Health care marketing: an overview
The government has in recent times put in place measures that are meant to ensure that there is a large and positive change in the country’s health care system. Well, over 55 million American citizens are struggling with the issue of lack of healthcare insurance coverage and the relationships between patients. Physicians have been seen to grow even more impersonal and distant. This has effectively ensured that there is a need for healthcare marketers to work more closely with community organizations in order to bring about more decisive changes to the healthcare provision in these communities (Buckley, 2009). This paper therefore examines the marketing approach that a health care marketer would take to handle the products and services. Thereafter, a research conduct on the healthcare climate of Washington State will be carried out outlining a communication strategy that would be effective in reaching the necessary stakeholder groups. It will in addition assess the advantage of each and finally crafting a policy for health care marketing firms to ensure that ethical violations in pricing, service and advertising.
It is important to note that healthcare marketing is unique and therefore the strategies that marketers of consumer goods and services use are also distinctive (Sheaff, 2002). This is often because hospitals and healthcare systems are continuously faced by challenges from outside forces. For instance, politics, changes in government regulations, the constant advancements in the area of alternative medicine as well as increasing competition from individual physician run hospitals (Buckley, 2009). It is also important to note that hospitals are grappling with the growth of direct consumer advertising of pharmaceuticals. This has brought into sharp focus the fact that for a large majority of health care marketers, the traditionally accepted aspects of marketing which include product, price, place and promotion, present their own brand of unique challenges (Buckley, 2009).
This is the reason why it has become more important for the average hospital marketer to ensure that he or she becomes constantly acquainted with advancements in hospital based technology and laws to do with healthcare (Sheaff, 2002). Further, the healthcare marker must be dedicated to ensuring that his colleagues within the medical profession have a firm understanding of the need to ensure that there is trust and confidence in their relationship with the consumers (Buckley, 2009). In addition, the health care marketer has to deal with the fact that for many consumers, the choice of which hospital to visit is not one that they put at the top of their priority list. In some instances, the health care marketer has to understand that the general public does not spend a majority of their time considering which hospital they would like to be admitted in case of a medical emergency (Buckley, 2009).
Further, in health care marketing, unlike in traditional, individuals often form their opinion of their wish to visit a certain medical institution based on opinions from those closest to them or from their own experiences at the specific institution (Buckley, 2009). In addition, one has to consider that unlike normal marketing where the consumer is presented with different options on a daily basis, healthcare products can only be presented once since visiting a hospital or procuring healthcare insurance is not an act that happens every day (Sheaff, 2002). This becomes even more difficult when one considers the fact that unlike in traditional marketing, consumers of healthcare do not have the option of comparing the healthcare services.
For instance, a patient cannot say that he will break his leg twice for treatment in order to compare the care he receives at two different hospitals and thus pick the one that is best suited to him (Sheaff, 2002). In addition, healthcare marketers have to constantly deal with consumer satisfaction, even though hospitals and health care institutions spend a large amount of money on brand promotion, this does not help to sell their products if the consumers are not satisfied with the services they received at the hospital (Buckley, 2009).
Healthcare marketers also have to deal with the fact that returns for the products they sell is not guaranteed. It has often been said that the true value of healthcare marketing is the fact that through these services they offer, they hope to make the lives and general health of their consumers better (Sheaff, 2002). Health care marketing, unlike traditional forms of marketing, helps to constantly prepare and motivate the healthcare professionals to constantly improve their services. Considering that the services contained within the healthcare system are generally expensive, they are constantly faced with the need to innovate their products. This is bearing in mind the fact that it is almost impossible to duplicate healthcare products since this often leads to a decline in their standards (Buckley, 2009).
