Package Deal

Written By
Paul Tracy
Updated November 4, 2020

What is a Package Deal?

A package deal combines several products, discounts, features or services as one transaction.

How Does a Package Deal Work?

Let's say John Doe is considering taking a cruise. He could purchase his airfare and cruise separately for $500 and $1,500, respectively, or he could book the airfare through the cruise line and get a package deal for $1,800. By doing the package deal, he would save $200.

Why Does a Package Deal Matter?

Package deals occur throughout the consumer world. In many cases, they provide a way for a buyer to save money by purchasing a group of things he or she wants anyway and receive a reduced price. Often, package deals are available from vendors who are able to buy the items in bulk.

However, package deals often include items, products or services the consumer does not want. For example, cable subscription packages often include several channels that the consumer does not want or watch. Accordingly, promises of "all this for just $19.99 a month" can sometimes create situations in which consumers pay more than they would if they purchased the items separately.

Activate your free account to unlock our most valuable savings and money-making tips
  • 100% FREE
  • Exclusive money-making tips before we post them to the live site
  • Weekly insights and analysis from our financial experts
  • Free Report - 25 Ways to Save Hundreds on Your Monthly Expenses
  • Free Report - Eliminate Credit Card Debt with these 10 Simple Tricks
Ask an Expert
All of our content is verified for accuracy by Paul Tracy and our team of certified financial experts. We pride ourselves on quality, research, and transparency, and we value your feedback. Below you'll find answers to some of the most common reader questions about Package Deal.
Be the first to ask a question

If you have a question about Package Deal, then please ask Paul.

Ask a question

Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 3 million monthly readers.

If you have a question about Package Deal, then please ask Paul.

Ask a question Read more from Paul
Paul Tracy - profile
Ask an Expert about Package Deal

By submitting this form you agree with our Privacy Policy

Don't Know a Financial Term?
Search our library of 4,000+ terms