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Bundle pricing is a pricing strategy in which multiple products or services are offered together as a package at a discounted price compared to purchasing each item individually. The goal of bundle pricing is to incentivize customers to buy more by offering cost savings and added value.
There are several types of bundle pricing:
1. Pure Bundle: A package where customers must purchase all the items together, and they cannot buy the products individually at the discounted price.
2. Mixed Bundle: A package where customers have the option to buy the entire bundle at a discount or purchase the items individually at regular prices.
3. Leader-Follower Bundle: A package where a popular or desirable product (leader) is bundled with a less popular or complementary product (follower) to encourage sales of the latter.
Bundle pricing can be an effective strategy for businesses to increase sales, attract price-sensitive customers, and promote less popular products by tying them to more popular ones. It also simplifies the purchasing decision for customers and enhances their overall shopping experience.
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