SNAIL MAIL TO TECHNICALLY-SAVVY PATIENTS??

You bet!!  Experts in the field of marketing agree that effective multichannel marketing should include direct mail.  Yes—use e-mail, social media, phone calls—but remember in today’s hurried, stress filled world, touchy-feely paper can be a welcome interlude.

According to the Direct Marketing Association, ad expenditures in the U.S. will reach almost $337 billion in 2012.  Commercial and non-profit organizations will spend about half that amount, $168.5 billion, on direct marketing efforts, including direct (paper) mail.  Studies of marketing results show that direct mail pieces bring a response rate of 3.4% when sent to current customers/patients and 1.28% when sent to prospective customers/patients.  By comparison, e-mail has a much lower response rate, about one response per 1000 e-mails.

Think about it.  Decide what your practice would like to “sell” to current and new patients—new location?; expanded services?;  lower costs?;  convenient financial plans?; a new associate?; oral health education?; on and on.  Then either you and staff or a professional marketing plan designer can create direct mail pieces for your patients and prospective patients.  Monitor the results to weigh costs against additional production to decide how to continue or modify these marketing efforts.

PARTICIPATE IN MANAGED CARE PLANS?

As I have mentioned previously, in my opinion, one of the finest dental practice management newsletters is the McGill Advisory (www.mcgilladvisory.com).  In the August 2012 issue, a “Readers’ Survey” about participation in managed care plans shares interesting results.  Survey information from 375 dentists shows that only 58% of respondents do NOT participate in managed care plans (MCPs) now VS 79% non-participants in 2001.  35% of respondents in 2012 reported that less than 20% of their collections come from MCPs VS 57% reporting under 20% of income from MCPs in 2001. 

And when questioned about the average fee discount they accept when dealing with MCP fees: 12% of participating dentists accepted a 6% – 10% discount; 31% accepted an 11% - 20% discount, 27% accepted a 21% - 30% discount; and 12% accepted a 31% - 40% discount. 

In order to make a sound decision about participation in one or more MCPs, doctors MUST analyze the impact of reduced fees on practice profits.  Participation in MCPs may help keep your chair full, but it will also decrease profits.  Make certain you understand all ramifications each MCP in which you participate will have on your practice and your income.