Know your numbers!

As a dental practice owner one of your main objectives is to operate a successful, financially healthy practice so you can continue to service your patients long into the future. Not only do you focus on patient satisfaction, but as an owner you want to make sure your practice is profitable. In an article posted on Dentistry IQ, Kevin Wilson writes about key financial management points for dentists. According to Mr. Wilson:

“Profit comes from earning more than you spend, you can increase profit by decreasing overhead dollars in the correct category, or by increasing income. The area to focus on is increasing income, and therefore gross production/adjusted production.”

In the article, Mr. Wilson suggests closely analyzing your practice management system’s monthly summary reports and production breakdown. For example, does your practice profit more on emergency cases or by the value that a patient will provide your practice over the course of a lifetime, can average $2,500?

Either way it is important to analyze your monthly reports and make sure you are maximizing income and profitability. If your practice needs help increasing your availability to schedule new patients and keeping your schedule full, contact UIC Dental today!

Maximizing Hygiene Productivity

Every dentist wants to make sure they are maximizing hygiene productivity. Dentistry IQ recently published an article about 4 ways to increase dental hygiene productivity. According to Roger P. Levin, DDS:

“The hygiene department brings in $1 of income for every $3 generated by the dentist which leads to 1:3 ratio that translates into a 25% contribute to total practice production.”

This amount could mean the difference between whether a practice is getting by or getting ahead of everyone else.  Dr. Levin suggests a few techniques such as:

  • Increase the perceived value of a hygiene visit
  • Add value by providing more services
  • Confirm hygiene appointment two days in advance
  • Schedule the next hygiene appointment before the patient leaves

If your practice is having a hard time confirming patient appointments UIC Dental can help with this by making your confirmation calls for you. Simply reminding patients they have appointments could help make sure your practice is maximizing hygiene productivity.

Be Prepared, Not Scared

Corporate dentistry and the proliferation of Dental Support Organizations (DSOs) are on the rise. These organizations can create a competitive advantage via deeper resources, more locations, marketing, and centralized call handling.

However, according to Kevin Cain:

“You should not necessarily be scared of DSOs, but you should be prepared to compete with DSO-owned practices.”

A main preparation for any practice should be a renewed focus on customer service. Either with an advanced scheduling service that increases availability such as UIC Dental or an internal process, practices need to be able to be available for new patient opportunities and taking care of existing customers when they choose to interact, not when it is convenient for the practice.

Attracting New Patients Is More Important Than Ever

Starting towards the end of 2014 and continuing into 2015, there has been a significant increase in the amount of active patients in the dental marketplace. Two factors seem to be driving this trend: higher employment rates; and the introduction of the Affordable Care Act (ACA). Both of these catalysts mean there are a significant number of people who now have insurance and are looking for service. The graph below is a representation created by Sikka Software displaying the increase in amount of active patients.
Looking at the graph above, how does that impact how you understand your local dental market, find new opportunities for revenue, and more importantly ways to grow your business? An increase in the number of active patients can also mean that there are fewer cash patients. Cash patients are valuable to a practice because patient production revenue is realized much quicker and more directly, as opposed to dealing with the insurance providers. The graph below displays the number of cash patients compared to insured patients from 2012-2015.
What does this all mean? Cash patients as opposed to insured patients would mean that a dental practice is making less based on adjustments. You need to put an emphasis on adding new patients to increase revenue. Don’t miss out on future patients; UIC Dental is available when those patients call looking for you. The data clearly shows there are more people looking for service. UIC Dental positions you to realize every possible opportunity you can!

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