Why bundled services

They allow clients to choose between a few different packages rather than choosing a wide variety of items and services, which is much more convenient and saves time. Easy, cost-effective bundles help boost your customer experience.

And when your customers feel taken care of, their trust in you as a service provider grows. For more information about bundling and a step-by-step guide on how to create your best bundle, get our eBook here. At Zix AppRiver, we believe that within every challenge lies an opportunity. Flattening IT budgets, bigger and more prevalent threats, and regulation can all be a burden, but companies who excel at dealing with these issues gain superpowers. Guest blog courtesy of Zix.

Read more Zix blogs here. Your email address will not be published. Save my name, email, and website in this browser for the next time I comment. Notify me of followup comments via e-mail. If these services are provided through separate contracts, the buyer must coordinate all work.

However, if these services are included in a single contract, the provider is responsible for bringing together all resources in the most efficient manner and fixing the problem to the buyer's satisfaction. Bundling can offer important benefits, but bundles should not be disproportionately large. Bundling is subject to normal large-organization diseconomies of scale: larger organizations typically have more layers of management, less direct communication among decisionmakers, and more opportunities for divergent interests to emerge.

The Air Force should test bundles repeatedly over time to ensure that the benefits continue to outweigh any diseconomies. RAND's research on commercial firms indicates that bundling is not an easy, one-size-fits-all answer to purchasing decisions.

How bundling is accomplished directly affects the buyer's potential benefits. Bundling yields benefits in some settings and not in others. Some settings offer greater opportunities for benefits than others, and the acquisition approach matters. When bundling is appropriate, it is the Air Force buyer's responsibility to construct a bundle that maximizes benefits.

The decision tree shown in the figure outlines the process for complying with SBRA requirements. Under SBRA, the buyer must conduct market research to determine whether the bundle is necessary and justified by the resulting benefits. The buyer must also demonstrate that total benefits, including service improvements stated in terms of dollar savings , exceed the relevant threshold. Finally, the SBA must agree that the bundle is necessary and justified and must approve the action plan to protect small businesses.

Then the buyer can proceed. Providers, particularly leading-edge providers, are the best source of the information the Air Force needs to decide when and how to bundle services and to justify bundling decisions to the SBA.

The Air Force, therefore, should construct RFIs in a way that both encourages prospective providers to respond and elicits the quantitative data the Air Force needs. A successful RFI is as easy to answer as possible, gives providers all necessary information, and complies with all regulatory requirements.

The Air Force should tailor the RFI to the circumstances of a particular service acquisition as much as possible. Your Money. Personal Finance. Your Practice.

Popular Courses. Economy Economics. What Is Bundling? Key Takeaways Bundling is a marketing strategy where companies sell several products or services together as a single combined unit. The bundled products and services are usually related, but they can also consist of dissimilar items which appeal to one group of customers.

Bundled products are typically offered at discounts to stimulate demand, lifting revenues often at the expense of profit margins. Companies occasionally use pure bundling strategies, rolling several products or services into one item that can only be purchased as a complete package. Important Not all providers will mention bundling as an option to their customers, so it is important to check whether it is a possibility, particularly as bundled services often save consumers money.

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Related Terms Understanding the term "Buy" Buy is a term used to describe the purchase of an item or service that's typically paid for via an exchange of money or another asset. Deferred Billing Definition Deferred billing is a sales promotion technique offering a grace period before payments must be made, typically for an auto or furniture purchase.

What Is a Monopoly? A monopoly is the domination of an industry by a single company, to the point of excluding all other viable competitors. Monopolistic Competition Definition Monopolistic competition characterizes an industry in which many firms offer products or services that are similar, but not perfect, substitutes. They typically contain business interruption insurance, property insurance, and liability protection.

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