Used to be the only thing retail about healthcare was the hospital gift shop. Well, those days are long gone. With better-informed consumers making their own healthcare decisions, and healthcare reform’s new coverage requirements, the competition for share of patient is heating up. As consumerism increases, so does the demand for clear, concise and differentiating messages from both providers and insurers.
Providers
Health systems, hospitals, doctors and retail clinics are all changing the way they acquire patients. More and more providers are pouring resources into consumer research to try to gain a competitive advantage in the marketplace. Organizations that never had to market before are jumping in with both feet.
Even established and successful brands are pumping up the volume. The Cleveland Clinic did a great job of upping awareness with a national campaign that included both traditional and online media. The Cancer Treatment Centers of America effectively uses customer loyalty strategies with its former patients, and has worked with the Four Seasons Hotels and Resorts to shift the customer experience away from clinical to hotel-comfortable. The Mayo Clinic has found ways to gauge the effect of its terrific word-of-mouth and encourage recommendations.
Soft, nice “we care” messages just aren’t enough anymore. You have to show consumers why you’re different, what you’ve got that those others don’t, and why they should choose you. According to the Deloitte Center for Health Solutions, 62% of consumers believe that hospitals vary widely with respect to quality and 57% say they would use quality rankings to compare doctors, and 43% said they would travel in order to save money on a procedure.
Providers need to focus on quality messages, and provide proof points. The qualifications of doctors and staff, advanced tools, cutting edge procedures, efficiency and the adoption of technology like electronic medical records are all compelling stories. As consumers demand more and more in the new retail market, providers must be poised to adapt.
Insurers
For providers of healthcare coverage, clarity is king.
Most consumers find the healthcare system complicated and confusing. They are increasingly aware of out-of-pocket costs and are starting to demand the same levels of service that they find in mainstream retailers. They want innovation, reasonable costs, better service and quality coverage.
Consumers are very concerned about their ability to manage future healthcare costs. In this way, it’s a great market for coverage providers. But, according to Deloitte, they are also want to be able to customize packages to include the things they think they will need. 70% say they would like an enhanced plan with wider coverage for both traditional and alternative treatments, and most are interested in some type of wellness plans or products.
As more and more people buy individual plans, it becomes more important for insurers to take their needs and wants into consideration. Around 60% of consumers say the reputation and familiarity of the company is important, and 65% say the quality of health plans varies widely.
In the new retail marketplace, companies that communicate well and help people unravel the tangle of different plans and pricing will be much more able to create happy customers, and therefore advocates. Those insurers who can demonstrate value in a clear, simple way will be the winners in the marketplace.
If you need help accomplishing that, Liz Conlin at re:group will be happy to help.
