Back to "Normal"

The United States has just chosen who will run the country. Now will we ever see things return “back to normal?” What does that mean? I thought long and hard to find a correct description of “normal”. Is it usual, standard, customary, orderly, right, correct or typical? Actually it’s all of the above.

I have received a number of calls and messages wondering when things will return to normal? My answer to all of them was: “When things are quiet and peaceful and you can sit down to read a newspaper, is that what you want? No! Being busy all day is your goal!

 

You are an entrepreneur running the business and you must make decisions quickly! Your customer will ask a question, a family caregiver is seeking help, your clerk has a problem, the telephone is ringing, the mail carrier comes in with a handful of mail, your wife wants you to shop on your way home, and your son has to be picked up at the gym.  Yes, this is all perfectly customary!

The good thing is that we never think about all of these happenings nor do we concern ourselves with them. We respond to all of these and you are successful because you are professional and your business is the livelihood for your family and employees. Your company has the responsibility of providing good care, supplies and working with customers and their family caregivers. That’s how it should be!

My answer to when will things “return to normal” is typically what has always been. Times change and without realizing it, so do you. Now our industry has to reach out to the incumbents and newly elected. Every effort must be made the get their support for HR 6490 (MPP).

When you continue to provide the service and care, as you have always done, your company will flourish. Normal is status quo.

Communication

I often write about the importance of communication. I spoke about this in my blog called “Monday Morning”, because that is when I find my e-mail box full (I receive more than 135 messages daily).  Reading these starts my day in a most positive fashion.

"Communication" is a difficult term to explain. To me it is simply means “passing information” from one to another. We are in the health care provision segment of the industry and all of us face similar problems. When we talk or write to peers our communication messages normally are telling how we have coped with difficulties. Topics range from Medicare, family caregivers, customers, staff and any or everything that happens every day.

In the nearly 35 years I have been attending the Medtrade Exhibitions it has invariably been the venue where “communication rules”. I walk the floor and speak to as many providers possible and what I learn is amazing. Providers in California and Maine all have answers they share with how they approached and resolved a problem. They, at opposite ends of the country, responded to the same nuisance in a different fashion and have good results.

Whether you stroll the exhibition floor, attend a seminar, a lecture or participate in the multitude of activities available at Medtrade this year in Atlanta, come prepared with a pen and paper pad, laptop, or iPad. Don’t trust your memory to recall all the information that passes from one to another. Write things down. Last year I spoke with two different providers, one from Missouri and the other from Alabama. Each had a small recorder and recorded everything I they heard of value for their company.

When you return home, you will be able to remember much of the communication. Armed with that information you will be able to put into effect many new changes. This is when you realize that Medtrade is a most important opportunity to communicate with peers and educators.

You can teach an old dog new tricks! ...my thoughts on social media for DME Providers.

There are  many excellent means of communication for DME/HME providers available today. I am always pleasantly surprised when I receive an e-mail or  phone call from an old friend. I welcome these and make every effort to answer each. But today the number of “hits” I receive from Facebook overwhelms me.

This morning, I heard from 12 people on LinkedIn. I recognized nine and am sure somewhere I crossed paths with the others. I receive several messages daily. My problem is in my 86th year, I neither have the skill nor the patience necessary to acknowledge them all.  All of these "social networks" including FaceBook, LinkedIn, and Twitter are superb means of communication. I strongly suggest that every DME/HME provider utilize at least one of these sites to his or her advantage.

What I do not want to see is that this great service degenerate into a major marketing and advertising program. I believe if you attempt to use it to overly-promote your business and specials, it will defeat your effort and your "friends" will begin to tune you out. However, when used as a personal approach it can fill a big notch. What I suggest is a DME/HME provider use Facebook as a simple method to say “thank you” to your customer and share with them interesting articles they may find useful. Make sure that whatever you provide is overall helpful to your customers.  That is called “good customer service.”

