Product Bundling, The Key to Scaling Revenue for Your Agency - Craig Taylor - Vendasta
When it comes to product bundles, agencies have a huge opportunity to scale their revenue. By packaging multiple services together into product bundles, you can make it easy for customers to purchase and increase your average order value. This also drives down your marketing costs and allows you to build complementary products.
How to create Product Bundles?
Selling multiple products can be a powerful way for agency owners to increase revenue and introduce clients to new products. Strategically creating product bundles is important to make the most of this pricing strategy. You cannot just mash up what you currently have.
You might be an agency that's focused on a single service. If this is the case, you might need to partner with others to create a product bundle that fits together and creates more value for the customers.
In this session, Craig Taylor, Director of Sales, Vendasta will tell more about what product bundling is and how agencies can use it to grow their business. Here is an introduction from Vendasta's article in the Agency Growth Book:
"Product bundling is a pricing strategy to increase revenue, keep a wider variety of products in rotation, and introduce new products and services to clients.
Did you know that selling one product to a small or medium-sized business (SMB) has a retention rate of only 30 per cent after 2 years, whereas selling four products shows a retention rate of 80 per cent (Vendasta study)?
By selling only one solution, you may be losing upwards of 70% of your clients. A-la-carte selling increases client churn, hinders profitability, reduces scalability, and is not tied to the customer journey.
Partners with bundling strategies are on average 7X more profitable per customer, save at least $10,000 each year by consolidating their tech stack, and retain nearly 80% of all of their clients over two years (Churn Study).
Agencies that bundle products and services rather than sell them individually will quickly see higher client retention and higher profitability."
