US 2011 Economic Data

Bayer study shows ways to improve client visits

In order to combat declining veterinary visits, practices need to address five specific problem areas, according to a new study.

Last week, NEWStat reported that the Bayer Veterinary Care Usage Study, conducted by Bayer Animal Health, the National Commission on Veterinary Economic Issues (NCVEI) and Brakke Consulting, identified six root causes of declining visits: The recession, fragmentation of veterinary services, and the prevalence of online information were identified as environmental factors. Client-specific factors included a lack of understanding of the need for visiting the veterinarian, "sticker shock" at the perceived high cost of care, and resistance to bringing cats to the veterinarian.

How to get clients back in the door

In order to boost client visits, NCVEI CEO Karen Felsted, DVM, CPA, CVPM, pointed out five key solutions for veterinarians to consider in order to combat declining visits. The solutions are:

Track visits and related metrics monthly
Develop and communicate a profession-wide mantra regarding need for exams and other care
Manage pricing and communication of value to avoid sticker shock
"Friend" the cats in your practice
Make it easy for clients to schedule and keep appointments

Track visits and related metrics monthly

Felsted pointed out that veterinarians should track visits (pet coming to the practice for a procedure or exam), as well as transactions (any invoice). "Right now veterinarians don't generally track visits," Felsted said. "Visits need to be a very important metric that's measured on a regular basis."

Practices should also keep track of new clients, active clients, transactions and visits per active client, and profitability.

Develop and communicate a profession-wide mantra

Human health-related organizations have slogans or mantras such as the U.S. Department of Agriculture's (USDA) "5 a Day for Better Health." According to the Bayer study, the veterinary profession could benefit from a similar mantra encouraging owners to bring pets in for annual exams. Identifying and disseminating science-based information on the need for exams could also be helpful, the study found.

Manage pricing and communication of value to avoid sticker shock

According to the Bayer study, 47 percent of dog owners and 54 percent of cat owners said they would take their pet to the veterinarian more often if each visit was less expensive. Felsted pointed out that large annual price increases are not a sustainable way to stay profitable.

"We simply have to become better educated about how to use pricing appropriately, and also to communicate the value of the services, and also to help pet owners understand that there are some financing options available," Felsted said.

According to the study, close to half of pet owners said a payment plan where they would be billed in equal monthly instalments for a year of regular veterinary services would get them to take their pet to the veterinarian more often. Competitive prices for pet products like flea and tick preventatives, supplements and specialty foods would also get clients in the door more often, the study found.

Clients don't necessarily understand what is important about exams, or even how often their pet should be brought in. Forty-six percent of respondents said that they did not completely agree with the statement: "My veterinarian clearly explains when I should bring my pet in for various procedures or tests." So discussing how often a pet should be brought in, as well as communicating the value of the exams are key.

"Many veterinarians do not talk through the exam when they're looking at the pet. So they're running their hands over the forelegs or the rear legs of the pet, the owner just thinks that they're petting the pet," Felsted said. "There is a whole host of things that a veterinarian looks at and evaluates when doing this physical exam and the owners just flat don't get it. They don't get it because we don't communicate it."

"Friend" the cats in your practice

"We aren't going to reverse the personalities of cats," said Felsted. "We aren't going to make them into creatures that want to go out on walks on leashes and ride in cars like dogs do. However, we can make this easier for the cats and easier for the owners."

One key to getting cats into the practice is to find out who has them. Some of your clients may have cats you don't know about. Asking clients what other pets they have when they bring in their dog is an easy way to get the cat into your reminder system, and later for the doctor to educate the client about the need to being the cat in for visits.

Make it easy for clients to schedule and keep appointments

Finally, making it easier for clients to schedule appointments is a simple way to increase visits. Methods such as booking the next appointment before the client leaves the practice and explaining why it is necessary can be effective. Reminders are also important, and you should employ the best way for the client, whether it is postcards, e-mail, or text messages. Online scheduling, phone reminders 48 hours before the appointment, and extended hours can also help.

Felsted said one of the most surprising finding of the study had to do with drop-off services.

"Most veterinary practices will let the pet owner bring their pet in, drop it off, the veterinarian will examine them when they have time during the day, talk to the pet owner either by phone or when they come to pick up the pet, and yet, the majority of pet owners in this study said that they were unaware that their veterinarian offered those services," she said.

