Howard Speaks by Howard Farran, DDS, MBA, MAGD

After completing my Masters of Business Administration degree from Arizona State University, I realized there was more to making a practice successful than proficiently using the dental tools and techniques we were taught in dental school. Dentistry is a people business, and you must utilize effective marketing techniques to appeal to your neighborhood. Do you understand your patient’s wants, needs and the difference between the two? To successfully develop and implement strategic marketing for your unique demographics, you must be familiar with basic marketing principles and how to measure the effectiveness of your efforts.

In retrospect, I realize there were many people and events that helped to shape my business sense—my dad, what I learned at ASU, what I’m continuing to learn through continuing education, and talking (posting) with the Townies on the message boards at the DentalTown’s website, www.dentaltown.com.

One of the things I remember my dad saying is, “God gave you two eyes so you could keep one on the customer and the other on cost!” So, what does ‘keeping your eye on the customer’ really mean? It means observing the customer’s behavior to understand his/her needs and priorities. I get calls from dentists regularly asking what they should do to get new patients. They ask me if they should join referral services like www.Futuredontics.com; mail postcards (like those at www.dentalpostcards.com); and send a four-page, four-color newsletter (such as those created by D.C. Marketing). “What should I read about marketing,” they ask. I immediately tell them they should read Unlimited New Patients, information on the book can be found at www.newpatientsinc.com. Then, they want to know if they should provide patient financing. I tell them never to be the banker and always to make sure their practice offers third-party financing options such as carecredit.com and www.helpcard.com.

What confuses me the most though, is that while I’m busy saying ‘yes’ to the dentists’ ideas, frequently their front office receptionist is saying “No, no, no” to potential patients. For instance, the patient asks, “Are you open any evenings?” “No,” says the receptionist! “Are you open on Saturdays,” the patient continues and they receive another resounding “No!” “Do you offer payment plans?” “No!” “I’ve been going to you for five years. There isn’t an orthodontist in town, and I was wondering if Dr. Good could do my daughter’s orthodontics?” “No!” “Can you pull my son’s wisdom teeth?” “No!” Why don’t these practices just get it over with and train their receptionist to respond, “What is it about ‘no’ that you don’t understand?”

In order to uncover the mysteries of the market, I taught our entire dental team how to use a very easy system. It’s called the “Getting To Yes” pad. Every time a patient asks for something and my staff has to tell them “No,” we write down the details on this pad. At the end of the month, we review all the information from the pads and analyze in detail what our patients want and the merits of accommodating their requests.

I’ve never really understood why many dentists prefer to add the latest technology to their practice rather than assess their patients’ real needs. Many jump on the bandwagon and follow the trail to learn veneers, and not how to do simple orthodontics. Yet, think about it—the ortho market is 8,000 times bigger than the veneer market. Every dentist I’ve met usually treats his or her own children with orthodontics and bleaching. Have you ever seen veneers on a dentist’s own children? So, why is this one of the primary treatments in their own practice?

If you properly explain the merits of in-office bleaching to your patients, you probably will radically cut down on your home bleaching cases. Talk about free marketing! Manufacturers such as Britesmile and Rembrandt are spending a fortune on ‘perfect smiles’ awareness. All you have to do is make sure you have the service available in your practice. We provide in-office bleaching at my Today’s Dental practice in Phoenix with the Rembrandt Sapphire light and the Rembrandt one-hour bleach. Patients absolutely love it! If you’d rather not invest in a light—no problem! Ultradent has introduced a new product called Opalescence Boost that doesn’t need a light, and patients are extremely satisfied with the results.

Many dentists cry, “Stop taking dental insurance.” Who are they kidding? The market (our patients) loves their dental insurance. Have you ever had a patient say, “Oh, I have dental benefits, but I’d prefer to pay for everything.” They come into my office waving those insurance cards as proudly as the American flag. If you are treating the top 10% of the country, then you probably have every right to decline insurance. But if you’re located in a typical middle-class Americana town such as I practice in, you’ll never make if you don’t listen to what your patients are telling you about being able to use their insurance benefits. If you’re losing money to insurance, learn how to evaluate your real operating expenses, then you’ll be able to decide if you can take those benefits and still make money on the deal.

I don’t know about you, but my motto is: “If I’m not going to make money on the deal, I’m NOT doing the deal.” Learn how to really listen to your patients. That is the primary marketing skill you’ll need for real success.