The market for sleep-disordered breathing products continues to grow. More than 12 million Americans are affected by this condition, and recognition mounts as research has linked sleep apnea and other sleep disorders to life-threatening conditions such as stroke, cardiovascular disease, including hypertension and diabetes. The link between sleep-disordered breathing and obesity also puts bariatric surgery patients at risk for complications.
Consumers are becoming increasingly aware of these risks, which is good news for home medical equipment providers interested in a focused sleep business. Likewise, the physician community is becoming more attuned to the benefits of sleep-disordered breathing treatment, such as continuous or bi-level positive airway pressure (CPAP or bi-level) therapy.
So, how can HME providers make certain they are on target to meet the growing demands of these groups? Thoughtfully and carefully, according to industry experts.
Alan Cross, MHA, RRT, president of C&C Homecare in Bradenton, Fla., says the first step is for providers to ensure they are in this market for the right reasons. “Just because the indicators show growth in sleep therapy, these programs and patients can be difficult to manage,” he says. “It's not like dropping off a walker or commode. There is constant monitoring, compliance issues, the balance of maintaining a diverse yet cost-efficient inventory and the ability to maintain a knowledgeable and expensive support staff.”
Once you determine your company is ready to enter the category or to expand an existing sleep program, check the following 10 strategies for success.
- Know who your customers are.
Ron Richard, senior vice president of strategic marketing initiatives for Poway, Calif.-based ResMed, says effective marketing of specialty sleep programs includes focusing efforts on consumers, payers and physicians.
“You should have three touchpoints there. You're marketing to payers because they're going to have the contracts and you're going to need to have contracts first and foremost to get paid. Number two, you want to get referrals, so you want to market your services to primary care doctors, cardiologists, ENTs and pulmonologists,” he says.
The third point — the consumer angle — “is a little bit tougher,” Richard notes, “but it is part of a triangulated strategy.”
Cross agrees that end-users are important to the success of any sleep program. “Now, more than ever, people are taking charge of their health care. Even though referral sources direct a great deal of the flow, the consumers make the final decision,” he says.
- Be a resource to those customers and become known as the local expert.
Ann MacGregor, Elyria, Ohio-based Invacare Corp.'s vice president of sleep, says “HME providers who want to be known for sleep therapy should become a trusted resource for patients in terms of adequate response and follow-up for compliance issues and sleep product accessories.”
Patients need attention, adds Todd Cressler, president and CEO of CressCare, a Harrisburg, Pa., HME that specializes in sleep. “Naturally, we set them up with the equipment and follow their compliance, but we don't leave our patients alone from there,” he stresses.
“We want them to know the latest technology that is available, and what is going on with sleep apnea to try to get them excited about their therapy. Hopefully, this will have them always coming back to learn about new products.”
Becoming a resource for physicians and referral sources is equally important when it comes to maintaining and expanding your referral sources.
Jamie McDonald, Iowa Health Home Care's director of home medical equipment, says the Des Moines, Iowa-based company has such knowledgeable staff members that referral sources call its marketing representatives to get information.
Lori Speyrer, U.S. field marketing specialist for sleep disordered breathing, for Murraysville, Pa.-based Respironics, says partnering with referral sources makes sense, but only after you establish that their goals meet yours.
“Ask how you can promote awareness to grow your business and theirs at the same time, whether that is teaching nursing students at a local college or participating in a health fair,” she says.
Invacare's MacGregor advises providers to make sure the connection with their referral sources is strong. “The patient's treatment starts with the physician and ends with the HME provider.
“It is important for the links between the referral sources and the providers to be strengthened through regular communication and understanding of the changing sleep market and patient needs,” she says. “All of the links in the service chain to the patient are busy, and extra demands on the time of any of these partners can be a burden.”
She adds that HME providers must also keep sleep labs satisfied: “The HME provider needs to solicit regular feedback on how the sleep labs perceive their service to the sleep patient,” she says. “The degree of interaction between patients, sleep labs and physicians differs in all locations, but it is important to focus on making those relationships mutually beneficial and successful.”
Being a resource for the entire community — patients, payers and referral sources — pays off, says Harold Davis, a consultant based in McRae, Ark., and a specialist for VGM Group's Nationwide Respiratory. “If HME providers set themselves up as a community resource and position themselves to supply information to the community, they are going to end up increasing their referrals because they're going to get more patients into the sleep labs to be tested,” he says.
“Naturally, other HME companies are [also] going to benefit, and other sleep labs you don't partner with are going to benefit, but that's okay. It's more than the almighty dollar; it's getting the word out about patients who have sleep disorders and are having difficulties.”
- Focus on patient care, but in a cost-efficient manner.
Running a lean operation is essential, says Speyrer, but she cautions providers not to be “too” lean.
“In light of recent reimbursement cuts, providers still have to run a lean operation whether they are full-service or if they specialize,” she advises. “But, if they don't have good patient care, they are going to cut off their nose to spite their face.”
- Stress your success.
