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Dentistry Marketing -- An Introduction
by
Daniel A. Bobrow, MBA (U of Chicago) & MBA
(K.U.L. Belgium)
Marketing has, at long last, gained acceptance
as a legitimate, indeed an essential activity for
the health professional. To be successful at the
marketing game, it is vitally important that you
are committed to the idea of promoting your practice
and that you are comfortable, indeed proud and excited,
that you are in command of the message you share
with current and prospective patients.
To achieve this level of success, a bit of “attitude
adjustment” may berequired on the part of the practitioner
and staff. You have to believe in, and indeed be
happy about, the process of sharing the benefits
of your practice, in other words, marketing,
if you are to convey the necessary optimism and
enthusiasm, and devote the energy and resources
necessary to achieve success.
Just as one of your most important tasks is to
improve the “Dental I.Q.” of your patients, the
task falls to us to advance the “Dentistry Marketing
I.Q.” of our Clients.
We begin by placing marketing’s role in the dental
profession in historical perspective. We then present
actual case studies, which illustrate some of the
challenges and opportunities you might face, as
well as specific action steps that were taken in
anticipation of or in response to these opportunities
and challenges. We close by sharing with you some
important lessons that were learned by our Clients.
It is our intent and hope that presenting these
lessons to you now will permit you to structure
your marketing programs to yield maximum results
from their inception.
Background
A common mistake many practitioners make can be
summed up by the old adage of ‘putting the cart
before the horse.’ Often, the dentist will amass
a staggering debt by purchasing such technological
wonders as video imaging, digitized radiography,
laser packages, one-visit crown equipment, and needle-less
anesthesia. They lose sight of the fact that, by
itself, equipment does little to increase new patient
flow. The only way to assure consistent practice
growth is by implementing an effective marketing
plan.
The term marketing is often used interchangeably
with selling and advertising.
Selling is the act of causing to be accepted or
advocating successfully e.g. treatment acceptance.
Advertising is the activity of attracting public
attention to a product or business, as by paid announcements
in the print, broadcast, or electronic media. Philip
Kotler, Ph.D., author of some of the most popular
college texts on the subject, defines marketing
as “human activity directed at satisfying needs
and wants through exchange processes.” Selling and
advertising are but two examples of exchange processes
that comprise a marketing system. In other words,
success at dentistry marketing depends on an integrated
system of numerous activities (selling and advertising
among them) and requires proper timing, planning,
execution, and evaluation.
As business men and women, the success of your
practice and your quality of life depend on your
acceptance of marketing as yet another “hat” you
must wear, just as you have come to accept finance,
accounting, human resources management, clinical
proficiency, etc.
Historical “Parallels”
Dentistry and marketing, with the notable exception
of internal marketing (more on this later) have,
until recently, had little to do with each other.
Dentistry historically considered itself “above”
marketing. This position was based largely on a
misperception of reality. In many cases, there was
no perceived need to market. My father and uncle
were the first and only dentists in Glenview, a
suburb north of Chicago, for many years. They followed
the Civilian Conservation Corps (CCC) which was
building the Forest Preserve system. Their "marketing
plan" consisted of opening their practice near
the workshite. Talk about a “captive audience.”
But how does one measure the “opportunity cost”
of not marketing? Even a successful practice could
be more successful. In this regard, many practices
remained (and remain) blissfully ignorant.
Prior to fluoridated water, managed care, and a
decrease in the ratio of population to dentists,
most practices could rely on little more than “word
of mouth” to ensure a full appointment schedule.
The thought of actively promoting the practice led
the dentist to feelings of inadequacy, desperation,
or failure as a clinician. “If I deliver high quality
dentistry, should that not be sufficient?” went
the conventional wisdom.
But perhaps the factor most responsible for the
traditional lack of marketing in dentistry and other
health care fields was the belief that it was an
unethical activity. In fact, prior to the Federal
Trade Commission’s 1979 Ruling (FTC vs. American
Medical Association 1/4/77), marketing of professional
services was prohibited.
Currently, state dental societies maintain strict
parameters which must be followed by professionals
who market their services, and it is in your interest
to be familiar with these regulations prior to implementing
your marketing plan.
The Patient/Provider Relationship
There are three paradigms used to describe the
dentist-patient relationship. The Guild Model
views the patient as incapable of making judgments,
not only about kinds of treatment, but the need
for therapy in the first place. Since there is no
justification offered for decision making by the
patient, there is no justification for a dentist
to market.
The Commercial Model holds that the relationship
between dentist and patient is simply that of producer
and consumer. The watch phrase here is caveat emptor,
buyer beware.
