Building The Perfect Bundle

Bundles have emerged as a strong opportunity for service providers to drive acquisition and improve customer retention, but only 20% of US online consumers subscribe to voice, broadband, and pay-TV service from a single provider. Today's consumers have different needs, so standard three-tier phone, broadband, and pay-TV service bundles will not appeal to everyone. In order to shake up the bundle service market, consumer product strategists should create new bundles that give consumers what they want at the prices they will pay. To design these "perfect bundles," product strategists should conduct conjoint studies — also known as feature tradeoff analyses — to take the guesswork out of service bundle development. They should also employ conjoint studies to help understand future demand for new and emerging services and features, which can ultimately help the provider prepare for and invest in the right product development opportunities.