The Healthcare climate of Washington State
It has been noted that the healthcare in the state of Washington is among the best in the entire country. It is made up of hospitals that have been made famous by the fact that they are constantly winning awards for the quality of their hospitals. This is further compounded by comprehensive and innovative research as well as efficient patient care that is emphasized through out. The health care system in Washington is characterized by both privately funded and government sponsored health care providers (Sheaff, 2002). The Washington Health program is an example of a state run program whose main aim is to provide quality but affordable health care insurance coverage. This program is made possible through the fact that the state has formed partnerships with private insurance companies. It is important to note that this program has a waiting list which has been put in place to ensure that it stays within the budget allocated to it by the federal government (Buckley, 2009).
Under the Washington health program, patients are eligible to have their costs for routine check ups, regular office visits as well as emergency and urgent care. In addition, it allows greater access to the necessary drugs and essential maternal care for pregnant women all at an affordable rate. To further supplement this program, the State of Washington has programs that include reduced Cost health Care, which essentially caters for the coverage of basic health care (Sheaff, 2002). Medicaid is yet another government sponsored program which provides relief for those individuals who do not have the requisite insurance coverage due to their income levels and consequently cannot gain access to quality and affordable medical services and products. Public employees and retirees also have access to medical benefits as well as the required retirement benefits. There is also a program that aids individuals without insurance gain access to prescription drugs (Payne, 2003).
However, just like in other states, the cost of healthcare is still a major concern. This is the reason why there has been an increased need to ensure that the price of healthcare is transparent and clear to all the stakeholders within the health sector. This price transparency has been seen as essential in ensuring that consumers of health care have more direct access to the real cost of their services. In the State of Washington, this has translated to a direct need ensuring that consumers of healthcare can access the prices through the internet. This is seen as another way to enhance the transparency in prices (Payne, 2003). In addition, the presence of these web tools serves to ensure that consumers are more aware of the prices and therefore have a better understanding. It has become even more important to certify that the access to the information regarding prices is accompanied by quality information about the services available (Sheaff, 2002).
Further, the issue of pricing in the healthcare system of Washington is challenged by the need to disclose the price of the services especially in times when the patient is confronted by an emergency situation (Sheaff, 2002). It has been found that in these instances patients are not in the right frame of mind to consider the prices of services. This is therefore the reason why this information is provided during routine office visits where these patients are provided with all the necessary information with regard to the services that the hospital provides (Payne, 2003). This is in a bid to ensure that the patient has the relevant information in the case that an emergency does occur. Further, the health care system in Washington strives to ensure that the prices as well as the quality of the services being offered are constantly designed in a manner that is personalized to the needs of every patient (Payne, 2003). This is being done through the use of Personal Health Records which every health care professional is encouraged to keep. Patients within the Washington healthcare system also have the choice to compare prices between the different healthcare providers. This has been seen as the most important aspect of ensuring that consumers continue to feel comfortable (Payne, 2003).
Communication strategy to use when reaching vital stakeholder groups
As a healthcare marketer, it is imperative to identify the stakeholder groups that one will encounter in the course of selling their products and services. They include the pharmaceutical industry, patients, the general public, the government, fellow health care professionals as well as the media (Sheaff, 2002). If the health care marketer needs for any reason to inform the stakeholders on the decision to change the marketing strategy, then he/she needs to ensure that the products are sold at a faster pace and more efficiently while at the same time ensuring that consumer satisfaction is achieved (Payne, 2002). It is essential to effectively communicate with the stakeholders in order to ensure that any strategy implemented is successful. Effective communication is seen as vital since any delay has often been attributed to being an obstacle to taking efficient action with regard to the implementation (Sheaff, 2002).
There are several reasons for ensuring clear and direct communication with the stakeholders and they include the efficient protection of the general health of the public. Further, it is important to note that communication is key since it enables the consumer have a clearer understanding of the changes that the health care institution has put in place in a bid to be better prepared. This is important in creating a more transparent and more open relationship between the healthcare provider and the consumer (Christopher, et al, 2003). This becomes even more essential when one considers the power of information and how in this increasingly commercialized business environment, consumers have a greater need to be included in the cost of services that will affect their health and general wellbeing (Kotler, 2007). In addition, communicating this change of strategy to the various stakeholders is key in ensuring that the health care marketer maintains his role as the information provider and further provides a basis for influencing of competitive practices that in the long run will work to the benefit of the patient who is the consumer (Sheaff, 2002).