The Chicago Dental Society’s April, ’95 issue of
CDS Review elaborates on the Commercial Model as
follows:
Dentist and patient are viewed as equal
bargainers who have no obligation to one another,
except for a prohibition of coercion, an obligation
to truth (not necessarily the whole truth), and
a duty to keep contracts once made.
The goal of the dentist, according to the Interactive
Model, is to enhance patient autonomy. This
assumes both that the patient is capable of understanding,
and the dentist owes a duty to assist the patient
in making decisions, about dental care.
What distinguishes the Interactive from the Commercial
Model is its belief in the moral, not merely
the economic equality of the doctor and patient,
and it is the model we believe ought to characterize
the patient provider relationship.
Awareness and Persuasion
Most marketing programs consist of two components:
an awareness creation component, and a persuasion
component. There are those who maintain that persuasion
has no legitimate role to play in dentistry marketing.
In our view, persuasion has a valuable role to play,
provided it has as its primary objective providing
necessary and high quality services to the unserved
and under-served public.
It may well be that very little persuasion is necessary
to achieve your practice growth objectives. We work
with a number of practices where, for example, owing
to the shortage of providers or rapid population
growth in the area, all the practice need do is
create awareness of it’s existence. An excellent
example of this was a doctor in downtown New Orleans
who merely needed to inform businesses of his location
to realize a substantial influx of new patients.
Another example of the awareness-creation component
of marketing is related by a Member practicing just
north of Chicago who invested a lot of money to
make his office wheel chair accessible. “I just
assumed people knew about it. Apparently, they didn’t,
and I no doubt missed a lot of opportunities to
treat these people.” By simply mentioning this benefit
in the copy of his mailings, the response among
senior citizens increased markedly.
Internal and External Marketing
Internal marketing concerns itself primarily
with communication among your patients of record.
In a general sense, anything, which has an impact
on your patient’s perception of your practice, is
a form of internal marketing.
External marketing is intended to create
awareness and induce a response among people with
whom you’ve not yet established a relationship.
As mentioned above, some practices need only create
awareness of their existence and location to induce
a response. Marketing where the element of persuasion
is absent is called Institutional Marketing. Its
sole concern is conveying information and a certain
image about the practice.
Examples of internal marketing include: treatment
presentation, patient
recall and reactivation, on-hold
messages, and referral programs
(see www.climbforacause.org/jump/index.html
for an example). The distinction between internal
and external marketing is somewhat blurred when
one speaks about referral programs. This is because,
while directed at patients of record (internal marketing),
their intent is to attract prospective patients
(external marketing).
Examples of external marketing include: community
outreach, as in making presentations on dental hygiene
to school children, speaking and networking at Chambers
of Commerce, direct
mail, Yellow Page advertising, and professional
call handling (also called telemarketing). Owing
to the fact that convenience is such a strong motivator
in an individual’s decision to join a practice,
most dentists should consider themselves to be local
area marketers. The so-called broadcast marketing
channels (advertising on radio, television, newspapers,
etc.), therefore, are seldom cost-effective since
they are attempting to contact (and you are paying
for the attempt the attempt) people beyond your
Service Area.
Telephone call
handling is another area where internal and
external marketing can overlap. This is because
current as well as prospective patients call your
office (and, yes handling incoming calls to your
office is a form of telemarketing). Proper etiquette
in handling these calls is absolutely crucial to
the positive perception of your practice among current
and prospective patients.
Recent years have seen the proliferation of the
use of the Internet for everything
from academic research to grocery shopping. Its
use in the dental profession has increased significantly
as well, both as an internal and external marketing
tool. Used as part of an integrated marketing plan,
the Internet can serve an internal marketing function
by, for example, facilitating cost-effective communications
with your patients of record (periodic emailed newsletters,
appointment reminders, etc.). External marketing
is facilitated both by including your website address
prominently on more convention communications, such
as direct mail (so called clicks to bricks
marketing), and via direct Internet promotion using
such strategies as search engine optimization and
listing on high exposure directories, such as www.888NowSmile.com.
In addition, your website can help increase practice
efficiency by serving as an administrative tool
to e.g. streamline the new patient enrollment process.
Links In A Chain
We stress that the programs offered here cannot
work in isolation. A chain is only as strong as
its weakest link. For example, the success of your
external marketing programs will depend to a great
extent on having your internal marketing systems
in place (and vice versa). This is the case because
external marketing programs are best at generating
inquiries. It’s what you do with that traffic (and
here is where internal marketing and other essential
systems enter the picture) that can mean the success
or failure of your external marketing efforts.
Other “links in the chain” that are equally important
to continued practice growth are: overhead control,
patient financing, web site design, soft tissue
management, treatment presentation, human resources
management, patient
communications, and technology integration.
To learn more or to ask a question contact
us
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