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Medical Marketing ROI (Return On Investment)
Medical marketing ROI is also known as healthcare marketing ROI. Results below are from dental and medical practices from US & Canada. Applies To Dentists, Surgeons & Healthcare Practices.
Many times our prospect customers ask us, “if I use your service, how many patients should I expect? “.
This is a very good question. However there is no simple answer. And anyone you tries to give you an answer like “20-30” new patients per day, or per week or per month, they are just guessing it. In the world of advertising and marketing there are no fixed techniques. Based on software used, best practices, domain knowledge of healthcare specialty, and results from similar customers you should be able to show ROI and hence forecast “similar results” but your mileage will vary. Every location has unique issues and opportunities. Every location has different competition. This is the best approach. Below you will find some examples.
Example 1. Primary Care Physician with a Walk-In Clinic
Review of a real customer. Location is east coast – mid-level competition. Doctor Jones has been in practice for the last 13 years. Her focus has been Primary Care, Internal Medicine and general wellness with focus on Diabetic patients. However, since last 3 years, multiple clinics have opened within her 5 mile radius. In addition, two Urgent Care clinics have also impacted her business. In the past all she had to do was to advertise in local yellow pages, few referral practices and business had grown due to her excellent focus on patient care. Due to competition, her average patient count had steadily decreased from 30 patients a day to 22.
In this case, Doctor Jones had to focus on new patient acquisition. She searched online on Google for “online advertising for doctors” and found PatientGain.com as the first organic listing on Google. She signed up for PatientGain.com’s GOLD Service for $499/mon. The results have been as follows:
Nov 2016 – Go live with new website, along with 20 apps embedded in the new Medical Marketing website. 135 phone calls received in the first month. 116 unique phone calls.
Dec 2016 – 434 phone calls received in the 2nd month. 388 unique phone calls.
Jan 2017 – 621 phone calls received in the 3rd month. 534 unique phone calls.
Feb 2017 – 518 phone calls received in the 4th month. 419 unique phone calls.
Mar 2017 – 599 phone calls received in the 5th month. 450 unique phone calls.
Apr 2017 – 697 phone calls received in the 6th month. 541 unique phone calls.
May 2017 – 801 phone calls received in the 7th month. 643 unique phone calls.
By the end of 7th month, Doctor Jones had achieved her target of 30 patients per day. Mission accomplished.
Medical Marketing Return On Investment (ROI) Formula
Example 2. Specialty Care Physician with a Specific Offering (Cash-Basis)
Medical Marketing ROI Calculator Example
For example in this case, this healthcare provider provides Ketamine Infusion based treatment focusing on Anxiety Treatment. most the treatments are on cash basis. Each treatment is approx. $300. With lifetime value of each patient approx. $3000.
Using PatientGain.com’s marketing techniques, HIPAA compliant software, Facebook apps, Google Advertising apps, Yahoo& Bing Advertising apps, Organic Content based SEO, Local SEO and unique Key-Word Tracking software, the following ROI was calculated in the 5th month of the launch.
Month 5 total spend $3200.
New patients 37 with avg initial spend $300 -total revenue generated $11,100
ROI Calculated : 2.46 Times
If calculated using LTV ( Life Time Value ) = $111,000 – with 70% patient retention = $77,700
ROI Calculated : 23.28 Times
Average ROI Calculated : 12.87 Times
Example 3. Pediatric Urgent Care – 10 Locations.
Medical Marketing ROI Calculator Example
For example in this case, this healthcare provider provides urgent care for children – They open mid day and stay open till mid-night. The clinics have been open for 10+ years and their focus has been referrals and using a local web development company. The owner is a physician and has successfully grown the business to many locations with over 100 healthcare employees. In 2017 the practice owner was interested in latest changes in marketing for doctors. During practice owner’s research he found PatientGain.com’s GOLD package and was intrigued. Initially 5 locations were converted to the GOLD package. After 8 months, all 10 locations have been converted to GOLD package and experienced growth in business. During Jan 2018, KPI reports from the PatientGain.com’s dashboard revealed the following data.
Using PatientGain.com’s marketing techniques, HIPAA compliant software, Facebook apps, Google Advertising apps, Yahoo& Bing Advertising apps, Organic Content based SEO, Local SEO and unique Key-Word Tracking software, the following ROI was calculated in the 9th month of the launch.
Location 1 :
Jan 2017 – Total 621 patients – Jan 2018 – Total 852 patients – ROI Exceeded the planned return.
Location 2 :
Jan 2017 – Total 691 patients – Jan 2018 – Total 1092 patients – ROI Exceeded the planned return.
