Hospital Marketing Techniques

Hospital marketing techniques and management towards the successful process of hospital
Dr.J.Thirubhuvan
(1) (2)
U. Ali Rahoma and (3) Dr.J.Kavitha
(1) Omer El- Mukhtar University, Faculty of Medical Technology, Tobruk, Libya. Tel: +218-914706504, E-mail: profjthiru@gmail.com (2) Omer El- Mukhtar University, Faculty of Medical Technology, Tobruk, Libya. Tel: +218-92-5358557, E-mail: Usama_rahoma@Yahoo.com, Usama_rahoma@Yahoo.com, and (3) Asst Professor- Physiotherapy, E-mail: kavijo@gmail.com, kavijo@gmail.com, India.
Summary Marketing can contribute to a service based organization to the lead of successful path. Effective management principles coupled with the marketing techniques like demonstration, public speech and relations and advertisement of the hospital resources and doctors profile and media interview on hospital and healthcare would administer any category of hospital into a successful process. This article focuses on the initiatives to be taken for implementing the modern psychological marketing techniques and management system that is required for a hospital.
Key words: Marketing, Effective management and marketing techniques.
Author Details: Omer El- Mukhtar University, Faculty of Medical Technology, Tobruk, Libya.
Tel: +218-91-4706504, E-mail: profjthiru@gmail.com
Hospital marketing techniques and management towards the successful process of hospital
1.1 Introduction
In general management is the art of getting things done by others. It involves administration of an organization that includes man, materials and money. The 3M concept in services based organizations like hospital requires an effective marketing techniques and management system. The management in hospital involves with proper planning, investment, technology organizing, engineering motivating and implementation and modern techniques, the people, controlling, decentralization, centralization, hospitality,
maintenance,
marketing, recruiting, safety and security etc. In all the management system marketing is the only instrument that can fetch business or revenue to an organization. The effective marketing techniques once assured are the basic instinct to earn revenue. The implementation of automated marketing management systems in hospitals can change dramatically the way in which a hospital builds business by managing relationships with prospective customers (Anand, 2003). Several studies have measured the effectiveness of hospital marketing activities by documenting, for example, the percent response rate from direct mail campaigns and the success rates associated with physician referral programs (Md. Syed Hussain 2000). Nevertheless, the cause and effect of relationship between marketing activities and subsequent hospital utilization remains elusive largely because marketers have not been able to eliminate from consideration of other factors that may prompt a person to seek healthcare services. Author Details: Omer El- Mukhtar University, Faculty of Medical Technology, Tobruk, Libya.
Marketing management systems can demonstrate the effects of marketing activities on patient revenues. For example, over a 12month period in 2005, a marketing management system implemented at a 500-bed medical center of 150 hospitals of various management in South India tracked more than Crore rupees in gross revenues per month in incremental business attributable to marketing activities (Robert louis et al 2007). This is because of the new patients entry and the positive belief about the medication what is was inculcated in their mind based on the marketing management. Similary, A Pennsylvania hospital's marketing management system found that of 1,000 individuals contacted for the first time through hospital marketing activities, 250 became new patients during a two-month period. In the same line marketing system used by an Illinois medical center determined that approximately 225 new patients and $200,000 in new patient business per month were related to the activities of the marketing department (Joseph Kelviv 2006). More importantly, marketing management systems can help hospitals appreciate the larger role that marketing can play in determining the needs of healthcare consumers, designing programs to meet those needs, and directing consumers to those programs. Such systems, in essence, can help manage relationships with existing customers on a long-term basis. 1.2 Objectives of the study: To study the Hospital marketing techniques and management. To learn the concept of Hospital marketing.
To ascertain how best the benefits can be obtained without much investments system. through marketing concept and management
To assess the possibility of applying any other marketing techniques and management system.
1.3 Scope of the study: This article is a micro study on Hospital marketing
techniques and management towards the successful process of hospital. A primary attempt has been made to apply this concept keeping in mind, most of the successful hospital projects that are going on in India are due to the effective marketing techniques and management system. The benefits resulting from this study would yield various approaches to be adopted in the field of hospital management. Certainly this would be a basis for any private or governmental based hospitals. 1.4 Limitation of the study: The article is based on the secondary data mostly and observations made in the places visited. Time, disparity, diversity, accessibility, and connectivity in order to collect data are major limiting factor. In most of the hospitals the marketing department is either not
