Transcript Positioning Endures

Marketing to the Mature Marketplace
10 Pathways to Success in Challenging Times
Presented to the Academy of Doctors of Audiology
Friday, November 5th, 2010
Marriott River Center
San Antonio, Texas
Copyright 2010, by Don Marsh. All Rights Reserved.
Embracing Change in Challenging Times

“Observe always that everything is the result of a
change, and get used to thinking that there is nothing
Nature loves so well as to change existing forms and
make new ones like them.”
Marcus Aurelius (121-180 A.D.)
Meditations. iv.36
Mature Marketplace Growth in Numbers

In 2000, the Mature Marketplace totaled
70 Million Americans; 115 Million in 2010



40 Million 65+; 75 Million 50 - 65
1 in 3 Americans will be Over Age 50
Average Lifespans: 77 for Men; 84 for Women

Couples at Age 65



50% Chance at least one will live to Age 92
25% Chance at least one will live to Age 97
Fastest Growing Segment of the Population?
Understanding the Numbers




1 of Every 4 People Ever Born is Alive Today
2 of Every 3 People Who Ever Lived to Age 50
are Alive Today
Each Day in America, 7,000 People turn Age 50
Mature Marketplace is Wealthiest Segment



77% of Nation’s Assets
50% of Nation’s Disposable Income
$7.3 Trillion in Buying Power
Finding Success in Challenging Times

In Challenging Times, Long-Term Success Will Come:
 One Conversation
 One Patient
 One Relationship at a Time
Section 1
Inside the Mature Marketplace
5 Key Concepts

What Motivates the Mature Marketplace
 Autonomy/Self-Sufficiency
 Connectedness
 Altruism
 Personal Growth
 Revitalization
Segmenting the Mature Marketplace

The “Matures”

Born Before WW II




Extremely Patriotic
Self-Sacrificing
Debt-Free
The “Boomers”

Born After WW II



Instant Gratification
Self-Entitled
Debt is Way of Life
Physical Changes

Eyesight

Less Responsive to Cool Colors



Because of Yellowing of the Retina that Occurs with
Aging, Ability to Distinguish “Cool” Colors Decreases
Use Warm Shades as Accents in Office Décor and
and on Collateral Materials
Increased Glare Sensitivity


Limit Harsh Overhead Lighting, White Paint on Walls
Print on Dull or Matte Finish Paper Stocks, Instead of
Gloss or Enamel Coatings
Cognitive Changes

Verbal Memory Declines More than Visual Memory


Impact on Testimonial Letters vs. Lifestyle Photos
Personality


Little Change with Aging
Patterns Formed in Young Adulthood


Impacts on 75+ Patient
Impacts on 50+ Patient
Left Brain vs. Right Brain Thinking

With Aging, Left Brain (Logic) Thinking Declines,
While Right Brain Thinking (Instinct) Increases



The Right Brain is Better at Recognizing Relationships
and Visual Processing
With Right Brain Thinking, Impressions are Formed Visually
and Instantaneously
It is Through the Right Brain that the Benefits of Buying
New Products are understood
Mature Marketplace Purchase Behaviors




To Replace Something Old & Obsolete
To Maintain Lifestyle
To Give Gifts
To Accumulate Enriching Experiences
Section 2
Defining Yourself in the Marketplace
Starting Point in Challenging Times

Consistency of Message

What You Want Your Practice to be Known For

A.K.A. “Positioning” or “U.S.P.”
Positioning Endures

1927
Positioning Endures

1951
Positioning Endures

1986
Interactive Exercise #1

In 25 Words or Less, Tell Us What You Want
Your Practice to be Known for
What Patients are Looking for



Technology – 50%
Personal Service – 44%
Lowest Price – 6%

Results of Nationwide Patient Focus Group Programs
The Competitive Advantage Question

In Challenging Times like These,
What is Your “Competitive Advantage”?
The Competitive Advantage Answer

Each and Every One of Your Patients
Section 3
The Relationship Imperative
Two Kinds of Buyers


Transactional Buyers – Make Purchase Decisions
Based on Price or Convenience, but not on Loyalty
Relationship Buyers – Make Purchase Decisions
Because of the Relationship You’ve Created

Relationship Buyers do Return,
Transactional Buyers do not Return
LTV and 3 Stages of the Patient Lifecycle

LTV (Life Time Value)


Total $$$ Earned from Patient Relationship
3 Stages of the Patient Lifecycle



1st-Time Patients
Repeat Patients
Patient Advocates
Relationship Marketing Goals

Keep Patients Longer

Impact of New Technologies



Lowering Median Age of 1st Time Wearers
Reducing Length of Purchase Cycles
Increase Patient Share