Location 3 :
Jan 2017 – Total 870 patients – Jan 2018 – Total 1105 patients – ROI Exceeded the planned return.
Location 4 :
Jan 2017 – Total 483 patients – Jan 2018 – Total 671 patients – ROI Exceeded the planned return.
Location 5 :
Jan 2017 – Total 1054 patients – Jan 2018 – Total 1353 patients – ROI Exceeded the planned return.
Location 6 :
Jan 2017 – Total 466 patients – Jan 2018 – Total 783 patients – ROI Exceeded the planned return.
Location 7 :
Jan 2017 – Total 381 patients – Jan 2018 – Total 579 patients – ROI Exceeded the planned return.
Location 8 :
Jan 2017 – Total 644 patients – Jan 2018 – Total 853 patients – ROI Exceeded the planned return.
Location 9 :
Jan 2017 – Total 625 patients – Jan 2018 – Total 778 patients – ROI Exceeded the planned return.
Location 10 :
Jan 2017 – Total 461 patients – Jan 2018 – Total 825 patients – ROI Exceeded the planned return.
Average ROI Calculated : 15.17 Times – From 10 locations.
Read more at RWJF.ORG
Example 4. Urgent Care & Walk-In Clinic – Midwest USA
Healthcare Medical Marketing ROI Calculator Example
For example in this case, this healthcare provider has been in business for 4 years, in the Midwest. There are 6 Exam rooms, average patient count is 380 to 400 per month. Desired patient count 700 per month, approx 23 per day. There is a medical director associated with the clinic, but primarily the main providers are 2 Physician Assistants Certified (PA-C) . Owner is a Physician Assistants Certified (PA-C).
Average patient spends $142 per visit., with a LTV of $1800 per patient. There are digital x rays, exam rooms to provide main urgent care services like, minor injuries, sutures, broken bones, pediatric urgent care, physical exams, onsite lab testing, STD tests, travel medicine and DOT physical exams. The clinic is open 7 days a week, 8 am to 8 pm. The owner has been not been with growth. In early 2017, 2 new urgent care centers opened within 7 mile radius. One of the urgent care centers is a part of a large national chain. Due to this increased competition, the owner went on Google and searched for “medical marketing for urgent care”. The GOLD package ($499/mon) from PatientGain.com was implemented. Here are the results : ( your results will vary ).
End of Jun 2017 – launched. 401 patients
Jul 2017 – 453 patients
Aug 2017 – 625 patients
Sep 2017 – 536 patients
Oct 2017 – 709 patients
Nov 2017 – 805 patients
Dec 2017 – 838 patients
Jan 2018 – 1092 patients
Using PatientGain.com’s marketing techniques, HIPAA compliant software, Facebook apps, Google Advertising apps, Facebook ads, Yahoo & Bing Advertising apps, Organic Content based SEO, Local SEO and unique Key-Word Tracking software, the following ROI was calculated in the 8th month of the launch.
Total spend $12,600.
Total 722 monthly patients – delta – 322 patients per months increased
Revenue increased over 7 months ($45,724 per month) = 320,068
ROI Calculated : 24.40 Times
If calculated using LTV ( Life Time Value ) = $4,057,200 – with 20% patient retention – Urgent Care metrics = $811,440
ROI Calculated : 63.40 Times
Average ROI Calculated : 43.90 Times
Example 6. Vascular Surgeon and Vein Clinics
Healthcare Medical Marketing ROI Calculator Example
For example in this case, this healthcare provider has been in business for 19 years, on the East Coast. There are multiple locations. Each location has its own staff and each location is considered a separate profit & loss (P&L) center.
Average patient spends $452 per visit., with a LTV of $6400 per patient. Key patient services offered are Ambulatory Phlebectomy, Aortic Disorders, Aneurysm, Abdominal Aortic Aneurysms, Thoracic Aneurysms and Minimally Invasive Aneurysm Repair. The clinic is open 5 days a week, 8 am to 5 pm. There are 2 owners. Both are practicing surgeons. They have not seen any growth in the past 2 years. They have also seen 3 new practices open within the 15 mile radius. Due to this increased competition, the owner went on Google and searched for “medical marketing for doctors” and found PatientGain using Google Search. The corporate site was launched on the PLATINUM Package and each location is on the GOLD package ($499/mon) from PatientGain.com. Here are the results : ( your results will vary ).
End of Jun – launched. 114 new patients – without PateingGain ( From all locations )
Jul – 129 new patients First month launch
Aug – 145 new patients
Sep – 159 new patient
Using PatientGain.com’s marketing techniques, HIPAA compliant software, Facebook apps, Google Advertising apps, Facebook ads, Yahoo & Bing Advertising apps, Organic Content based SEO, Local SEO and unique Key-Word Tracking software, the following ROI was calculated in the 4th month of the launch.
