Looked at various market segments to plan strategy
The term Experience Economy was first described in a book published in 1999 by B. Joseph Pine II and James H. Gilmore, titled "The Experience Economy". In it they described the experience economy as the next economy following the agrarian economy, the industrial economy, and the most recent service economy. Pine and Gilmore argue that businesses must orchestrate memorable events for their customers, and that memory itself becomes the product - the "experience". More advanced experience businesses can begin charging for the value of the "transformation" that an experience offers. Experience economy is also considered as main underpinning for customer experience management. A core argument is that because of technology, increasing competition, and the increasing expectations of consumers, services today are starting to look like commodities. Products can be placed on a continuum from undifferentiated (referred to as commodities) to highly differentiated. Just as service markets build on goods markets which in turn build on commodity markets, so transformation and experience markets build on these newly commoditized services, e.g. Internet bandwidth, consulting help. The classification for each stage in the evolution of products is: A commodity business charges for undifferentiated products. A goods business charges for distinctive, tangible things. A service business charges for the activities you perform. An experience business charges for the feeling customers get by engaging it. A transformation business charges for the benefit customers (or "guests") receive by spending time there.
Suzanne We undertook a tour of the new facility, a journey, in fact, stopping at key areas of the building while staff, faculty physicians, and patients presented illustrative stories or messages with symbolic gifts appropriate for the travelers that we and our patients had truly become. r to the opening all cancer program members, staff, participants in our design process, architects and construction personnel, and community
Baystate Health marketing at Harvard University
A Case Study of Patient Experience Design & Marketing Management March 2, 2012; Harvard School of Public Health Masters in Management ProgramSuzanne HenderyVice President, Marketing & CommunicationsBaystate HealthSpringfield, MAbaystatehealth.org
Marketing - Physician partnership Wilson Mertens, MD Medical Director, Baystate Regional Cancer Program Baystate Health, Springfield, MA Associate Professor of Medicine, Tufts University School of Medicine MD role Patient Experience-Marketer role Vision for program; leadership Vision for patient engagement Interest in patient experience as differentiator; selecting consultant Met with referring MDs; listened, Drafted “latest milestone” letters, implemented changes, 1:1 comm distribution to all referring MDs Supplied questions for patient input. Conducted patient focus groups. Made priority for all committees. Video highlights. Planned, facilitated, mandatory “Patient Experience” retreats; visited cancer patient advocacy groups; planned strategy, wording, weekly update meetings. Set expectations for MDs, staff. Advocated with CEOs/VPs. Advocated with CEO, CMO, CNO. Communicated commitments. Planned campaign and creative. Availability. Shared metrics. Delivery on promises.
Cancer Care Study in Patient Experience Design Baystate Health’s D’Amour Center for Cancer Care •Starting Situation & Driving Trends •Initial Steps in Redesign & Stakeholder Goals •Patient Engagement Process Marketing Management •Focus & Marketing Plan •Brand & Objectives •Creative & Results Lessons Learned & Recommendations Discussion
Baystate HealthBaystate Health, a Top 15 Integrated Delivery System of three hospitals,including Baystate Medical Center, which is the largest hospital outside ofBoston and the Western Campus of Tufts University School of Medicine.Baystate Health is the health care leader in Western Massachusetts and oneof the largest employers with 400 employed physicians and 10,000employees.
The “Cancer Program” February 2000Reinvented the Program first,the Facility second•No program, just pieces•No vision, differentiation•Inconsistent leadership•Dreadful relationshipsPatient-unfriendly Scattered over hospital campus Frustrates integrated care Message loaded with negative cues…
Outpatient Areas Encounter Growth 2008 Total U.S. OP Cancer Volume: 229 Million* What are the cancer What are the cancer care components care components that are driving that are driving outpatient growth? outpatient growth?*Note: includes pap smear, biopsy of integument skin lesions and screening mammography.Source: Sg2, “Clinical Intelligence: Pushing Cancer Programs From Viability to Profitability,” 2008.
First Steps, Baystate’s Cancer Program: “Changing culture is challenging, time consuming, and totally worthwhile.”1. MDs identified opportunities in efficiency, care and cost. Engaged front-line level in discussions.2. MD leaders set expectations for leadership, coached.3. MD leader solicited input from referrers on perceptions, changes needed -Discussed suggestions with faculty and administrators, instituted change: -Developed standardized patient protocols, supportive care -Improved communication; outcomes4. MD leader reported back to the interviewees about improvements. Marketing leader help chart, celebrated progress for MDs with all staff.“Efforts quickly changed referral patterns, built visibility and credibility for the program and leadership.”
Building the Facility “No one was excited; so we changed the conversation”1. MD and Marketing leader engaged patient focus groups on experiences—good or poor.2. MD and Marketing leader hosted retreats with staff, patients, advocates, architects, donors to design the program and experience.3. Heard POVs; developed theme reorganized by functions instead of silos.4. MD and Marketing leader created subcommittees to design areas w/ patients and leaders approving plans.5. Reviewed by Core Group to ensure consistency with theme, goals, budget and timing. Strategy for growth: “An engaging customer experience.”
