Worksheet: Price your common combinations as packages

Customers already buy some products and services together. This sheet finds the ten most common combinations, prices two as standard packages and tracks what they earn. It builds the Competent step of the check:

Standard packages sit beside the à la carte price list, and each bundle's price is set deliberately against the sum of its parts.

Step 1. Ten combinations customers buy together

Pull last year's orders and count the pairs and trios that recur.

#	Combination (products and services)	Orders last year containing it	Revenue ($m)	Sum of the parts at list ($)
1
2
3
4
5
6
7
8
9
10

Look for three kinds of opportunity:

A high-margin add-on that could ride with every order.
A service element customers do not value, which could come out and be sold separately.
Spare parts and after-sales service that are given away today.

Step 2. Price two as packages

Package	Sum of the parts ($)	Package price ($)	Difference (%)	Cost we save by selling it together ($)	Why a customer takes it	What it does for us
e.g. Supply, cut to length and site delivery	10,400	9,900	-4.8%	350	One order, one invoice	Carries the cutting margin into every order

Keep the package price below the sum of the parts, and the discount close to the cost you save. A bigger discount gives margin away.

Step 3. Track each package from the first sale

Package	Month	Packages sold	Revenue ($)	Margin (%)	Margin on the same items sold separately (%)

Done when: two standard packages sit on the price list beside the à la carte prices. Each is priced against its parts, with margin tracked from the first sale.

Adapted from our own pricing process (PSP, 2004).