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HME Market Trends and Drivers: A Snapshot of the 2016 HME Business Playbook

Posted on in Growth Strategies

We believe that the next 25 years are the golden age for HME business to thrive. The first chapter of our 2016 HME Business Playbook.

Customers are Paying Out of Pocket

According the Pew Internet and American Life Project, 89 percent of baby boomers seek health information online, and 69 percent purchase products online. They want to “do it themselves” and will seek all of the resources available to do so, including apps and devices that help them to track their health. In a study survey of physicians conducted by PricewaterhouseCoopers’ Health Research Institute, half of those surveyed said they would be comfortable using data from a mobile device to determine if a patient should be seen in person or prescribed education. Ninety percent of respondents predicted that apps and mobile devices would be more important to their practices in the next five years.

As a customer base, boomers will be more sophisticated than ever before, looking for quality products, good prices and a variety of options to choose from. 

Keys to capture this market will be:

  • Product selection
  • Expertise
  • Staff abilities to provide solutions for needs
  • Customer experience

Focus on complete product packages to increase ticket sales. Work to build a trusting relationship.

“In 2016, you must position your HME to offer the ‘shopping’ experience customers seek. Remember the baby boomer mentality in all your marketing efforts. They feel they will never grow old, and they will not be sick!Jim Greatorex, VGM Retail

A first simple step is to arm your showroom or e-commerce site with caretailing products that address the multiple needs of a patient or caregiver. The product categories that are presenting the best retail opportunities are the non-pharmaceutical pain relief products and all options in the ever-more mainstream compression wear lines. With the right people in place, many caretailers should break even in six to nine months.

Perhaps the products you provide allow for personalization of color, patterns and style. Focusing on the details can improve customer experience, which will add up to more sales and traffic flow through your store or website. And, when it comes to marketing your website, website marketing and analysis should be a major focus and investment. Optimize your online marketing to target females between the ages for 35 to 60.

Don’t Stop Here -- Keep Reading!

Download your free copy of the 2016 HME Business Playbook here. In it, you will find full chapters on:

  • Latest HME market trends
  • Info on new business opportunities
  • Tips to strengthen your business operations
  • Strategies to successfully navigate CMS reimbursement cuts

 

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