Creating a Healthy Market
Achieving D2C Success on Amazon for an 80-Year-Old B2B Brand
Konsyl Pharmaceuticals has been successfully selling their digestive health supplements in B2B and retail markets for more than 80 years. They had only recently begun to incorporate D2C strategies like selling on their Shopify website and Amazon when they approached Digital Operative for help.
Our challenge was to create and execute a strategy that would help Konsyl establish a strong Amazon marketplace presence and direct-to-consumer positioning. The goal was to enable a business with little brand awareness outside of their core consumers to steal market share from top competitors with legacy household names.
Increase in Revenue
Increase in Impressions
Increase in Clicks
Optimization is key
Since Konsyl was traditionally a B2B brand competing against nationally-recognized, legacy household names, it was important to optimize their product listings to convert shoppers to buyers. We collaborated with our in-house experts to create engaging, educational product imagery informing potential customers of the benefits of Konsyl products. By adding short, readable text to Konsyl’s product images, we highlighted key features of the product and ensured engagement from the mature demographic that makes up Konsyl’s customer base.
After an analysis of Konsyl’s Amazon advertising account, we identified areas of opportunity and loss leaders to develop a strategy for offensive and defensive tactics to target key opportunities. Defensively, we capitalized on brand awareness and outbid competitors who tried to use Konsyl-branded keywords to poach customers. Offensively, we targeted non-branded keywords and encouraged a higher ACoS to drive organic ranking up and increase organic sales. To further grow Konsyl’s revenue, we automated keyword bid management with AI software. With AI, we eliminated bidding on keywords that didn’t drive revenue and reduced ACoS from 39% to 21% in a single month.
Konsyl’s historical focus on B2B sales through distributors created a challenge for them to win the Buy Box for their own products on Amazon. By making quantity bundles for Konsyl on Amazon we created listings that no longer competed with other marketplaces and allowed Konsyl to win the Buy Box 100% of the time. Bundling also increased AOV and made it possible to advertise where third-party sellers took the Buy Box on single-product listings.
In 9 months we adopted a merchandising strategy for new products exclusive to Amazon and D2C channels, creating incremental revenue opportunities at a faster pace and introducing brand loyalists to new products, flavors, and delivery methods.