Well here is the 1st publication showing the cost effectiveness of a cash based physical therapy practice! Here is the Pub Med link https://www.ncbi.nlm.nih.gov/pubmed/30640238 Feel free to use for you marketing as you fit appropriate! (….especially comparing cost of CBPT vs standard healthcare!) Here is the PDF below Service_Utilization_and_Costs_of_Patients_at_a.6_FINAL PROOF Enjoy,...
Lets see…. I used to just ask myself this and just choose a number and as long as it is less than the revenue I generated, then I was OK with this. Spend $400 on marketing. Get one new patient Spend $250 on marketing. Get one new patient Maybe even spend $1000 on a radio ad. Get a patient or 2. but I had no reasoning why I picked this number. Now, there has to be a better way to figure this out. Let do it better and maximize efficiency! 1st step: How much is your average revenue per patient? You need to know this number before you ask yourself how much you want to spend. My current average revenue per patient is $1181 this year. Great! What is your average revenue per patient this year? (you must know this) 2nd Step: Set a new standard and optimize customer acquisition cost per patient Lets shoot for 20%! Knowing my average revenue per patient is $1181, I am willing to spend roughly $230 on marketing in hopes of getting one new patient. WHY DO THIS? Because when you start a paid marketing campaign you need to ask yourself this question when deciding on how much is worth spending on a marketing strategy At a worst case scenario, how much money are you willing to spend if your marketing strategy only generated 1 new patient. Problemed Solved! My new standard is 20% for paid marketing strategies (the lower the cost per customer acquisition the better!) As you fine tune your marketing and show better conversion rates, the next question...
Here is an example business plan that I used when I started my small business and to help others PT’s start their cash based physical therapy practices 1 year CBPT business plan For more information about my business strategies, objectively measuring your business, statistics, and cash based mentorship Enjoy, ...
