Mais conteúdo relacionado


Mais de cweil(20)


Home Medical Equipment Retailers Speak Out

  1. 11 HME RETAILERSHME RETAILERS SPEAK OUTSPEAK OUT Medtrade Spring Retail PanelMedtrade Spring Retail Panel Retail TrackRetail Track
  2. 22 Panelists & FacilitatorPanelists & Facilitator  Jim Greatorex, Pres. & CEO, Black BearJim Greatorex, Pres. & CEO, Black Bear MedicalMedical  Jeff Kelemen, Pres. & CEO, EverythingJeff Kelemen, Pres. & CEO, Everything MedicalMedical  Tom Mullaney, R.Ph., President, MullaneyTom Mullaney, R.Ph., President, Mullaney Medical, Inc. (Material presented byMedical, Inc. (Material presented by Colette)Colette)  Colette Weil, Managing Director, SummitColette Weil, Managing Director, Summit Marketing (facilitator)Marketing (facilitator)
  3. 33 Panel Discussion ObjectivesPanel Discussion Objectives  Learn about different business models andLearn about different business models and the role retail/cash sales playsthe role retail/cash sales plays  Learn about the panelistsLearn about the panelists’ varying’ varying marketing strategies and retail viewsmarketing strategies and retail views  Discuss future strategy considerationsDiscuss future strategy considerations
  4. 44 Program OutlineProgram Outline  About the PanelistAbout the Panelist’s stores & business’s stores & business modelmodel  How they built retail/cash sale businessHow they built retail/cash sale business – Location & brandingLocation & branding – Revenue, product & services mixRevenue, product & services mix – Advertising, promotion, sales, internetAdvertising, promotion, sales, internet – In-store merchandisingIn-store merchandising  Q & AQ & A
  5. 55 Black Bear MedicalBlack Bear Medical  Large showroomsLarge showrooms  Personal servicePersonal service  Two locationsTwo locations  Satellite locationSatellite location  ComprehensiveComprehensive product offeringproduct offering
  6. 66 Black Bear Medical RetailBlack Bear Medical Retail ModelModel  Product Mix: 48% - Complex RehabProduct Mix: 48% - Complex Rehab 23% - Retail 22% Supplies 7%-DME23% - Retail 22% Supplies 7%-DME  Retail focus since 1994Retail focus since 1994  Surpasses $1 million in Retail-onlySurpasses $1 million in Retail-only revenue in 2004revenue in 2004  Use Rehab and Supply business toUse Rehab and Supply business to compliment Retailcompliment Retail  Convenient location in a known but lowerConvenient location in a known but lower rent locationrent location
  8. 88 Good–Better-Best SelectionGood–Better-Best Selection
  9. 99  3 Retail locations: 13 Retail locations: 1 Pharmacy & DME, 2Pharmacy & DME, 2 DME onlyDME only  Started as retailStarted as retail pharmacy in 1936,pharmacy in 1936, added retail DME inadded retail DME in 1989.1989.  DidnDidn’t hire first’t hire first outside salespersonoutside salesperson until 2001until 2001  42% Cash42% Cash  21% Medicaid21% Medicaid  17% Medicaid17% Medicaid WaiverWaiver  11% Medicare11% Medicare  9% Private9% Private Insurance, WorkersInsurance, Workers CompComp
  10. 1010 Three Retail LocationsThree Retail Locations All in Suburbs ofAll in Suburbs of CincinnatiCincinnati
  11. 1111
  12. 1212 Everything MedicalEverything Medical Las Vegas, NVLas Vegas, NV  ThatThat’s our service’s our service mottomotto  Started as a wholesalerStarted as a wholesaler of disposables in earlyof disposables in early 8080’s’s  Launched retail inLaunched retail in ’97’97  Good opportunitiesGood opportunities  We know the productsWe know the products  Two Locations, centralTwo Locations, central Las VegasLas Vegas  Primary: 5000 sq. feetPrimary: 5000 sq. feet retailretail  Second: 2000 sq. feetSecond: 2000 sq. feet retailretail
  13. 1313 About Las VegasAbout Las Vegas  Among highestAmong highest foreclosure levelsforeclosure levels  Among highestAmong highest vacancy ratevacancy rate  High unemploymentHigh unemployment  Recipe for HMERecipe for HME Retail?Retail?  3 senior3 senior communitiescommunities  VisitorsVisitors
  14. 1414 Our Business ModelOur Business Model  75% Retail75% Retail  25% 325% 3rdrd PartyParty  90% Medicaid90% Medicaid  Centrally LocatedCentrally Located  Location 1Location 1 • Across from theAcross from the county hospitalcounty hospital  Location 2Location 2 • 1 mile from 31 mile from 3 hospitalshospitals  Service: we willService: we will find exactly whatfind exactly what you need – you willyou need – you will love us, you will telllove us, you will tell your friends (causeyour friends (cause we know you willwe know you will be a customer forbe a customer for life)life)
  15. 1515 Selection, Selection, SelectionSelection, Selection, Selection Good – Better - BestGood – Better - Best  Commitment to inventory !!Commitment to inventory !!  Train employees on differingTrain employees on differing products and value for price –products and value for price – explain the why.explain the why.  Merchandise like a groceryMerchandise like a grocery store or pharmacy – bigstore or pharmacy – big movers with better margins atmovers with better margins at eye level – economy lines ateye level – economy lines at top or bottom of or bottom of section.  Utilize companies with selfUtilize companies with self service packaging but alwaysservice packaging but always back up with serviceback up with service
