SaaS companies have adapted roll-yourown or bundle pricing for subscription services. Recurring revenue bundles, sometimes shortened to “rundles”, combine multiple subscription services or products into one package. Bundling allows retailers to take advantage of the consumer surplus to increase their sales volume and average order volume while also potentially subsidizing long-tail product development.
However, achieving a bundled billing model with the right mix of desirability and profitability is no easy feat. You will need a strong understanding of your buyer personas, excellent product management, and accurate revenue allocation to perform frequent margin analyses. Read on to discover the perks and pitfalls of bundling.
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