Obundling

Obundling is a term that describes the practice of combining multiple unrelated products or services into a single package for sale. This is often done to offer a perceived value to the consumer, as the bundled price is typically lower than the sum of the individual components. Obundling can be seen in various industries, from software and telecommunications to retail and entertainment. For example, a telecommunications company might offer a bundle that includes internet, television, and phone services. In the software world, a suite of applications like a word processor, spreadsheet, and presentation program might be sold together. Retailers may bundle complementary items, such as a camera with a memory card and a carrying case.

The motivations behind obundling can be multifaceted. For businesses, it can be a strategy to increase sales volume, introduce customers to new products, or differentiate themselves from competitors. Bundling can also simplify purchasing decisions for consumers by presenting a pre-selected set of goods or services. However, obundling can also lead to situations where consumers pay for items they do not want or need, a concept sometimes referred to as "tie-in sales" or "product tying," which can raise concerns about consumer choice and market competition in certain regulatory contexts. The effectiveness of obundling often depends on the perceived value proposition for the target audience and the careful selection of items to be included in the bundle.