  16. 1616 Sales & Top CategoriesSales & Top Categories  Over $4 1/2 millionOver $4 1/2 million and growingand growing  Top areasTop areas  DisposablesDisposables  Compression hosieryCompression hosiery  OrthoticsOrthotics  Lift Chairs & ScootersLift Chairs & Scooters  Basic DME &Basic DME & AccessoriesAccessories
  17. 1717
  18. 1818 Jim GreatorexJim Greatorex Black BearBlack Bear Advertising/PromotionsAdvertising/Promotions
  19. 1919
  20. 2020 MerchandisingMerchandising  Put your best lookingPut your best looking high volume cashhigh volume cash items in front of storeitems in front of store  Put bigger ticket itemsPut bigger ticket items andand “scary“ products“scary“ products in a remote part ofin a remote part of showroomshowroom  Hire CSRHire CSR’s with big’s with big box store experiencebox store experience
  21. 2121
  22. 2222
  23. 2323
  24. 2424
  25. 2525 Jeff KelemenJeff Kelemen Everything MedicalEverything Medical Advertising/PromotionsAdvertising/Promotions
  26. 2626 AdvertisingAdvertising  Yellow Pages primaryYellow Pages primary sourcesource  2 million people in one2 million people in one phone bookphone book  Still the reference toolStill the reference tool herehere  Print in the beginningPrint in the beginning  Now specialty print magsNow specialty print mags & online& online  TV advertising using CoTV advertising using Co OpOp
  27. 2727 TV Advertising to WomenTV Advertising to Women
  28. 2828 TV Advertising to MenTV Advertising to Men
  29. 2929 Results of High Touch, HighResults of High Touch, High Care, High ServiceCare, High Service  Average 150 walk in customers/dayAverage 150 walk in customers/day  Cash customers return but small returnsCash customers return but small returns (<3% due to service)(<3% due to service)  Why? We personally help them withWhy? We personally help them with exactly what they need with trainedexactly what they need with trained personnelpersonnel
  30. 3030 WhatWhat’s Next?’s Next?   Digital and social media presenceDigital and social media presence  Community Service days get free publicityCommunity Service days get free publicity  Work with high active doctors/prescribersWork with high active doctors/prescribers  Specialty & Niche MarketsSpecialty & Niche Markets
  31. 3131 Tom Mullaney, R.Ph.Tom Mullaney, R.Ph. Mullaney MedicalMullaney Medical Advertising/PromotionsAdvertising/Promotions
  32. 3232 We print these on smallWe print these on small pads (Rx size) andpads (Rx size) and pass out to referralpass out to referral sources.sources. Chain pharmacies areChain pharmacies are one of our best sourcesone of our best sources of walk in business.of walk in business.
  33. 3333 We split advertisingWe split advertising cost with 2 othercost with 2 other Rx/DME stores thatRx/DME stores that dondon’t compete’t compete geographically withgeographically with us for retailus for retail We each spend 1/3We each spend 1/3 of what we wereof what we were spending!spending!
  34. 3434 Tracking Advertising ResponseTracking Advertising Response  Use a unique phone # on your ads to trackUse a unique phone # on your ads to track how many phone calls they many phone calls they generate.  Have a different # for Yellow Pages, TV, Web,Have a different # for Yellow Pages, TV, Web, etc.etc.  Have your CSRHave your CSR’s ask walk in customers how’s ask walk in customers how they heard about you & track them just likethey heard about you & track them just like you do referral do referral sources.  You need to know what works so you knowYou need to know what works so you know where to spend your $$.where to spend your $$.
  35. 3535 TelevisionTelevision  Network & CableNetwork & Cable  Who is your audience?Who is your audience?  Medicare/Medicaid Patients or Cash Patients?Medicare/Medicaid Patients or Cash Patients?  Use Spots from your Manufacturers andUse Spots from your Manufacturers and just add your Name & Phone #just add your Name & Phone #  Use Co-Op DollarsUse Co-Op Dollars  Set up a year long schedule, you canSet up a year long schedule, you can cancel anytime.cancel anytime.
  36. 3636 TV CommercialTV Commercial
  37. 3737 In StoreIn Store  Think like a retailerThink like a retailer  Impulse salesImpulse sales  Add on salesAdd on sales  Up-Sell: Good, Better, Best.Up-Sell: Good, Better, Best.  Set up your show room to do thisSet up your show room to do this  Seasonal Products ( SAD Lights,Seasonal Products ( SAD Lights, Holiday Gifts)Holiday Gifts)
  38. 3838 Questions andQuestions and AnswersAnswers Thank you everyone!Thank you everyone!

