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The secret to a 3x higher conversion rate of dynamic ads in e-commerce

Cooperation with the South Moravian network of pharmacies began with the development of a customized web application, which originally had two main functions – to serve as a business card for brick-and-mortar pharmacies and an online store. It didn't even take half a year and we took digital marketing under our wings too. The store part grew so much that it required a complete redesign aimed at simplifying the purchase process and making the whole website clearer. The change had a positive effect on the store's conversion rate increase and in digital campaigns, where we saw a significant increase in dynamic acquisition and remarketing. For further growth, we decided to invest in the Feed Image Editor application from the Mergado Store, which we used for taking dynamic campaigns one step further.

Strategy? We have it!

At Cognito, we built digital campaigns for an e-commerce pharmacy with a triple combination:

  1. brand component: the continuous raising of awareness of the Chytrá lékárna brand
  2. performance component: keeping PO campaigns under set KPIs and scaling performance
  3. flexible reflection of the market: seasonality, outages in the assortment, promotions, but also the implementation of relevant innovations such as an affiliate program, automated e-mailing, or Feed Image Editor

At the moment, the following combination of digital channels has worked well for us at Chytrá lékárna:


How did we manage to achieve the desired campaign results? Through endless testing and optimization of targeting and creatives. And it's all about it – up to 60% of campaign success is creative, so even the smallest detail plays an important role. We bet on creatives even in the case of Chytrá lékárna, which is why we are constantly testing new variants of texts and visuals.


Dynamic Campaigns feat. Feed Image Editor

As we have already mentioned, creatives are an essential element in campaign performance, even in the case of dynamic product campaigns on social networks, which many online stores constantly neglect. With personalized content and perfect targeting, it is one of the most converting advertising formats. But to take it to a higher level, we started actively using Feed Image Editor in combination with Mergado Editor. Working with templates in the application not only significantly saves us time when preparing creative, but also allows:

  • dynamically prescribe action labels
  • dynamically prescribe the current price of the product even in the case of a discount
  • enhance the product image regardless of its size or crop
  • add benefit labels or free shipping according to the current price of the product
  • automatically fill in mandatory messages for medicines, dietary supplements, or medical devices

We are not building a rocket ship, but it requires preparation

What preceded the deployment of Feed Image Editor? It was primarily a feature analysis to see if the tool would be suitable for our needs. Together with our Mergado specialist, we prepared the variables and product queries directly for the needs of the creative. Meanwhile, the graphic designer created the graphic elements of the ad based on the brand manual (which we presented last year) and compiled the resulting template. It went through several iterations of testing to find out if we have covered all situations and data that can be written into the resulting creative through variables.

The results? They arrived early!

The quality preparation was followed by the joy of time saved, the creation of the templates themselves in the application interface, and the connection of the feed with the catalog in Meta, where we saw the first results after only a few days. But the work didn't end there – templates give us room to easily and quickly change the design of campaigns without the help of a designer, whether it's a specific event or changes according to the season, but that can already be taken care of by campaign specialists. And what do the numbers say about the deployment of Feed Image Editor?

  • 23% more conversions of remarketing and dynamic product campaigns
  • 2x more active products in the feed thanks to advanced filtering and the addition of mandatory disclaimers
  • 3x higher CTR of dynamic product campaigns
  • up to 3 hours of designer time saved at each event = up to 15 hours saved per month

The article was written in partnership with Cognito, the author is Jan Špičák.

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