Marketing in Transition. presented by Irving L. Stackpole, RRT, MEd

Transcription

1 Marketing in Transition presented by Irving L. Stackpole, RRT, MEd

2 Financial Disclosure Neither Nor Irving L. Stackpole has been paid anything by any person or organization in connection with this presentation

3 Objectives 1. Identify potential scenarios for ACA 2. Describe impacts of ACA 3. Describe ACOs most likely connections with post-acute senior care services 4. List ways to assure relevance in the post-aca provider networks 5. Draft and tactical steps for positioning for success

4 Presentation Available Marketing in Transition

5 Who Are Our Customers SNFs demographics/ psychographics What are their motivations / inhibitions? They need to buy Payors / regulators demographics / psychographics Motivations / inhibitions? They need to buy 5

6 Consumers Who are our consumers? Residents / Patients / Adult Children demographics / psychographics What are their motivations / inhibitions? They need to buy Where are our consumers? 6

7 How bad is it?? Consumers Customers Context

8 Challenge - Marketing Matching Supply & Demand There are 7 ways to defeat. The first of these is the failure to count. 8

9 Quiz #1 The aged cohorts are A. Increasing B. Decreasing C. Some going up, some going down D. Staying about the same 9

10 2012 Born yoa 2012 Born yoa 2012 Born yoa 10

11 2012 Born yoa 87 admission 2017 Born yoa 2022 Born yoa 11

12 Dearth by demographics

13 Quiz #2 The congregate senior care centers are A. Increasing B. Decreasing C. Some going up, some going down D. Staying about the same 13

14 The Supply Side Nursing home occupancy rates declined from 85.5 percent in 2004 to 82.9 percent in 2010 showing excess capacity. Long term residency of young cohorts increasing to 14% Despite the above, SNF patients are older & sicker ADL dependency increasing 14

15 Occupancy Data 15

16 The Supply Side Of the 1.4 million residents in nursing homes: 64 % Medicaid, 22 % out of pocket / private payers, and 14 % Medicare The percent of residents paid for by Medicare has increased by about 16 percent since 2004 with a reduction in the percent paid by Medicaid. 16

17 More Supply Side 17 The number of for-profit nursing homes increased from 65.9 percent of all homes in 2004 to 67 percent in 2009, while the number of non-profit nursing homes and public homes declined slightly. Nursing home chains were 54 percent of the total homes in 2009, showing a 3 percent increase over Increase FPs in CCRCs

18 18

19 Demand for Arthroplasty Joints will save us? 4000 Number of patients (x 1,000) Est. GAIN ~300,000 We are Here Primary total hip arthroplasty Primary total knee arthroplasty Revision total hip arthroplasty Year Revision total knee arthroplasty

20 Alzheimer s - Demand for ARD Care 1,600 Medicare/Medicaid Costs per year (billions of dollars) 1,400 1,200 1,000 We are Here Inflection Point

21 Is the sky falling?

22 Another issue is the culture Not only is LTC NOT thought of as the valuable resource it is They are seen as prisons awful places The F word Don t want to put / place mom in a nursing home. I d rather be dead. Deep metaphor of negativity 22

23 Conclusion To Quote Randy Newman It s a Jungle Out There 23

24 Context What is the ACA 24 Ten (10) titles Three Principles: 1. Insurance Market Reform 2. Individual Responsibility 3. Insurance Purchase Subsidies Title II - Double Medicaid Enrollment The 25% old = 68% of spend The 18% dual eligible = 46% of spend

25 What is an ACO JyL0 25

26 So what can we do? Marketing Mindset The Value Proposition Understanding what the customer / consumer really wants / needs Is this consistent with what we are selling? What are the difference between and Customers and Consumers? 26

27 Customers SNFs / ALRs demographics/ psychographics What are their motivations / inhibitions? They need to buy Increase revenue (RUGS) Reduce risk Reduce costs Reduce unnecessary hospital readmissions 27

