Orthotown July/August 2019 - 10

Gym memberships are in their own special category: Sell as many memberships as
possible, hope no one shows up (just count the lockers!) and keep the rest. Does this sound
like an HMO, anyone? So, we in the business of providing a service over a number of
months are in the driver's seat, right? Well, yes and no.

Make the most of every month
True, our services are delivered over several months, sometimes even years. However,
treatment times and frequency of visits are decreasing. These two factors make it difficult
to raise fees without adding additional services.
There once was an orthodontist I knew who valued starts as his profit for the
month. Monthly payments, he said, only covered the overhead. I'm not sure
that's the way to think these days. You can, however, thank orthodontists for
starting the direct reimbursement system. This shows that as a group, we
are used to fending for ourselves when it comes to making our services
affordable. Going forward, what are some of the ways that we can
compete with the monthly billing systems and recurring payment
options that have become standard fare in our patients' lives?
Office location selection is important. I know that in the
greater Phoenix area, there are some neighborhoods where
patients have similar incomes and insurance benefits yet due
to "preferable" ZIP codes, house payments fluctuate a hundred
bucks or more. This is easily the monthly payment for orthodontic
care! Locating in these "preferable" ZIP codes may not be the
smart choice.
Payment slider apps and software to help patients decide on
treatment have been useful. This feature, which is offered by third
parties and may be bundled within practice management software,
makes it easy to convey to patients the relative affordability of treatment.
For at least 20 years, my practice has offered plans of 24-36 equal
payments, depending on the care rendered, age of the patient and expected time
of appliance removal. Without having to pull credit checks, and occasionally finishing
treatment ahead of schedule, we have had minimal problems with this arrangement. Once a
practice is established, it's all about the monthly income minus expenses. Some advocate for
extending payment beyond 36 months. Problem is, a healthy orthodontic practice depends on
the next patient starting care. If the first one is still being paid off, when do you get Patient
No. 2? Breaking treatment into phases is a healthy way to manage payment options also.
Lastly, I recently took part in a webinar discussing in-office dental plans for uninsured
patients. I've had several dentists in my area start these plans and I've been included on
them. Orthodontists need to stay in the game and understand the market because for the
time being, the market is full of monthly subscriptions, and consumers (and patients!) are
willing to sign up for them. ■

Is Dr. Grob spot-on, or should he be told off?
To tell Dr. Dan Grob your opinion about his column,visit orthotown.com/magazine
and leave your comment in the section under this column.

JULY/AUGUST 2019 // orthotown.com

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Orthotown July/August 2019

Table of Contents for the Digital Edition of Orthotown July/August 2019