Total spend $24,780.
Total 148 monthly patients – delta – 33 patients per months increased
Revenue increased over 3 months ($15,217 per month) =45,652
ROI Calculated : 4.40 Times
If calculated using LTV ( Life Time Value ) = $633,798 – with 30% patient retention – metrics = $443,6580
ROI Calculated : 26.0 Times
Average ROI Calculated : 15.2 Times
6 Steps for Online Success For Clinics
Step No 1.
As medical practitioners, we have to realize that patient behavior is changing. Patients are now looking for medical services online. 88 percent of patients search online for medical services and clinic information. Even 47 percent of existing patients look for additional, related services online on your own website or your competitor’s websites. So you must be present on the Web. 60 percent to 72 percent of patients look for your services, check your online reviews, using a mobile device. Make sure that you have website that is focused on Mobile Marketing for doctors. Here are many examples of great ( and free Mobile, responsive and intelligent) websites. Once your medical practice is online, there are 5 additional important areas to cover.
Step No 2.
In US, approximately, 78 percent of the time, your patients are going to use Google search engine to look for medical related services, reviews and other information. So your first step is have a top notch Google presence. Other places are important also, like Facebook, Yahoo, Bing etc. But start with Google. There are 6 important aspects of Google presence.
- Google Local Listing for your medical practice
- Google Maps, verified listing
- Google Reviews rankings
- Google Posts
- Google Organic results
- Google Paid Search
Each of these should be addressed by your online strategy for your medical practice. Many doctors and practice managers think that having a nice looking website will suffice. Unfortunately it is no longer enough to have a nice website and a Facebook page. Each of the above mentioned 6 important aspects of Google presence require attention to detail, time and commitment, not to mention financial investment.
Step No 3.
SEO or Search Engine Optimization for Doctors & Medical Practices can be defined in many ways. To provide you with a high level guidance, these 5 areas are most important: A. Google Local Listing for your medical practice
- Create a Google account
- Add you clinic’s accurate information – Name, address are the most important information – Phone should be checked.
- If your practice’s information is incorrect, you will have correct it
- You may have to claim your listing also.
- In certain cases you may have duplicate listings, these should be resolved.
- There are dozens of other Local directories – They should be checked and updated. But Google, Facebook, Yelp, Yahoo/bing are the most important ones. Start with these.
B. Google Maps, verified listing
- Create a Google account
- Add you clinic’s accurate information in the Maps
- If your practice’s information is in correct, you will have correct it – sometime the Map Pin is Inaccurate
- You may have to claim your Map listing also.
- In certain cases you may have duplicate listings, these should be resolved.
- There are many of other map based directories – They should be checked and updated. But Google, Map Quest, Apple Map are the most important.
C. Google Reviews rankings
- Create a Google account
- Check you reviews and ratings
- If your practice’s reviews are 4.5 and over 100 reviews on Google, then you are doing well. If less than this, you will need to focus on this area.
- Other important review sites are Yelp, Facebook and HealthGrades. But start with Google.
D. Google Posts Posting on Google is a new way to share relevant, fresh content with the people who are searching for you. Use images, videos and even animated GIFs to engage your audience, and add inline links to drive traffic to specific content. This enhanced format allows searchers to hear directly from the primary source — you — and complements existing results from across the web. One important note the Google Posts expire every week. You have to post every week. E. Google Organic results Your content on your website is the most important factor on your website. Content refers to your text, headings, sub-headings, main paragraph, images, videos, blogs etc. Your website must contain non-copied, non-plagiarized content.
Step No 4.
Every year, billions of dollars are spent on online advertising. Very broadly, online advertising can be divided into 2 main categories:
- Display advertising
- Search advertising
As a doctor and a medical practice manager, both of these are important for you. You can acquire new patients using both of these mediums.
Step No 5.
Reviews marketing is another emerging area. Online reviews are impacting decisions of your prospect patients dramatically. This is one area that will make your medical clinic shine or impact negatively more than any other strategy. In fact it should not be a marketing strategy, it should be a necessity. There are 4 ways to acquire positive reviews, and at the same time, minimize negative reviews. So your marketing strategy should be to minimize any negative reviews, and maximize positive reviews. 4 Ways to acquire online reviews
- Using Texting/SMS apps. A text is sent to a patient asking for feedback after a visit.
- Using Email apps. An Email is sent to a patient asking for feedback after a visit.
- Using an iPad in the lobby. A patient is asked to provide feedback right after the visit.
