Adobe Commerce proves the best medicine. How Redbox’s omnichannel solution saw pharmacy medical group Nahdi grow beyond all expectations

• Site traffic increased by 150 to 200 percent
• New customers up by 67 percent
• A 33 percent rise in repeat buyers
• Revenue growth of 600 percent in 12 months

When Nahdi first appeared on the healthcare scene in 1986, few people would have predicted what was ahead for it. The launch of two pharmacy outlets in Jeddah, Saudi Arabia, was just the start of a journey that would see the company progress to become the largest pharmaceutical chain in the Middle East and North Africa.

It now operates under a huge network of over 1,100 pharmacies in the Kingdom, aking Nahdi a national and regional leader in the sales and distribution of medicines, children accessories and medical equipment. In fact, it has pioneered the healthcare sector, empowering people to live healthier lives through pivotal lifestyle changes. Then, in 2018, Nahdi teamed up with Redbox to create a brand-new digital e-commerce experience that would match its growing status and personal requirements.

The existing e-commerce platform not able to fulfil the company’s needs or ambitions. With more than 1,100 stores, multiple warehouses and millions of customers, the company wanted a UX overhaul with a complete omnichannel commerce experience that would increase sales across its retail stores and digital channels. 

Redbox stood out clearly against the small handful of companies that made the shortlist for the implementation . Pawel Dabrowski, Nahdi’s head of omnichannel, explained: “Adobe Commerce was more flexible and robust and in terms of value for money, there was no better platform for us. 

“When we were looking for partners to lead the implementation, Jonty Sutton (Redbox CEO) met us and brought the confidence both from a business perspective and from an understanding of the overall ecosystem.

“Other potential partners had more of a sales approach, but Jonty could answer all of our technical questions and the examples he could provide, such as the work Redbox had completed for Screwfix, showed they had the solutions for our needs.” 
 

Redbox built the new omnichannel experience on Adobe Commerce, powered by Magento, Magento Order Management, integrating Nahdi’s existing back-office Oracle systems. 

Adobe Commerce would provide Nahdi with a secure, flexible and scalable commerce foundation. Magento Order Management would help the company to better manage its order information across its sales channels – web, mobile, stores and warehouse – and give Nahdi real-time visibility of its inventory. The whole implementation would enable the company to operate through a convenient fulfilment service: ship-from-store, ship-from-warehouse and click & collect.

As part of an omnichannel approach, an array of payment options were implemented. A direct mailing service for newsletters, links to social media pages and order tracking services were also established to give customers a better all-round experience while driving sales and conversion rates.
 

Challenges along the way

A complex solution and highly-customised build meant there were some conundrums with the database migration and redesigning of the data flows, which were proving difficult to navigate.

Pawel said: “There were challenges along the way – as with any large-scale implementation – but Redbox’s technical understanding, flexibility and ability to swiftly solve complex issues, was behind the project’s huge success.”

The results speak for themselves. A month after launch, Nahdi enjoyed its highest ever site traffic and best basket size and conversion rates. Site traffic grew by 150 to 200 percent, with new customers up by 67 percent. The company also saw a 33 percent rise in repeat buyers and revenue growth of 600 percent in 12 months. Meanwhile, the new platform has seen load times double in speed, and bounce rates down from 55 percent to 40 percent.

Pawel added: “We experienced a lot of critical incidents with the old platform and setup which was less complex than this one. The website, connectivity and payment systems would go down, or there would be issues with the checkout not working. Adobe fixed the vast majority of these problems. Now, we rarely experience them. It’s a huge achievement.”
 

Every year, businesses that have shown exemplary leadership within their industry are recognised and awarded by Adobe. This year, Pawel won the coveted Magento Live Commerce Ace Award for ‘creating a unique vision and delivering commerce excellence.’ The partnership with Redbox is maturing, and now incorporates third party delivery. Telesales features, orders through the phone, and new promotional features and other systems are on the horizon.

Pawel added: “We want to expand to UAE next year and bring even more capabilities to the website including payment, promotions, segmentations, so many things – we want to remain a leader in the market. 

“We had an interesting, challenging and successful first stage. Now we are passing through the second stage, and soon on to the third stage. There are a lot of learnings and we are growing together, but I’m very happy we chose Redbox.”
 

Profile

Industry: Pharmacy chain
Number of employees: 12,000
Location: Jeddah, Saudi Arabia
Background – they say: With its headquarters in Jeddah, Nahdi Medical Company is a leading chain of Saudi retail pharmacies. It manages and operates a nationwide network in 143 cities and towns across the Kingdom, which makes it one of the most prevalent and the fastest growing companies in the region. As per our company’s firm belief in being a “community pharmacy”, Nahdi Medical Company doesn’t solely serve the community by its products, but it also educates society through various health awareness programs and prevention campaigns. The company uses its extensive local knowledge and network to invest in the development of the Saudi community.