Many brands focus heavily on acquiring new shoppers, often through deep discounts and aggressive promotions. While these tactics can drive immediate sales, they don’t necessarily translate to long-term profitability or brand loyalty.

Loyal shoppers are the backbone of sustainable growth. Research shows that repeat shoppers spend 67% more than new shoppers and are 5X more likely to repurchase. More importantly, retaining an existing shopper is 5-25X cost-effective than acquiring a new one.

Despite these compelling stats, many brands continue to chase short-term gains instead of fostering deeper, long-term shopper’s relationships.

This piece will take you through the following key topics:

• Why Loyalty Matters

• How Bundles and Loyalty Work Together

  • Strategies to Boost AOV with Bundles + Loyalty

• The Pitfalls of Relying on One-Time Sales

• The Psychology Behind Bundling & Shopper Retention

• The Role of Personalization in Bundling

• The Problem with Relying on Discounts for Retention

• How Brands Can Use Emotional Bundling

• Summary

❇️ Why Loyalty Matters

In today’s crowded e-commerce landscape, where competition is fierce and shopper acquisition costs are rising, shopper’s loyalty is more valuable than ever. True profitability lies in retaining and nurturing existing shoppers.

The Value of Customer Loyalty

Loyal shoppers spend more, buy more often, and refer others—making them far more valuable than one-time shoppers. Here’s why:

✔️ Higher Lifetime Value (LTV) – A loyal shopper spends 67% more than a new shopper over time.

✔️ Lower Acquisition Costs – Retaining an existing shopper is 5-25X cheaper than acquiring a new one.

✔️ Increased Profitability – A 5% increase in retention can boost profits by 25-95%.

✔️ Stronger Brand Advocacy – Satisfied, loyal shoppers become brand ambassadors, recommending your store to friends, family, and on social media.

❇️ How Bundles and Loyalty Work Together

Bundling and loyalty programs together? Now that’s a game-changer!

They don’t just boost sales—they keep shoppers coming back for more. Think about it:

• Shoppers feel like they’re getting more bang for their buck with a well-curated bundle.

• Brands win by increasing revenue while building stronger, long-term relationships.

Strategies to Boost AOV with Bundles + Loyalty

If you’re looking to increase Average Order Value (AOV), combining bundling and loyalty programs is one of the smartest strategies.

💡Tiered Loyalty Benefits: Higher loyalty tiers unlock bigger and better bundles → Customers spend more to reach premium levels.

Example: Inkbox’s VIP Bundles for Top-Tier Loyalty Members

Inkbox, a Shopify-based brand known for semi-permanent tattoos, offers exclusive bundles for their top-tier loyalty members.

Inkbox VIP Club – Tiered Bundle Rewards:x`

• Silver Members – Get a customizable tattoo bundle (Buy 2, Get 1 Free).

• Gold Members – Unlock limited-edition artist collaboration bundles before public release.

• Platinum Members (highest tier) – Receive an exclusive VIP bundle featuring unreleased designs + a discount on their next purchase.

Why It Works:

• Drives higher spending – Customers buy more to reach the next tier and unlock better rewards.

• Creates exclusivity – VIP members feel special and prioritized.

• Encourages repeat purchases – The perks make customers stay loyal to Inkbox instead of competitors.

Impact: Shopify brands with tiered loyalty programs see up to 30% higher repeat purchase rates and a 20% increase in AOV!

💡 Personalized Bundling Based on Purchase Data: AI-driven recommendations suggest custom bundles → Makes shoppers feel like the offer was made for them.

Example: Nike

If a shopper frequently buys running shoes, Nike’s system might suggest a “Runner’s Essentials” bundle, including:

• A pair of performance running socks

• A moisture-wicking T-shirt

• A discount on their next sneaker purchase

Why It Works:

• Shoppers feel like the bundle is tailored to their needs, increasing the chance of purchase.

• It enhances the shopping experience, making it more convenient.

• Nike sees a higher Average Order Value (AOV) by bundling complementary items.

Impact: Personalization increases sales by 20% on average, and AI-driven recommendations can improve conversion rates by 30% or more.

