Reveal the Whole Kit, If Not the Caboodle

The NPD Group has spotted a substantial climb in sales of fragrance, skincare, and makeup gift kits. For the January to October period, 2012 sales of men’s fragrance gift sets increased 14% over 2011, while for women’s fragrance sets, the increase was 7%. Growth in other types of kits was even greater. For skincare sets, it was 23%, and for makeup sets, 26%.
     Package deals are used throughout retailing. Say you’ve booked a cruise. You’ll be getting your lodging and dining at a lower price than what you’d pay if you arranged for each individually. Are you considering the cable TV/telephone/internet package? You’d be saving big if you decide to get all three together from us.
     In these package deals, the appeal is to cost savings. But another approach is for you to improve your profitability by setting a premium price when you package products, product categories, or product benefits. Customers might ask why they’re paying more. Your answer will have to do with your expertise in arranging the combination and with the convenience you’re providing to the shopper.
     View kits as families of products. Now use this concept to build sales in another way: The customer buys one item and you suggest other items which fit together with that one like members of a family fit together. If a woman comes in with her daughter and buys a casual dress for herself, the salesperson asks the woman if she’d like to move on to shop for a casual dress for the daughter.
     It’s not only with clothing. Ask the man shopping for fishing gear for himself if he’d like to look at fishing equipment for his wife and children who are there with him. And it goes beyond items to be used by different family members. Research done at the University of Toronto and University of Chicago says that a shopper who comes into the store to purchase a large first aid kit is more likely to buy a second kit if the two kits are described as fitting together like a family. “Keep the big kit in your auto and carry the littler one on hikes.”
     However, don’t overwhelm the customer. “The whole kit and caboodle” is a phrasing going back to at least year 1884, referring to absolutely everything one might need. With your shoppers, reveal the kit while not aiming to show the whole caboodle.

Click below for more: 
Package Your Products for Premium Pricing 
Plan for Multifunction Marketability
Sell Product Families
Protect Shoppers from Too Many Choices