Product Bundling Strategy: These insights can inform merchandising on your website. Frequently co-purchased items can be bundled together on the website, making it convenient for customers to find complementary products. Effective product bundles can improve AOV and improve return on ad spend by encouraging customers to spend more on your website. A data-driven product bundling strategy helps you improve your CAC to LTV ratio, to justify spending more on your acquisition efforts.

Product Recommendations: By recommending complementary products to customers based on these patterns, stores can enhance the user experience, increase cross-selling opportunities, and boost average order value through effective bundling marketing strategies.

Dynamic Pricing Strategies: Analyzing product combinations of complementary products can inform dynamic pricing strategies. E-commerce stores can offer discounts or cross sell bundles on frequently co-purchased items at a discounted price. This incentivizes customers to buy multiple products, increasing sales, profit margins, and customer satisfaction.

Inventory Management: Identifying product bundles and cross-sell associations assists in inventory clearance when you need to move slow-moving products. Further, products often bought together can be stocked closer to each other in the warehouse, streamlining the packing process and reducing distribution costs. It minimizes stockouts, ensures timely deliveries, and enhances overall operational efficiency.

Targeted Remarketing Campaigns: E-commerce stores can create targeted marketing campaigns based on this report. Customers who buy one product from a popular combination can be sent personalized offers for related items. This personalized approach increases the likelihood of conversions and customer retention.