I sell a three-piece bundle at one price: how do I calculate break-even for the bundle rather than per piece?
Treat the bundle as one product: its price is the unit price, and the combined cost of the three pieces with packaging and fees is the variable cost. At a price of 130, a cost of 75 and fixed costs of 6,000, you need 110 bundles a month; multiply by 3 for stock planning and that is 330 pieces.
Why the bundle is the unit
The calculator assumes one product at one price and has no idea the bundle holds three pieces. That does not stop you using it: the customer pays one price and receives one parcel, so for the maths it is a single product. What matters is folding everything the bundle costs you into one figure.
Building the bundle's variable cost
- The three pieces: 3 × 22 = 66.
- Packaging, a card and payment fees on the order: 9.
- Total 75, which goes into the variable cost field.
- The bundle price of 130 goes into the unit price field, and fixed costs are 6,000 for the month.
The Break-even calculator shows a contribution of 55 per bundle, a ratio of 42.31%, and an exact break-even of 109.09, rounded up to 110 bundles, with revenue of 14,300 and a profit of 50 at that volume. Each bundle holds three pieces, so you need 110 × 3 = 330 pieces in stock to cover the month.
How it compares with selling pieces singly
Say you also sell the same piece on its own at 50, with its cost of 22 plus 6 for packaging and fees, a variable cost of 28. With the same fixed costs, the contribution is 22 and break-even is 272.73, rounded up to 273 pieces.
Look at what happens: selling singly takes 273 pieces and 273 orders, while the bundle takes 330 pieces but only 110 orders. The bundle uses more stock because each piece inside it sells for less, but it saves on orders, packing and shipping. Which suits you depends on what is harder in your shop: winning new orders or conserving stock.
What the calculator cannot do here
- It does not combine bundles and single pieces in one run. If you sell both, run each with its share of fixed costs.
- It does not work out the bundle discount for you. To show customers how much they save against buying pieces separately, use the Discount calculator.
- It does not track stock. The 330 pieces are what break-even needs, not what you should order from your supplier.
Before settling on the bundle price, check its profit margin as a percentage with the Profit margin calculator.
Common questions
The bundle mixes pieces with different costs. Does that change anything?
No. Add up the actual cost of every piece in the bundle and enter the total. The calculator only needs one figure.
How do I get stock numbers for each type of piece?
Multiply the number of bundles by how many of each type the bundle contains.
Is a bundle always better?
Not necessarily. The calculator gives you the numbers for both; the choice depends on demand and what one order costs you.