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Presented at CPM Fourth Annual Client Symposium May 13, 2010 By Beth Hatcher, Webmaster Interactive Database Manager Why CRM Revolutionizes the Metrics.

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Presentation on theme: "Presented at CPM Fourth Annual Client Symposium May 13, 2010 By Beth Hatcher, Webmaster Interactive Database Manager Why CRM Revolutionizes the Metrics."— Presentation transcript:

1 Presented at CPM Fourth Annual Client Symposium May 13, 2010 By Beth Hatcher, Webmaster Interactive Database Manager Why CRM Revolutionizes the Metrics of Marketing (and How the Web Can Help, Too)

2 Overview Introducing Northwestern Lake Forest Hospital and Northwestern Memorial ® HealthCare What is “Success” in Marketing? Redefining Success with CRM Rethinking Calls-to-action

3 Introducing Northwestern Lake Forest Hospital and Northwestern Memorial ® HealthCare

4 Northwestern Memorial HealthCare (NMHC) Northwestern Lake Forest Hospital is a subsidiary of NMHC, the corporate parent of Northwestern Memorial Hospital. NMHC Northwestern Lake Forest Hospital Northwestern Memorial Hospital

5 215-bed community hospital Founded 111 years ago Strong tradition of community service Partners with Children’s Memorial Hospital for pediatric and newborn care A- Bond Rating (S&P) Named the #1 Consumer Choice hospital in Lake and Kenosha counties for past five years in market research Northwestern Lake Forest Hospital Lake Forest, Illinois

6 Northwestern Lake Forest Hospital Nine locations Lake Forest Campus Hospital Nursing Care Center Health & Fitness Center Child Care Center Medical Office Buildings Grayslake Campus Emergency Center Audiology/Speech Cardiac Testing Imaging Laboratory Services Physical/Occupational Therapy Retail Optometry Physician Offices

7 854-bed Academic Medical Center Hospital Primary Teaching Affiliate of Northwestern University Feinberg School of Medicine Nationally Recognized for Clinical Excellence Magnet Recognition for Nursing Excellence Honored with the National Quality Health Care Award Strong Tradition of Community Service Major Employer in City of Chicago New World-Class Inpatient/Outpatient Facility Opened in 1999 New World-Class Women’s Hospital Opened in October 2007 One of Four Healthcare Institutions in the U.S. with an Aa+ Bond Rating Feinberg and Galter pavilions Prentice Women’s Hospital Northwestern Memorial Hospital Chicago, Illinois

8 What is “Success” in Marketing?

9 Was This Campaign a Success? Nutrition classes in March and April January:Initial drop promotes both classes February:First follow-up drop promotes March class March:Second follow-up drop promotes April class Total points of contact Total attendees By traditional standards, the campaign was a failure.

10 VehicleTraditional Measures Advertising (Print, Outdoor, Radio) Mailings, Newsletters, Publications Publicity Percentage awareness in market research “How did you hear about us?” Number of calls or appointments Event attendance “How did you hear about us?” Story gets picked up by media What Can You Measure in Marketing?

11 VehicleMeasures Website eNewsletter CRM 110-point dashboard (most important measures: visits, visitors, page views, page views per visit, page views per repeat visitor) Surveys define web user demographics Click-thrus and clicks per person Most popular links New and incremental patients Overall and net revenue Growth in target and all service lines Change in payer mix

12 What is “Success” in Marketing? GoalMarketing VehiclesMeasures Branding Awareness Strategic Marketing Advertising Newsletters Publications Publicity Website eNewsletter CRM Anecdotal evidence “How did you hear about us?” 110-point web dashboard CRM dashboard Learn who your users are Learn why they user your services Prove the tangible, financial efficacy of your marketing

13 Redefining Success in CRM

14 Remember the Nutrition Classes? We checked the data on the CPM Dashboard after six months. – New and incremental patients – Total charges – Top service lines Was this campaign a success?

15 Telling the Story: CPM Dashboard New patient acquisition Incremental patient acquisition Total and incremental charges Charges to targeted service lines Total campaign summary – Downstream usage of all service lines – Downstream revenue to all service lines Change in payer mix

16 August 2009:List pull (1 version) October 2009:Initial drop (6 versions) November 2009:Initial drop (6 versions) Follow-up drop to list pull (6 versions) December 2009:Follow-up drop (6 versions) January 2010:Follow-up drop (6 versions) Case Study: Cardiovascular CRM Campaign

17 Initial Cardiovascular CRM Campaign 1: Heart Attack Risk

18 Initial Cardiovascular CRM Campaign Other Versions 2.Coronary Artery Disease Risk 3.Vascular Disease Risk 4.Arrhythmia Risk 5.Heart Disease Risk (Male) 6.Heart Disease Risk (Female)

19 Initial Cardiovascular CRM Campaign Call-to-action

20 Cardiovascular CRM Campaign Results Goal Summary (Cardiovascular Services) We have only several months of data, so these are just preliminary results.