💡Limited-Time & Seasonal Bundles: Create urgency and exclusivity with limited-edition loyalty bundles.

Example: Gymshark’s Limited-Time

Gymshark, a popular fitness apparel brand on Shopify, runs seasonal limited-time bundles to drive urgency and increase AOV.

Winter Workout Bundle (Limited Edition)

• Performance Hoodie (for cold-weather workouts)

• Seamless Leggings or Joggers

• Insulated Water Bottle

Why It Works:

• Drives urgency – “Limited Edition” makes shoppers act fast.

• Increases AOV – Instead of buying a single hoodie, customers purchase a full set.

• Boosts loyalty – Members get early access, reinforcing exclusivity.

Impact: Shopify brands using limited-time bundles see a 25-40% increase in sales during promotions!

❇️ The Pitfalls of Relying on One-Time Sales

If your e-commerce business is focused only on one-time sales and discounts, you might see quick revenue spikes—but let’s be real, that’s not a sustainable way to grow. Relying on transactional shoppers means you’re constantly chasing new shoppers instead of keeping the ones you already have. And that’s expensive.

🚫 High Churn Rate – If shoppers only buy once, businesses must constantly replace them.

🚫 Discount Dependency – Shoppers conditioned to wait for discounts may never buy at full price.

🚫 Low Brand Engagement – One-time buyers don’t build meaningful relationships with brands.

🚫 Unpredictable Revenue – A lack of repeat shoppers makes cash flow inconsistent.

Instead of constantly slashing prices, what if you gave shoppers a reason to keep coming back? That’s where bundling comes in—it adds value without hurting margins, encourages repeat purchases, and helps turn first-time buyers into loyal fans.

❇️ The Psychology Behind Bundling & Shopper Retention

Let’s talk about why bundling actually works—not just for boosting sales, but for keeping customers coming back. It’s not just about grouping products together; it’s about how people think and shop. When done right, bundling taps into psychological triggers that make shoppers feel like they’re getting more value, which in turn makes them more likely to stick with your brand.

1. People Love a “Good Deal” (Even If It’s Not a Huge Discount)

We all love feeling like we’re getting more for our money. When shoppers see a bundle, they naturally compare it to buying items separately—and even a slight savings (or added convenience) makes the bundle feel like a better deal.

💡 Example: If you sell skincare, a Cleanser + Moisturizer + Serum Set feels more valuable than buying each item individually—even if the price difference is small.

The result? Higher AOV (Average Order Value) and a happier shopper who feels they got a “steal” without you having to slash prices.

2. Bundles Reduce Decision Fatigue (and Make Shopping Easier!)

Shoppers get overwhelmed when they have too many choices. Bundling simplifies the buying process by curating ready-to-go solutions, making it easier for shoppers to say “yes” instead of hesitating or leaving your store without buying.

💡 Example: A "Work-From-Home Essentials" bundle (laptop stand, wireless keyboard, noise-canceling headphones) saves shoppers the hassle of searching for each item separately.

Less decision fatigue = faster checkouts and more repeat shoppers who remember how easy your store made it for them.

3. Bundling Creates a Sense of Completeness

Ever notice how people want the whole set? Bundling taps into this psychology by making products feel like they “belong” together. When shoppers buy one item, they naturally want the others that complement it.

💡 Example: Someone buying a camera is already thinking about getting a tripod and memory card. A “Content Creator Bundle” makes them feel like they’re fully equipped from the start—so they don’t leave your store looking for accessories elsewhere.

Bundling prevents lost sales by keeping shoppers engaged within your ecosystem instead of going to a competitor.

4. The “Guilt-Free” Spending Effect

When shoppers buy a bundle, they justify the purchase because they believe they’re making a smart financial decision. Instead of feeling like they’re splurging, they see it as a value-packed investment.

💡 Example: A “Healthy Meal Prep Bundle” (blender, storage containers, and a recipe book) makes shoppers feel like they’re investing in their health—not just spending money.

This emotional connection makes them more likely to return to your store for future purchases.

❇️ The Role of Personalization in Bundling

Personalization is no longer a nice-to-have—it’s a must if you want to boost shopper loyalty and AOV. Shoppers don’t just want bundles; they want bundles that feel tailor-made for them. When you personalize bundling, you make customers feel understood, increasing the likelihood of repeat purchases.

