Embed Size (px)
Citation preview
THE ANTIDOTE TO THE STATUS QUO
Marketing is the engine that drives growth.
2 main reasons practice marketing fails
THE ANTIDOTE TO THE STATUS QUO
1. Lack of understanding
2. Lack willpower
Acquisition cost and collections
Every new patient has a cost and a value
THE ANTIDOTE TO THE STATUS QUO
1. Cost per patient
2. Collected revenue per patient
Cost per patient
(Avg. external cost)% + (avg. internal cost)% = CPP
THE ANTIDOTE TO THE STATUS QUO
• The more efficient your marketing, the lower the cost.
Collected revenue per patient
total collections / # of unique patients = RPP
THE ANTIDOTE TO THE STATUS QUO
• The more efficient your marketing, the higher the revenue.
The PPO effect
THE ANTIDOTE TO THE STATUS QUO
Per patient revenue
Per patient collections
Per patient acquisition costs
$0
$175
$350
$525
$700
2011 2012 2013 2014 2015
Solutions?
1. Correct messaging
2. Efficient systems
THE ANTIDOTE TO THE STATUS QUO
Solution 1: Correct messaging
Why?
THE ANTIDOTE TO THE STATUS QUO
Solution 1: Correct messaging
Why is correct messaging critical?
THE ANTIDOTE TO THE STATUS QUO
• Perceptions dictate actions
• Messaging determines the “if” and the “why”
Solution 1: Correct messaging
Case Study: Target and Nordstrom
THE ANTIDOTE TO THE STATUS QUO
Solution 1: Correct messaging
Controlling “touch points”
THE ANTIDOTE TO THE STATUS QUO
Aspen vs. Heartland models
THE ANTIDOTE TO THE STATUS QUO
Solution 1: Correct messaging
How?
THE ANTIDOTE TO THE STATUS QUO
Solution 1: Correct messaging
How does a practice define their messaging?
THE ANTIDOTE TO THE STATUS QUO
1. “To thine own self be true”
2. Clearly differentiate your brand
3. Be compelling
Solution 1: Correct messaging
Ask the right questions
THE ANTIDOTE TO THE STATUS QUO
1. Why are you different?
2. What do you do best?
3. Why are you in business?
4. Why are your patients loyal?
5. Who is your audience?
6. Who is your competition?
Solution 2: Efficient systems
Why?
THE ANTIDOTE TO THE STATUS QUO
Solution 2: Efficient systems
Why are efficient systems critical?
THE ANTIDOTE TO THE STATUS QUO
• Systems allow continued improvement
• Systems lead to control & predictability
• Systems equal consistency
• Systems allow correct planning
Solution 2: Efficient systems
Current systems:
THE ANTIDOTE TO THE STATUS QUO
Hygiene
Sterilization
Payroll
Scheduling
Solution 2: Efficient systems
Current systems:
THE ANTIDOTE TO THE STATUS QUO
Hygiene
Sterilization
Payroll
Scheduling
Marketing?
Solution 2: Efficient systems
Four components of a marketing system
THE ANTIDOTE TO THE STATUS QUO
1. Tool
2. Training
3. Consistency & accountability
4. Measurements & improvements
Solution 2: Efficient systems
Focus on the system not the tool.
THE ANTIDOTE TO THE STATUS QUO
Referral system:
• Referral card
• Referral training
• Consistency & accountability
• Measurements & improvements
Solution 2: Efficient systems
Focus on the system not the tool.
THE ANTIDOTE TO THE STATUS QUO
Direct mail system:
• Mailer + Call tracking
• Call conversion training
• Consistency & accountability
• Measurements & improvements
Solution 2: Efficient systems
How?
THE ANTIDOTE TO THE STATUS QUO
Solution 2: Efficient systems
1. Set specific goals
THE ANTIDOTE TO THE STATUS QUO
• # of additional patients
• Amount of additional revenue
THE ANTIDOTE TO THE STATUS QUO
Overview:
• 2 full-time doctors
• 2817 patients seen in 2015
• Averaged 45 new patients a month
• $1,658,000 total collections for 2015
• $589 Average annual value per patient
Goals:
• Increase to 60 new patients per month
• Increase overall revenue to $2 million
Solution 2: Efficient systems
1. Set specific goals (Case study)
1. Set specific goals – Case study
THE ANTIDOTE TO THE STATUS QUO
Goal: 60 - 45 = 15 additional patients/mo.
15 x 12 = 180 additional patients/year
180 patients @ $589 ea. = $106,020 in additional revenue
$106,020 + $1,658,000 = $1,764,020 in total revenue
Goal: $2,000,000 - $1,764,020 = $235,980
To reach $2,000,000:
This practice will either need a goal of 401 additional patients or
need to increase their per patient revenue by $78 per patient to $667 RPP
Solution 2: Efficient systems
2. Evaluate the effectiveness of your foundation
THE ANTIDOTE TO THE STATUS QUO
Foundation
Messaging Logo Website
Solution 2: Efficient systems
3. Evaluate & prioritize your marketing systems
THE ANTIDOTE TO THE STATUS QUO
Internal Systems External Systems
Referral
Loyalty (cross sell)
Case Acceptance
Patient Reactivation
Traditional
Digital
Social Media
Brand Awareness
Tracking System
(Evaluation &
Improvement)
Solution 2: Efficient systems
4. Plan a budget
THE ANTIDOTE TO THE STATUS QUO
Based on:
• Per patient acquisition cost
• Cost to implement systems needed to reach goals
Generally decreases as # of locations increases
Commit to your budget as a long-term business expense
Solution 2: Efficient systems
5. Align your expectations
THE ANTIDOTE TO THE STATUS QUO
If your budget does not align with your goals, you have two options:
1. Change your budget
2. Change your goals
Either way build a long term strategy and build your marketing systems
Expect a slower rate of return at first that grows in effectiveness
(Emotions & feelings vs. goals & principles)
Solution 2: Efficient systems
THE ANTIDOTE TO THE STATUS QUO
$0
$75,000
$150,000
$225,000
$300,000
Year 1 Year 2 Year 3 Year 4 Year 5
Marketing investment ($36,000)
ROI ($70,680 -15% annually)
Cumulative total (5 years: $262,126)
Assumptions:
Per patient acquisition cost = $300
RPP = $589
Solution 2: Efficient systems
6. Create a marketing plan
THE ANTIDOTE TO THE STATUS QUO
Five components of a marketing plan:
1. Specific goals
2. Foundation analysis
3. Prioritized systems
4. Dedicated budget
5. Correct expectations
Conclusion:
1. Correct messaging
2. Efficient systems
THE ANTIDOTE TO THE STATUS QUO
Marketing is the engine that drives growth.
2 main reasons practice marketing fails
THE ANTIDOTE TO THE STATUS QUO
1. Lack of understanding
2. Lack willpower
There is no growth in a comfort zone and no comfort in
a growth zone.
Conclusion:
The bravest are surely those who have the clearest vision of what is before them, glory and danger alike, and yet notwithstanding, go out to meet it.
THE ANTIDOTE TO THE STATUS QUO
Thucydides