there or merged with the administration or it is outsourced entirely on a contractual basis. So the necessary data are not found or not available or not revealed.
1.5 The Perfect healthcare market: In its simplest form, marketing involves determination of consumer needs and development of programs and services designed Author Details: Omer El- Mukhtar University, Faculty of Medical Technology, Tobruk, Libya.
to satisfy those needs. The marketer's job is to discover, using demographics and other data, what products and services consumers need and to formulate products and services consumers will buy to satisfy their needs. In the healthcare industry, the marketing process is complicated by many unique variables: the wide variety of consumers of healthcare services, such as the patient, the physician, the employer, and the managed care entity; the conflicting roles of the physician, the employer, and managed care plans in driving or containing healthcare utilization; and consumers' lack of knowledge of the relationship between many healthcare services and their personal needs. Although the healthcare industry long has been recognized by economists as an imperfect market, marketing has become an important aspect of the healthcare business. Today, healthcare organizations spend more than $2 billion a year on marketing, and marketing continues to evolve with the changing dynamics of the healthcare market (Arnold De Methogen 2006). Healthcare marketing at the present time is moving away from advertising and toward relationship building. For instance, in America, the hospital marketing budgets have grown enormously every year, rising from $385 million to the current level of $2.11 billion, the advertising portion of the marketing budget has remained level for the last three years since 1984. (www.chroniccare.org). A 1992 study found that for every dollar spent on advertising, hospitals spend $1.45 on other marketing functions, including relationships. (www.dqeready.org). Building relationships Author Details: Omer El- Mukhtar University, Faculty of Medical Technology, Tobruk, Libya.
the implementation of
sophisticated databases to support strategies such as building
Relationship management, the newest form of healthcare marketing, borrows heavily from the retail industry, which employs channeling mechanisms that enable consumers to contact retailers directly to voice their concerns or criticisms and to ask questions or request information that enable retailers to inform consumers directly of new products and services. Relationship management is based on the realization that it is five times easier to obtain repeat business from an existing customer than it is to get new business from a new customer. This form of marketing involves the use of information and referral tele services; the development of a comprehensive marketing database that segments potential customers into groups with common interests or needs not only on the basis of demographics but also on the basis of anticipated demand; and the use of marketing information management systems that track the effectiveness of and the return on investment from marketing activities. Relationship management acknowledges the increasing role consumers play in the selection of healthcare providers. Prior to the introduction of prospective payment in the 1980s, physicians chose hospital providers more than 60 percent of the time. By 1991, consumers were selecting hospital providers more than 50 percent of the time.(d) Using relationship management, hospital marketing departments identify individual consumers with whom they may build a relationship. Rather than adopting a reactive posture and waiting for consumers to contact them, hospitals become proactive. Hospitals identify previous users of the hospital and facilitate access for these users to programs and services that are particularly suited to their individual needs. Moreover the marketing system of a hospital is a sensitive process that Author Details: Omer El- Mukhtar University, Faculty of Medical Technology, Tobruk, Libya.
requires a lot of truth and selflessness on the patients. Few of the following effective would research clarify based how one marketing could techniques for and management management. adopt hospital
They are as follows: Demonstration, Public speech and relations Advertisement of the hospital equipments and
Doctors profile and
Media interview on hospital and healthcare.
Demonstration Demonstration of the hospital- its majestic view to the public through news paper advertisement, television, radio, internet mode of publicity, card board printing and circulation, pamphlet printing and circulation, notice distribution, poster display and affixing etc can concrete the inherency of the hospital in the mind set up of the people. This effect brings the Hospital for what popularity based on the specialization what they have or familiar with that. The following table about the hospitals is famous for the following specialization.
Source: Dept of Statistics, Govt of India. Chennai
S.No 1 2.
3. 4. 5. 6. 7. 8 9 10
Name of the Hospital CMC, Vellore Apollo group of hospitals

