Hospitalar's ROAS soars from 4 to 19 with deco.cx and N1 Agency

A strategic overhaul in healthcare ecommerce marketing and performance
March 11, 2024
By Maria Cecilia Marques
4 to 19
Return on ad spend (ROAS)
+12.9%
Revenue (over 3 months)
+25%
Average Ticket Size

Challenge

Hospitalar Distribuidora sought to enhance its digital marketing effectiveness and user experience amidst growing competition in the healthcare distribution sector. The company grappled with a stagnant Return on Ad Spend (ROAS), low conversion rates, poor website performance, and a high cart abandonment rate, largely attributed to the complex process involved in purchasing controlled medications.

Solution

Faced with these pains, the company sought help from N1, an ecommerce specialist and esteemed partner of VTEX and deco.cx. N1 drew up a strategy which involved porting the site's storefront to deco.cx and using VTEX as the backend platform, in a headless architecture. By using deco.cx as the frontend provider, N1 would be able to implement the site quickly, improve its performance, and guarantee its ability to easily apply any brand-related or paid media strategies.

N1 rebuilt the whole site (including a new design) in only three months. It also partnered with healthcare specialists to test the usability of the online store, and together with Hospitalar decided on a series of improvements to smoothen the customer experience. After identifying that the high rates of cart abandonment were strongly correlated with the friction over buying prescription medication, they implemented several changes. Key interventions included:

  1. Product identification: clear marking of products requiring special documentation throughout the shopping journey to align customer expectations from the start.

  2. Informative banners and landing pages: utilizing deco.cx's no-code page builder for educating customers on controlled medication purchases.

  3. Fast loading content: leveraged deco.cx's infrastructure and real-time performance monitoring tools for a seamless buying experience. 

Under N1's guidance and support, Hospitalar also revamped its digital marketing strategies. The objective was to optimize ad spending by deploying analytical tools for precise targeting and personalization.

Results

1. Unprecedented growth in ROAS: A jump from 4 to 19 within six months.

2. Conversion rate surge: A 565% increase post-migration.

3. PageSpeed scores: increased to 60 and 96 on mobile and desktop, respectively, and the site was approved by Google's Core Web Vitals (CWV) standards. 

4. Revenue growth: A 12.85% increase within three months.

5. Enhanced checkout experience: From 3 out of 15 to 14 out of 15 buyers completing purchases involving prescription steps, boosting customer satisfaction and loyalty.

Conclusion

Hospitalar Distribuidora’s case is a testament to the transformative power of strategic partnerships and digital innovation. By focusing on ROAS enhancement, user experience optimization, and data-driven insights, Hospitalar not only achieved remarkable financial performance but also set a benchmark for digital excellence in the healthcare sector.

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