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Issue: April 2006
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It’s Moos to You

by Joe Groden

Aids to daily living products (ADLs) can be a reliable cash cow for HME providers who know when and what to recommend.

 There are thousands of ADLs (aids to daily living products) available, most used by therapists to improve a patient’s quality of life. Most HME providers supply few of these products now, but an expanded offering can be a source of additional revenue and profits.

Many of the available ADLs are closely related to products that are already part of a typical HME provider’s offering. They enhance the value of the traditional products and can lead to a better quality of life for patients. Although the initial inventory investment for these products is relatively small, there must be a time investment to train employees for this concept to succeed.

Your product mix may complement the traditional HME already provided, or relate to the diagnoses of the customers being served.

Product categories based on a patient’s diagnosis are:
• eating aids
• dressing aids
• pill organizers
• diabetic accessories
• exercise products
• hot/cold packs
• back/neck products
• bathroom safety products.

For example, a customer that has a diagnosis of diabetes is certainly a prospect for additional diabetic accessories. Someone coming in for a cervical or back support can be a potential customer for hot/cold packs or simple exercise products. HME companies with pharmacies can take even more advantage of this.

Another example would be customers who have had strokes. The following product categories would improve their lives during recovery and perhaps for the duration:
• adaptable spoons, forks, knives, and plates
• button aids, sock aids
• many bathroom safety products
• adaptable hair brushes/denture brushes
• communication aids.

 Joe Groden

Two products, in particular, can be suggested with many products and categories. Raised toilet seats are appropriate in many cases when tub benches, walkers, and canes (just to mention a few) are referred. Seat lift chairs (perhaps the ultimate ADLs) are an excellent example. There are many patients referred to your company that have no idea what a seat lift chair is. This product, however, can be a potential extra sale. This is also an example of improving your customer’s quality of life.

Those referred to you for wheelchairs, walkers, canes, tub and transfer benches, and oxygen could at some time improve their lives through use of a seat lift chair. Encouraging employees to provide seat lift literature when these products are provided can increase seat lift chair sales.

Training
Although the suggested selling idea below works best in a retail showroom operation, it can also be successful for companies that work primarily by telephone orders and delivery. The training does not have to be limited to customer service or order-intake personnel. Billing staff, delivery technicians, and repair service staff have opportunities to suggest appropriate products.

The main success factor is creating a positive atmosphere to encourage the process, and scheduled reinforcement at staff meetings. A chart that shows the products you supply along with appropriate ADL recommendations can serve as a reference piece, and should be included (at least quarterly) at staff meetings. I can provide a sample chart upon request.

There will be certain employees who will be more comfortable and “take hold” of the concept, and some that will not be able to do this. However, even if only a percentage of employees participate, it can lead to more sales. It is also possible to set up an incentive structure that may encourage employees to “buy in.” There are a wide variety of additional products that have not been mentioned, and many companies that specialize in providing these products to HME providers.

There are basic products that should be stocked. However, the majority of products can be ordered and provided as needed, and therefore there is not a large investment in inventory, especially at the beginning.

It is even possible to develop a business with therapists and facilities in your area. Most of them order through the catalogs now. You could be a source of many products that they regularly use. Examples are: diagnostic and evaluation products (goniometers, blood pressure units, examination lights); massagers; exercise equipment and supplies (therapy putty, exercise bands, weights); and hot/cold products.

Developing this business takes time. A catalog or listing would have to be produced. Marketing to the facilities would be needed, and a pricing structure worked out. (The pricing would be somewhat lower for a facility or therapist than for retail sales.) This may seem to be an overpowering project; however, there are rewards to be obtained.

Another alternative is to develop a mini-catalog primarily for customers, which could include the most popular items. These mini-catalogs could be left at physicians’ offices, rehabilitation centers, nursing homes, and assisted living facilities. There are three big pluses whether you are providing a facility catalog or just a mini-catalog for customers: 1) this is primarily a cash business (no insurance involved); 2) becoming a source for these products not only makes it easier for referral sources to obtain them for their patients, but it also develops a stronger relationship with those referral sources for all of the products that you primarily provide; and 3) although this concept will work best for companies with a retail showroom, the catalog or mini-catalog can also be a tool to be used by those companies that primarily work by order intake and delivery.

Ultimately, the goal of providing these additional products is increased sales and more profits. However, success is determined by this thought: These products can improve the quality of life for the patients we serve. Most of your customers will not be aware of these available products. By educating them, employees are providing a valuable service, so be sure that this message reaches your staff. DP

Joe Groden is president of JG Consulting, Penfield, NY. He provides consulting services in business management, employee training, customer service, product selection, and marketing. He can be reached via e-mail: jgroden@jgconsults.com.

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