Reddy laboratories Malar Group of hospitals Miot Group of hospitals Life line groups Shri paramathi ayurveda Sri Sankaranarayana Hospitals
Specialization Multispeciality. Multispeciality.

Ayurveda Siddha Multispeciality Ortho Gastro and
Since 100 years and above 50 years above 50 years above 50 years above 10 years above 5 years and and and and and and and and and
Unnani Ayurveda
Eye care
above and 50 years above 50 years above 30 years above 50 years above
MMM M.S Ramiah groups
Cardiovascular disease Cancer
Public speech and relations: Public speech and relations are the sides of a coin to a hospital both internally and externally to develop the hospital economically. This can be done through the expert committee consisting of the doctors team or the team trained to explain the various updates and treatments available in the hospital. This process would enhance the relationships between the doctors, hospitals and the patients. This further would enhance the rural based hospital marketing thereby constituting the bridge between the doctors and the patients.
The public relations effectively happened in the Andhra Pradeshs private based hospitals in rural areas through the nurses and medical
officers has earned the positive revenue and made them aware about the various specializations available in the hospital. For example Kuppam Medical College and Hospital based in Andhra Pradesh, based on this program has spent only merely about 10 million rupees for receiving one million patients from 267 villages in and around Tamilnadu, Andhra Pradesh and Karnataka villages.
Advertisement of the hospital equipments Advertisement is a part of marketing techniques. Developments in the technology and art have easened the task of the advertising and marketing through various means. With regards to the hospital
equipments marketing and advertising, it is important to explain the public or make them to aware that the concerned hospital is equipped with modern equipments and technology in order to ensure that they are better than the competitors and on par with the international standards and quality consciousness. For example Proper advertisement on the purchase of latest medical equipments in Kovai Medical centre, Coimbatore for Ortho and Chest scanning; Cadiovascular bypass surgery medical equipments in MMM, Chennai and Narayana Irudalaya, Bangalore; and Madras Government Hospital, Central, Chennai have received good number of patients for the cure of their diseases. This has resulted as an effective marketing techniques and management system.
Doctors profile Only in the medical profession the name and the fame of the doctors profile is considered as equivalency of the Gods grace. For example a well educated heart patients wants himself to be operated from
Dr.Cherian and Gastro disorder patients wants treatment only Dr.Cynthia from M.G.R Medical college and hospital. Similarly for eye treatment from Dr.Agarwal, for Ortho in Miot Hospital Dr. Vaidyanathan etc.
The case to deal with the doctors profile exhibits not only their
efficiency; it is mainly their international psychological approach towards the patients treatment. It becomes immaterial among the patients what ever the money they charge or personal behavior that such doctors have. It
is all on the basis of the profile of the doctors. Hence it is important to note the doctors profile as marketing technique to be followed in the hospitals.
Media interview on hospital and healthcare Media Interviews are the primary concern about the medical cares marketing system and technique. This involves large number of people watching all over the world and clarifying their doubts irrespective of the doctors and the patients especially. This is the basic step to drive any patient by endorsing the type of treatments available in the hospitals through the media. Out of 10 hospitals undertaken their marketing techniques through the media, the revenue and the patients care have also shown the positive growth over a period of time. For example Life line hospital in Jaya T.V, Miot Hospital in SUN TV, Sankara Nethralaya in Rural based local TV, Dr.Kamala Devi Gemini Ganesan for Raj TV etc have had a good result of patients management
through media interviews and concerns. Therfore it is rest assured that the media interview can also be one of the best marketing technique and management system.
1.6 Conclusion: What ever may be the organization, the economic conditions of any organization depends largely on the system of marketing techniques. Proper marketing techniques and management systems are like an engine to an hospital what so ever the medications and infrastructure that the hospital have. Therefore it is important and inevitable for revenue generation, the various techniques to be followed for the successful process of a hospital. 1.7 Reference:
1. Dr.Anand Kumar (2003): Hospital patients importance- an exclusive interview in the daily news paper The Hindu, on August 25th, 2003 2. Dr.Arnold De Methogen (2006): Customer relationship in Hospital, Mc grawth publications, New York 3. Dr.Joseph Kelviv (2006): Hospital network and e-medicine; An exclusive interview in Bangalore Mirror, Pg 36. 4. Dr.Md. Syed Hussain (2000) : Medical theraphy and implications, 5. Dr.Robert louis, Dr.John Abraham and Dr.Shalini et al (2007): Medical treatments availability 6. (www.chroniccare.org 7. www.dqeready.org

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Hospital Marketing Techniques

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Hospital marketing techniques and management towards the successful process of hospital

U. Ali Rahoma and (3) Dr.J.Kavitha

Key words: Marketing, Effective management and marketing techniques.

sophisticated databases to support strategies such as building

Media interview on hospital and healthcare.

Source: Dept of Statistics, Govt of India. Chennai

Name of the Hospital CMC, Vellore Apollo group of hospitals

Specialization Multispeciality. Multispeciality.

MMM M.S Ramiah groups

Cardiovascular disease Cancer

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