What the numbers say
A single pillow at $229.00, shipped free, keeps $23.19 after every cost (10.1%). The pack of two at 10% off keeps $25.03, and the pack of three at 15% off $16.14.
An order pays one pick-and-pack fee and one fixed card fee whatever it holds, and the label grows slowly with weight: $14.53 for one unit, $22.90 for three. At this margin that saves less than the pack of three's discount gives away.
The pack of three earns less per order than the single, so it needs more buyers than the single to earn as much per visitor.
The cost structure, and where it comes from
| Price | $229.00, a pillow. Purple, Harmony Pillow, read 13 October 2026 |
|---|---|
| Unit cost | $136.94. From the income statement: revenue $468.7 million, gross profit $188.6 million, a gross margin of 40.2%. Purple Innovation, annual report (Form 10-K) for the year ended 2025-12-31, read 13 October 2026 |
| Pick and pack | $3.20 per order and $0.48 for each extra item. Fulfill.com, 3PL pricing benchmarks (The Fulfillment Advisor 2025 survey of 600+ warehouses), read 23 September 2026 |
| Shipping label | USPS Ground Advantage, commercial, Zone 5, by weight rounded up to the pound: 1 lb $9.29 · 2 lb $10.50 · 3 lb $12.12 · 4 lb $13.89 · 5 lb $14.53. Packed weight is an assumption: 5 lb per unit. USPS Notice 123, USPS Ground Advantage Commercial, Zone 5 (effective 4 October 2026), read 13 October 2026 |
| Card fees | 2.9% + $0.30 per order: Shopify Payments' online rate for a standard card on the Basic plan in the United States. Higher plans pay a lower rate, and premium cards a higher one. Shopify's pricing page for the United States, online standard card rates, read 12 October 2026 Rates by plan and country |
| Refund reserve | 19.3%, NRF's estimate of online sales returned in 2025, across all categories. NRF and Happy Returns, 2025 Retail Returns Landscape (15 October 2025), read 23 September 2026 |
| Gift | A pillowcase: unit cost $14.95, retail $25.00. A $25 pillowcase, costed at Purple Innovation's reported gross margin. |
The offer, as an agent writes it
An agent writes this offer as one document for Offer Suite's API, validated against the offer schema. Below is one option of it: what the buyer gets and the price it promises. Offer Suite checks with a real cart that checkout charges exactly the prices above.
Show one option 3 options · excerpt
{
"key": "pack-3",
"display": {
"title": "Pack of 3"
},
"lines": [
{
"role": "main",
"quantity": 3,
"purchase": {
"type": "one_time"
}
}
],
"pricing": {
"promise": {
"firstChargeCents": 58395,
"renewalChargeCents": null
}
}
}How Offer Suite validates, versions and publishes a document like this one: offer documents.
Questions
Is bundle pricing profitable for home goods brands?
On these costs a pack of three at 15% off keeps $16.14 per order (2.8%), against $23.19 for a single. The discount is paid by every buyer of the pack, including those who would have bought three at full price.
How much conversion can a bundle lose for home goods brands and still pay?
Against the single, per visitor: the pack of two can lose 7.4%, and the pack of three needs +43.7%.