Is My Market Too Saturated?
Often we hear doctors say that their market is too saturated, and that there is too much competition for them. Some markets are hot right now. Those markets may stay hot, or it may migrate to a new market in a few years. It can be a scary thing for a dentist or specialists who has settled in one area to see so many others come into the community. So, how do you deal with a saturated market? Well, at EOS, we use a data-driven approach.
Start With The Data
The first place to start when you’re thinking about marketing your practice in a saturated market is to first determine IF you are, in fact, in a saturated market. Emotions can be deceiving and sometimes what may feel like a bunch of competition crowding in, is really only a response to a big-picture growth spurt for a community. For example, five times more dentists may have opened up shop, but there also may be five times the amount of overall residents moving into your area.
Location Viability Studies are crucial for practice owners to do because they help identify what is actually going on in a specific community. You can know where your competition actually is, where the community is, and what their behaviors are. This helps you turn your emotions into factual information.
Market With Data
Once you know what is going on in your local community, you can pinpoint how you want to market to your patients. When you know who, when, and what to market to, you can make smart decisions. Those smart decisions help you give a leg up on your competition. So, while there may be more competition in your area, smarter marketing strategies will help you stake your claim in your community with confidence.
Focus On Loyalty
One important piece to marketing is the longterm loyalty of your patients. The cost to retain a patient is much, much less than the cost to get a patient in the door. Not to mention, most patients will rave about you to their friends and family, giving you invaluable word of mouth. When you consider the impact that a happy patient can have on your practice, you realize that part of your marketing strategy needs to be on building loyalty with your patients longterm.
Yes, we know it sounds cheesy. However, competition WILL make your practice stronger. Just as iron sharpens iron, so does a new competitor help you rise to be your very best. A saturated market may not feel fun for a season, but in the long run, a saturated market can help you run a smarter, more strategic practice.
Around the nation, markets are growing and waning. Each come with their own challenges, but in either case, understanding your local market with cold, hard facts will help you make smarter decisions. At EOS, we believe in using data to drive our decisions for our clients. We do this with Location Viability Studies, demographic reports, digital marketing data, and quality reporting. We have seen data help grow practices in ways we never could have imagined. Are you ready to grow your practice with the help of data?