Saturday, September 13, 2014

How can the hospital dominate the five healthcare markets?

As the reformation of healthcare continues unabated, a hospital or health system has only five primary markets.  Of course, there are the submarkets within these markets but it’s still only five: Commercial; Exchanges; Medicare; Medicaid; and Uninsured.

The new dynamic added to this change is the evolution of the broader healthcare market into a consumer-centric, semi-retail market existing in a multitude of reimbursement schemes, each nuanced for a different market segment. Leading to the question, have you identified from a marketing perspective immediate actions to improve market position and revenue generation? 

This isn't about massive advertising campaigns, gimmicks, wellness programs, etc. It’s more about getting the basics right, understanding who pays for what and how that is combined with the needs of your healthcare consumers. This isn’t only about driving demand in some cases, but managing demand by moving the healthcare consumer to the right setting, which may not be the hospital or a hospital based outpatient service. In some circumstances it may even mean de-marketing certain services.

Very quickly then, here are seven ways to improve your market position, generate revenue and dominate categories of service.

1.  Brand and competitive position.
Consumers and patients are ready for convenient technology-enabled access to care. Healthcare providers that are capable of identifying their needs and how they want their healthcare needs meet though technology focused on them will gain new patients and the next-generation of physicians.  It's not a crime to use text messaging to send people information or confirmations about appointments, health reminders, or use QR codes to link to specific education or health offers.

2. Engage existing customers and patients.
An individual is only a patient 1/3rd of the time they come in contact with you.  That is during the diagnosis, treatment and recovery phase.  Pre and post this experience, they are a healthcare consumer not a patient.  So why then is it the only time one chooses to meaningfully engage them is during the period when they are a patient?  This lack of focus or tactical engagement execution doesn’t make a lot of sense as consumer and patient engagement is about all of the time activity, not just some of the time.  Engaging the healthcare consumer on a continuous basis builds loyalty and importantly keeps them in network, which has some pretty significant financial ramifications in a risk-based reimbursement model.

3. Engage the physicians.
No matter the payment model the hospital or health system still needs a physician or physician extender’s order to get anything done in a healthcare setting. That means engaging physicians in meaningful ways, using the methods, technology and systems that will make their life easier, improve their productivity and protect or increase their income. An effective and efficient physician has more to do with the impact of cost and quality in the hospital than any other factor.

4. Focus on the physician experience.
How hard is it for a physician or physician extender to practice medicine in your organization?  Have you looked at the hassle factor that physician’s encounter when they try to get things done in the hospital setting?  Understand how the physician experiences your organization at every touch-point they encounter the hospital. Understand their experiences overall from beginning to end, not just in an isolated segment. Fix what is broken, keep what is working. The more satisfying the experience, the better you will do financially.

5. Focus on the consumer/patient experience.
A healthcare provider's ability to deliver an experience that sets it apart in the eyes of its patients and potential patients from its competitors - traditional and non-traditional - serves to increase their loyalty to the brand. One needs to actively manage the customer experience in totality by understanding the customer's point of view.  That is, all touch points internally and externally that a customer/patient comes in contact with which in turn creates the experience. Exceptional experience means gains in market share, brand awareness, and revenue.

6. Embrace retail healthcare.
Traditional ways of delivering healthcare will go by the wayside in many cases.  Price convenience, access and outcomes are the drivers in retail healthcare.  Find the need, understand the consumer’s behavior drivers, design offering around the consumer not the hospital in a convenient location and price it appropriately. If you can't compete in this way market position, share and revenue will erode.

7. Turn to social media and networks to engage, manage the experience and drive adherence. As healthcare continues the evolution to a healthcare consumer dominated semi-retail environment, social networking is a healthcare marketing channel that is underutilized and underperforms today, but holds great potential to improve engagement, experience and adherence. And that takes healthcare marketing leadership, executive vision and meaningful action.

Seven step to achieve market and revenue growth in an evolving healthcare market place. Not an impossible task, but one that does require focus and a willingness to break from the past.

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