Data Driven Marketing
in the healthcare industry











The invisible competitive advantage:
More efficient marketing through data analytics
The healthcare industry is under high pressure: cost optimization on the one hand and excellent services on the other – after all, it’s about people and their health. At the same time, competition is fierce and first-class medical services alone are no longer enough. In order to be successful in the long term, companies in the healthcare sector need to address their target groups with pinpoint accuracy – while making efficient use of their budgets.
Our client has achieved exactly that: by making optimal use of data, the healthcare e-commerce company has revolutionized its budget and ROI reporting, creating the basis for making smarter decisions that have a lasting impact on sales.
This case study reveals how this was made possible thanks to data-driven marketing.
01 Overview of the most important facts
Two former competitors from the healthcare sector were integrated under one roof. Both brands were continued in parallel, with a similar portfolio and target group.
The new management had to establish comparability between the two brands under time pressure. This was the only way to optimize costs after the merger and put the marketing of the entire company on a stable footing.
This involved many hurdles: Completely different technologies and data sources led to a lack of transparency with regard to operational and financial key figures. Processes had to be rethought and redefined. Data strategy was therefore a high priority before data engineering could begin.
02 Objectives
The overarching project goal was transparency and comparability following the merger of the two companies. Each brand had different marketing strategies, key performance indicators (KPIs), data sources and systems that were not harmonized. In order to get a clear picture of how both brands were developing in comparison, uniform metrics had to be defined and data (sources) synchronized – for historical, current and future data.
The following sub-goals were defined on this basis together with the management:
Merging the data landscapes of two companies
In order to create transparency for the general company performance as well as for the operational and financial performance of the brands, a data stack had to be created. This was to combine data from customer relationship management (CRM), marketing data and financial data.
The previously isolated data had to be merged in order to create a uniform database for well-founded insights. At the same time, a basis for more efficient processes and a standardized evaluation of measures was to be created.
Making costs and successes in marketing visible
Measuring costs and attribution in marketing is fundamentally a key challenge. The merger made this even more difficult, as the two brands had completely different data landscapes. Neither brand had professional business intelligence (BI) or a robust marketing data stack on which to build.
The task was to create a framework that would clearly show the ROI (return on investment) for each campaign. This would give marketing managers a complete picture of the performance of their activities and enable them to react more quickly based on reliable KPIs. In addition, the new transparency about budgets, channels and campaign results should enable targeted investment in the measures that bring the highest added value in order to avoid costly misinvestments.
Introduction of data-driven marketing
Data-driven marketing should lay the foundation for a new marketing era for both e-commerce platforms. All members of the marketing team should be able to access data-driven insights in order to base decisions for campaigns, ads, website optimizations or other activities on sound analyses.
New analysis and reporting tools should enable campaigns to be monitored and adjusted in real time. As a result, the management hoped to achieve greater agility and marketing efficiency as well as personalized marketing measures that focus on the needs of customers.
03 Approach: Reaching the goal with two sub-projects
In order to meet the client’s ambitious goals as quickly as possible, we broke the overall project down into two sub-projects: While Project 1 centered around overall company performance (operational and financial performance), Project 2 focused on marketing for both brands.
PROJECT 1
Development of a data stack with CRM and financial data
1.
Joint definition of the data strategy as the basis for the meaningful consolidation of data and the development of the BI infrastructure
2.
Selection and recommendation of suitable technologies for building the data stack in order to best fulfill the set goals
3.
Setup of the technical infrastructure, at the center of which is a Snowflake Data Warehouse based on AWS, dbt, Airflow and Salesforce, replacement of the in-house database
4.
Implementation of the data pipelines of CRM, telephone system (customer service, sales), enterprise resource planning (ERP) and logistics system using custom code (Python)
5.
Data integration with the ELT process (Extract, Load, Transform) and modeling of the data with the open source framework dbt (Data Build Tool) as well as execution of data quality tests
6.
Perform data analysis for the operational and financial performance of the healthcare organization (revenues and expenses, budgets, personnel costs, technology costs, etc.)
7.
Supporting the client in building the team’s data literacy and creating meaningful DataViz analytics dashboards with Tableau
PROJECT 2
Integration of marketing costs and success data
The second sub-project started at the same time by using the data stack built up in project 1 directly for marketing optimization. Particularly practical: by integrating the marketing data into the overall context of the company, attribution could be assigned much better.
