In a recent research study, it is revealed that many start up veterinary businesses run on debt due to two main reasons; the immediate pressure to make profits owing to the nature of the business having little change in salaries and the fact that some are fresh graduates who have significant debts due to the ever increasing tuition fees.
The following piece discuss the best veterinary practices for recent and experienced veterinarian.
1. Pricing
Many times when a veterinary business wants to boost profits they focus more on decreasing production costs and neglect the aspect of pricing as a key factor to improve earnings. Surprisingly, profitable pricing practices have higher returns compared to insolvent veterinary practices like cutting costs. Ideally, you can cut costs strategically but you are more guaranteed to make profits when you increase prices. However, one should consider different types of pricing in reference to the target niche market e.g psychological pricing, prestige market etc.
2. Comprehend your revenue
This involve understanding and tracking your business to clearly tell where certain revenue is coming from. As a veterinary practitioner you should focus on making money from the services you offer not from selling stocked products. This is because the products have supplements in other convenient places eg. a customer may opt to purchase flea medication from a pet store.In this regard, a practice aimed at generating income from selling products is not a sustainable model.
3. Be critical on your Inventory
It is suicidal in a veterinary business practice to eyeball your stock on the shelves rather than keeping accurate inventory based on demands and supply as well as complimentary products. Basically, it is recommended to have an automated inventory management software that is programmed to give this insights easily and periodically. The money you decide to save in expense to a good inventory management will be sipped by the consequences of manual practices. Finally, make sure you are having a good deal of prices not only in animal medication and veterinary equipments but also in office expenses.
4. Embrace Technology
In recent days, a little glance in a doctors prescription room will communicate the notion that almost everything is electronic, from diagnosis, prescription, medical records to lab testing and so should veterinary practices. It is high time to bring in Electronic Medical Record (EMR) systems in place for efficiency; long gone are the days of pen and paper. Most EMRs comes handy with integrated Practice Management Systems (PMS) that make inventory control, scheduling and billing much easier as well as giving a platform for clients to book appointments and also view the medical records of their pets.
5. Enhance customer experience
In as much as you may place your veterinary practice commitment on the welfare of the animals dont neglect the humans who make this happen. Obviously your clients are the owners despite not being the direct recipients of the medications; they pay the bills and brings the patients to your practice. Little things like dog treats, ample parking, free consultation, advice, appointment follow ups etc may prove to be a great deal on your business practice hence worth concern. When you do visits to assess animal health make sure you acknowledge the love that the owners accord to their pets so that it is a mutual concern rather than another money income generating opportunity.
