Read the latest optometry practice management and leadership news.
Thanks for following us as we explore suggestions for lowering your Cost of Goods Sold. Read on for a couple of my final suggestions.
If patients are walking out of your office and they are only paying you 50% of what they owe you, then there is room for improvement. You should review this with staff and make sure that they understand what the office policy is. If it’s not 100% due at time of service, then you should probably change your policy or implement a new one. Instruct your staff to give the patient an option of how to pay (cash, check or charge) and not an option of how much to pay.
I’m all for any type of strategy that increases revenues, but in my opinion savings are given too often and fail to make the practice more profitable. Generally, we find that many of our new clients' fees are already too low and to discount them further makes no sense. Often, focusing on low prices becomes the main focus of the practice instead of excellent service and high quality products. Price is always a factor in a patient’s decision-making process, so do everything you can to minimize a patient's risk and maximize their interest and perception of value. Your patients don’t know what they don’t know unless you teach them and educate them about your services and products.
There are many more strategies that you can put in place to help you control your expenses. Don’t make the mistake that others are making by sitting back and expecting things to change on their own. Instead, take initiative and make change happen by putting a plan in place to control what you can control.
Click here for more info on working with Williams Group!