Overall % of Patient’s Purchases




After-Market Products
Batteries
ALDs
Extended Warranties
4 Rules of Relationship Marketing




Requires Individual Knowledge of Your Patients
Must be Interactive
Does not Need to be High-Tech
Based on Perceived Value and Personal Service
Industries Using it Then…



Airlines
Credit Cards
Telephone Services
Industries Using it Now

Everyone

Who Was “Joe, the Corner Grocer” and Why
is he the “Father of Relationship Marketing”?
Leverage Point in Relationship Building

First Point of Contact
The Staffing Equation




One of the most Important Human Needs is “Identity”
Treat your Staff as part of Your Business
Empower them to Become Experts at what they do
Create an Office Environment where Everyone knows
how Important they are to Your Overall Success
The Staff Training Question

Some Practice Owners ask,
“What if I Train my Staff and they Leave?”
The Staff Training Answer

The Better Question is,
“What if I Don’t Train my Staff and they Stay?”
Front Office Design



Glare Sensitivity
Visual Stimuli
Olfactoral Stimuli



Creates Positive Cognitive Association
Continuous Loop TV
Family Friendly Environment

26% of Grandparents have Regular Care of Grandchildren
Features vs. Benefits


Features are the Physical Characteristics of
Your Product
Benefits are How Those Characteristics Improve
Product Performance
Interactive Exercise #2

Think of the Product You Want to Sell Most


Write 3 Features of that Product
Write 3 Benefits of that Product
Interactive Exercise #3

Imagine You Are 18 Years Old and About to
Leave for College

Write a Short Letter to Mom & Dad, Asking to Borrow
$10,000 for Your 1st Year’s College Tuition
Features vs. Benefits vs. Values



Features are the Physical Characteristics of
Your Product
Benefits are How Those Characteristics Improve
Product Performance
Values are the Emotional Translation of how
Products Improve Patients’ Lives
“Values-Based” Communication

3 Ways to Influence Human Behavior



Addressing Human Needs is Least Powerful
Addressing Human Wants is More Powerful
Addressing Human Values is the Most Powerful



Use an Exchange of Values to Create Environment
of Trust and Confidence
When Patients talk About their Values, it Leads
to Understanding what Makes their Lives Unique
Values are like Fingerprints; Each is Similar,
but no two are Identical
5 Mature Marketplace Needs

Necessities for Everyday Life
 Food/Water
 Affection
 Safety
 Shelter
 Survival
5 Mature Marketplace Wants

Luxuries not Always Attainable
 New Clothing
 Larger Home
 Personal Items
 Unlimited $$$ Resources
 Vacations
5 Mature Marketplace Values

Translated from Key Concepts
 Family
 Health
 Peace of Mind
 Friends
 Leisure Time
Section 4
10 Pathways to Success in Challenging Times
Put Your Plan to Paper

Fewer than 50% of Hearing Professionals follow
Written Marketing Plan and Marketing Calendar
Sample Marketing Overview

Marketing Communications Plan Overview/
Your Practice Name Here Summa ry – A cco u ntis in priv ate practice in (Y o ur To w n). Previo us mark etin g efforts
in clu d en ew spap er ads, commu n tiy o utreach an d n ewsletters mailed twice a y ear. N ew
mark etin g effo rts to inclu d e co nsumer an d p h y iscian o utreach, Target Marketin g to
current d atabase an d Free Media, to fu rth er p ositio n acco u n tin th e mark etplace.
Objectiv es Š To initiate a mark etin g pro gram th at b uilds o n th e g o o wd ill an d iden tity o f
(Y o u rPractice Name) as a service-oriented pro vid er. U selo cal media to furth er p ositio n
acco u n tin th e mark etplace. Create presentatio n sfor co n sumer an d p h y iscian au dien ces.
Create n ew W eb site an d integrate th at with W eb mark etin g p ro gram.
Prio rities –
1 ) Pro vide samp les o f Targ et Mark etin g materials, i.e: Trad e-U p letter. (DM)
2 ) Mine current d atabase, as mu ch as p ossible, to determin e Pu rchase Drivers an d th en
create Retentio n/Target Marketin g pro g ram accordin gly . (YO U/D M)
3 ) Pro vide assistan ce in d ev elo pin g W eb site for practice. Secu relin k sto oth er Web
sites via W eb mark etin g pro g ram. (Y O U/DM)
4 ) Create office bro ch ure an d p o s ibly p atient & p h ysician n ewsletters. (Y O U/DM)
5 ) D ev elo p sch ed ule for mo nthly dissemin atio n o f n ew sreleases an d co n at ct area media.
(see Item # 8. (Y O U/DM)
6 ) O btain CD o f co n sumer an d p h ysician Po werPoint presentatio n s. Create sch ed ule for
n ew semin ars acco rdin gly. (Y O U/D M)
7 ) Research av ailable o p p otur nities fo r cro ss-mark etin g to area medical professio n als.
(Y O U/D M)
8 ) Lo cate med ia “So urce Bo o k ”, to d ev elo p med ia co ntacts. See Item # 5 (YOU/D M)
9 ) In v estig ate p o s ibility o f hirin g p art-time mark etin g su p p rot p erso n .(Y OU/DM)
Pro vide articles fo r disseminatio n in patien t, h ospital an d org anizatio n new sletters. (D M)