21 Cardiovascular CRM Campaign Results Goal Summary (Cardiovascular Services) New patient acquisition Incremental patient acquisition Incremental charges Contribution margin is deceiving… Total charges

22 Cardiovascular CRM Campaign Results Goal Summary (Cardiovascular Services) 285 Individuals296 Visits$3.1 million in Total Charges Charges to and usage of targeted service line(s)

23 Cardiovascular CRM Campaign Results Overall Summary New patient acquisition Incremental patient acquisition Incremental chargesTotal charges

24 Cardiovascular CRM Campaign Results Overall Summary: Individual Visits Cardiovascular: 285 Individuals Radiology: 9,272 Individuals Rehab: 867 Individuals General Medicine: 2,838 Individuals Orthopedics: 618 Individuals Gastroenterology: 554 Individuals General Surgery: 496 Individuals Other: 5,399 Individuals Downstream usage of all service lines

25 Cardiovascular CRM Campaign Results Overall Summary: Total Charges Cardiovascular: $3.1 million in charges Radiology: $19.1 million in charges General Medicine: $6.3 million in charges Orthopedics: $6.5 million in charges Gastroenterology: $4.0 million in charges General Surgery: $4.5 million in charges Other: $8.1 million in charges Downstream revenue to all service lines

26 Telling the Story: Cardiovascular CRM Campaign Goal Summary New patient acquisition – 45 new patients were acquired and used the targeted service line, Cardiovascular Services. Incremental patient acquisition – 59 incremental patients (45 new and 14 former) were acquired and used the targeted service line, Cardiovascular Services. Total and incremental charges – The 285 total individuals who responded to this campaign generated $3.1 million in charges to Cardiovascular Services. – The 59 incremental patients generated $645,000 in charges to Cardiovascular Services.

27 New patient acquisition – 2,124 additional new patients (2,169 – 45 cardiovascular patients) who received a CRM mailing used NLFH services*. *However, they used a service line not related to Cardiovascular Services, thus expanding service line utilization. Incremental patient acquisition – 42 incremental patients (39 new and 3 former) who received a CRM mailing used NLFH services*. Total and incremental charges – The 15,746 total individuals who responded to this campaign generated $66.2 million in charges to all NLFH service lines. – The 42 incremental patients generated $177,000 in charges to all NLFH service lines. Telling the Story: Cardiovascular CRM Campaign Overall Summary

28 Downstream usage of all service lines – Radiology: 9,272 individuals – Other:5,399 individuals – General Medicine:2,838 individuals – Rehabilitation: 867 individuals – Orthopedics: 618 individuals – Gastroenterology: 554 individuals – General Surgery: 496 individuals – Cardiovascular: 285 individuals Telling the Story: Cardiovascular CRM Campaign Overall Summary

29 Downstream revenue to all service lines – Radiology: $19.1 million in total charges – Other: $8.1 million in total charges – Orthopedics: $6.5 million in total charges – General Medicine: $6.3 million in total charges – General Surgery: $4.5 million in total charges – Gastroenterology: $4.0 million in total charges – Cardiovascular: $3.1 million in total charges Change in payer mix Telling the Story: Cardiovascular CRM Campaign Overall Summary

30 Rethinking Calls-to-action

31 What have you used in the past as calls-to-action? – Reduced cost screenings – Events – Promotional items – Unique Landing Pages (ULPs) We’ve already established that the call-to-action isn’t as important as we used to think… it’s how they use your hospital’s services. So make it easier!

32 Leverage Your Existing Work Successful CRM campaigns can benefit from multiple, integrated components that leverage existing marketing efforts. – Consumer magazine – Physician directory – Web content

33 Call-to-action Example #1 Service Line Appointment Request

34 Call-to-action Example #2 Physician video profiles

35 Call-to-action Example #3 Online content

36 Call-to-action Example #4 Testimonials

37 What Does Your Call-to-action Say About You? People might not follow your call-to-action — so use it as a brand statement.

38 Conclusion

39 Summary Traditional marketing efforts aren’t as measurable (or cost-effective) as CRM… though this doesn’t make them any less important. Success of a CRM campaign is not how many people follow the call-to- action, but how they use your hospital’s services. When evaluating the ROI of your CRM campaign, keep in mind the following measurements: – New and incremental patients – Overall and net revenue – Growth in target and all service lines – Change in payer mix Leverage existing marketing efforts as calls-to-action. Let your call-to-action be a brand statement.

40 Beth Hatcher Webmaster Interactive Database Manager Questions?


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