Quit Competing with Other Hospitals to Increase Patient Volume

Focus on Expanding the Market for Profitable DRGs by developing an early detection program.

We just witnessed a Midwestern health system (in a medium-sized market) bring in over 400 additional CV procedures, a significant change in year-over-year equivalent procedures, without directly competing with other local hospitals. They just found an additional 400 procedures. This brought in a conservative estimate of over $3 million dollars in bottom line contribution margin.

So, how did they do it without aggressively “competing” for the business? Is this a trick question? Did they buy physician practices; or buy new facilities; or hire new specialists; or open surgery centers; or any other expensive gambit?

No. Not a trick question. They did it by actually creating a new market—and you can too.

Most health systems/hospitals compete in expensive ways such as acquisition and advertising. But this hospital did it by constructing an early detection program that at the screenings (both online and in person) asked at-risk persons if they wanted to opt-in to a program to see a physician. More than 80% took them up on the offer.

Similar success has been seen with hospitals that have used organized online and in-person screening for cancers, stroke, joint, spine, and bariatric procedures just to name some of the major high-incidence, high-contribution DRGs (Diagnosis-related groups).

This sounds simple, but efficiently executing this program takes some planning and know-how to maximize your success and ROI. Done correctly, you can go from looking like a money-grubbing hospital to a valuable community asset and partner working to save lives in the community you serve.

Your bottom line and your reputation improve simultaneously, and there is no need for expensive marketing “competition.” Just the thought of that makes my heart feel better.



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