After years of trying to fix clients’ concerns about money with a lecture on value, some practice owners are taking a more direct approach by offering their clients financing options and pet insurance. Not only are these solutions proving to be worth the risk of default, but they’re serving as great new client acquisition tools. Here’s a list of four that are currently trending.
Payment Solutions
Payment Plans: Several companies have recently arrived on the scene to help us offer in-house payment plans at a lower level of risk. Companies like Vetbilling.com are advising practices on who should and should not be offered credit, handling the collection of all payments, and depositing 100% of the collected funds into the veterinarian’s bank account. With a 0% default rate on clients who score credit ratings of A-C and only a 3-4% default rate on those with lower scores, payment plans can be customized to your practice’s least-credit worthy clients with an acceptable amount of risk. Think of them as wellness plans without all of the initial outlay of expense.
Health Savings Accounts for Pets (HSA’s)
Whether you’re cutting a deal with a local bank (where they function much like a Christmas Club Account), using one of the payment plan companies mentioned above, or taking advantage of some of the health savings account plans offered by insurance companies; HSA’s are a proactive solution to veterinary expenses. In cases where practices have worked through the local bank, they have secured higher-than-savings-account interest rates for clients. There are no administration responsibilities for the practice and the money remains under the client’s control. It’s also an excellent way for the bank and your practice to partner on marketing and to present an image that shows your commitment to family and community.
Pet Insurance
All right, all right…maybe not the newest idea on the block, but a good one none-the-less. Best practices are partnering with one…that’s one, veterinary pet insurance company, and educating all new clients about it. Today’s pet insurance companies have a panoply of options for clients. Book the next four lunch-and-learns with your area’s most eager pet insurance representatives. Sit back, enjoy the soda and pizza, and carb-crash your way through selecting the best plan to promote to your clients.
Care Credit
Another oldie, but definitely a goodie. In addition to interest-free options and a high approval rate for applicants, Care Credit also offers their 9 million cardholders a ‘provider locator’. When clients type ‘veterinarian’ into the locator, a list of local practices that accept Care Credit pops up. Providers with the most care credit transactions are shown at the top of the list, so it’s worth revisiting your practice’s policy of when to make a Care Credit application recommendation.
Use Payment Solutions to Increase New Client Numbers
One of the reasons wellness plans enjoy such success is because they offer clients what they need: a chance to spread payments out over time. Build effective education into your new pet/client kits and when appropriate, prominently display hyperlinks to your payment solution companies on your website. Don’t forget to reach out to your vendors as well. Most possess all kinds of great marketing tools and promotions that will help you get the word out that your practice’s services are within reach of nearly everyone.
Traditionally practices have been pretty firm about collecting payment ‘at the time services are rendered’. Depending on the case, it can be a policy that has explosive consequences. Having a variety of payment options as part of an overall plan to address client financial concerns is smart business. It grows your business, demonstrates your responsiveness to clients’ needs, and gives team members more options to show that you care.
[…] A discussion about value may open a lot of people’s wallets, but many of those wallets are empty. Don’t stay with age-old policies that say services must be paid for ‘at the time they are rendered’. There are a host of payment solutions available to clients today that are low risk and require little to no additional administration on your part. Here’s a list to get you started. […]