Center Built by Patients, for Patients “Architectural design and care to create harmony, comfort.”Open access, limit waits for information • Benchmark: 5 business days • Reduce no-value added follow up visits • Complimentary shuttle from other hospitals Peaceful, healing environment • Bright, natural light “the outside, in” • Reduce physical barriers (glass/desks) • Charts, phones and noise off patient floors • “Living Area” for community meetings, art, kitchen • Individual satellite radio to customize music in rad units. • Complimentary valet parking
Personalizing the Patient Experience “Based on Listening and Learning from Patients”Care around the Patient•Multi-disciplinary consults; MDs work side by side.•Social work at every consult, re-inquiry at every visit.•Teaching appointment at conclusion of treatment (graduation);individualized manual on side-effects.•Private gowning areas; private and ‘public’ waiting space.
Cancer Care Study in Patient Experience DesignBaystate Health’s D’Amour Center for Cancer Care•Starting Situation & Driving Trends – 2000•Initial Steps in Redesign & Stakeholder Goals•Patient Engagement ProcessMarketing Management•Focus & Marketing Plan•Brand & Objectives•Creative & ResultsLessons Learned & RecommendationsDiscussion
Marketing Aligns with Business Priorities MD & Marketing leader developed core positioning strategy to: • Define and articulate the value proposition • Select target markets and segments Product and pricing strategies to: • Adapt or design services meeting needs of target customers • A comprehensive approach to cancer management • Position, price and market the products to optimize Channel and customer service strategies to: • Enable access to services and optimize the delivery processes • Cultivate MD and patient loyalty and repeat business/donations Promotions strategy: • Raise awareness and build recognition • Stimulate demand for target servicesSlide from Karen Corrigan, chief strategy officer Navvis & Company
Creating a Targeted Marketing Plan for Oncology ServicesAdult hematology oncology: 15% market share (rest to private oncology)Radiation oncology: Declining consult volume (loss of 30% in 3 years)Surgical oncology: dramatic (90%) shift to community with departure of hospital based facultyMD satisfaction Only 15% of our MDs referredPatient satisfaction: MediocreConsumer confidence: Low rating
Building the Oncology Brand Valued segments: Who will we serve? Value proposition: How will we meet their needs better than anyone else? Value network: How will we design and align our operations, clinical programs, systems, processes, culture, and marketing investments to deliver on the value proposition every day? ACCESS Patient Experience & ReferrerRelationships EXPERTISE are Strategy- Critical PERSONALIZATION COMPASSIONSlide from Karen Corrigan, chief strategy officer Navvis & Company
Designing the Brand Experience Strategy Operations Markets Operating Model Product Portfolio Environment Capabilities Quality/Safety Investments Oncology Customer Service Partnerships Business Processes Brand Alignment Framework Culture Marketing Mission Targets Beliefs Products Values Channels Behaviors Pricing R&DSlide from Karen Corrigan, chief strategy officer Navvis & Company
Strategic MD-Marketing Partnership Objectives• Demonstrate leadership through actions.• Emphasis on expertise, positive relationships, clinical trials, research, teaching. Message: “Experts in Cancer, Every Step of the Way.”• Positive partnerships with the cancer advocacy groups.• Test all messages with cancer patients/families.• Position BH as a leader regionally and nationally.• Work inside—then out.
Transforming Employee Culture & Experience Opening Dedication ceremony not of the building, but of ourselves, as we opened the doors to a new way of caring for cancer patients.• Passivity “not an option.”• MDs & staff engaged with direct feedback from patients, referrers.• Signing of “Baystate Promise” contract of care• Ongoing recognition/celebration, “why we’re here…what patients appreciate about you.”
Baystate Regional Cancer Program; D’Amour Center for Cancer Care
Cancer Program Experience = Competitive Advantage Baystate Mercy Hosp Dana-Farber Cancer Inst Other Uncertain 0.0% 20.0% 40.0% 60.0%
Experience us now!First floor, radiation therapy Second floor, central concourse doubles as wayfinding and waiting areas. Natural light from open ceiling, “living wall” with glass floor insert. 27
Recommendations • Vision the final first. • Ask for input. Listen. • Don’t compromise vision. • Include patients, families, staff at every step • Question past practices • Tell the story well and often • Use Theme as guidepost for decision making.Linear Accelerator features clean linesenhanced by closets that maintain unsightly • Deliver on the promiseclinical equipment “off-stage” and artwork andmusic to reduce patient anxiety while in
DiscussionWhat were the starting and ending view of key stakeholders in thisprocess (Board, CEO, CFO, COO, CMO, CNO, Referring Physicians,and others)? What mattered most?This is all great. But my organization won’t authorize a $40mcenter. What can I do?How do I best work with my marketing department to get results?With both an employed and community medical staff caring forpatients at 3 sites, how do you maintain your brand, quality andservice standards?Have you been able to replicate this patient experience designstrategy across other service lines, facilities?
NotesAdamson, Gary, Starizon, Keystone, Colorado; starizon.orgCorrigan, Karen, Marketing Cancer Service Lines webcast, Navvis & Company, 2010.B. Joseph Pine II, James H. Gilmore, The Experience Economy, Boston: HarvardBusiness School Press, 1999.
Suzanne HenderySuzanne Hendery serves as Vice President, Marketing andCommunications for Baystate Health.Suzanne oversees an in-house marketing and communicationsagency of 23 professionals, providing market research andplans, patient satisfaction/service, marketing communications,e-marketing, social media and web services, photography,graphic design, writing, special events, employeecommunications and two affinity programs (seniors, women)for the community.Suzanne has a Bachelor’s degree in Media Systems &Management from Westfield State University, and a Master’sdegree in Marketing Communications from the University ofConnecticut.