DP: What can providers do to mitigate the effects of reimbursement cuts and grow their business?
Yager: First, it is most important that providers understand their true cost of doing business, not just the visible costs of salaries and capital equipment expenditures, but the hidden costs like repeat deliveries, warranty repairs, and oxygen contents, and choose products accordingly. For example, the TOTAL O2® Delivery System, CHAD’s cylinder filling concentrator, eliminates delivery overhead, oxygen content costs, and regular service calls. The right product choices can free up resources to allow providers to service more patients for less.

Second, once they have pared down unnecessary expenses, they are free to expand their service offerings. Many companies will be cutting back on their services and product offerings, so providers have a real opportunity to differentiate themselves from the competition in the eyes of the referral sources. Innovative products like the SAGE oxygen therapeutic device and the TOTAL O2® are tremendously appealing to physicians, as are other value-added services like educational sessions, clinical programs, and lunch-and-learn presentations.

Third, providers should take advantage of all the promotional tools offered by manufacturers to drive new business. For example, CHAD offers a generous cooperative advertising program that cannot only help bring in new business, but also significantly reduce the cost of generating those leads.

DP: Do legislators understand the value of oxygen therapy and home care? If not, what can the industry do to increase awareness among Washington lawmakers?
Yager: Unfortunately, most people who haven’t had direct experience with oxygen therapy and home care, whether the general public or legislators, don’t understand their full value. There are a number of grassroots lobbying efforts under way in which providers can become involved. State and national medical equipment associations act as a great source of information on these efforts and can provide explanations of proposed legislation. Let’s not forget that Washington’s policies don’t just affect the industry’s businesses, but also the patients who rely upon them.

DP: What gives you optimism about the future of oxygen therapy?
Yager: As manufacturers, we are making great strides in technology that can literally transform users’ quality of life. A few years ago, home cylinder-filling technology was just a dream, and now it is becoming both commonplace and essential in the industry. We have the wonderful opportunity to transform technological advances into reality for the benefit of patients worldwide.