What is your "Cost of Customer Acquisition" - The Orthodontist

"Cost of Customer Acquisition" is probably one of the most important pieces of knowledge to have in business.  This tidbit of information makes your small business act very big.  This Tidbit of information is what makes businesses grow.  This Tidbit of information is what makes you more money and builds you a business that has asset value (sellable (ahh retirement)).

So let's figure this out.  How do I figure out what my Cost of Customer Acquisition is?  Probably the best way (aside from hiring an expensive consultant - which I DO NOT Recommend) is use some industry averages.  They are available in your profession - attend a marketing seminar (they are at every Dental Trade Show).  Note, if someone who is selling you marketing, claiming expertise in your business, and can not tell you what your profession's Cost of Customer Acquisition is, they ARE NOT an Expert.

In the dental business there are at least two cases: The Dentist - your patients are forever; The Orthodontists - your patients are mostly single purpose.

Orthodontists Live or Die
on Referrals and Reputation

This Article Addresses Orthodontist        

have a high Cost of Customer Acquisition. The service they provide is expensive (per customer) and has a high gross margin all within a time compressed dental service.  Orthodontists  need to market themselves in many different ways - each serving a purpose.

Internet and Social Media - A NECESSITY.  The Internet and doing SEO are the easy parts; there are a dozen computer geeks in every town that can make this happen for you - just don't over due it.  You are LOCAL, thus Google does most of the work for you.  Social Media, is a different animal though.

Let's use our customers and brag, in pictures, about our product.  You want to get permission to post (or not post) pictures of your finished work; the kids will love it and as far as seeing before and afters, once you get the ball rolling, the patients (kids) will post them as well (and for you).  Make sure they TAG your practice's Facebook page (your staff will need to ask them to do that).

 People will "check you out" on Yelp, Facebook, Instagram and Pinterest.

This is a high labor cost - high indirect / difficult to measurable return; the nice thing here is that you probably have an expert in the office already playing on Social Media during their work day - embrace it.  Done right, social media will make your local brand.

EDDM, not so for Orthodontists

Direct Mail - Unlike dentists, EDDM (USPS Every Door Direct Mail) does not provide the "Lifetime" return to the Orthodontist.  Your patients hopefully never come back and, as far as their siblings, their parents will never forget you. That said, we have Orthodontists that do EDDM, but not with the frequency or return that Dentists enjoy.  When Orthodontist's do EDDMs, the mailing still needs a hook - that free evaluation or a consult.

Referral Card

Referral Marketing - This one is not a new concept to Orthodontists and is definitely the big winner.  Your good relationships (goodwill) with other local Dentists gets you on their referral short list.  Your objective now is to be the one picked from that referral short list.

So what can you do to be the one picked (from that short list of 3 or 4)?  Do some proactive referral marketing.

1. Each patient, on each visit, should walk away with a hand full of referral cards.  Those cards should reward the referred with some monetary incentive to come see you first;  "$50 toward your Consult and analysis".  In addition, the referrer needs to be rewarded with some credit as well (make it worthwhile) such as $10 for new consults and $50 for new patients.  Parents will grab extra cards and force their kids to pass them out.
2. After the patients braces are removed, print a set of referral cards that are specific to that patient - One with their big smile and the words "Erin's New Smile - By Dr. Thomas, DDS"; these will go everywhere.  This may seem self-serving (to me here), but this is far less expensive than any promotional toy you give out.  Your referral card will go from your patient, to their friend to their parents.  Cool approach, huh.
3. Possibly the most important task you have to improve your referral selection: Be Part of the Community - Be a Recognized Face = Be a Recognized Smile.

We will set up the complete program for increasing your business.

Call Me for advice - We Consult, we Print, and we will measure (count your money) if you like..

Bob Leonard
561-371-4113 (Call My Cell)
512-593-8830 (in Austin)

Referral Marketing services provided by all LightsOn / Time4 offices.

 Connect to me on LinkedIn

www.linkedin.com/in/robertleonard5699

Follow me on Twitter
@T4Leonard 

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What is your "Cost of Customer Acquisition" - The Dentist

"Cost of Customer Acquisition" is probably one of the most important pieces of knowledge to have in business.  This tidbit of information makes your small business act very big.  This Tidbit of information is what makes businesses grow.  This Tidbit of information is what makes you more money and builds you a business that has asset value (sellable (ahh retirement)).

So let's figure this out.  How do I figure out what my Cost of Customer Acquisition is?  Probably the best way (aside from hiring an expensive consultant - which I DO NOT Recommend) is use some industry averages.  They are available in your profession - attend a marketing seminar (they are at every Dental Trade Show).  Note, if someone who is selling you marketing, claiming expertise in your business, and can not tell you what your profession's Cost of Customer Acquisition is, they ARE NOT an Expert.

In the dental business there are at least two cases: The Dentist - your patients are forever; The Orthodontist - your patients are single purpose.

Because Customers are for Life,
Returns Just Continue to Grow

This article addresses Dentists.

Dentists have a high Cost of Customer Acquisition - sometimes much higher than the charge of an initial visit (which is many times discounted).  Dentists market themselves in many ways - each serving a purpose.

Internet and Social Media - A necessary evil.  People may "check you out" on Yelp or Facebook.  High labor cost - low direct / measurable return.  I don't want to underplay this; your social media presence is required in supporting your brand - ask me why (for another article).

EDDM with a Call to Action

Direct Mail - EDDM (USPS Every Door Direct Mail) probably has the highest return for Dentists; your patients come back over and over and over - for their lifetime in many cases.  We have dentists that spend 500% - 1000% their initial appointment fees (seems like a loser, but...) - they know, once the family is in - they are in for life.  Retention rates on someone who sits in the chair range from 80% to 90%.  The loss leaders are typically a cleaning, x-rays and  /or a heavily discounted initial visit.  The returns on such sound almost unbelievable - well over 10,000% (no typo - ten-thousand percent and I am being conservative).  Remember, this is a "Local" Bang-for-the-Buck; there are diminishing returns.  Do EDDM in a neighborhoods then move on to the next LOCAL neighborhood.  Do not repeat more than once every 4 month to the same neighborhood (every 6 months is better).  Believe it or not, there are even better times of year to do this.

Referral Card

Referral Marketing - On EVERY patient visit, the patient and / or their parent should walk out with a stack of referral cards (business card size).  This referral card should provide an initial visit hook (like the EDDM) and some type of monetary return to the referrer - like a $10 discount for every referred new patient - they will think $100s - you will get new patients for life.  Massive returns and massive branding for your practice - Everyone is a winner.

Call Me for advice - We Consult, we Print, and we will measure (count your money) if you like..

Bob Leonard
561-371-4113 (Call My Cell)
772-905-4383 (On the Treasure Coast)
512-593-8830 (in Austin)

EDDM is a services provided by all LightsOn / Time4 offices.

 Connect to me on LinkedIn

www.linkedin.com/in/robertleonard5699
Follow me on Twitter
@T4Leonard
Add me to Your Google+ Circles
https://plus.google.com/+RobertLeonard5699/about