A special program in your showroom such as Blood Pressure or Diabetes screening day invitations can be sent via Facebook. Offering a  demonstration of equipment on a Saturday morning with the manufacturer’s salesperson is also appropriate. Use Facebook to make the announcement. This should be supplemented by an announcement to the local newspaper,  radio and TV stations.

Communication, when used properly, is one of the most effective  means of customer service. By providing good information you are also selling your company and this is far less expensive than buying advertisements. A satisfied customer is the best ROI you can obtain. 

Please find me in the social media world on Facebook & Twitter! I would love to hear from old friends. 

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Doing What Comes Naturally

I have had the pleasure of meeting so many DME/HME providers in my 60 odd year career.  When we speak, I usually ask about the way they approach the market in their hometown. The answers I receive are all basically they same.  They are doing what comes naturally.

There are no secrets to becoming a good marketer! Although you may not think that you are a good marketer, the truth is that you really are good.

All markets must be approached as if they are unique. In a small town or village, the competition usually is not a major department store or supermarket. There, you are an integral part of the community. You belong to the local business club, church and went to the local school. You are doing what comes naturally, speaking, promoting and participating. All of this reflects as your business grows.

As the size of a market expands, the competition becomes more apparent, then one has to approach things differently. Everything you do is to keep you company name recognized. A DME/HME dealer in Maryland sponsored a baseball team and that was good enough to be invited to participate in a major Little League competition upstate N.Y. One entrepreneur belongs to a Rotary Club and his location became the source of tickets to their various fund-raising activities. Another organized a bowling tournament which has been active for almost 20 years.

A dealer in southern Illinois hires a big horse-drawn wagon to carry neighbors “apple knocking” every fall. These trips have sent loads of people picking apples and he said the cost is minimal for his company.  In California, way up in the mountains, that local DME/HME provider gives a “good health” chat on a local radio station and it has been expanded to local TV. 

By doing these things, they each have developed a large following and a nice ROI. All of the efforts I mentioned are providers “doing what comes naturally.” You, too, can do it!

Customer Service

This morning I received a call from an old friend, a DME provider in Vermont. One of his customers rented a hospital bed for their mother. He reviewed all the instructions with her, but he got the impression that she was not at ease. 

The next afternoon he picked up the phone just to see if every thing was satisfactory. They were on the phone for more than twenty minutes!

In the morning her husband stopped by the showroom to express his appreciation for that phone call. He said his wife was concerned she would not be capable of giving her mother the attention and care she needed. However, after that conversation with the owner, his wife relaxed and lost the trepidation she had. His “thank you” was worth a million dollars. This is customer service.

So what is customer service? It is something that you and all your employees have to comprehend. It is a smile, a cheerful hello and listening. Always allow your customer to take the lead when they come to shop. They will tell you what they came for so you can satisfy their need. The customer must ask and you must listen. In a previous blog I wrote about an aggressive salesperson and how a sale was lost. A soft approach is always effective.

I know several DME proprietors who ask at  their staff meetings ask one of their sales people to speak about an experience with a customer. His team learns from one another and his business continues to grow. Word of mouth from satisfied customers is the best advertising you can earn! This is what happens when your company staff understands customer service.

How to Approach the New Market- Need Your Ideas!

Speaking and working with peers is an excellent way to compare how each approach this gyrating healthcare market. As an industry DME/HME providers face a difficult problem. For many years reimbursements, whether from Medicare, Medicaid or other sources, was always a steady cash flow. Unfortunately, it has now become a trickle rather than a flow.

To submit a bid, which would provide even less that the current reimbursement rates, makes no sense. The government is not cognizant that the problem is not DME/HME. They have made it so convenient for “non-professionals” (a euphemism for thieves) to rent a storefront or an office to become a provider. They do not have to prove they have any skills, a license, a degree or a certificate showing education (PT, OT, RN, RPh, etc.).

They collect reimbursements until the payers catch them. Several of these clandestine operations have stayed busy submitting invoices for several years before they were closed. How many went to jail? How many quick buck artists walked away? Did any ever return the stolen funds?

