I always thought bundling had something to do with staying warm. Boy, was I wrong!

Bundling has become a popular way for companies to group products and services. By offering their products collectively they can create a value-added strategic advantage over their competition and provide more potential for sales.

This is not new; companies have been bundling products for years. It has only been recently that the term “bundling” has become a buzzword. I think that as competition increases there is a need to develop a competitive advantage, some way of making the company and it’s offering distinct. There is a need to be outstanding. There is a "Demand" in your marketplace to be outstanding. Anything less could spell failure.

If we consider the possibilities for bundling in our home-based businesses the opportunities are almost endless. Small businesses have some real advantages because they are so much more flexible. The idea may be to group several things as a kit, program or package. It may be grouping several small companies in a strategic alliance, thus increasing the value to the customer.

Just as many innovative large companies are building creative teams and encouraging flexibility, we can learn from them about bundling and strategic alliances. The homepreneur tends to work in a vacuum and often does not consider the possibilities of teaming up with another small business.

What could you do to bundle some part of your offering? Who might be receptive to the idea of a strategic alliance? Think about other businesses whose offering might enhance yours. Do some brainstorming, get creative, these alliances may not be the most obvious ones and the most obvious ones may not necessarily be the best.

Creative solutions, bundling and strategic alliances can make a significant difference as to how your business is perceived in the marketplace. The packaging of products and services in a new way can inspire new value added offerings. All of a sudden, the lights come on. That picture you’ve been staring at makes sense now.

My inspiration to write this article came from a recent ad in which three fast food franchises advertised collectively and now all three are available at one location. They want to offer convenience and value added products. If they can do this and reduce operating and promotion costs then it makes good business sense. Get ready to see more of this in the future as businesses try to offer more and get the competitive edge.

There is another reason I thought this article was a good idea. Most small business owners I have met are a determined often-tenacious single-minded group; not always receptive to the idea of sharing their dream with anyone else let alone another business. What has made them so good at developing a successful business so far may be an obstacle for the future.

I think we also need to consider how we are going to be doing business in the new millennium. Remain flexible, be ready for anything, step outside the box and provide the very best offering possible.

“But we’ve always done it that way” just doesn’t work anymore! Try thinking…How can we make it better? What products can we bundle? Who can we develop alliances with?

The one thing that will remain constant for business entering the new millennium is change. Creative thinking and flexibility will help make those dreams a reality.

Try not to get in your own way!