- Using Social Media or your Website. An app can be added to your business page on Facebook or your website, asking patients to provide feedback.
There is no quick and foolproof way do this “quickly”. There are pros and cons for each approach. Google and Yelp understand that businesses are striving to acquire more positive reviews and “bury” negative feedback, their algorithms are aware of SMS requests for reviews – and they are blocking reviews posted using SMS originated requests. Having an iPad in the lobby can cause block of IP Address and so on.
Step No 6.
Social Media Marketing is another very important aspect of your marketing. Your potential and existing are hanging around on Facebook. You have to make it easy for them to do business with you. Here are 5 steps. 5 Steps for Facebook Success for Doctors & Medical Practices
- Create Facebook Business Page for your medical practice.
- Optimize FacebookBusiness Page for your medical practice.
- Add apps to your FacebookBusiness Page for your medical practice. For example, add Contact Us app, add Appointment Requests app, add Promotions app.
- Add content to your FacebookBusiness Page for your medical practice
- Advertise your FacebookBusiness Page for your medical practice on Facebook – There are multiple ways to promote your FacebookBusiness Page for your medical practice. You can hire a professional ( recommended ) or do it yourself. Professionals who are certified advertising professionals will produce better results for you.
Summary for Online Success For Doctors
These 6 steps are proven to add value for hundreds of medical practices. There are many other steps you can take to further improve your strategy. Monthly Email Marketing is another strategy, among many others. Contact us so we can help you and view details GOLD package here.
Healthcare Advertising VS Healthcare Marketing
Many healthcare professionals confuse Healthcare Advertising with Healthcare Marketing.
Advertising is just ONE of the many "things", "programs" or "techniques" launched to achieve a successful Marketing Program. So Medical advertising is one, but very important part of Medical Marketing for a practice. For example if you are a pediatric physician with focus on urgent care for children, and your goal is to acquire more patients, you may want to "market" your practice in 20 mile radius for potential parents of patients who may seek Pediatric Urgent Care. For this effort you would typically have many things to do :
Step 1: Sign for the building
Step 2: Business cards
Step 3: Doctor's bio printed and promoted to local primary care physicians
Step 4: Providing free "meet-and-greet" for parents of potential pediatric patients
Step 5: Collaboration with local schools for "low-cost" physicals for school athletes
Step 6: Mail drop in 5 mile radius using USPS mail and flyers for parents of potential pediatric patients
Step 7: Networking with other local businesses close to your own location
Step 8: Using social media campaigns
Step 9: Making the lobby of the clinic a pleasing place for parents of potential pediatric patients and for children
Step 10: Referral program to market using existing for parents of potential pediatric patients
Step 11: Launching your online strategy to market your practice
Step 12: Offline advertising offline for your healthcare practice
Step 13: Online Advertising for your healthcare practice
Healthcare Advertising Defined
Advertising for doctors can be offline or online. Offline advertising for doctors refers to Billboards, Newspapers, Paper Yellow Pages, Ads in Cinemas, Radio Ads.
Online Advertising for doctors refers to advertising focused on internet based mediums. For example:
- Google search advertsing
- Facebook display ads
- SEO / Search Engine Optimizations
- Website conversion techniques to improve the actual patients generation from your website
- Advertising on Instagram
- Email marketing
- SMS/Text based marketing
- Display advertising
Steps For Healthcare Advertising Campaign
Your paid advertising campaign is specifically setup for each of your location(s). It involves different steps to develop a customized campaign according to your industry requirement and your desired needs. This is a summary of steps. Each staff member who works on your campaign has multiple certifications. Your campaigns are reviewed by advertising managers, project managers and even the owners of the company. Note that Google campaigns are quite a bit different than Facebook campaigns. Facebook campaigns have become very complex. They are different than setting up Google campaigns. Each of these companies, Google ( and Googled owned companies like YouTube) and Facebook (and Facebook owned companies like Instagram) will be the largest source of new and repeat patients for your medical practice. So it makes sense to focus on these 2 first, however you can advertise on over 100 online properties using PateintGain's GOLD or PLATINUM Service.
Step 1: Your dedicated project manager works closely with the our in-house medical advertising staff. Specific staff are assigned to specific qualifications and experience. For example, all of our staff who work on your campaigns are at least, Google AdWords Certified. We specifically look at your competition and who else is offering similar services, similar campaign, analyze the market and make strategies to build your campaign in an effective way. Our in-house medical advertising staff starts setup of your campaign to target the audience. We look at time of the day and conversion data available to us. Our objective is lowest possible cost with maximum result, best possible ROI for your marketing campaign.