Often, HME reps target time with referral sources to gain new referrals. Speyrer suggests providers tout the success they have had with the physicians' previous patient referrals by providing follow-up reports of those who are being compliant on effective therapy.
“Bring that into doctors' offices. Schedule a ‘lunch and learn’ where you're providing education but you're also able to personalize it by showing [the physician staff] the patients in their practice that they previously referred to you and how they're doing.
“[Show them] you're not just in there for that next piece of referral pie; you're in there to show them past, present and future,” she recommends.
- Get and keep patients compliant.
Working with patients to achieve compliance is very important.
“Providers should work closely with new patients to help them achieve lasting compliance. Patients will not appreciate their sleep provider until their prescribed therapy starts to work, which means that providers should develop a good follow-up program,” says MacGregor. “This helps the provider, patient and sleep lab in assuring the patient of adequate resources in addressing his condition and replacement supplies.”
Speyrer says empowering patients achieves the best results. “You want the end result to be that you equip patients to always be an active participant in their health care process, so they know who to call for [products or questions],” she says.
- Measure yourself for compliance.
While patient compliance is essential for a sleep therapy program to be successful, provider compliance is just as critical.
“You have to make sure you measure yourself for compliance and see what works and what doesn't work,” says Cressler. “Every month, we do compliance reports internally to see what our compliance is on all of our patients.”
C&C Homecare's Cross agrees. “Compliance is a key issue, so if your compliance numbers are good, make sure [your referral sources] know it,” he emphasizes.
- Devise an affordable, efficient marketing plan.
Marketing strategies can be as varied as the companies that provide sleep therapy, says Cross.
“Direct mail and flier inserts can be a good means of getting your message to the end consumer. Both approaches may be fairly cost-effective and can effectively target a specific demographic,” he points out.
The utilization of sales representatives also has proven effective, as long as they make a knowledgeable presentation to the physician and your referral sources, Cross adds, but with a caution: “In essence, don't waste your time or theirs.”
Kristin Mastin, director of respiratory marketing for Sunrise Medical, Longmont, Colo., ticks off a number of ways to elevate the company presence in the community. “The most common is traditional advertising, which includes print, radio, television, Internet and billboard advertising,” she explains. “However,” she adds, “grassroots marketing can be highly effective.”
Mastin suggests providers consider the following:
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Host an obstructive sleep apnea presentation at your local library, senior center, VFW or community center.
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Host a product fair with your manufacturers and invite your referrals.
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Make certain the company name is prominently displayed on your company's vans and vehicles.
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Host quarterly obstructive sleep apnea support meetings for patients, their caregivers and families and invite your referral sources.
Finally, says Mastin, tap into the marketing creativity that exists within your company. “We are all consumers and are bombarded by marketing messages every day … See what your employees come up with,” she says.
Invacare's MacGregor believes community lectures can be particularly effective. The host facility will often post such activities internally and in local newspapers, she says. Plus, offering these programs in conjunction with a sleep lab or physician both enhances the company's image as a provider of sleep services and helps to cement the relationship with the lab or physician.
Television and billboard advertising has been successful, according to ResMed's Richard, but he also suggests looking for less expensive marketing methods.
He recommends providers:
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Contact the local newspaper with story ideas about sleep-disordered breathing and the therapies that can help.
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Get involved with the Chamber of Commerce and participate in local community health care fairs or events to show your products and services.
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Ask large employers in the area if you can use employee lunch times to educate them about sleep-disordered breathing.
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- Differentiate your company and your sleep program.
Mastin also advises differentiating a business from the competition. “Take stock of what your competitors offer, then offer something above and beyond … drive value to the referral and the patient,” she says. “One option is to implement a compliance management program that includes patient education and subjective CPAP usage monitoring. Then tout your outcomes.”
Steve McDaniel, marketing manager of Memphis, Tenn.-based Baptist Home Medical, says his company defines its program with a “sleep suite” where patients can come to be fitted for equipment to treat sleep disorders. “In our office, we have a sleep suite [where the] patient can come in, sit down and watch a video,” he explains. “Then, the patient can lie down and be fitted [with a mask] properly.”
- Be creative in getting your message out.
Stepping outside of traditional marketing strategies can be rewarding. Iowa Health Home Care's McDonald decided to exhibit at the Iowa State Fair, an event that attracts over 1 million visitors. The products that are used to treat sleep-disordered breathing were the ones that received the most attention.
“I was absolutely floored [by] how many people came to our booth, spotted those machines and came over to talk to us about the latest and greatest technology,” he says.
“The interesting part is they might not be your patient, but I think if you take care of them and make them aware of you, you have the possibility of picking up the supply sales and, eventually, the machine will wear out, adding additional revenue for you.”
- Deliver the goods.
Remember that the most elaborate marketing plan is ineffective if there is no follow-through.
“HME providers must incorporate all of these aspects into an overall marketing plan that is going to be executed and followed,” says Davis. “[Too] many businesses do not have executable marketing plans that are persistent in nature.”
Adds Cressler, “It doesn't matter how good your salespeople are, if you can't deliver on what you say you are going to do, you are done.”
