E-PickPack | Ecommerce Fulfilment Resources and Insights

What is Kitting & Bundling in Fulfilment? A Guide for eCommerce Brands

Written by E-PickPack Team | Oct 16, 2024 12:07:44 PM

In the competitive world of eCommerce, creating unique and appealing product offerings can help brands stand out and attract loyal customers.

Kitting and bundling are two fulfilment strategies that allow eCommerce brands to increase average order value, streamline the shopping experience, and even reduce shipping costs.

But what exactly are kitting and bundling, and how can they enhance your fulfilment process?

In this guide, we’ll dive into the concepts of kitting and bundling, explain how they benefit eCommerce brands, and explore how E-PickPack’s kitting and bundling fulfilment services can help you improve customer satisfaction and drive sales.

What is Kitting and Bundling?

Kitting and bundling involve combining multiple products into a single package, making it easier to manage, ship, and sell. While these terms are often used interchangeably, they have distinct meanings in the context of eCommerce fulfilment.

1. Kitting

Kitting is the process of assembling multiple individual items into a single package or “kit” that is treated as one unit. Each kit is given a unique SKU (Stock Keeping Unit) to simplify inventory tracking and order fulfilment.

Kitting is commonly used for items that are frequently purchased together or require assembly before they are ready for sale.

Examples of Kitting:

  • Subscription Boxes: Monthly subscription services, where multiple curated products are packed together into a single box.
  • Starter Kits: Beauty or skincare kits containing different products to create a complete skincare routine.
  • Pre-Assembled Kits: Items that need assembly, such as furniture or DIY craft kits, where each component is placed in the kit and packaged for easy customer use.

2. Bundling

Bundling refers to the practice of selling multiple, usually related, products together at a discounted price or as a special offer.

Unlike kitting, which typically involves creating a single SKU, bundles can consist of individually packaged items that are grouped together for promotional or convenience purposes.

Examples of Bundling:

  • Gift Bundles: A holiday gift bundle that includes a variety of themed products, like candles, body lotions, and bath salts, packaged separately but sold together as a bundle.
  • Product Combos: Electronics sold with complementary accessories, such as a camera with a carrying case, memory card, and tripod.
  • Buy More, Save More: Offering a discount on items like books or DVDs when purchased as a set.

Benefits of Kitting and Bundling for eCommerce Brands

Implementing kitting and bundling in your fulfilment strategy can have significant benefits for both your business and your customers. Here are some key advantages:

1. Increased Average Order Value

Kitting and bundling encourage customers to purchase more items in a single transaction, which can increase the average order value (AOV).

By offering product bundles or kits, you can introduce customers to complementary products they may not have considered, leading to higher overall sales.

2. Simplified Inventory Management

Creating kits with unique SKUs streamlines inventory management. Instead of tracking each item individually, kitting allows you to monitor the kit as one item, reducing the complexity of inventory updates.

Bundling can also make it easier to manage stock levels for popular items that are frequently purchased together.

3. Reduced Packaging and Shipping Costs

Kitting and bundling can result in lower shipping and packaging costs by consolidating items into fewer packages. When multiple items are combined into one shipment, you reduce the overall weight and space required, potentially saving on shipping costs and packaging materials.

4. Enhanced Customer Experience

By offering kits and bundles, you provide a more convenient and enjoyable shopping experience. Customers appreciate the value of curated kits and the convenience of purchasing complementary products in one transaction.

Additionally, kitting and bundling can make the unboxing experience more enjoyable, especially if the package includes custom inserts or branding elements.

5. Promotional and Seasonal Flexibility

Kitting and bundling are perfect for creating seasonal offerings, limited-edition products, and promotional campaigns. You can quickly assemble themed kits or bundles for holidays, product launches, or flash sales, allowing you to capitalise on timely marketing opportunities.

