UK Online Pharmacy earns £3.36m ($4.62m) with 4.4X (440%) ROI Google Ads
Stabilize — Optimize — Scale
In November 2019, a UK online pharmacy was referred to me. They had started using Google Ads in April 2016 to sell their products for around three years, but they were unsatisfied with the performance of their management agency. This usually means they were not making money, or not making enough money.
As an eCommerce merchant, they recognised that their return on investment was too small, and they needed to make more money from their campaigns, whilst also trying to achieve higher sales volume.
The ROI Audit™ revealed that they were tracking sales, revenue, and ROI, and that the campaign structure, targeting, bidding and budgets needed completely redesigning and rebuilding.
As soon as this problem was resolved, they started to see their new ROI targets being achieved within just a few weeks, along with higher sales and revenues.
After twenty months, in June 2021 their strategy changed to gain much higher market share by increased sales and revenue at a lower ROI.
This has been achieved, with sales revenue quadrupled, and on target to hit around £1.5m ($2m USD) over the next twelve months.
NB. This case study is in UK GBP currency. As of writing, £1.00 GBP = $1.38 USD
The three and a half year period before the client joined me.
The twenty months following, where they achieved the crucial ROI and sales and revenue increases they needed for their business at that time
The fourteen weeks to date where they have been able to spend more to achieve higher market share with a lower ROI
The client journey, April 2016 – September 2021
He delivered. In a big way. We more than trebled what we were achieving before.
We operate in a very high risk sector, with many restrictions in place, both legal and search engine policy.
Working with previous agencies we always felt as if we were not being asked the right questions and always had that sinking feeling, “how do they know enough about our business, they haven’t asked us anything”.
We had already operated paid ad campaigns for around 4 years with other agencies with whom we’d had mild to moderate success. It wasn’t good enough and our return on investment just wasn’t tangible enough to make it into a viable form of marketing moving forward.
David came in and changed all of that. If you are just starting up or have been operating ads for years, David will add value to your business and will be able to show you with data how much he’s added. You will not be disappointed.
Parv Sagoo, UK Online Pharmacy
The goal of the campaigns was simple – sell more prescription medications, all day, every day, as often as possible, for the right return on investment.
Online pharmacy products have many “buying keywords”, such as brand names, product names, types e.g. tablets, gel, treatment conditions e.g. acne. and so on. These do not change, only grow, develop, and expand over time.
This destroys the myths that correctly designed, built, and targeted campaigns need to be constantly adjusted and experimented with, and that automation can’t be trusted for consistent, controllable, and predictable performance.
I consulted in depth with the client to know exactly how their business operates, what health conditions their customers suffer from, how they buy online, how to target them, how to avoid the wrong ones, the brands, and products they wanted, the revenue they created, what return on investment (ROI) was needed, how to achieve it, and how to eliminate wasted ad spend.
We reached our buyers by running almost two hundred campaigns in the UK, with unlimited daily budgets. All the existing campaigns had to be replaced with correctly targeted ones using specific condition-related brands, products, types, and quantities.
You have just 60 minutes to sell your stuff to well-targeted visitors who are looking for you. SEO rankings can take weeks or months, if you get them at all. It’s called “opportunity cost”. You don’t have that time. Your competitors will be paid instead of you.
In this case study, from first seeing the ad (first impression) to buying the product (conversion), over 76% of visitors did this in one hour or less.
Because they then knew their numbers and operations so well, they could outspend and outsell their competitors, and continually increase their daily budgets as the campaigns expanded.
Although many businesses including travel, transfers, hospitality, and leisure have been badly affected, nevertheless the fundamentals in money, business, campaigns, tracking and targeting in this case study remain as true and as important as ever for any business who can still trade online.
Not unexpectedly, the online pharmacy marketplace went through a min-boom of a few months in early 2020 as so many people turned to the Internet to complete their prescription purchases.
Did that mean we had to change the campaigns? No. All we had to do was have sufficient budget for the extra demand – which we always do as our campaigns are always profitable.