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Case Studies - Millennium Practice

 
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Background

A total of 28 practices within region was experiencing a leveling off of the average number of new patients per practice for two consecutive years, while the population of the metro area had grown at approximately 8% per year. The practices were in a variety of locations including stand-alone offices, medical buildings, office buildings and retail strips. Income levels ranged from high to low and the neighborhoods from metro to suburban. Two offices had single doctors and one office had 7 doctors. There were a total of 63 general dentists across all of the offices.

Analysis

A study of each dental practice yielded the following results: The average cost associated with acquiring a new patient was over $200 per patient. Practices averaged 15 new patients per month per office. The average production generated per new patient visit was approximately $500.

Implementation

Beginning in January, a multi-pronged approach was taken to increase the number of new patients per office and reduce the average patient acquisition cost. To determine the efficacy of each marketing strategy, they were launched individually and studied for 90 days before launching the next program. Strategies included:

  • A new movers program that delivered to every new resident (homeowners and renters) a gift certificate redeemable for a dental health kit valued at $25.00 following their initial appointment.
     
  • The Most Valued Patient (MVP) Program, which offered no-wait scheduling and a free dental health kit following the initial appointment to attract preferred patients by payer group through key local businesses.
     
  • An interactive e-mail program identified consumers who were seeking dental services and directed, at their request, their contact information to a centralized call center for handling.
     
  • A nationally advertised 800 number used to generate calls from consumers seeking dental services to the centralized call center. Premium offers mailed directly to targeted homes to stimulate response locally.

All responses were handled though a centralized call center staffed with professional sales and service representatives with dental office experience and training.

Results

Over time, it was proven that overall each program worked well but the results varied by practice and time of year. However, it was discovered that, by using all of the strategies and adjusting their use based upon the individual practice response, the results were stronger across all practices and the average cost per new patient was significantly lower.

By the end of the year, the average cost associated with acquiring a new patient at these same 28 practices dropped by more than 25% to just under $150 per patient. Average new patients per month per practice increased from 15 to 25. Average production per new patient initial visit remained at $500. Total production generated during a new patient's first 12 months, including the initial visit averaged $1200 per patient.

All patients were given the opportunity to complete survey cards following each visit. Results consistently showed that the new patients acquired by these services expressed a higher level of satisfaction with their overall dental experience than had patients prior to implementation of the above.

 

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