Practice Description
Marketing History
List of Objectives
How to Attain Objectives
Sample Marketing Calendar

3 Areas of Activity



Patient Acquisition
Retention Marketing
Free Media/
Community Outreach
Rhythms of the Purchase Cycle



Conduct Community Outreach or Patient Education
Programs Before Major Holidays
Reach Secondary Influencers Before/After
Major Holidays
Avoid or Minimize Campaigns


30 Days Prior to Elections
Holiday Periods
Writing the Perfect Sales Letter





Be “Conversational”; Write as if You are
Speaking to that Person
Remember the “You”
Use Adverbs for Men, Adjectives for Women
“50 Word Rule”
Always use a P.S.
Guidelines for Layout






Minimum 12 pt. Type
“Flush Left/Rag Right” Alignment
Indent Each Paragraph
Maximum 2 Sentences, 3 Lines per Paragraph
Personalized Salutation
Backwards is “Proof Positive”
Sample Layout
Announ cing our Special Trade-Up Program
On New Digital Hear ing Technology

(---date---)
Mr. John Jones
1234 Main Street
Your Town, State 56789
Dear ------------:
We’re pleased to announ ce a brand new Trade-Up Program you can parti cipate in
as a Preferred Patient at (practice name). Th is new prog ram allows you to take advantage
of the latest advances in Digital Technology and save $$$ at the same time.
We’ve recently introduced the latest version of our fully digital hearing
instrument. Our results tell us this new instrument, with its many advanced features,
makes better hearing simpler, easier and almost automatic.
To help you experience the benefit s of t he fully Digital hearing instruments, we
are offering a limited tim e Trade-Up offer. This chart shows the percentage of your
original purchase price we’ll appl y toward your new digital hearing instruments:
Here’s how our Trade-Up Program works:
Age of Current Instruments
Less than 1 year
1-2 Years
2-3 Years
3-4 Years
4-5 Years
Over 5 years
Trade-Up Va lue
(--)%
(--)%
(--)%
(--)%
(--)%
(--)%
Our records show your current instruments were purchased in (---month, year---).
This new digital hearing instrument features (#) channels that can be programmed
independently for better hearing in a variety of listening environments. It also features
More –


“Johnson Box”
“Jump” to 2nd Page
“Serif” Typeface
Pathway #1: Retention Marketing Programs


Fewer Marketing $$$ Required
Mine Your Database




RFM Modeling
Create Sales Letters to Target Each Segment
Address “Secondary Influencers”
Infuse New Offers

Value-Addeds
Pathway #2: Tested-not-Sold Programs

Leverage Initial Contact with Regularly Scheduled
Follow Up Program




Immediately Afterward
7-10 Days
30 Days
With Each Follow Up, Introduce New “Value-Added”
Concepts to Incentivize Return Visits

3% of TNS Patients Return; 30% buy Elsewhere
Critical TNS Factors

Why Patients Don’t Buy

Expectations on Price


Immediate Ability to Pay


40% Look Elsewhere
50% Still Looking to Improve their Hearing
Why Patients Do Buy




Convenient Appointment Times
Speaking Directly with Hearing Professional
Questions Answered During Consultation
Test Results Explained in an Informative Manner
Pathway #3: Patient Referral Programs

Leverage the Relationship Earned with Patients


Offer Non-Traditional Rewards



Importance of “Cohorts”
Gift Certificates to Restaurants/Theaters
Soft Testimonials to Improving Lives
Develop Collateral Materials to Support
Conversations with Patients/Family Members
Pathway #4: Trade-Up Programs
Announ cing our Special Trade-Up Program
On New Digital Hear ing Technology

% of Previous Purchase
Applied to New Purchase
2 Options for % Scale

Altruism “Hook”