The approach our industry has to take, in unison, is to demonstrate how DME/HME providers earn their money. How much pro-bono is provided? We have to identify how the well-trained staff  work with their customers and family caregivers. DME/HME is NOT sufficiently reimbursed to provide supplies, equipment and services to be able stay solvent much longer!

Can a meeting of our industry be arranged to just see how to correct these difficult problems? The state and national associations do a superb job. The buying groups and publications work to address the failures in the system. BUT IF THEY ALL WOULD TEAM TOGETHER, how much more effective will they be? WOW !!!

I would like to hear ideas from you in the front trenches, your ideas how to approach the changing markets, Please e-mail (shelly.prial@att.net) your thoughts and I will share them with all.

Seeking New Opportunities in New Markets

In order to keep pace with a rapidly changing market, DME/HME dealers and providers must always seek new opportunities. Reimbursements from Medicare or Medicaid, as well as contracts with HMOs, are all paid at a very low level. They should never be considered as a primary source of income. Keep what you have! But always look around for more profitable advantages.

In my discussions with many dealers I discovered one source you all have. It is your employees! They each have ideas, some may be off the wall and so many others have proven to be superb.

The idea to offer a “free wash and check your wheelchair” day come from a salesperson working for a dealer in upstate New York. I have written about this often and every time another dealer does it, I invariably receive a message telling me about their success.

The Americans with Disability Act is another tool to build new sales. Your outside salesmen should talk about this at every account. Call your Senator or Representative’s office in D.C, and ask the HLA (health legislative assistant) to please obtain a copy for you. Armed with that your company’s service will be truly appreciated (and earn a great big bunch of new sales).

One of the major benefits of Medtrade is the ability to walk the showroom and see how many new products and new sales ideas that will be a benefit to your bottom line. They are there waiting at the exhibition for you! I have always recommended that if at all possible to bring one or two of your salespeople. The cost of this will have a big ROI. I have been told this so many times! When your employees return home from Medtrade they are busting at the seams to bring these ideas to fruition. Let them do it!

Your task, as the both the entrepreneur and owner, is to polish and allow all the employees to be comfortable and share with you all they have learned, and when that happens, new ideas and new markets will be opened.

Do you know the ABCs and ROIs of DME/HME?

ROI means Return On Investment. A good ROI is what every principal of a DME/HME company and their accountant seek.

Every service you offer requires an investment. It can be number of dollars or time spent. No matter what how you identify it, there is an investment made. Taking an advertisement, offering to do a seminar, holding an open house, speaking at schools and churches, all of these are time consuming and each has a cost. So be sure what you offer will provide you with an ROI. When done correctly these all will pay-off for you.

My main concern is how you maintain your inventory. A dealer last year at Medtrade told me about a “great deal” (his words) he obtained from one of his vendors. He purchased a six-month supply of their products for an extra discount. He thought he made a lot of dollars. I had to disagree!

More money is made by turnover; the number of times you sell an item and replace it. At a seminar I attended at a previous Medtrade this was explained as follows:

On January 1, you buy an item for $90.00 and sell it for $150.00. The gross profit in that transaction is 40%. If you sell that item and replace it only once a month, the ROI in one year of an investment of $90.00 is $720.00 profit. If you purchase a six month supply of the same item to earn an additional discount then you will run into the problem of storage, where and tear and handling. You have tied up your cash and these precious dollars are not available for anything else.

I believe the term accountant’s use is Activity Based Costing or “ABC”. It has proven to be much less expensive to pay few percent more than to fill your warehouse or storage space. Better profits always will come from “turn-over” and that reflects as a better Return On Investment (ROI).

Please discuss ROI versus turnover with your accountant because a fluid cash flow is the heart of any business. This is particularly true for DME/HME where things can change so rapidly.

To attend a seminar like the one I mentioned above, just visit www.medtrade.com and make the trip to Las Vegas April 9-12!

Planning & Implementing

Robert Burns is often quoted as saying: “the best laid plans of mice and men may often go astray.” He is correct!

