How Do Your Numbers Look So Far?

July 1, 2012 | Dental |

It’s a number driven world we live in.  How many calories did i consume today?  What was the score of the Blue Jays game last night?  What is his batting average?  What return am I getting with my investments?

Your dental practice is a business, and the numbers really matter here as well.  Is revenue up or down from last year?  Are we averaging more new patients per month than we were last year at this time?  How does the return on investment numbers on the marketing mailer campaign compare to last year?

The money that you put towards the marketing of your practice is an investment.all dentists that i coach ask me what kind of result they should expect from their marketing program with me.  With there being so many variables and different situations in each practice we work with, it’s difficult to make a promise on R.O.I.  However, what I can do is help you create a custom marketing action plan for your specific practice and equip you with tools and an approach to help you get a real perspective about the progress
being made.  This means tracking the numbers so that we have the information to manage our marketing effectively.

Make Your Marketing Metrics Matter.

Taking control of your practice marketing metrics is really quite simple. i have a simple two-phase approach that has worked successfully with many clients:

Phase 1: Getting a sense of The Big Picture

In this first phase, we create a simple spreadsheet that captures your monthly practice revenue over the past two years.  We will keep a current account of this spreadsheet as
it relates to overall revenue.

We will then determine “your Big three” – which are the three areas in your practice that represent the greatest opportunity for financial growth.  What treatment or service do we want to do more of?  These opportunity areas are usually where the price point and profit margin are high and your practice is ready to deliver well.  We place special focus on these areas by looking at their past year’s performance, and then by tracking their monthly activity moving forward.

The reasoning behind this approach is to focus our marketing on building these three areas of success.  We will want to see the increases in growth within these specific treatments.

In phase 1, we will also create a monthly summary of new patients acquired each month.  By tracking numbers and comparing them to the previous years, we will start to discover trends.

Phase 2: Getting a Closer Look

Every marketing dollar invested should go towards delivering a specific result – be it more new patients, more referrals, or more of a specific treatment.

Always be sure that you have selected the right media mix for marketing.  You will also want to consider whether you have the right approach for delivering your specific message.
Will this media and marketing strategy connect your offering to your best target audience?

In phase 2, it’s all about tracking response and conversion rate.

First,“tracking response” means tracking website traffic.  With each marketing initiative and tactic, a specific examination of “unique visitors” and “pages visited” is needed.  There should be a connection between these two activities and what your marketing message was.

Second, you also need to track response by way of telephone calls delivered to your office. Your office team needs to be able to handle these calls with two purposes in mind.  First and foremost, they need to be able to convert as many new patients as possible while also tracking some key information in the process.

With every new prospect call to your practice, your team should be able to decipher these three big questions:

1. How did you hear about our practice?
2. What was it about the ad that sparked your interest?
3. When can we book an appointment for you to come in? and if not, why not?

By answering these three questions, you will be able to understand why someone will choose your practice, and track some key marketing information.

Set Targets

You invest in good marketing to grow your practice.  Now that you have a good sense of what the numbers are, let’s set some targets to grow every one of these number lines.

While every practice is different and every practice manager has different designs on how ambitious they want to be, it is necessary to set targets for growth that are right for your practice-5%? 15%? or 50%?  Having target numbers in place makes it easier to communicate your growth objectives with your team.

Make sure these numbers are real and achievable.  Setting numbers that are next to impossible to deliver will only serve as a morale killer.  Grow your numbers steadily by regularly hitting targets.

Business is a numbers game.  You must think of good marketing as a means of growing your practice.the sooner you get control of your numbers, and set some realistic targets for
growth, the better it will be for driving your business forward.

Bottom Line: This article outlines a two phase marketing plan that provides dentists with numbers useful for increasing revenue in a dental practice.