• by Laurie Sullivan  @lauriesullivan, December 14, 2015

GlaxoSmithKline (GSK) plans to launch an ecommerce strategy that will enable the global health care company to sell brands like Sensodyne, Polident and Theraflu direct to consumers. The company initially will test sales and distribution models in the United States and a few other countries, beginning in the first quarter of 2016.

"The next big thing in front of us is ecommerce," Scott Grenz, VP, global head of media at GSK, recently told Search Insider Summit attendees. "It's the big white space were we don't have a footprint, but there's a huge opportunity."

As a smaller consumer product goods company, GSK may need to provide alternative means of distribution such as allowing consumers to order online and pick up the products at the local Wal-Mart Store, a point brought to light by Rob Griffin, EVP of media futures and innovation at Havas Media Group.

Before taking the product direct to consumers, Grenz says the company initially had to prove and test its search foundation and build out analytics by working with its agency partner PHD Resolution to take search data and use it to target other media, paid and non-paid assets.

First GSK built out a search strategy, followed by video and programmatic, and now the company's in the second year in the U.S. working through a demand side platform.

Interestingly, Grenz reports to GSK's global chief procurement officer. The organizational structure will help the media-buying group work better with procurement to build out an IT infrastructure and merchandising platform to create an effective ecommerce strategy.

Getting procurement on board with media buys requires a different approach. It takes a little management wrapped in the science and art of advertising. Businesses cases must line up with return on investments. The structure of buying through programmatic channels requires the brand to pay a little more for media, but buy less. For instance, the $10 million budget only needs to be $8 million, Grenz says.