Ecommerce KPIs
Bundle pricing profit.
Enter the price and cost of two to four items, then a bundle discount or a fixed bundle price. See profit, margin, what the customer saves and the maximum discount for a target margin.
Bundle profit = bundle price - total item cost. Items priced $30, $25 and $20 with $30 of total cost, sold at 15% off ($63.75), earn $33.75 at a 52.9% margin.
Your numbers
Result
Worked example
Three items priced $30, $25 and $20 (total $75) cost $12, $10 and $8 (total $30). At 15% off the bundle sells for 75 x 0.85 = $63.75, so profit is 63.75 - 30 = $33.75 and margin is 33.75 / 63.75 = 52.94%. The customer saves $11.25, and you give up that $11.25 against selling the three separately ($45 profit). To hold a 50% margin the price cannot fall below 30 / 0.5 = $60, a maximum discount of 1 - 60 / 75 = 20%.
How it works
Separate total = sum of item prices; total cost = sum of item costs. A percent discount applies to the separate total; a fixed bundle price replaces the discount if you enter one.
Margin = (bundle price - total cost) / bundle price. The profit given up equals the customer saving, because cost does not change.
Lowest price for a target margin = total cost / (1 - target margin), and the maximum discount is how far that sits below the separate total. If the target margin is higher than the full-price margin, the maximum discount is 0%.
A bundle is worth it when it sells more profit in total than the items would alone (more orders, bigger baskets, or moving slow stock), which this page cannot know. Use it to see how much margin each point of discount costs.
This is pure arithmetic with no outside source; costs are those you enter.
Basis: No external source is needed: the formulas are the identities for profit and margin shown above.
Inputs are user-entered figures. Results are planning estimates, not financial advice or a forecast of future performance. Everything runs in your browser. Nothing you type is sent or stored.
FAQ
How do I price a product bundle?
Add the item prices, choose a discount or fixed price, and check the margin against the total cost. Compare the margin with a target before you commit.
What discount should a bundle have?
There is no universal figure. Use the maximum discount for your target margin as the ceiling, then test smaller discounts against order and basket data.
Does a bundle always lower profit per sale?
Per bundle versus the same items sold separately, yes: you give up the discount. The case for a bundle rests on selling more, which you have to measure.
Can I enter only two items?
Yes. Leave the third and fourth item blank.