The Healthcare Challenge -- What Marketers Should Know

341 views

Published on

Presentation delivered to Richmond chapter of American Marketing Association.

Published in: Business, Health & Medicine
  • Be the first to comment

  • Be the first to like this

The Healthcare Challenge -- What Marketers Should Know

  1. 1. The Healthcare Challenge— What Marketers Should Know Dan Maloy The Maloy Group, LLC © 2009 The Maloy Group, LLC 1 www.maloygroup.com
  2. 2. Agenda• The issue and landscape• Developing the Value Proposition• Connecting the Value Proposition• Translating the Value Proposition• Implementing the Value Proposition• Additional resources © 2009 The Maloy Group, LLC 2 www.maloygroup.com
  3. 3. We Have Heard the Stories• Rhode Island Hospital Fined for Fifth Surgery Error in Two Years g y• W Wrong Baby, Search for Parents B b S hf P t• My Mother Went in for a New Hip, and Never Came Home © 2009 The Maloy Group, LLC 3 www.maloygroup.com
  4. 4. 28 ‘Never’ Never Events 1 Surgical Events Care Management Events • Surgery on wrong body part • Death/disability associated with medication • Surgery on wrong patient error • Wrong surgery on a patient • Death/disability associated with incompatible • Foreign object left in patient after surgery blood • Post-operative death in normal health patient • Maternal death/disability with low risk delivery • Implantation of wrong egg p g gg • Death/disability associated with hypoglycemia • Death/disability associated with h/di bili i d ih hyperbilirubinemia in neonates Product or Device Events • Stage 3 or 4 pressure ulcers after admission • Death/disability associated with use of • Death/disability due to spinal manipulative contaminated drugs therapy • Death/disability associated with use of device other th th than as intended i t d d • Death/disability associated with intravascular Environment Events air embolism • Death/disability associated with electric shock • Incident due to wrong oxygen or other gas Patient Protection Events • Death/disability associated with a burn incurred within facility • Infant discharged to wrong person • Death/disability D th/di bilit associated with a fall within i t d ith f ll ithi • Death/disability due to patient elopement facility • Patient suicide or attempted suicide resulting in • Death/disability associated with use of disability restraints within facility Criminal Events • Impersonating a heath care provider (i.e., physician, nurse)NQF Serious Reportable • Abduction of a patient Sexual assault of a patient within or on facilityAdverse Events • grounds • Death/disability resulting from physical assault 1www.cms.hhs.gov within or on facility grounds © 2009 The Maloy Group, LLC 4 www.maloygroup.com
  5. 5. Hospital CEO Concerns pPatient safety and quality ranks second behind financial challenges2 2American College of Healthcare Executives, 2008 survey, www.ache.org © 2009 The Maloy Group, LLC 5 www.maloygroup.com
  6. 6. Patient Safety and Quality Specific Concerns2• Redesigning care processes 66%• Redesigning work environment 66%• Compliance with accred orgs accred. orgs. 60%• Medication errors 57%• Nosocomial infections 47%• Nonpayment for “never events” 43%• Pay for performance 41%• Leapfrog demands 40%• Public reporting of outcomes data 40%• Surgical mistakes 24%• Other 7% 2American College of Healthcare Executives, 2008 survey, www.ache.org © 2009 The Maloy Group, LLC 6 www.maloygroup.com
  7. 7. Hospitals are funding patient safety initiatives33Qualityand Patient Safety: A Sharper Focus; Amerinet Executive Briefing, May 2009;http://www.amerinet-gpo1.com/anetpub/uploads/2009_Executive_Briefing_QualityDrKaplan.pdf © 2009 The Maloy Group, LLC 7 www.maloygroup.com
  8. 8. Where is the money g y going?3 g Documentation Awareness3Qualityand Patient Safety: A Sharper Focus; Amerinet Executive Briefing, May 2009; http://www.amerinet-gpo1.com/anetpub/uploads/2009_Executive_Briefing_QualityDrKaplan.pdfgpo1 com/anetpub/uploads/2009 Executive Briefing QualityDrKaplan pdf © 2009 The Maloy Group, LLC 8 www.maloygroup.com