There is a need to ensure that there is a strategic approach towards dealing with the stakeholders which includes improving the levels of consultation with the various stakeholders which is essential in ensuring that their input is put into consideration. Further, it is important to put in place plans and encourage the setting up of activities that will lead to the cultivation of further cooperation between the different stakeholders within the healthcare sector (Kotler, 2007). It is also important to learn in great detail the needs and concerns of the stakeholders since this will help the health care marketer to acquire the proper method of communicating the changes to the distribution policies to the marketing of healthcare services and products. Encouraging dialogue is also essential in enabling the stakeholders concerned to not bring to the discussion their input but also allow them to ask any questions and have their concerns be addressed. It is also vital to allow the stakeholders to be aware of the changes since this will enable the setting up of vital networks and alliances between the various stakeholders. This will, by extension, ensure that consumers are more accepting of the changes to the distribution of the products and services that the healthcare marketer hopes to sell to the consumer (Kotler, 2007).
Advantages of the communication strategies
For effective communication to take place the healthcare marketer can employ several methods including the use of press releases and this is essential in communication to the media. The advantage of this method of communication is the fact that it has been seen as one of the most effective methods in getting out information about the change in distribution strategies. It is also an advantage since the information contained within the press release will undoubtedly be carried on in other publications. What this essentially means is that the information will be spread at a much faster pace than the use of traditional marketing methods (Kotler, 2007). Further, the press releases serve to ensure that the health marketer can be able to further design his message to enable the audience get a clearer understanding of the change in distribution strategies (Sheaff, 2002). In addition, the press release provides a good way for the marketer to ensure that the journalist learns more about the company and therefore becomes a form of advertising for the company. This is because the press release contains only scarce information and in order to be able to write more about the distribution strategies, he or she will have to carry out more investigations (Kotler, 2007).
Another strategy that can be used is interviews which are an important strategy since it allows the consumers to engage the healthcare marketer and answer any queries they might have about the distribution strategies and the reasons as to why the health care provider felt the need to change them. Interviews also present an advantage since they enable the marketer get a more detailed opinions from the stakeholders which is essential in trying to decide if the new distribution strategy for the products will work (Christopher, et al, 2003). It is also essential in enabling the health care marketer establish the correct marketing strategy and ensure it is established which will be key in distributing and selling the products and services. Interviews are also an effective way of ensuring information about the change in distribution strategy is disseminated to the stakeholders since any wrong information can immediately be clarified and confusion quickly cleared up (Kotler, 2007).
The use of emails can also be used to ensure the quick communication of the change in distribution strategies. In this technologically advanced world, this would be a quick and effective manner to always ensure that the stakeholders remain up to date on the progress of the distribution strategies. The fact that emails are often easy and quick to compose as well as fast remains as an advantage to the health care marketer since it essentially means that the information will reach the stakeholders faster than the use of traditional communication methods such as letters which have been known to take long before they reach the respondent (Christopher, et al, 2003). Emails also provide an advantage since one can attach within a message further information that they wish to be available to the recipient. In this case, the health care marketer can provide information about the reasons why it was necessary to change the distribution strategies, the products they have included and the progress that the company envisions the use of this distribution strategy will have in the increase in sale of their products (Kotler, 2007).
The healthcare marketers can also employ the use of meetings with these stakeholders. The advantage of this strategy is the fact that there is more interaction and ideas can then be offered in a clear and open discussion. Meetings also provide an avenue for the marketers and their stakeholders the chance to review the progress of their new distribution strategies. In addition, it provides the marketers the opportunity to provide the relevant explanation for any complex terms that might have come up in the process of providing information about the new distribution strategies (Christopher, et al, 2003). A meeting also provides the opportunity for the marketer to provide a large amount of information over a short period of time. Additionally, it further provides a basis for the marketer to be able to gain more ideas that are essential in ensuring the continued success of the new distribution strategies that have been put in place. This is vital in providing the distribution strategies with a fair chance of being able to work in a manner that will benefit all the stakeholders (Sheaff, 2002).
