How to sell bundled products while maintaining full inventory visibility in Luminous
The Challenge with Traditional Kits
If you sell bundled products—gift sets, starter kits, variety packs—you've probably used kits in Luminous. They work great for simple scenarios: define which products go together, and the system calculates available quantity based on component stock.
But there's a catch.
Traditional kits are virtual. They exist only as a calculation. When you ship a kit, Luminous deducts the individual components, but there's no record of "assembled kits" sitting on your shelf. This creates challenges when:
You pre-assemble kits for faster fulfillment
You need to track assembled inventory separately from components
You want visibility into how many kits are ready to ship vs. need assembly
Your warehouse physically stores assembled bundles as distinct items
What if you could get the best of both worlds—the flexibility of component-based availability and the visibility of tracking assembled goods?
The Solution: Assembly-on-Demand
Instead of using traditional kits, consider this alternative approach using Luminous's assembled goods and automation features.
The Setup
Create an "Assembled" SKU — This represents your finished bundle as a physical, trackable product with its own inventory count.
Define a Bill of Materials (BOM) — Link the assembled SKU to its components. This tells Luminous what goes into making one unit.
Push Sellable Quantity — Luminous automatically calculates your "sellable" quantity: your assembled stock on hand plus what can be assembled from available components. Push this combined number to your sales channels.
How It Works
Your customers see the total quantity you can fulfill—both what's already assembled and what could be assembled based on component availability.
When an order comes in:
If assembled stock is available → Ship from your pre-assembled inventory
If assembled stock runs out → Automatically create and complete an assembly order, converting components into the assembled SKU in real-time
The magic happens through Luminous automations. When insufficient stock is detected, the system instantly assembles what's needed—deducting components and adding the finished product to inventory—so fulfillment can proceed without manual intervention.
Step-by-Step Example
Let's say you sell a "Coffee Lover's Gift Set" containing:
1x Premium Coffee Beans (12oz)
1x Ceramic Mug
1x Wooden Scoop
Traditional Kit Approach
You create a kit in Luminous. If you have 50 bags of beans, 30 mugs, and 100 scoops, the system shows 30 kits available (limited by mugs). When orders ship, components are deducted. Simple, but you never know how many gift sets are actually assembled and ready.
Assembly-on-Demand Approach
Create the Assembled SKU: "GIFT-SET-COFFEE" as a regular product
Create the BOM: Links GIFT-SET-COFFEE to its three components with quantities
Push Sellable Quantity: Luminous calculates total availability automatically
Your inventory now shows:
Metric | Quantity |
Assembled on hand | 10 |
Assemblable from components | 30 |
Sellable (pushed to channels) | 40 |
When orders come in:
Orders 1-10: Fulfilled from assembled inventory ✓
Order 11: Insufficient assembled stock → Assembly order auto-created and completed → Components converted to finished goods → Order fulfilled ✓
Why This Approach Wins
1. Full Inventory Visibility
See exactly how many bundles are assembled and ready vs. how many require assembly. Your Luminous dashboard shows both numbers clearly—perfect for warehouse planning and staffing decisions.
2. Accurate Costing
Assembled goods carry their true landed cost through Luminous cost layers. Track component costs, labor, and packaging separately. No more guessing at bundle profitability.
3. Flexible Fulfillment
Pre-assemble during slow periods to speed up fulfillment during peak times. The system adapts to whatever inventory state you're in—whether you have 100 assembled units or zero.
4. Complete Audit Trail
Every assembly order is tracked in Luminous—when it happened, what components were used, which warehouse processed it. Essential for quality control and compliance requirements.
5. Works with Lot Tracking
If your components have lot numbers or expiration dates, assembly orders in Luminous maintain that traceability through to the finished product. Critical for food, cosmetics, and regulated industries.
6. Real Inventory Counts
Your physical inventory counts match your system. When cycle counting, you count assembled units as assembled units—not as a virtual calculation of components.
When to Use Each Approach
Scenario | Best Approach |
Simple bundles, no pre-assembly | Traditional Kit |
Need to track assembled inventory | Assembly-on-Demand |
High-volume, pre-assembled products | Assembly-on-Demand |
Promotional bundles that change frequently | Traditional Kit |
Regulated products requiring lot traceability | Assembly-on-Demand |
Testing a new bundle concept | Traditional Kit |
Established bundles with consistent demand | Assembly-on-Demand |
Need accurate COGS on bundled products | Assembly-on-Demand |
Setting It Up in Luminous
Step 1: Create Your Assembled Product
Create a new SKU for your bundle just like any other product. Give it a unique SKU, name, and set up pricing as needed.
Step 2: Build the Bill of Materials
Navigate to the BOM section and create a new bill of materials:
Select your assembled SKU as the finished good
Add each component with the quantity required per unit
Save the BOM
Step 3: Configure Inventory Push
When setting up your channel sync, select "Sellable" as the quantity to push. Luminous will automatically calculate: On Hand + Assemblable from Components
Step 4: Create the Automation
Set up two automation rules:
Rule 1: Create Assembly Order on Insufficient Stock
Trigger: Order Created
Condition: Order item has insufficient stock
Action: Create assembly order (status: issued)
Rule 2: Complete Assembly Orders Automatically
Trigger: Assembly Order Created
Step 5: Test the Flow
Place a test order when your assembled stock is zero but components are available. Watch Luminous automatically:
Detect insufficient assembled stock
Create an assembly order
Complete the assembly (deducting components, adding finished goods)
Allow the order to proceed to fulfillment
Frequently Asked Questions
Q: What happens if I don't have enough components to assemble?
The assembly order will fail to complete, and the order will need manual attention. Consider adding a condition to check BOM stock availability before creating assembly orders.
Q: Can I use this with multiple warehouses?
Yes! Each warehouse can have its own assembled stock and component stock. Assembly orders are warehouse-specific, so Luminous assembles in the same location where the order will be fulfilled.
Q: How does this affect my cost of goods sold?
Better! Assembly orders create proper cost layer records. Your assembled SKU carries the true cost of its components at the time of assembly, giving you accurate COGS and margin reporting.
Q: Can I still pre-assemble manually?
Absolutely. Create assembly orders manually whenever you want to build up assembled inventory. The automation only kicks in when assembled stock is insufficient to fulfill an order.
The Bottom Line
Traditional kits are great for simplicity. But when you need real inventory control over your bundled products—knowing exactly what's assembled, tracking costs accurately, and maintaining full traceability—assembly-on-demand gives you the visibility and flexibility that virtual kits can't provide.
The best part? Once configured, it runs automatically. Your team focuses on fulfillment while Luminous handles the inventory math behind the scenes.
Questions about setting up assembly-on-demand? Contact Luminous support or check out our detailed setup guides in the Help Center.

