Most practice owners tell us they are focused on growing their business by getting customers through the door and selling more products and services. At the same time, many admit they struggle to sell enough products, especially with increasing competition from online retailers and pet store chains.
They also think their current approach to marketing is effective. They believe that by sending manual postcards or letters they’re able to drive appointment activity and retail sales at a low cost. What they fail to consider is that as low as 20% of their clients respond to this traditional method of communication, resulting in fewer client visits and poorly educated customers that chose to spend their money elsewhere.
For an average two doctor practice sending 500 letters per month, the costs can be as high as over $9,000 per year, and only 20% of clients will respond, costing $7.50 per response. When you compare this with using SMS which is 85% cheaper, has a response rate of 45%* and costs just $0.46 per response, your practice could besaving $7,740 per year. However, this cost is minimal when compared to the revenue that could be lost from the 25% lower response rate.
The average transaction value is $150**, so this could cost a practice as much as $18,750 per month, or $225,000 per year in lost revenue. This doesn’t take into consideration un-reminded patients who are missed, or the negative impact these manual tasks have on staff morale.
What percentage of your clients schedule a visit in response to the postcards or letters that you currently send?
In one example, a local practice had an experienced nurse spending 10 hours per month printing and mailing reminders. She wanted to work with animals but was spending a lot of time performing repetitive administration work. Fed up, she quit and went to work at the practice down the street. The practice owner was forced to take on the burden of her responsibilities. As a result, marketing became an even lower priority, compliance dropped well below 20%, and the practice entered a downward spiral of revenue and client loss.
What if you could modernise the way you reach and engage with your customers?
The most successful practice owners implement an automated reminder/recall strategy that educates their customers through direct and digital marketing, in-clinic materials and office interactions. We see this type of strategy driving a further 31% increase in compliance, and it brings better-educated clients into the practice, who purchase more products. It also allows your team to focus on patient care and customer service. How could this strategy help you achieve your practice goals?
At Covetrus, our goal is to help you to achieve the freedom of a successful practice. Our practice management solutions, Rapport client communications suite, and partner solutions provide a comprehensive approach to customer communication. We configure our platforms to your specific needs and help you automate back-office tasks like reminders and appointment confirmations. Our services are proven to increase customer compliance and drive more revenue for your practice.