The rise of the empowered health care consumer

Transcription

1 The Dbriefs Health Sciences series presents: The rise of the empowered health care consumer Jason Wainstein, Principal, Deloitte Consulting LLP David Betts, Principal, Deloitte Consulting LLP Sarah Thomas, Research Director, Deloitte Center for Health Solutions, Deloitte Services LP Harry Greenspun, MD, Director, Deloitte Center for Health Solutions, Deloitte Services LP June 23, 2015

2 Agenda Meet the new health care consumer Engage the new health care consumer Collaborate in the new age of consumerism

3 Meet the new health care consumer

4 Health care has historically been controlled by physicians and payers with incentives aligned to a fee-for-service model Focus on sick care over wellness and prevention Aggressive growth in services Little transparency and collaboration Success based on rates, volume, and market share Consolidated and complex long-term contracting Complex regulatory environment Health care consumer of the past: Engagement with system only when sick Overuse of medical services Frustration over complexity of information sharing Lack of incentives and tools for interaction Misalignment of incentives #HCDbriefs

5 Three shifts setting the scene for greater consumer involvement Market dynamics and financial risk turn to the consumer Consumer desires and expectations are changing New entrants view health care through a different lens The new health care consumer Source: Deloitte University Press: Rising consumerism: Winning the hearts and minds of health care consumers #HCDbriefs

6 Poll question #1 When considering the overall population, I believe most health care consumers are: Cautious about cost, but are not overly engaged in their own health care Independent and have the desire to customize with alternatives to traditional care Interested in digital and seeking information from online sources Actively seeking options for better value Trusting of providers and content with the health care they receive Not sure or no opinion

7 56 percent are passive health care consumers Out & About Independent and prefer providers who use or integrate alternative medicine and treatment approaches Want to customize plan benefits Shop & Save Actively seek options for better value Highest use of retail clinics Save for future costs 8% 6% 34% Source: Deloitte Center for Health Solutions: 2015 Survey of US Health Care Consumers #HCDbriefs Sick & Savvy Heavy users of health care Partner with doctors to make treatment decisions Most prepared financially to handle future health costs Want quality and price info 11% 19% Online & Onboard Online learner use online information sources and tools Happy with care, but want to understand options Interested in using digital Want quality and price info 22% Casual & Cautious Light users of health care Not engaged (no need) Cost-conscious, but least prepared financially to handle future health costs Least compliant Content & Compliant Happy with plan and providers Trusting of information sources Rely on physician to make decisions Follow care plans

8 Structural changes and new dynamics are changing how the consumer makes health care decisions Public and private exchanges Technology New entrants Other industries Consumers pushed to make choices Some employers have shifted costs to employees Plans available via public and private exchanges often involve more costsharing New technology to interact with consumers Rise of digital communication is causing interactions between stakeholders to proliferate Emerging mobile apps tailored to health care/health management Non-traditional players are disrupting the marketplace Provision of services is shifting to unconventional domains (e.g., retail clinics, online health plans, etc.) New entrants are technologically nimble Consumer desires influenced by other industries Consumers are surrounded by personalized and data-driven tools that enhance their experience High levels of engagement in other industries are setting a high bar #HCDbriefs

9 The new health care consumer is more informed and involved Increased access to information Increased touch points and omnichannel Demand for real-time interaction Demand for self-service and digital interaction The new health care consumer Increased consumer choice Making economically rational health care choices 40% 33% 47% 40% 25% report looking online for information related to health and treatment are interested in using technology to actively interact with their doctors prefer to partner with physicians to make treatment decisions with chronic illnesses say discounts, rewards, and alerts could help modify health behaviors say they use a scorecard or report card to compare doctors, hospitals, and plans Source: Deloitte Center for Health Solutions: 2015 Survey of US Health Care Consumers #HCDbriefs

10 Poll question #2 In my opinion, consumerism in health care is: Just another trend: There is a lot of noise about this idea, but another trend will come along to displace it A driving force that industry is ready for: The industry is making important strides forward to meet the new demands Happening, but industry is unprepared: Despite the importance of this trend, the industry is not ready to adapt Not sure or no opinion

