While dental practice is an essential healthcare provider for patients, it is also a business that depends on revenue. So, to ensure the dental practice becomes a thriving business, it needs more patients to grow its income.
Running and adequately managing the dental practice’s business side is essential, as a wrong business decision can really put a dent in the costs of running the practice. Let’s discuss several vital strategies that can help you improve and increase your dental practices’ revenue.
1. Costs & Factors That Affect Dental Practice Revenue
Not everything is smooth sailing when it comes to running the business side of the dental practice, as they are essential for the profitable running of the dental practice. The main contributing factors are:
- Overhead costs: rent, supplies, payroll
- Number of patients
- Charging for services
- Your location
A general consensus is that 25% of new businesses fail within the first five years. Here we need to note that there is good news coming, as dental practices are among the private businesses with the highest success and lowest failure rates. Please read on as we outline vital info on how to increase your dental practices’ revenue.
2. Learn Better Business Practices
Your dental practice is a business, first and foremost, so you need to learn and implement better business practices that can help you better manage the dental practice. You and your entire dental team should learn to place value on time, effort, and resources. Everyone should pay attention to the profit, customer satisfaction, and other valuable factors that can help elevate your dental practice, attract more patients, and improve the financial bottom line.
3. Reduce Overhead Costs
An obvious thing you can do to increase profits is to reduce costs. Without a good grasp on things, the costs and expenditures can add up quickly and significantly reduce your revenue. The overhead costs include the following:
- Staff salaries
- Lab equipment and tools
- Rent and utilities
There are ways to smartly plan and organize these so that you can have an efficiently-running dental practice without unnecessary expenditures. Here are some examples:
- Track all expenses: you may quickly lose track of the expenses, which can add to hidden costs that adversely affect your bottom line. These may include shipping costs, broken items, surplus items, etc.
- Switch to cost-effective options: you should consider switching to the most cost-effective options for your dental practice. For example, order dental supplies with discounted prices and don’t order a huge surplus that can be financially unsubstantiated.
- Collaborate with quality brands: while you may initially save some money, working with cheaper options is not a financially sound long-term strategy, as they often need replacements. High-quality items may be initially more expensive, but these usually last longer and are cost-effective in the long run.
4. Include High-Profit Treatment Options
We all know that the more specialized the treatment, the more profitable it is, so you must strive to include high-profit treatment options in your dental practice offering. We are talking about high-profit procedures like:
- Clear Aligners
- Crowns and Bridges
Each of these can be highly profitable for your dental practice, and you need to add these to your marketing plan, so people know what they can expect when visiting your dental practice.
5. Add Digital Dentistry Technologies
A dental practice at the forefront of technology innovation is more likely to attract new patients, thus improving the dental practice’s revenue. We are talking about adding digital dentistry technologies like intraoral scanners, digital X-rays, and other techniques to help you provide better service to your clients.
Using advanced digital dentistry technologies in your practice helps reduce costs by reducing remakes and chair time, leaving you open to more patients.
6. Improve Customer Service
As the dental practice is a business that works directly with people, customer service is one of the most important things for a successful dental practice. Building positive, relatable connections with your patients is essential to build patient trust and having them return. Also, a satisfied patient is much more likely to tell their friends and family about your practice, creating word-of-mouth marketing that works in your favor.
Here is how to grow your positive reputation and improve your customer service, which will ultimately help you increase the revenue of your dental practice:
- Include customer service training when onboarding a new team member. Instruct your dental team to assume a positive attitude when interacting with patients. Also, small talk with your patients can help relax them and put them in a better mood, so you can do a better job and show your patients that you care for them.
- Establish a Reward System. Returning patients are vital for the success of your practice, so you should consider adding a reward system to show your patients that you value them. Some of these incentives may be a discount on a whitening treatment, a gift, or a more elaborate referral program.
7. Create an All-Encompassing Marketing Plan
While you may already have a marketing plan for your dental practice, you should review it and see what’s missing. A proper marketing plan for a dental practice can help bring exposure to your practice so more people learn about it and see the procedures you have to offer, which will pay off big time.
Start with your online presence, a user-friendly website, and social media presence, and organize your marketing plan around your goals. Also, make sure all your contact venues are included in the marketing plan, so people can have a way to contact you and make an appointment.
To Wrap Up
A dental practice is a business; you should treat it as such, but you should never compromise your service quality, patient comfort, and satisfaction. Above, we’ve outlined some ways you can increase the revenue of your dental practice. Please note that each of these factors has its own role, and you should reevaluate your efforts and see what’s lacking.
Understanding your patient’s needs is essential, and you can do this through market research. Still, foremost, with honest conversations with your patients. Try to stand out above the competition by offering excellent customer service and high-profile and unique digital treatments they can’t find elsewhere.
Please follow our blog for regular updates that can help you better manage your dental practice and provide advanced services for your patients.