Over the years many DME/HME dealers have shared with me their thoughts; what they are planning to do to build more sales and increase their profits. I have heard so many excellent ideas.

But there is a difference between planning and implementing and so I want to stir things up a bit. Implementing is to continue the planning. Take your excellent ideas and turn them into reality.

Appoint the members of your staff who are responsible to explain the program you planned. Be sure to give a copy of the plan to each of them. Then appoint specific functions to every employee and have them coalesce. In that way they will meld into a team. Monitor and work closely with your employees.

If any of your preferred vendors products are featured, do not hesitate to ask them for support. You will be surprised with what they can do to enhance your program, which will help implement it.

Planning is only the first step. Implementing is the next step to harvest the crop. It requires a great team effort to reach your goal. Every member of your staff from the voice on the telephone to the drivers of the delivery vehicles has to contribute to your “plan.”

Alexander Dumas said “Nothing succeeds like success” and I want to add that happens only when you implement your plans!

Feel free to call me on my WAT – 1-877-553-5127 or send me an e-mail. I will be delighted to help you with any thoughts you may have. If you are attending Medtrade Spring, please stop me and let us speak.

Are you really listening?

Sometimes we are so busy we often forget to listen. When I recently visited a DME/HME dealer, I was watching their salesperson showing a senior citizen and her husband how to correctly use the new wheel chair ordered by her physician.

He did an excellent job demonstrating all the features of the chair, but … and here is the problem he missed. He didn’t listen to the question that concerned the husband. He was asked about how HE, an 80+ old senior, would fold the chair?

The young man lifted the seat and the chair closed into itself. What he should have done is allow the customer do it by himself. Although somewhat frail he was capable. Other questions were asked, how to travel carrying her pocketbook, how to use the chair when shopping, and how to put it in the trunk of their vehicle.

Think about what your customer wants. When they come to you to make a purchase they are looking for explanations and demonstrations. They seek a comfort level. When they leave and have made the purchase, they are now ready to maximize the benefits. However, when they are not fully satisfied they usually will say “thank you” but they want to speak to their children. You may have lost that sale!

All I can say is please listen very carefully to what your customer asks and pay attention to their comments. Be very sure you address and answer any questions and resolve any doubts they may have.

At Medtrade in Las Vegas, try to arrange with your vendors to have sales training sessions for your staff. These invariably are “win-win”.

Visit http://www.medtrade.com for more information on the upcoming conference this April 2012!

How are you using E-mail Marketing?

E-mail, is it a blessing or not? Can a DME/HME dealer use e-mail effectively? This past weekend this topic was a discussion I had with a few cronies (peers). It appears that most senior citizens enjoy reading their e-mails and at the same time abhor the great number they receive. This morning when I opened my computer I found 87 new messages. I deleted all but a dozen, which I read carefully. There was much important information that arrived. Dave Parks sends his HomeCare Newsletter, which is filled with current events. Important? Yes! Then I opened the hmeNewswire, which Liz Beaulieu edits, and this is another good source of news. Since we are about a month away from Medtrade Spring, it is also important to study Medtrade Monday as we all prepare for tomorrow. All that is what a DME/HME provider normally does. How do your senior citizens look at their e-mails? With enthusiasm! They, too, wipe out the obvious commercials in which they have no interest. However, this still leaves a good number for them to review. I was with three other gentlemen my age and two of them both told me the same thing. They look forward to the weekly newsletter their pharmacy sends. There was always a good health idea and occasionally a sale on an ADL item. I have spoken with a number of dealers at the Medtrade meetings. They do the same and tell me sending a Weekly Newsletter, via email, does two things for them. It maintains the loyalty of the customer and increases sales when they offer a single item at a special price. All of the necessary material to successfully send an e-mail weekly newsletter is in your computer. If you have the address of the family caregiver, please include them. The answer to my opening comment is that e-mail can be a valuable tool for a DME/HME provider. If you're looking for an inexpensive way to market to your customers using e-mail, check out Constant Contact at www.constantcontact.com.