Salud Mediterránea

Making online sales profitable and bringing new customers to the physical stores

E-COMMERCE & PHYSICAL STORE

B2C

Online sales

+126%

Context

A herbalist's with over 30 years competing in a very aggressive online market

Salud Mediterránea is a herbalist company with more than 30 years in the sector. It has 3 stores in Madrid (Chueca, Manuel Becerra and Atocha) and an online store shipping across Spain. The company stands out for offering top-quality products at good prices. In addition to selling traditional brands, it has a high-quality own-brand product line, Árbol Verde.

The challenge

The Salud Mediterránea team hired Fáktica with two goals: increase their online store sales and bring more visitors to the Madrid stores through a stronger online presence, both organic and paid. The herbalist sector faces very intense competition online, with competitors willing to make large advertising investments and sell at very tight prices to gain market share.

"We needed to grow sales without sacrificing profitability, and compete with players that play at very low margins. Fáktica aligned every advertising euro with our P&L: today we know exactly what profit online marketing generates for us, store by store and order by order."

Management team

Salud Mediterránea Management

Our strategy

Aligning marketing objectives with business objectives

With the goal of boosting sales in both physical stores and online without compromising profitability, we set sustained growth in both sales and profit as key indicators. On that basis we built three lines of work.

Attracting new customers to the Madrid stores

We designed Google Ads and Facebook Ads campaigns that leverage the dual physical and online sales capability. We created Google Search campaigns with different ads for the 3,500 products in the inventory, which are only shown to people living near a store, update the price automatically and only appear when it's competitive. We added geolocated ads for generic searches aimed at the users most likely to visit the store.

Increasing online sales while improving profitability

Our technology generates Google Shopping campaigns that optimize for profit maximization in the P&L, not just for revenue or ROAS. By communicating the purchase, shipping and transaction costs to Google Ads, the algorithms prioritize selling the products with the highest margin and lowest advertising cost, maximizing profit on each order.

Website, conversion and financial visibility

We recommended redesigning the website (template, structure, icons and messaging) to improve the conversion rate, implemented personalization based on each visitor's behavior and profile, and proposed SEO improvements. We also created a dashboard that cross-references operational data and margins to reveal the real monthly profit generated by online advertising.

Results

Profit associated with online sales

+88%

After a year of collaboration, Salud Mediterránea increased online store sales by 126%.

The online advertising campaigns brought between 350 and 400 new customers each month to the Madrid stores.

Profit associated with online sales rose by 88% in that same period.

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