28 Consumers Prospective Residents / Patients / Consumers - demographics/ psychographics Motivations / inhibitions? They need to buy The adult children need support They are not highly willing to pay Where are they? 28

29 Market Conclusions Market size is declining most places Losing ~170,000 LTC residents this year Gaining Arthroplasty not enough due to LOS No big increase in the very old cohort until ~2027 Disability rates are There are more options ALRs, HCBS State incentives for non-institutional care (ACA) Age + Acuity (ADLs & IADLs) for consumers

30 Faster, Better, Smarter Ways to be fast Get upstream Plan ahead Technology 30

31 How to Win? Ways to be fast Get upstream - Customers Build Awareness Offer information / options of VALUE Purchase decision cycle Time? 31

32 Your Opportunity! 32

33 How to Win? Ways to be faster Get upstream - Customers Pull through Case Managers Consumers Doctors 33

34 How to Win? Ways to be faster Plan Ahead Disease burden = Opportunity Contracting w/ MCOs / DMCs Match Strengths w/ Pain Seek Younger / Larger / Underserved Doctors 34

35 How to Win? Ways to be faster Technology & Decision Cycle Management 35

36 How to Win? 36 Ways to be better SNF Clinical outcomes Handle transitions Speak their language Partner with your pharmacy & rehab providers Consumers Testimonials Affiliations

37 How to Win? Ways to be smarter KNOW your Customers RESEARCH Hospitals to SNF to Hospital Re-admissions Dx Categories Identify the PAIN Clinical outcomes Value Formula 37

38 38 Stackpole &

39 39 Stackpole &

40 40 Stackpole &

41 How to Win? 41 Ways to be smarter Know your UPSTREAM Customers RESEARCH PAYORS Managed Care Dx Categories Disease Burdens / Cost Cost / Benefit - ROI Clinical outcomes Value Formula Impact of ACA

42 Rx for Long Term Care Pharmacies Marketing Messages The metaphors are extremely negative The words are bad really bad Images are often worse than the words! The F word 42

43 How to Win? Ways to be fast Get upstream Plan ahead Technology 43

44 Cheap subliminal suggestion www. StackpoleAssociates.com Call today to see how we can help you!

45 Bibliography Albrecht K. and Eke, R. Service America. New York: Warner Books, Inc Bruner II, G.C., James, K.E., and Hansel, P.J. Marketing Scales Handbook: A compilation of multi-item measures, volume iii. Chicago: American Marketing Association Chase, R & Dasu, S. Want to perfect your company s services?: Use behavioral science. Harvard Business Review June, Cialdini, R. Influence: The psychology of persuasion. New York: Quill Johnson, M & Gustafsson, A. Improving customer satisfaction, loyalty and profit: An integrated measurement and management system. San Francisco: Jossey-Bass Reichheld, F The Loyalty Effect: The hidden forces behind growth, profits, and lasting value. Boston: Harvard University Press. 1996

46 Bibliography Hillestad, S & Berkowitz, E. Health Care Marketing Plans: from strategy to action. Gaithersburg: Aspen Parasuraman, Zeithaml and Berry. A conceptual model of service quality and its implications for future research. Journal of Marketing Fall: McDonough, JE, Inside National Health Reform. Berkeley University of California Press 2011 Patterson, P. & Spreng, R. Modeling the relationship between perceived value, satisfaction and repurchase intentions in a business-to-business, services context: an empirical examination. International Journal of Service Industry Management. Vol. 8 No. 5, 1997:

47 Bibliography Stackpole. I. & Ziemba, E. Make Your Marketing P-P-P-P-Perfect, Care Management Matters, April 2008 Stackpole, I. & Ziemba, E. It s Not What Your Say It s What People Hear!, Care Management Matters, June, 2008 Zaltman, G, Zaltman, L, Marketing Metaphoria: What deep metaphors reveal about the minds of consumers. Boston, Harvard Business Press 2008 Ziemba, E. Campaigns that Work. Care Management Matters, April,