17 Jan Lifetime value of your patients
Patient lost. No search party required, this patient is lost forever and all for just $10.
Visiting a friend over the New Year break, I commented on her new specs… “Oh yes, I got them at… (insert multiple of your choice). They were really nice”.
So I asked her why she had changed from her (insert independent of your choice) whom I knew she had used for many years… “I went to them on my way to work to have the nose pads renewed. They wanted to charge me $10.00!! I told them… “I was a regular customer and I was coming in next week for a new pair of glasses, but they still charged me $10.00!!”
Now my friend is, well, a colourful character, she then said… “I thought to myself, (insert expletive of your choice). So now I get my glasses at …….. and they are really good”.
You see, in optometric or dispensing practice we rely on ‘Lifetime Value’ because we are not selling lemonade. If we were selling lemonade we would get the next thirsty customer no matter our level of service.
Lifetime value is the value of a customer’s business over a lifetime of them dealing with you. In my friend’s case, this was a new pair every two years. Say, at a cost of $500 per pair over twenty years this would amount to $5000. Our unwitting independent practice achieved a sale of $10.00 but missed out on the lifetime value of $5000.
In the words of advertising expert Bill Glazer, “The purpose of a customer isn’t to get a sale. The purpose of a sale is to get a customer”.
Search Spectrum Optical for workshops on sales and dispensing, after all, we can all use some help now and then.