Increase your AOV with this tactic done by Peloton.
May 11 2023
Product bundling is an effective strategy to increase sales, AOV, and customer loyalty. Peloton adopts the mixed bundling tactic, combining products sold separately at a reduced price, allowing customers to try more of their products and increase AOV.
Product bundling is the practice of offering a package of several products at a reduced price, either as an upsell or cross-sell. It is an effective method to increase sales, AOV, and customer loyalty, as they get to try more products at once.
Peloton adopts the mixed bundling tactic by combining products sold separately such as bike, cycling shoes, weights, etc. at a reduced price. The packages with various add-ons are pictured clearly and priced such that buyers will save more when they purchase more. This allows customers to try out more of Peloton's own products rather than just getting the bike itself hence increasing overall AOV.