  9. 9. HOW DO YOU GAIN THECOMPETITIVE ADVANTAGE? And your share of the patient safety expenditures? © 2009 The Maloy Group, LLC 9 www.maloygroup.com
  10. 10. Multiple Stakeholders p• Clinical Buyers – Nursing g – Physicians – Infection Control• Gating Resources – Risk Management – Facilities Management g• Economic Buyers © 2009 The Maloy Group, LLC 10 www.maloygroup.com
  11. 11. Healthcare Provider Challenges gPatient Safety is a major concern for providers; however, id h Financial Concerns it is certainly not their th i only challenge. l h ll Patient Safety Concerns Workforce LimitationsHow do their challenges impact Product Expenditures the adoption of your h d i f products? © 2009 The Maloy Group, LLC 11 www.maloygroup.com
  12. 12. ASC Roles• Of the survey p participants, 37 p , 16% 14% 14% Accounting order supplies as a Surgical assist secondary role, 59% Patient care 41% Administration ordering is the Scheduling S h d li primary role for 6 43% Billing participants 2% 2%• The majority of those 7% Surg Tech ordering the 7% 35% None products have a RN 9% BSN clinical degree or LPN CNOR certification 23% 26% BA/BS / MBAMaloy Group Survey of Product Perceptions in the ASC, October 2009 © 2009 The Maloy Group, LLC 12 www.maloygroup.com
  13. 13. Critical Points in your Product LifecycleEarly Adopters•Champion•Budget•Infrastructure © 2009 The Maloy Group, LLC 13 www.maloygroup.com
  14. 14. Product #1 – The Boppy® HC ppy• Protecting the smallest patients• Feeding Success• Maternal Bonding What i th i Wh t is the impact? t? © 2009 The Maloy Group, LLC 14 www.maloygroup.com
  15. 15. Find theConnection © 2009 The Maloy Group, LLC 15 www.maloygroup.com
  16. 16. Develop the Value Proposition• Define what your product accomplishes in terms of Patient Safety – Our X protects patients by … – O Y prevents infections … Our t i f ti• Target your messaging to the provider, and their needs• Quantify the benefits – address the Q y economic factors which point to the adoption of y p your solution © 2009 The Maloy Group, LLC 16 www.maloygroup.com
  17. 17. Two Very Different Value PropositionsOur product enhances patient safety by reducing the infection rates by X% X%.By reducing infection rates by X%, ourproduct reduces nosocomial infections and saves the average hospital $Y annually for every 500 surgical procedures. © 2009 The Maloy Group, LLC 17 www.maloygroup.com
  18. 18. Moving Up the Value Pyramid Patient Safety Total Cost in U i Use Price P i Service Product Quality Product Requirements © 2009 The Maloy Group, LLC 18 www.maloygroup.com
  19. 19. “Everything has b “E thi h become a spreadsheet sale. sale.”- Field Representative, major healthcare supplier p , j ppYour solution must make senseY l ti t k financially• Budget neutral, or• Savings in cost of use, or use• Savings based on clinical outcomes © 2009 The Maloy Group, LLC 19 www.maloygroup.com
  20. 20. Economic Model• Inputs should be standard measures – Admissions procedures APD Admissions, procedures, – Infection rates – Re-admission rates• O t t should include savings and quality Output h ld i l d i d lit improvements – Total savings, Net savings (less cost of product) g , g ( p ) – Savings per X (procedures, APD) – Reduction of Y% – Elimination of Z days of uncompensated care• Model should have baseline data from other facilities – Validation – Standard factor• Model should be user-friendly for all user levels user friendly © 2009 The Maloy Group, LLC 20 www.maloygroup.com
  21. 21. Connect the Value Proposition (seed the market)• Fi d the appropriate organizations Find h i i i – Clinical (i.e. AORN, APIC, etc.) – Providers (i.e. AHA) – ‘Issue based’ (i.e. EpiNet) ( p ) – Group Purchasing Organizations• Connect to their initiatives• Support their organization• Support their i i i i S h i initiatives• Connect to their leaders © 2009 The Maloy Group, LLC 21 www.maloygroup.com