A policy for health care marketing firms that should be used in order to avoid ethical violations in the areas of pricing, service and advertising
It is vital for health care marketing executives to recognize the essential role that they play especially towards the patient who is their primary consumer. This is especially so when one considers the fact that these same patients often rely on these individuals who they perceive to be professionals in the field for advice on their general state of health and by extension their welfare (Sheaff, 2002). It is important for health care marketers to put in place several considerations even as they strive to ensure that their products and services are available to the consumers. In this instance, it is important to remember that while it is common knowledge for advertisers to exaggerate the value of their products, the health marketer needs to be more careful (Christopher, et al, 2003). It is essential for him or her to have a firm understanding of the fact that whatever information he gives out could have a negative impact on the health and general well being of the public. It is important to note that advertisements that are related to health care are not in any way meant to appear false or attempt to mislead the public. It is also vital to enquire on the legal requirements of the advertising that can take place with regard to health care (Christopher, et al, 2003).
Patient welfare should be at the forefront of the health marketers’ minds. It is essential for the marketers to provide information in these advertisements as well as the pricing estimates in a manner that strives to ensure that the information they put out, the healthcare individual must be seen to put the interest of the patient first (Sheaff, 2002). This essentially means that hospitals and other health institutions have a duty to accept patients regardless of whether or not they have the required payment for the treatment they are meant to undergo. It is also vital for these healthcare marketers to ensure that they display a large measure of accountability towards the public. This will be displayed through being transparent, fair and honest in their marketing techniques. It is especially important when one considers the fact that the public holds the healthcare profession as a whole in high regard which means that their word is taken as truth (Buckley, 2009).
As concerns the issue of costs and services, the code of ethics for health care markets specifically emphasizes on the fact that it is important for the marketer to be careful in the wording that he uses in the advertisement. This is in regard to the putting out of information that is not useful to the general health of the patient but a way for the health care institution to double its profits. This information also covers any action that might constitute the health care marketer essentially advising the patient to either take medicine or have a procedure done that is unnecessary (Sheaff, 2002). This is unethical not only because of the potential harm that this could have on the health of the patient but because the health care marketer wishes to make a profit at the expense of the patient. The issue of cost has also spilled over to what is referred to as fee splitting where two health care professionals split the cost for referring a patient to another physician. This has been labeled as an unethical practice because of the potential it has in ensuring that health care professionals only consider the profit they would get and not the patient’s health (Buckley, 2009).
Conclusion
In recent times, the issue of health care marketing has become more popular. This has been attributed to the development in commercialization of the health care industry and the fact that hospitals have become more concerned with selling their products and services to their consumers. Various strategies have been put to ensure the effective distribution of these services and there is therefore a need to ensure that effective communication strategies are put in place to inform the various stakeholders on any change to these distribution strategies. There is also a need for health care marketers to consider the moral and ethical rules that they would need to follow especially bearing in mind their important role in disseminating health care information to the general public.
References
Buckley, P. T (2009). The Complete Guide to Hospital Marketing. 2nd edition. Marblehead, MA: HCPro, Inc. pp. 15-17.
Christopher, M., Payne, A & Ballantyne, D. (2003). Relationship Marketing. Oxford:
Butterworth Heinemann. P.12-15.
Kotler, P. (2007) Marketing Management. Englewood Cliffs, NJ: Prentice Hall.
Payne, A. (2003) The Essence of Services Marketing. Hemel Hempstead: Prentice Hall. P.18-20.
Sheaff, R (2002). Responsive Health care: Marketing for a public service. Philadelphia: Open University Press. Pp.25-29.
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