Referral Programs—Valuable in Good Times and in Bad
A report was recently put on my desk that shouted, “Industry net income is down!”
I began reading the study and, sure enough, the ADA’s findings confirmed that approximately 76% of orthodontic practices decreased or remained flat.
While this information was alarming, it meant 24% of practices are still growing! Among the 24% of growing practices, 100% are likely using a referral marketing program to promote their services.
Marketing is the driving force of almost every business. The same is true for orthodontics. During strong economic conditions, many practices found that marketing wasn’t necessary. More growth led to less outreach. Then, we transitioned into recession. Production changed. The climate for new patients went cold and practices began to flatten or decline. For the first time, many orthodontists had to scramble for patients.
I expect production to increase as the economy begins to rebound. As we all get back on track, it is important to remember the value of referrals—in good times and in bad.
I began reading the study and, sure enough, the ADA’s findings confirmed that approximately 76% of orthodontic practices decreased or remained flat.
While this information was alarming, it meant 24% of practices are still growing! Among the 24% of growing practices, 100% are likely using a referral marketing program to promote their services.
Marketing is the driving force of almost every business. The same is true for orthodontics. During strong economic conditions, many practices found that marketing wasn’t necessary. More growth led to less outreach. Then, we transitioned into recession. Production changed. The climate for new patients went cold and practices began to flatten or decline. For the first time, many orthodontists had to scramble for patients.
I expect production to increase as the economy begins to rebound. As we all get back on track, it is important to remember the value of referrals—in good times and in bad.
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