  22. 22. Translate the Value Proposition (engage locally)• Market your product and solutions to the various stakeholders (clinical and administrative) at the provider level – Raise awareness – Generate interest – Id tif your champions Identify h i• Connect to organizations• Connect to individuals• Identify thought leaders © 2009 The Maloy Group, LLC 22 www.maloygroup.com
  23. 23. Critical Points in your Product Lifecycle How is your team prepared to support the next ‘round’ of customers? t ?Early Adopters•Champion•Budget•Infrastructure © 2009 The Maloy Group, LLC 23 www.maloygroup.com
  24. 24. Implement the Value Proposition ii• Provide tools to support the internal sales efforts of th customer champion f the t h i – Economic models – Clear outline of implementation support and training p pp g – Customer success stories, clinical data, etc.• Develop the tools to facilitate your customers’ implementation of your solutions – Training tools • Pre-packaged implementation kits • O li training Online t i i – Reporting tools – Monitoring tools• Align your resources to support the customer – Economic ‘seller’ – Clinical support © 2009 The Maloy Group, LLC 24 www.maloygroup.com
  25. 25. Support pp Tools 44 http://www.sandelmedical.com/time-out-products.asp, http://www sandelmedical com/time-out-products asp 11/23/09 © 2009 The Maloy Group, LLC 25 www.maloygroup.com
  26. 26. Are you ready to PARTNER?Demonstrate how the product satisfies ho the customer’s patient safety goals Share economic models to understand the impact of the changeEngage in planning dialogueProvide resources to support implementation? Share risk with customers © 2009 The Maloy Group, LLC 26 www.maloygroup.com
  27. 27. Top 10 things every marketer needs to know about marketing d t k b t k ti to medical practices: p1. Know the issues2. Understand that relationships matter3. Pay attention to declining service reimbursement4. Don’t be overwhelmed by technology solutions5.5 Reporting on quality initiatives can position the practiceto improve reimbursement6. Look for efficiencies to reduce operating costs7. M k t7 Make transitions to your products/services easy iti t d t / i8. Understand that practices have multiple decision makersto sell to9. Reduce risk in decision making to close the sale10. Improve profitability and win the dealSource: MGMA, The Medical Practice of the Future: Competitively position y f p yp your p products and services © 2009 The Maloy Group, LLC 27 www.maloygroup.com
  28. 28. Product #2 – PROTECTIV* PROTECTIV• I t d Introduced i 1988 d in• First Safety IV Catheter y• Designed to protect patient and caregiver from accidental needle sticks i k © 2009 The Maloy Group, LLC 28 www.maloygroup.com
  29. 29. Clinical vs. CostRatio of Clinical to Cost Attribute mentions120 2.56 3.48 1.06 3.08100 Cost Attributes: 80 27 21 •Price 50 •Value 60 •GPO Contract 40 12 69 73 53 Clinical Attributes: 20 37 •Surgeon P f S Preference 0 •Quality Surgical Gloves Sutures Surgical Gowns IV Catheters •Clinical Preference Clinical Attribute Frequency Cost Attribute Frequency Maloy Group Survey of Product Perceptions in the ASC, October 2009 © 2009 The Maloy Group, LLC 29 www.maloygroup.com
  30. 30. Recognize the Challenge • Seatbelt usage has g grown as awareness and penalties have grown. • Despite this, approx. 20% of US drivers still do not buckle up.5http://www.nhtsa.dot.gov/people/injury/airbags/Archive- Group, LLC © 2009 The Maloy 30 www.maloygroup.com04/PresBelt/america_seatbelt.html
  31. 31. Additional Resources• Government: – CMS, HHS, etc.• O Organizations: i ti – JCAHO, APIC, SHEA, etc. – List of organizations: http://www.firestone- callahan.com/image/Professional_Organiz ll h /i /P f i l O i ation_Patient_Safety_Initiatives.pdf © 2009 The Maloy Group, LLC 31 www.maloygroup.com
  32. 32. QUESTIONS?dan.maloy@maloygroup.com © 2009 The Maloy Group, LLC 32 www.maloygroup.com

×