The focus was then set on the following steps:
1.
Definition of the objectives for marketing measurement, including the relevant metrics that are to apply uniformly to the performance measurement of both brands with immediate effect.
2.
Preparation of the established data stack for the integration of all relevant marketing data from the website, via ad platforms, CRM, social media, etc.
3.
Implementation of the relevant marketing data in the data warehouse via the pipelines of ad servers, the analytics tool and the affiliate platform
4.
Build data literacy within the marketing team by supporting the creation of guidance and delivery of hands-on data analytics training
04 Challenges & Solutions
There were complex challenges to overcome during the introduction of the (marketing) data stack. These arose from the specific requirements of the healthcare industry, the merger of two companies with different systems and data, and the unique business model. We developed tailor-made solutions that took technical and organizational aspects into account.
High time pressure for a complex project
After the merger, performance transparency had to be established as quickly as possible during ongoing operations. Completely different technology stacks and key figures for both brands increased the complexity. The unique subscription-based business model with billing via the health insurance companies could not be mapped using standard technology solutions.
Solution: For the ad hoc launch, we provided a dedicated team of data engineering experts with experience in e-commerce and healthcare. This enabled us to quickly develop industry-specific solutions that could be implemented during ongoing operations. We started the project with a clearly defined data strategy as the cornerstone for systematic data collection and analysis. To map the specific business model, we relied on a flexible best-of-breed data stack and individual programming.
Strict data protection in the healthcare sector
Data protection is of the utmost importance in the healthcare industry. The handling of sensitive data is subject to strict legal requirements such as the GDPR (General Data Protection Regulation) and is an essential factor for customer trust. These regulations restrict access to certain data and also require the implementation of specific security measures.
Solution: We relied on proven and secure cloud solutions from AWS and Snowflake as they offer best-in-class security features to protect sensitive data – encryption, access controls and auditing. We drew on our data protection expertise and worked closely with the client’s data protection experts. The result: a system that is both data protection compliant and efficient.
Lack of data expertise in the company
At the time of the modern MarTech introduction, the company’s employees did not have in-depth knowledge of the newly implemented data strategies and tools. The lack of experience would have made it difficult to successfully implement and sustainably use the new BI solutions.
Solution: Parallel to the technical implementation, we actively supported the development of knowledge within the team. The data skills of the employees were significantly strengthened through targeted training, in particular with training for dbt and data modeling. We also carried out “coaching on the job”, in which employees received support from our consultants during their daily work. This enabled the team to immediately apply the acquired knowledge in practice and integrate it into the ongoing work process.
05 Results: Better insights, more success
The successful introduction of the BI infrastructure with a modern data stack and data-driven strategies led to significant progress in transparency and decision-making – for management, marketing and the entire company.
The new BI and reporting system provides a comprehensive insight into the financial performance, costs and success of all marketing activities. The overall performance of both brands can be compared at the touch of a button, strategies can be adjusted on a daily basis and forecasts can be created. The goal has been achieved: important decisions are made on the basis of relevant data.
Further successes at a glance:
Better
Insights
More transparency through meaningful C-level reporting and reports for employees and investors
Higher
individuality
Individual reports with key figures per stakeholder thanks to different role concepts
More precise
Performance Measurement
Practical ROI reporting with precise budget-outcome analyses for marketing campaigns, web traffic and social media activities
Flexibility through
automation
Automated processes create more freedom for strategy and creativity
More efficienct
Marketing
Better monitoring and control of budgets and cost savings
Better
Data quality
Cleaned, harmonized data from different sources ensures reliable analyses and better business decisions
Faster
decisions
Up-to-date data and smart analyses enable well-founded, fast decisions – for more agility in marketing
06 Flexibility and know-how for fast results

“Thanks to our many years of experience in the healthcare sector and in e-commerce, we were able to make a valuable contribution and support the company in quickly finding suitable solutions for its goals. As a consulting company, it is particularly important to us that we are agile and flexible. I am therefore particularly pleased that we were able to put together a competent team to successfully implement the project within a very short space of time.”
Jörg Hopmann, CEO
Hopmann Marketing Analytics