There is a well known saying that small hinges swing big doors, meaning that small changes can produce big results.
The problem most practice owners face is that they’re not sure which changes will have the greatest impact. So they spend time implementing what they think is important only to find they’re often disappointed with the result.
The key is to know what to focus on.
In this short article, I want to share 3 ways to increase revenue.
Here is a key point. No matter what business you’re in, there are only ever 3 ways to increase revenue – period.
Make gains in these three areas and watch your revenue skyrocket.
So what are these three ways to increase revenue? See more customers, increase how much they spend with you and see them more frequently.
Sounds simple, right?
See More Patients
The most obvious way to increase the number of patients a practice sees is to focus on marketing. Marketing is any activity that either attracts or retains patients in the practice and activities can be categorised as either internal or external marketing.
External marketing typically involves all forms of advertising such as internet marketing, radio and magazine advertisements and the like.
Internal marketing, on the other hand, looks to leverage the existing patient base to attract more patients.
Marketing activities can also be categorised as the 3R’s – recruitment, retention and re-activation.
What many dentists overlook are the other ways of seeing more patients. Seeing more patients is as much about capacity as it is about marketing.
It is about utilising chair time so that every ounce of productivity is achieved during the day. This comes down to effective scheduling systems, having enough physical space, staffing levels and being properly equipped.
It is ironic that many dentists look to save money on wages and equipment which leaves them understaffed, under equipped and ultimately unproductive.
Increase The Amount Patients Spend
Case acceptance is a fundamental skill that all successful dentists master. (Click to Tweet). There is no point being a technically brilliant dentist if you never get to use those skills because patients don’t accept your treatment plan.
Ultimately, it is incumbent on a dentist to help patients make the best decisions regarding their dental health. Without the ethical application of good case acceptance skills, patients will likely receive suboptimal care.
Another factor often overlooked when considering the amount a patient will spend in your practice is the scope of services offered at the practice.
The more work you keep in-house, the less that needs to be referred and the more revenue for your practice.
See Patients More Frequently
Seeing patients more frequently boils down to having an effective recall system. Patient retention is more important than it has ever been.
In competitive times, the best patient is the one you already have. Acquiring a new patient is up to 20x more expensive than retaining one.
Be sure to set a recall period that is specific to the needs of the patient as opposed to the generic 12 monthly or 6 monthly recall.
At the beginning of this article, I mentioned that small changes lead to big results. Let me show you in this table below.
Of course, the starting point of each practice will vary but as you can see, small improvements in each of these 3 key areas can lead to a quantum leap in your revenue.
If you’d like to find out more about how you can make the leap, check out How To Build A High Performance Dental Practice.