1. Smart Recommendations = Higher Conversions

Shoppers love when a brand “gets” them. By using AI-driven recommendations or purchase history, you can suggest bundles based on shopper’s preferences—making it easier for them to say yes.

💡 Example: Sephora’s “Build Your Own Skincare Set” lets shoppers choose products based on their skin type and concerns, increasing both engagement and conversions.

2. Give Shoppers Control with Custom Bundles

Letting customers create their own bundles gives them a sense of ownership, which makes them more likely to complete the purchase.

💡 Example: Function of Beauty lets customers customize their shampoo & conditioner bundles based on hair type, goals, and fragrance—leading to higher retention rates.

3. Personalized Bundles = Higher Retention

When a bundle fits seamlessly into a shopper’s lifestyle, they’re more likely to repurchase it. Personalized bundling helps create a habit, leading to long-term loyalty.

💡 Example: Stitch Fix curates personalized fashion bundles based on style preferences, size, and past purchases—making shoppers more likely to reorder.

❇️ The Problem with Relying on Discounts for Retention

Offering discounts may seem like a quick win to attract shoppers, but it comes with risks:

✔ Erodes brand value – Frequent discounts can make your products seem less premium.

✔ Trains shoppers to wait for sales – If shoppers expect discounts, they may delay purchases.

✔ Lowers profit margins – Deep discounts cut into revenue, making it harder to scale sustainably.

✔ Doesn’t build true brand loyalty – Shoppers may switch to competitors offering better deals.

❇️ How Brands Can Use Emotional Bundling

Bundling is about giving your shoppers that “Wow, they really get me!” feeling. When done right, a bundle isn’t just a deal—it’s an experience, a story, and sometimes, even a little treat that shoppers didn’t know they needed.

So, how can you, as a merchant, leverage emotional bundling to build stronger relationships and boost sales? Here are a few ideas:

✔️ Storytelling Bundles – Sell an experience, not just products.

Example: Lush’s “Sleepy Time” Bundle

Lush, known for its handmade beauty products, sells a “Sleepy Time” bundle with a lavender-scented bath bomb, body lotion, and a calming pillow mist. Instead of just selling products, they sell a relaxing bedtime experience—perfect for customers looking to unwind.

✔️ Personalized Bundles – Using AI or shopper’s purchase history, offer bundles tailored to individual preferences. This makes shoppers feel valued and understood.

Example: Nike’s “By You” Custom Bundle

Nike allows shoppers to build their own personalized bundle with custom shoes, apparel, and accessories based on their sports preferences. Using AI and past purchase data, Nike recommends products that fit a shopper’s style and activity level—making each bundle feel tailor-made.

✔️ Community-Driven Bundles – Collaborate with influencers or brand partners to create themed bundles that resonate with niche audiences.

Example: Glossier x Olivia Rodrigo “You Set”

Glossier, the beauty brand, partnered with pop star Olivia Rodrigo to create the “You Set” bundle, featuring her go-to lip, brow, and eyeliner products. Fans of Olivia were eager to buy the bundle because it felt like a personal recommendation from someone they admire.

✔️ Surprise & Mystery Bundles – Adding a surprise element enhances excitement and emotional engagement with the brand.

Example: Funko’s Mystery Pop! Boxes

Funko, the brand behind collectible figurines, sells Mystery Pop! Bundles, where customers receive a random selection of rare or exclusive Funko Pops. The thrill of the unknown keeps collectors coming back for more.

Summary

Loyal customers drive sustainable growth, and bundling is a powerful tool to boost retention beyond discounts. Strategic bundles create value, exclusivity, and emotional connections, increasing AOV and repeat purchases. Personalization enhances bundling impact, while relying solely on discounts weakens loyalty. Brands can use storytelling and tiered rewards to strengthen relationships. By combining bundling with loyalty programs, businesses can turn one-time shoppers into long-term brand advocates.

Want to turn one-time buyers into loyal shoppers? Learn how bundling builds long-term shopper loyalty—beyond just discounts! Plus, explore tips to gain repeat shoppers here!