(---date---)
Mr. John Jones
1234 Main Street
Your Town, State 56789
Dear ------------:
We’re pleased to announ ce a brand new Trade-Up Program you can parti cipate in
as a Preferred Patient at (practice name). Th is new prog ram allows you to take advantage
of the latest advances in Digital Technology and save $$$ at the same time.
We’ve recently introduced the latest version of our fully digital hearing
instrument. Our results tell us this new instrument, with its many advanced features,
makes better hearing simpler, easier and almost automatic.
To help you experience the benefit s of t he fully Digital hearing instruments, we
are offering a limited tim e Trade-Up offer. This chart shows the percentage of your
original purchase price we’ll appl y toward your new digital hearing instruments:
Here’s how our Trade-Up Program works:
Age of Current Instruments
Less than 1 year
1-2 Years
2-3 Years
3-4 Years
4-5 Years
Over 5 years
(--)%
(--)%
(--)%
(--)%
(--)%
(--)%
Our records show your current instruments were purchased in (---month, year---).
This new digital hearing instrument features (#) channels that can be programmed
independently for better hearing in a variety of listening environments. It also features
More –

Census Bureau Study
Trade-Up Va lue

5% Move per Year;
50% Stay in Area
Pathway #5: Focus Group Programs

Invitation to Patients and Spouses


Sales Benefits


Neutral Settings Work Best
Introduce New Technology/Treatment Options
Marketing Benefits

Immediate Feedback from Target Audience
Focus Group Agenda





Welcome/Introductions
Gather Opinions on Advertising Samples
Presentation on New Technology/Offers
Open-Ended Q & A
Book Appointments Afterward

90-Minutes in Total/Several Sessions per Day
Pathway #6: E-Marketing Programs

AARP™ Study Shows Mature Marketplace Fastest
Growing Segment (63 Million in 2010)


18 Hours/Week
74% are Looking for Products and Services Locally

64% are Looking for Healthcare
Standard Website Content





Home Page
Staff Highlights
Products and Services
“Hearing News You Can Use”
Testimonials



Video Testimonial; Testimonial from Spouse
“5-Minute Hearing Test”
Contact Page

Self-Qualifying Questions
Variations on the Website Theme

Definition of “Branding Site”


Who You are and the Products/Services You Offer
Definition of “Power Page”

Example: (Your Town) HearingAids.com


Information Becomes part of E-Database
“Click Here” Brings them to “Landing Page”
The “Patient-Centric” Website

“Landing Page” Value-Addeds



Be “Transactional”



Appointment Setting
Event/E-Newsletter Sign-Ups
Be “Personal”



Coupons, Other Offers
Interactive Elements
Establish “Patient Portals”
Communicate with Audiologist
“Cross-Promote” Site

Guide Visitors to Other Pages
Using the New Social Media

Facebook ™


LinkedIn ™


2/3 with Hearing Loss are Under 65
Yelp ™


More People Over 50 than Under 21
Learn what the Community is Saying
To Blog or not to Blog

WordPress ™ Templates
Monitor Your Site’s Success

Google Analytic ™ or other Tool

Learn the Most Popular Pages



Conversion Rate


2% or Higher
Bounce Rate


Add Offers
Update Information
50% or Lower
Opt-In Rate

3% or Higher
Pathway #7: Free Media Programs

Date
For Immediate Release
No Kill Date
Contact: (-name-)
(---telephone---)


Inverted Pyramid Style
Newsworthiness
Practice/Technology

(--Name--) Attends Conference on
Digital Hearing Technology


(Your Town) - --- (---Name---), owner of (---business
name---), a (---city---) hearing healthcare business, has just returned

New Office/Staff/Offers
New Technology
Conference/Event
Human Interest
from a Conference on New Digital Hearing Technology , held in the
(City, State) offices of (Manufacturer Name).

Cont’d –

Digital Hearing Conference
Page two of three –
According to (---Name---), ”This Conference gave me

Hearing/Income Loss
Hearing Loss & Family
Patient Success Stories
Maintaining Media Contacts

Locate Media Directory “Source Book”




Library
Chamber of Commerce
Newspaper
Ad Agencies

Combine both Print and Broadcast Contacts
Working with the Media


Prepare “Talking Points” in Advance
Understand Their Workdays




Place Follow-Up Calls between 10:00 am – Noon
Present Yourself as an Expert, not a Salesman
Fax/Mail/Hand-Deliver or Electronic Distribution
For Major Campaigns, Create Press Kit



“Pitch Letter”
Bio, Product Information, FAQs
“Expert Testimony”, Patient Testimonials
Appearances on Radio/TV

