With bath products as part of a robust ADL/retail sales division, HME providers can boost cash flow and expand referrals.
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| Joe Groden |
Bath products may not be typically thought of as aids to daily living (ADLs), but they certainly can be put into that category. When we think of bath products related to the HME industry, we generally think first of the basic bath safety products. Although some of the basic products may be covered by Medicaid or some HMOs, in most cases this is a cash sale category. In reality, this category should be looked at as an opportunity for more sales. And to develop this to the fullest, employee training is critical and proper marketing is essential.
Two of the most popular products are bath seats and transfer benches. Most of the time, the standard product is provided. However, there may be situations when a padded product is more appropriate (in cases of frailty, skin breakdown, or even a desire for more comfort). Employees should be trained, at the very least, to offer these options. In many cases, the standard product will be appropriate, but usually the customer will not be aware of other options and they should be offered. Options such as wall-mounted products and/or transfer boards are also available.
Tools and Tactics
- Train employees to suggest options (padded bath seats) that go beyond standard offerings.
- For customers willing to pay more for greater convenience, offer tub lifts that lower and raise clients.
- While it is tough to compete with chain stores on incontinence products, there are retail opportunities such as reusable underpads, wheelchair protective pads, and skin care products.
- A chart of complementary products can help employees suggest logical additions to a patient’s base purchase.
- A commission program can spur cash sales.
- View complementary cash sales as a win-win situation where customers’ lives are improved and company sales go up.
- Provide referral sources with a simple listing or even a mini-catalog showing the products you offer and the related disabilities.
- Market to physicians’ offices, social workers, OTs, PTs, rehab centers, nursing homes, and assisted living facilities.
There will be customers who are willing to pay more for greater convenience or comfort. Think of the customer that not only wants to get in the shower, but also would like to actually sit in the bath water. Although expensive, a tub lift is available that actually lowers and then raises clients into and out of the tub. Not many of these are sold, but they are available and could be an option in some cases.
When customers need the basic products, there are still many other products that can improve their quality of life. These can be categorized as safety and/or convenience products:
- grab bars (including new suction-mounted);
- bath rails (many choices available);
- bath mats;
- handheld showers;
- bed shampoo product;
- long-handle scrub sponge; and
- suction hand and nail brush;
This same concept holds for commodes, raised toilet seats, and toilet safety frames. There are padded versions of these products that are more expensive, and some customers will be willing to pay extra. Associated products include a foam toilet seat cushion, a shower commode chair, and skin care products.
Don’t forget that bariatric products are available for all of these categories. Again, they may be covered by insurance, but in many cases can lead to retail sales. Other categories of ADLs that provide opportunities for retail sales include:
- household aids;
- dressing aids;
- personal care aids;
- reachers;
- hot/cold products;
- exercise products; and
- incontinence products.
When it comes to incontinence products, it is difficult to compete with discounters and chain drug stores on products such as disposable diapers unless insurance (Medicaid) is involved. Still, there are retail opportunities for this category. Reusable underpads, wheelchair protective pads, pant and pad systems, and skin care products all increase your retail sales. These ADL products are available from wholesalers, or direct from companies that provide them, and are listed in HME Today under Aids to Daily Living Products in the online buyer’s guide.
EMPLOYEE TRAINING
When customers come in for basic products, they are usually not aware of associated products that may make their lives better. Employees can be trained to educate those customers. A “suggested product” chart is helpful to first educate and then to use as a reminder periodically. A commission program will encourage employees to build these sales. All employees might not be comfortable with this process, but there will be some who see the value.
Although companies with a retail showroom can easily adopt this process, companies that primarily provide HME products by order intake and delivery also can take advantage of it to build sales. For all companies, this training should include the billing staff and driver technicians as well.
I always tell employees that we are not looking to “push” products on customers. Instead, we are offering a triple win situation: 1) the customer wins by having a better quality of life; 2) the company wins by increased sales; and 3) the employee wins—either by earning a commission or by knowing they helped the customer.
MARKETING
Referral sources will be pleased to know that you can provide ADL products. You can provide a simple listing or, more impressively, a mini-catalog showing the products—and especially the disabilities they relate to. Physicians’ offices, social workers, occupational and physical therapists, rehabilitation centers, nursing homes, and assisted living facilities are all targets for your marketing. Occupational therapists in particular order many of these products out of catalogs, or provide the catalog information to their clients. In some cases, they will be pleased, knowing that the customer can obtain them from you.
With all of the continuing pressures surrounding third-party reimbursement, many companies are looking to retail/cash sales to add profit to their bottom lines. This is doable, and the trend seems to be increasing. It does require a minimum investment in additional inventory, but success comes from good employee training and effective marketing materials. Compared to other expenses, these are small investments that can yield big results.
Joe Groden is president of JG Consulting, assisting companies in the areas of business development, employee training, customer service, and marketing. He will be presenting at Medtrade Spring in Las Vegas on April 26, 2007, at 11 am, on Employee Training—What You Invest Rewards You Every Day. Groden can be reached via his Web site: www.jgconsults.com. HME Today readers who wish to see a sample suggestion chart are encouraged to contact Groden.