A Case Study of Adword Profits
Internal resources built a sizeable campaign, but couldn't get it to be profitable
Online vendors have become dominant players in the pet pharmacy market, as spending on pets continues to grow and consumers become more accustomed to ordering a vast array of goods online. While our client’s ecommerce site performed well in many channels, the Adwords campaign failed to reach profitability, despite the diligent work of the company’s in-house marketers. Two Octobers began with a paid-search audit, identifying strengths and weaknesses in the current Adwords search and shopping campaigns. We compared the campaign and its performance against the customer’s internal data about their product set and the profitability of each product. From these, we developed a six-month plan to bring the campaign around.
Our client, a pet pharmacy, offers an extensive catalog of pet medicine at lower costs than in veterinary offices.
Campaign performance improved quickly: revenue, transactions, and return on ad spend (ROAS) started climbing. By nine months after we began managing the campaign, ROAS was up from 300% to 1,269%. Cost per acquisition was down from $30 to $9. The client was thrilled: we had exceeded their campaign goals, making online traffic acquisition through search a viable solution to grow their business.