Background Smile.AI

Smile.AI GmbH, based in Munich, is a leading company in the field of business intelligence (BI) and e-commerce consulting for the pharmaceutical sector. With Smile Analytics, the company offers the largest database of its kind in Germany for pharmaceutical e-commerce. This platform enables users to analyze their own products, compare them with competitors and monitor all relevant key performance indicators (KPIs). It draws data from all leading online pharmacies, Amazon, drugstores as well as stationary and fast-moving retail platforms. In addition, Smile.AI offers specialized consulting services that are tailored to the individual needs of customers. These services include e-commerce strategies, brand analyses and specific advice for online pharmacies. With its own pharmacy license, the company enables pharmaceutical companies to sell DTC products on Amazon. Smile.AI is also continuously expanding its presence and services in other European markets in order to offer in-depth market knowledge and targeted business intelligence internationally.

The starting position

Sellers face various challenges when selling medical products and food supplements on Amazon.

The sale of medical products and food supplements is subject to strict legal regulations, which can vary from country to country. These products often have to undergo certain approval procedures and be labeled accordingly. Compliance with these regulations on Amazon requires careful checks and often cooperation with specialized consultants. In general, the sale of prescription medications via Amazon is not possible, as Amazon does not offer prescription medications in Germany. A pharmacy license is required for the sale of non-prescription but pharmacy-only medicines or certain medical products. In addition, when listing such products on Amazon, special care must be taken to ensure that all legal requirements are met, including correct labeling and approval by relevant health authorities.

The market for medical products and food supplements is highly competitive on Amazon. New sellers must compete against established brands and often invest heavily in advertising and marketing to gain visibility and credibility. It is therefore important to place advertisements in order to prevail against competitors and position products visibly.

For advertising on Amazon, it is also important to follow the rules for listing products and creating seller accounts closely. This includes setting up the seller account correctly, uploading products and following Amazon's guidelines for product categories that may require restrictions or additional qualifications. With the Dr. Vital online pharmacy, Smile.AI has a pharmacy license and the corresponding knowledge to offer pharmaceutical products online and to advertise them in compliance with the HWG. For pharmaceutical companies, however, selling and placing advertisements on Amazon also offers considerable strategic advantages. Amazon has a huge user base that accesses the platform on a daily basis. Pharmaceutical companies can use this platform to reach a large number of customers efficiently and effectively, especially those who may not regularly visit physical pharmacies. Amazon also enables very specific targeting, which pharmaceutical companies can use to advertise their products to those who are likely to be highly interested in them. For example, ads for health-related products can be directed to users who are searching for similar products or health topics. The reviews and testimonials left about products on Amazon help other shoppers make informed decisions. Positive reviews can increase confidence in pharmaceutical products and positively influence purchasing decisions. In general, a presence on a reputable platform such as Amazon can help pharmaceutical companies improve their brand perception. The association with Amazon can increase credibility and trust in the brand. Amazon offers advanced logistics and distribution services that enable pharmaceutical companies to deliver their products to end consumers quickly and efficiently. This is particularly beneficial for over-the-counter medicines and healthcare products. Amazon's access to valuable data also makes it a unique sales platform. Amazon offers detailed data on customer interactions and purchasing behavior that pharmaceutical companies can use to better understand and adapt their product offerings and marketing strategies. Overall, the use of Amazon by pharmaceutical companies can be seen as an additional distribution channel that not only increases visibility and drives sales, but also provides valuable insights into customer behavior that can help to further optimize business strategies.

"Given Amazon's growing market presence in the pharmaceutical sector, it is essential to use this channel to secure long-term competitive advantages and control over your own brand presence."

The solution

Smile.AI initially worked with another provider to manage their ads. However, this provider was not specialized in Amazon and the results achieved were not satisfactory. As a result, a provider with in-depth Amazon expertise was needed that could deliver added value in the form of increased performance. Smile.AI found exactly this partner in BidX.

The use of BidX enables Smile.AI to make campaigns more efficient through automatic campaign creation and optimization. Decisions can also be made quickly and data-driven by artificial intelligence (AI). In addition, patterns and trends can be recognized at an early stage and forecasts can be made based on them. Forecasts about the impact of changes to an optimization target on the rest of the results can ensure increased efficiency. Another important point is the scalability of campaigns. With the help of BidX, Smile.AI can manage larger budgets, control a large number of campaigns and use investments more efficiently.

The results

BidX offers Smile.AI intensive support and advice that enables them to use the platform 100% effectively. They also receive insights from other industries and many optimization options that give them that extra boost.

"By automating our Amazon advertising with BidX, we have reached a new level of campaign optimization. Their platform allows us to advertise more effectively and in a more targeted way, which has led to a significant increase in our performance. BidX is a game changer for Amazon PPC campaigns!"

Smile.AI uses BidX for campaign creation, keyword harvesting, bid adjustments, automation and schedules. The dashboard is mainly used for monitoring. Smile.AI sees the greatest added value of BidX in ROAS optimization and automation, which are especially valuable as a company in times of AI. At the same time, they benefit from BidX's in-depth Amazon know-how and expert knowledge.

"We are seeing significant time savings and increased performance of all campaigns. This allows us to operate more cost-effectively for customers and still deliver increased performance."

Overall, all relevant KPIs (Key Performance Indicators) were improved. The ACOS was reduced by 45%. Paid sales were increased by 71% and impressions even by 276%.