Notas do Editor

  1. We participate in very few private pay insurance plans (I won’t accept 60% of Medicare) but we sell these patients a lot of products for cash. Once you explain the coverage criteria &amp; paperwork, a lot of them are willing to pay cash. Think how much better off you are if you only sell 25% of them something for cash, rather than 100% off them at 60% of Medicare and all the extra work involved! Having the retail pharmacy definitely brings in more people, maybe you partner with a pharmacy that doesn’t want to do DME?
  2. Retail showrooms from 1500 – 2500 sq. ft. Mobility Location (scooters, pwc’s is 64% cash sales)
  3. We do this internally with our phone system, but your phone service provider should be able to give you reports. We have a T1 with 24 channels (lines) and can have an unlimited number of phone numbers. They only cost about $5/month for 20 numbers
  4. Cable is cheaper, but it reaches fewer people. Who is your target demographic? Older patients or their younger care giving family members? People with cash or patients who only want it if it’s ‘free’
  5. If you are going to put supplies on your floor (ostomy,etc) at least feature &amp; promote additional accessory and add on cash sales. Most ostomy pts come in for a specific product and you can have it in the back in high denisty selving, not taking up valuable retail space. Use retail space to show Good, Better, Best &amp; Up-Sell! Our lift chairs start at $600, but we hardly every sell one, the average is $900! But you must have the $600 model to get them in the door. If they call you and yours start at $900 and they call your competition and they start at $600, where do you think they are going to go?