings for travelers who purchased bundled vacations, including flights, hotels and car rentals. Product and service bundling is a sales tactic whereby companies bundle together a set of value-oriented complementary products or services at a typically lower price than the cost of purchasing each product separately. From value meals at fast food restaurants to telecommunications packages that include phone, internet and cable, merchants are increasingly turning to product bundling to create attractive price points and increase revenue. When done correctly, bundling can lead to increased sales, profit margins and exposure of additional products to a new audience.

Bundling can generally be segmented into two separate categories:

  • Pure bundling, where a company offers a group of services or products that are only available in a bundle, such as the Microsoft Office suite

  • Mixed bundling, whereby each product or service is also available for sale individually.

Increased Efficiency


By offering an integrated, all-inclusive solution in the form of bundle sets, digital service providers can set up complete packages that are easily implemented, as opposed to the time-consuming implementation of individual packages. For example, when offered as stand-alone tools, the integration of a booking module from one vendor, a website from another and a CRM from a third can be complicated and costly. Using Camilyo an agency can offer an inclusive suite of web design, appointment-booking and a built-in CRM at a fraction of the complexity and cost. In practice, agencies using Camilyo will enjoy lower marketing and selling costs as they are promoting a fixed set of services and will not need to market each solution individually.

One Vendor for Multiple Services

Bundles increase buying efficiency for small businesses by allowing them to purchase a complete solution from a single vendor, thus saving them time and money in research, negotiations, and on going interactions with multiple service providers. Camilyo’s platform enables digital service providers to offer a wide range of sales and marketing services to their clients, eliminating the need for multiple vendors for related products. Additionally, pricing is generally lower than each standalone service, thus saving the business significant amounts of money over time.

Increased Sales

By grouping a set of complementary products together, bundling, businesses are exposed to services that they may not have otherwise considered or ordered. While the overall price of a bundle is lower than that of its individual components, in practice digital service providers increase their bottom line by adding additional services at a very low cost to them. For example, digital agencies using the Camilyo platform already have a CRM complete with E-mail and Text marketing that easily integrates with the website that they are building, therefore implementation costs of adding a marketing and retention tools to the presence package are extremely low compared to the additional revenues that they will receive for that upgraded package.

Competitive Advantage

Higher profits notwithstanding, bundling services offers a large competitive advantage over other service providers. By streamlining the process, businesses are more likely to choose the company that offers them an all-in-one package, even if the price is technically slightly higher than the competition, because convenience and efficiency will often outweigh price concerns. GE, for example, gained a huge competitive advantage over Toshiba, Siemens and other medical suppliers by bundling products and services: by offering all-inclusive packages, they were able to essentially remove other suppliers from hospitals as, clearly, it was easier for hospitals to use one vendor for all of their services and products.

Higher Customer Loyalty and Low Churn

Customers who have selected a bundle that provides multiple integrated services are significantly less likely to search for a new service provider as it would be incredibly costly to them to start over. As such, bundling grants service providers an opportunity to make themselves indispensable to their clients and, consequently, enjoy a lower churn rate.

Challenges of Bundling

While bundling increases sales, digital service providers offering multiple services to their clients need to heavily invest in development time in implementing services that do not naturally work together. Camilyo’s all-in-one platform solves this problem by enabling full integration between the features, saving the agency development time and, consequently, money.

Ultimately, when done correctly, bundling increases revenue for digital agencies and provides better value for small businesses using their services. Camilyo offers a complete suite of web design, marketing and retention tools that help digital service providers deliver real value to their SMB clients at a price point they can afford while increasing sales and profit margind and reducing churn. Find out how Camilyo can help you to increase sales and revenue at sales@camilyo.com