There are very few industries that have the unique economic factor in which the majority of its revenue does not come directly from the customer, but from a third party. This unique economic factor is usually referred to as a private health care insurance company. Third party payers are the commercial, governmental, and health care maintenance insurance companies that help providers manage its patient’s accounts. With the change in focus toward the patient as consumer and increasing number of health plans that are high deductible, patients are becoming more involved in deciding where they go for their healthcare needs.
To increase referrals, Krona is beginning to develop a new marketing campaign to target a new patient mix and increase revenues, something that you discussed in your last Individual Project. You have been asked by the chief financial officer (CFO) to collaborate with the marketing director and discuss the importance of having advertising materials for both the health insurance companies and the patients who receive the health care services.
List 3 marketing approaches you would use to target potential patients and health care insurance companies.
Explain what factors you used in choosing your specific marketing strategies and the purpose of each selection.
How should the hospital market their commitment to patients while considering valued based programs, accountable care organizations and bundled payments?
Some marketing strategies may include the following:
o Social Media
o Television/Radio
o Telemarketing
o Direct Marketing to customers and referrals
Full Answer Section
- Patient Education Videos: Produce short, informative videos on common health concerns and procedures offered at Krona. Share these on social media, the hospital website, and YouTube, establishing Krona as a trusted source of healthcare information.
Targeting Insurance Companies:
- Industry-Specific Newsletters: Develop email newsletters with data and reports showcasing Krona's positive clinical outcomes, cost-effectiveness under value-based programs, and successful patient transitions through accountable care organizations.
- Case Studies and White Papers: Create in-depth reports highlighting successful implementation of bundled payment models at Krona, demonstrating cost savings and improved patient outcomes for specific high-cost conditions.
- Webinars and Industry Events: Participate in webinars and conferences attended by insurance company representatives. Present data and case studies on Krona's commitment to value-based care, fostering stronger relationships and potential partnerships.
Factors Driving the Choice:
- Cost-effectiveness: Digital marketing offers a targeted and cost-effective way to reach both patients and insurance companies compared to traditional methods like television or telemarketing.
- Engagement: Multi-channel platforms increase visibility and engagement, building trust and awareness among both audiences.
- Data-driven approach: SEO and targeted ads allow tailoring messages to specific needs and interests, maximizing impact.
- Referral Network Development:
- Strengthen relationships with existing physician networks: Organize events and educational workshops for referring physicians to showcase Krona's capabilities and commitment to value-based care.
- Develop partnerships with local community organizations: Collaborate with health clinics, patient advocacy groups, and senior centers to reach underserved populations and offer educational resources.
- Implement a patient referral program: Offer incentives for existing patients to refer friends and family, leveraging positive word-of-mouth promotion.
Factors Driving the Choice:
- Leverages existing trust: Physicians and community organizations hold established relationships with potential patients, creating a trusted pathway for referrals.
- Reaches diverse audiences: Partnerships expand Krona's reach beyond online channels, engaging underserved communities.
- Cost-efficient engagement: Referral programs incentivize patients to become brand advocates, driving organic growth at a lower cost.
- Value-Based Messaging:
- Highlight commitment to quality and cost-effectiveness: Emphasize Krona's positive clinical outcomes, adherence to evidence-based practices, and successful participation in value-based programs.
- Transparency in pricing and billing: Make pricing information easily accessible online and provide cost estimates for common procedures.
- Patient-centered approach: Showcase initiatives aimed at improving patient experience, like convenient appointment scheduling, online bill pay, and clear communication channels.
Factors Driving the Choice:
- Aligns with industry trends: Value-based programs are increasingly important for hospitals and insurance companies, and demonstrating commitment can attract both.
- Appeals to both patients and payers: Highlighting quality and cost-effectiveness resonates with both audiences, building trust and confidence.
- Differentiates Krona from competitors: Focusing on value-based care positions Krona as a modern and forward-thinking healthcare provider.
By implementing these multi-pronged approaches, Krona can effectively market its services to both patients and insurance companies, attracting new patient mix, increasing referrals, and positioning itself as a leader in value-based healthcare.
Sample Answer
Krona Hospital's new marketing campaign requires a dual approach, considering both health insurance companies and potential patients. Here are three marketing approaches I would recommend:
1. Multi-channel Digital Marketing:
Targeting Patients:
- Search Engine Optimization (SEO): Optimize the hospital website for relevant keywords, including the names of accepted insurance plans and specific procedures offered. This ensures patients searching for care online can easily find Krona.
- Targeted Social Media Advertising: Utilize platforms like Facebook and Instagram to create ad campaigns specifically for patient demographics (age, location, interests). Highlight areas of expertise, positive patient testimonials, and affordability (especially relevant for high-deductible plans).