11 Engage the new health care consumer

12 Understanding customer wants and needs is key in developing a customer-focused strategy Personalization. Consumer research and segmentation uncovers essential information for market and individual needs, enabling direct and customized interactions. Simplicity. The development of streamlined experiences by eliminating silos and barriers increases customer satisfaction by reducing their efforts for interaction. Efficiency. Maximize consumer value across service lines by aligning assets optimizing organizational efforts which address customer needs and preferences. Transparency. Consumers want an experience which matches their perceptions and expectations; transparency in pricing and services offered supports this goal. Security. The assurance that financial and health information are securely stored and transmitted is critical for the new health care consumer. #HCDbriefs

13 Challenges to engaging the new health care consumer Employee engagement THE EXPERIENCE Delivering an exceptional experience has long since outgrown the jurisdiction of outreach alone EMPLOYEE ENGAGEMENT Customer orientation is best delivered by highly engaged employees #HCDbriefs Customer engagement INFORMATION OVERLOAD Customers have increasing access to outside information about the providers they seek CUSTOMER TOUCH POINTS The number of customer touch points has exploded in recent years organizations need to prioritize which to manage CUSTOMER HABITS Customers are shifting and modifying their habits, preferences, and tastes at lightning speed

14 The new consumer health care journey extends beyond clinical services Pre-visit Service delivery Post-visit Research providers/ services Schedule visit Arrive & check In Receive care Obtain referral Pay for care Follow up with provider Check coverage Obtain prior authorization Register Discharge/ counseling Check out Plan for follow-up Home care/ monitoring Barriers to an exception consumer experience: Difficult to identify the right provider or service(s) Central communications lacking Lack of proactive engagement with patients Lack of visibility into procedure or care Lack of transparency for out-of-pocket costs Lack of personalized goals #HCDbriefs

15 Poll question #3 What do you think is the biggest barrier to consumer engagement? Lack of communication and information exchange among providers, plans, and patients Lack of transparency/availability of cost information and service options Keeping up with shifting consumer habits, preferences, and tastes Not sure or no opinion

16 Collaborate in the new age of consumerism

17 Building a consumer-driven health care system Prioritize Fix near-term pain points that create consumer dissatisfaction #HCDbriefs Measure & refine Continue to listen to the voice of the customer and refine the experience to meet changing demands Implement Configure the tools, processes, structures, and incentives necessary to deliver against the vision Design Develop a strategy and vision for the consumer experience aligned to your brand promise and addressed to your customer segments

18 Companies see profitability, stronger relationships, and brand equity 12x 5% >6x 68% 95% Return on sales for companies with customer service focus vs. those with low emphasis on service More member retention can increase profits by 25% to 125% Cost to attract a new customer vs. cost of retaining existing customer Of consumers stop doing business with a company due to poor customer service Of dissatisfied customers would continue doing business with such companies if their problem was solved quickly and satisfactorily Patient/ \member loyalty and retention Profitability >4 >9 People will hear about a happy customer s positive experience with a company People will hear about a dissatisfied customer s negative experience with a company Brand equity Sources: "Extreme Management," Mark Stevens; Deloitte Research, 2006; International Customer Service Association 2010; Forrester 2009 #HCDbriefs

19 Poll question #4 Is your organization planning to implement a consumeroriented strategy? Yes, we already have a consumer-oriented strategy in place We have started planning, but it s too early to say we have anything in place No, we have not refined our strategy in light of rising consumerism Not sure or no opinion

20 Considerations moving forward Life sciences Government Health plans Consumers Health care providers Technology companies #HCDbriefs

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23 Contact info David Betts Principal US Life Sciences and Health Care Deloitte Consulting Harry Greenspun, MD Director Deloitte Services LP Deloitte Center for Health Jason Wainstein Principal US Life Sciences and Health Care Deloitte Consulting LLP Sarah Thomas Research Director Deloitte Services LP Deloitte Center for Health

24 This presentation contains general information only and Deloitte is not, by means of this presentation, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This presentation is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. Deloitte shall not be responsible for any loss sustained by any person who relies on this presentation. #HCDbriefs

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