Nutra USA is a Singapore-based company selling plant-based supplements from the US. Their proprietary Oral Hemorrhoids pills, shrink piles, effectively resolves Hemorrhoids from patients within just 48 hours. You can see their awesome reviews from customers over at their shopee official store. Over their covid period, they’ve been able to achieve substantial sales with social media awareness and public education. However, as the markets opened after covid, they started experiencing a drop in their sales. Despite that, management feels that moving forward, ecommerce is still the platform of choice for their distribution.
When Nutra USA first engaged us for our Ecommerce Service, the business had quite a number of pros that helped defined its strategic advantage. This made us sure we could’ve helped the business grow once we got the cons of the business sorted out. However, we were wrong.
After diligently addressing all discernible obstacles, we found ourselves still grappling with a sales plateau. Despite a surge in traffic stemming from platform advertising services such as Shopee Ads and Lazada Sponsored Ads, and a concerted effort to amplify our reach through Google Ads, conversions remained pretty stagnant. Then, a pivotal realization dawned upon us: pricing might be the factor. At the time, Nutra USA commanded a retail selling price of $49.90.
Our team then went ahead to did our research at pharmacies in Singapore just to understand the market a little better.
We observe that pricings of Hemorrhoids cream are pretty consistent at around $9.90. While Oral medications ranged at around $29.68+. It probably wouldn’t matter how much benefits shrink piles can bring to the patient succumbing to his hemorrhoids pain, its still too much of dollar amount to be spent extra for a better product.
Even at watson pharmacies, pricing is also around $9.90 for creams and $24.20 for oral solutions.
Following an extensive market study, we uncovered a surprising revelation: the prevailing market price for the Oral Hemorrhoids solution actually hovered in the range of high $20s to $30. This finding spurred us into action, propelling us to seek further proof from our own data. It soon became evident that a significant portion of our sporadic sales, achieved once in a blue moon, ultimately settled around the $30 mark, post the application of seller vouchers and platform-supported discounts. This resulted in us seeking to re-evaluate our pricing strategy. Through a series of meticulous tests, we gradually descended to a consensus price of $35.90 after consultation with the business owners. The impact was palpable; Shrink Piles began to gain traction, ushering in a discernible uptick in growth with the traffic.
At Godata.digital, our primary approach revolves around an elimination strategy when addressing sales obstacles. We firmly believe that any product can find its market, provided it’s sufficiently visible to the consumer, attractively decorated and priced appropriately. A business grappling with a product stuck in a sales plateau mirrors a clogged blood vessel – injecting more funds into it won’t yield the desired returns needed to bolster cash flow. This underscores why we consistently counsel our clients to comprehensively understand their businesses and ensure they’re finely tuned for sales prior to embarking on campaigns for heightened exposure.
