24 Jan Do You Know Your Competition?
When looking at the business side of medicine, it’s crucial to know who your competition is. Increasing your patient base is essential to both maintaining and growing your practice. Depending on where you’re located, you might be trying to attract patients from a fairly static population.
In an era of consumerism in medicine, it’s easier than ever before for patients to shop around for health care. Depending on your specialty, you may be facing competition from not only other practices, but also major health systems, urgent care centers, retail clinics, and, let’s be real here, Dr. Google.
With all this in mind, you may want to consider conducting a competitive analysis of your practice area. We found a great guide from Nick Hernandez, a growth consultant for physician practices. Let’s check out a few of his tips:
Evaluate your competitors by placing them in strategic groups according to how directly they compete for a share of the patients within your catchment area.
For each competitor, list their providers and services, their estimated profitability, growth pattern, marketing objectives and assumptions, current and past strategies, organizational and cost structure, strengths and weaknesses, and size (in patient volume) of the competitor’s business.
A quick and easy way to compare your physicians or services with similar ones in your market is to make a competition grid.
Down the left side of a piece of paper, write the names [of] the physician groups that compete with yours. To help you generate this list, think of where your patients would go for care if you were not around.
Across the top of the paper, list the main features and characteristics of each practice. Include such things as target market, providers, size, relationship with referring physicians, and patient volume.
You may also want to list services offered, strength of their marketing efforts, and other features that are relevant.
You can find out more about the process of conducting a competitor analysis HERE.
A healthy, growing practice allows you to better care for your patients. By taking the time to strategically position what makes you and your practice unique in your area, you’ll be able to attract new patients while adding new services and conveniences that will help you keep them.