Marketing by managing relationships

As competition increases and funding tightens, hospitals will have to realize that marketing largely is the managing of relationships--relationships between health care consumers and the provider. Prospective payment will make a hospital's fiscal viability increasingly sensitive to volume; stable profitability will depend on a steady level of patient utilization. And to ensure stable utilization, the hospital must create a base of loyal patients. Four marketing strategies can help to build this client base: 1. Create a strong care of essential services focused on the most significant customer needs. 2. Customize relationships by tailoring specific services to specific market segments' special needs. 3. Augment the basic service by offering extras and amenities. 4. Offer price incentives for people to become loyal customers. At least four types of patient loyalty exist, and a hospital should concentrate on fostering one or more types among its patients. Service loyalty occurs when a person always goes to the same provider for the same service. Provider loyalty exists when a person seeks a diversity of related services from the same provider. Family loyalty occurs when an entire family uses a particular provider. Organizational loyalty exists when an entire organization is oriented--through a contract or preferred provider arrangement, for example--toward a specific provider.