Availability Hot Sheet
Topics: Th e In ciden ce of H earin g Lo ss;
Its Commo n Warnin g Sig ns;
Th e Imp act o n Family & Frien ds;
N ew Tech n olo gies A v ailable to H elp;
May is N atio n al Better Hearin g Mo nth;
To :
Co ntact:
(N ame)
Certified A u diolo gist,
(Practice N ame)
(Telephone)

(---N ame---), Pro d u cer
Th e (N ame o f Sh o w )

Did you know that (---number---) people in (City) alone suffer
from hearing loss?
Did you know that, thanks to recent advances in hearing
technologies, there is more help available than ever before for
those with hearing loss?
Did you know that May is National Better Hearing Month?
(N ame), certified A u diolo gist with (Practice N ame), can in form an d ed ucate y o ur view ers
o n the n ature o f h earin g lo ss, its early w arnin g sig n s, h o wit affects th e o verall o utlo o k o n
life of n ot o nly th e h earin g lo ss su fferer b ut family memb ers an d frien d s an dth e n ew
tech n olo gies availab le to h elp .
(First n ame) brin g swith (him/her) a p oised , p rofessio n al man n er th at h as h elp ed
(him/her)commu nicate th eseimp o trant su bjects to h er p atients an d th eir families. As p art
of N atio n al Better Hearin g Mo tnh, (h e/sh e) can p ro vide y o ur (view ers/listen ers) th e same
info rmatio n.
A u dien ce p articip atio n also can b e p art of (his/h er) ap pearan ce.
H elp y o u rau dien ce b etter u n derstan d ab otuh earin g loss, th e 3rd most commo n medical
pro blem in the w orld , b y co ntactin g (n ame) ab o ut ap p ear in g o ny o u rSh o w .
Availability Hot Sheet
Popularity of News or
Interview Formats

2000+ Stations in 2009
Use B-Roll Footage in
Continuous Loop System

Beta/DVD Formats
Pathway #8: Community Outreach Programs

Speaker Chairs of Service Organizations


Kiwanis, Lions, Rotary, Optimists Clubs
Usual Rotation, September - August


Usual Election Cycles, April - June
Appearances will Perfect Communication Skills
Community Outreach: Essay Contest

Hearing Aid Essay Contest
Announcement copy –
Do You Know Someone Who Could
Use the Gift of Hearing?
Body –
Statistics show that one in ten Americans suffers from some type of hearing loss. In
the (city) area alone, that represents approximately (number) people.
Chances are, you know one of them.
In an effort to provide someone in our community the gift of better hearing, (Practice
Name) is announcing a Hearing Aid Essay contest. In 250 words or less, tell us the
story of someone you know whose life would be improved if only he or she was
able to hear better.
Send your entries to (Name of Newspaper), attention (Name of staff person) @
(address). Or, you may fax them to (fax #) or email at (e-mail address).
All essays will be judged by a committee of representatives from the (Name of
Newspaper) and (Practice Name). Three essays will be selected from all those
received. Deadline for submission is (date).
And who knows? Maybe yours will be one of the essays chosen, letting someone
you know receive the gift of better hearing.
Hearing Aid Essay Contest
 Local Newspaper
Announces Contest/Rules
 Essays Submitted on
Behalf of Family/Friends
 Panel of Judges –
Newspaper and Practice
Staff – Select Winner(s)
 Follow-Up Story Placed
 Other Essays Submitted
Become Leads
Community Outreach: “Cause Marketing”

Involve Your Practice in Charitable Programs


Largest Segment of any Donor Population is 50+


Goodwill, PR, PSA Benefits
Giving USA™ Report:
Individual Donors Represent 75% of all $$$ Raised
Encourage Patients to Become Involved

Key Concept #3: Altruism

Intergenerational Giving
Pathway #9: Hospital Marketing Programs

Hospital Marketing





“Senior Friends” Type Programs
Offer to Speak at Monthly Meetings
Offer to Write Informational Articles
Offer Discounts to Become “Preferred Provider”
Offer Staffing Assistance
Pathway #10: Cross-Marketing Programs

Cross-Marketing to Area Medical Professionals





Vision Care
Foot Care
Dental Care
Chiropractic Care
Family Counseling/Clergy

Expand Horizons on Physician Referrals
A Simple Equation for Challenging Times






Better Communication Skills = Longer Relationships
Longer Relationships = More Sales
More Sales = Greater LTV
Greater LTV = Higher Profitability
Higher Profitability = Successful Practice
Successful Practice = Where You Want to Work
Marketing to the Mature Marketplace
Don Marsh
6139 Blue Dawn Trail
San Diego, CA 92130
Tel/Fax: 858-792-6553
Cell: 858-354-7079
[email protected]
www. MatureMarketplace.com