From Wasted Ad Spend to International Success:
How a Medical Product Brand Maximized Profits and Expanded Market Reach
Problem
A medical product brand has been operating in the highly competitive Amazon niche of the USA and Canada since 2013. They sourced their products from Pakistan, with a profit margin of 32%, 29%, and 28% on three product lines. The brand had never employed a professional team to handle its PPC advertisement campaigns. As a result, they were only using auto campaigns, leading to a significant amount of wasted ad spend. Managing inventory was also a major challenge due to many SKUs and issues with the Remote Fulfillment Program.
Solution
Our team assisted the brand in finding a better sourcing supplier with improved quality and pricing, resulting in a reduction in landing costs and an increase in profit margins to 37%, 34%, and 34% on the same three product lines. We analyzed the existing auto campaigns to identify highly converting keyword and ASIN targets and launched manual campaigns with a higher ad budget. This led to a significant increase in sales and a 13% reduction in ACOS within the first month. Additionally, we enrolled and managed all products for the brand in NARF and expanded their sales to Europe through the Pan-European program. As a result, the brand’s total international sales increased by 45% since our account management began.
Outcome
With our assistance, the brand was able to improve its profit margins and increase sales through targeted PPC campaigns and international expansion. The sourcing of better-quality products and our inventory management strategy helped the brand to streamline operations and reduce costs. Our efforts also helped the brand expand its market reach to Europe, resulting in a significant increase in total international sales.