How E-PickPack Supports Kitting and Bundling Fulfilment

At E-PickPack, we offer comprehensive kitting and bundling services tailored to your business needs. Our experienced fulfilment team can assemble kits and bundles of any complexity, ensuring your products are packaged to your exact specifications.

Here’s how our kitting and bundling services can support your eCommerce business:

1. Custom Kitting and Assembly

Whether you need simple product pairings or intricate multi-component kits, E-PickPack can handle all aspects of kitting.

Our team assembles kits according to your specifications, taking care to ensure accuracy and consistency. Each kit receives its own SKU and is carefully packaged to protect the contents during shipping.

Examples of Custom Kitting:

  • Beauty and Skincare Kits: Assemble a selection of beauty products into a branded kit for a complete routine.
  • Corporate Gift Sets: Create branded gift sets for corporate clients, including company merchandise, promotional materials, and high-quality packaging.
  • DIY Craft Kits: For crafting businesses, we assemble items like paints, brushes, and materials into organised kits, making it easy for customers to get started.

2. Efficient Bundling Services

E-PickPack can create custom bundles to support promotional sales, special offers, and seasonal campaigns.

We handle the packaging, labelling, and fulfilment of bundled products, allowing you to focus on marketing and customer engagement.

Examples of Bundling Services:

  • Gift Bundles for Holidays: Group themed products for holidays like Christmas or Valentine’s Day, with each item packaged separately and grouped into one box.
  • Discounted Product Combos: Create bundles for related items, such as sports gear or tech accessories, allowing customers to purchase a complete set at a discounted price.
  • Trial Product Sets: For new product launches, offer trial-size bundles that introduce customers to a range of items.

3. Custom Packaging and Branding Options

Kitting and bundling provide a unique opportunity to enhance your brand with custom packaging.

At E-PickPack, we can incorporate your branding, from branded boxes to personalised inserts and eco-friendly packaging materials.

A well-designed unboxing experience can boost customer satisfaction and encourage repeat business.

4. Real-Time Inventory Management

Our kitting and bundling services are backed by Mintsoft’s Warehouse Management System (WMS), which provides real-time inventory tracking for your kits and bundles.

With full visibility into your stock levels, you can easily manage popular kits and make informed decisions on when to restock or create new bundles.

5. Fast Turnaround Times

We understand that timely fulfilment is essential for eCommerce brands. E-PickPack is committed to fast and efficient kitting and bundling services, ensuring your orders are prepared, packed, and shipped on schedule.

Whether you’re fulfilling orders for a limited-time promotion or an ongoing subscription box, we work diligently to meet your deadlines.

Choosing the Right Kitting and Bundling Strategy for Your Business

The right kitting and bundling strategy depends on your products, target audience, and sales goals. Here are a few strategies to consider:

  • Curated Kits for Convenience: If you sell products that naturally complement each other, create curated kits that provide value and convenience, like skincare regimens or kitchen essentials.
  • Seasonal and Holiday Bundles: Use bundling to create special holiday or seasonal offerings, such as themed gift bundles for Christmas, Halloween, or summer.
  • Limited-Time Promotions: Bundles are a great way to encourage quick purchases. Offer discounted bundles for a limited time to boost sales and create a sense of urgency.
  • Subscription Box Kits: For brands with recurring revenue models, use kitting to assemble subscription boxes, providing customers with fresh products on a regular basis.
Conclusion: Elevate Your eCommerce Fulfilment with E-PickPack’s Kitting and Bundling Services

Kitting and bundling are powerful tools for eCommerce brands looking to increase sales, reduce costs, and enhance the customer experience.

At E-PickPack, we specialise in tailored kitting and bundling solutions that help you offer unique products and streamline your operations.

From custom kits with personalised inserts to promotional bundles for special events, we handle all aspects of the fulfilment process so you can focus on growing your business.

Ready to elevate your product offerings with expertly assembled kits and bundles?

Contact E-PickPack today to learn more about our kitting and bundling services and discover how we can support your eCommerce fulfilment needs.