Step 2: Your target area is defined. This is extremely important. Due to our deep experience and our data, we know that each service you offer can draw patients from different areas. For Facebook and Instagram campaigns, in-house medical advertising staff will look at 6 key focus areas for social ads. Demographics, age groups, interest and multiple different attributes may be selected.
Step 3: Your key services are discussed with you. We recommend starting with at least 3 to 5 key services. It also depends on your campaign budget. For example if you are a Med Spa and want to focus on “Coolsculpting” – the team will create an ad-group for Coolsculpting. Landing pages and campaign “Coolsculpting” are created and and there are many other keywords related to your service “Coolsculpting”. For each keyword we know the probability of results and how effective each keyword will be. We also know the mobile vs non-mobile patient behavior. If the campaign is being designed for Facebook – the steps are similar but tools in Facebook are different from Google. The same is true for other type of campaigns, like Instagram, Yahoo/Bing campaigns are slightly different. Some platforms are rock-solid, some are “testing” with your ad dollars. Our job is also to steer you away non-essential expenses. We also see different results from different ads. For example, on Facebook and Instagram visual ads, we highly recommend branding your ads, as they produce better ROI.
Keywords are the heart of paid campaigns on Google. Our in-house medical advertising staff research and design powerful keyword lists relevant to your target audience. Negative keywords are equally important. There are hundreds of negative keywords in our campaigns. These campaigns have been run thousands of times and optimized for your specific services. These are NOT generic campaigns.
Landing pages and lead conversion software is all included in the GOLD and PLATINUM Packages. Call tracking based on keywords is included in our campaigns.
Step 4: Budget is discussed for each clinic. This is where you have the most input. Most customers want to spend “X per month per location” – Then we work backwards to get the best results. Other approach is to let us suggest a budget. Changing of the budget is easy, it can be easily increased or decreased. Sometimes customers come to us and say “I want to dominate online” – What can you do? So depending on your business objectives, we design campaigns. There are no cookie-cutter ad campaigns.
Step 5: Based on your services, dozens of ads are created, negative keywords list are generated. Ad extensions, Set Schedule of the campaign, GEO targeting, Excluded areas, low-value-keywords are assign a lower bids, competitor bids, local bids, mobile bids, landing pages with conversion are created/optimized, call tracking is set, lead-capture is tested.
Step 6: Target launch date is set and discussed with customer
Step 7: Campaign is started
Step 8: Typically in the first 15 to 30 days your campaign results are discussed with you. However your campaign is being constantly monitored.
Successful campaigns require continuous optimization such as A/B testing, funnel management and bounce rates.
Our PPC Team evaluates and applies various statistical models to improve and expand the campaign incrementally over the time to beat the market competition on regular basis.
With our service, it is required that you meet with us at least once a month to review your account.
PatientGain.com is a proven healthcare marketing solution, includes apps, websites, SEO, HIPAA compliance and account management.
To learn about How does healthcare marketing work?
To learn about What is the Foundation of Medical SEO (Search Engine Optimization) for Doctors
To learn about How SEO Works For Healthcare Websites, this is a good starting page.
To learn about Short-cut SEO for Medical Practices, this is a good starting page.
To learn about Pricing and cost of SEO services for medical practices, this is a good starting page.
To learn about How Much Do Doctors Spend On Advertising?
To learn about Medical SEO Voice Search Optimization For Doctors (BERT)
To learn about Local Medical SEO For Doctors
To learn about Mobile SEO For Medical Websites
To learn about Zero-Click SEO for Doctors
To learn about Benefits Of Medical SEO Marketing
To learn about Key Items For SEO Evaluation of Medical Websites
To learn about Avoid Risky Plans – Use Proven Medical Marketing Strategies
To learn about Medical Marketing Using Emotionally Compelling Offline Media
To learn about Pre Launch Medical Marketing Checklist for Doctors
To learn about Medical SEO vs. Medical Advertising – Which One Is Better?
To learn about Is Your Medical Website Design “Future Proof”?
To learn about Medical Website Conversion Strategies
To learn about Medical Website Content Marketing Strategy
To learn about How to Acquire New Patients for Your Medical Practice
To learn about Medical Website Applications
To learn about What is Technical Medical SEO?
To learn about How to Attract New Patients to Your Dental Practice
To learn about Dental SEO Examples
To learn about What is Medical Marketing Account Management?
The GOLD service from PatientGain is used by telemedicine physicians, dentists, surgeons, pediatrics, medical spas, pain management, functional medicine, primary & urgent care, cardiologists, podiatrists, addiction medicine, regenerative, wellness, therapy, OBGYN, integrative medicine, dentists, dermatologists, IVF & reproductive, pharma, bio-tech & many other medical practices.