Letting clients know this service exists could boost visits, since people have busy lives and schedules.

Allow me to help you put plans and strategies in place to maximise your future outcome.

Click here for “A Conversation for Possibility” with Dr. Gelderman

Study identifies reasons for decline in client visits

Cats are winning the fight against veterinarians, and it is up to practices to win them back, according to a new collaborative study on declining veterinary visits. Resistance on the part of cat owners to bringing in their cat was just one of the factors the study identified.

The study, conducted by Bayer Animal Health, the National Commission on Veterinary Economic Issues (NCVEI) and Brakke Consulting, surveyed veterinarians and pet owners to find out why companion animal veterinary visits have been declining over the past several years. Some of the key findings from the study, officially known as the Bayer Veterinary Care Usage Study, were announced at the 2011 North American Veterinary Conference (NAVC) in Orlando, Jan. 15-19.

Presenting the results of the study were NCVEI CEO Karen Felsted, DVM, CVPM, CPA; Ian Spinks, president and general manager of Bayer Animal Health North America; and John Volk, senior consultant for Brakke Consulting. Spinks called the results of the study "alarming."

"With an increasing number of pets, and decreasing numbers of veterinary visits, the question you have to ask yourself is ‘are pets getting the care they should be getting these days?’" Spinks said. "I think with a quarter of pet-owning households having spent nothing at the veterinarian in the last year, the answer, I believe, has to be ‘no.’"

From the study, six root causes of declining visits to the veterinarian were identified. They were divided into two categories: environmental factors and client factors.

Environmental factors

The environmental factors were the recession, fragmentation of veterinary services, and the prevalence of online information.

The recession had a clear impact on people’s bringing their animals to the vet. The survey found a clear correlation between income and frequency of veterinary visits, with higher income pet owners bringing in their pet more often.

Pet owners have more options than ever in terms of care. Form low-cost spays and neuters to shelter based care, to the growing number of pet store based clinics, many factors are putting pressure on traditional veterinary clinics. The increase in the number of clinics has also played a role, explained Brakke Consulting’s John Volk.

"From the period of the late ‘90s to the late 2000s, there was an increase of 48 percent in the number of veterinarians who predominantly practice companion animal medicine," Volk said. "So the number of people practicing companion animal medicine actually increased faster than the number of pets."

Pet owners and veterinarians reported that the Internet has also played a role in declining visits. Thirty-nine percent of the 2,000 pet owners surveyed said they turn to the Internet first before consulting a veterinarian.

"When pets get sick or injured many pet owners first turn to Google," Volk said. "What the veterinarians tell us is that if the pet owners delay two or three days to bring that pet in, some of those cases are going to resolve. But what happens is that the pets that do get brought in are often sicker that if they had been brought in right away."

Having a strong web presence can work in a practice’s favor. A robust Website with email reminders and an online calendar, or even a blog with free information from your practice can steer people back to you instead of Dr. Google.

Client-specific factors

One of the most important findings of the study was the message that practices are not successfully getting cats in the door for veterinary visits.

"Veterinarians are clearly in a test of wills with cats, and cats are winning," Volk said.

Fifty-eight percent of cat owners said their pet hates going to the veterinarian, compared with about 38 percent of dog owners. And in the last year, only 64 percent of cat owners have taken their cat for a veterinary visit, compared with 86 percent for dogs.

Another client factor is the lack of understanding of why animals need annual exams. More than one-third said that they would not go to the veterinarian’s except to get shots. There is also the perception among both dog and cat owners that older pets and pets who live indoors need less care. Owners with cats 9 and older were less likely to bring their pet in to a clinic, according to the survey.

And the final client factor was "sticker shock." Fifty-three percent of pet owners said they thought the cost of visiting the veterinarian was usually much higher than they expected. One quarter of pet owners said they would go to a different veterinarian if the new one had cheaper prices.

What to do?

In order to boost client visits, NCVEI chief Karen Felsted pointed out five key solutions for veterinarians to consider.

Track visits and related metrics monthly
Develop and communicate a profession wide mantra regarding need for exams and other care
Manage pricing and communication of value to avoid ―sticker shock
"Friend" the cats in your practice
Make it easy for clients to schedule and keep appointments

Check NEWStat next week for a more in-depth look at these strategies.

Allow me to help you put plans and strategies in place to maximise your future outcome”.

Click here for “A Conversation for Possibility” with Dr. Gelderman