No need to fear, follow the 20/20/60 rule.
Today’s Pivotal Moments is longer than most, but I think it is a very important message in today’s market, which seems to be filled with so much uncertainty. Too often I see fear-based messages from industry leaders proclaiming the demise of private practice. The fact is, we are entering the golden age of our industry, and there has never been more reason for optimism. As practice owners, we are constantly faced with the prospect of being replaced by Big Box stores, manufacturer-owned clinics, and internet retailers. There is a very simple answer to these perceived threats: be the best hearing care clinic in your market, period.
This point was recently driven home by my friend who owns Morton & Bassett Spices.
I’m sure you recognize this high end brand – it is generally found on the top shelf at your local grocery store. He said to me, “Your business is a lot like my business.” He went on to explain the 20/20/60 rule – he drew a triangle on a piece of paper like you see below. “The top 20% are the people in your market who want the high end product or service and are willing to pay for it. These are the people who reach up to the top shelf to buy my spices, and these are the people who will definitely choose to come to your clinic. The bottom 60% are the people who might never buy my spices, and they might not come to your office either. They shop online or at Big Box stores, always looking for the lowest price. Make sure you are attracting the top 20% and then fight hard for the remaining 20% who are choosing between you and your real competitors.”
While these numbers may be a little different for hearing care than they are for the spice industry, the principle remains the same. I know this concept is true because it’s the reality in our practice. We’re growing tremendously in the face of all these perceived threats. Be the practice in your community that attracts the top 20% of the market and wins the next 20% as well. Don’t worry about the bottom of the market – the lowest-price battle is a losing one that you don’t want to fight.
Need help solidifying your place as the premier destination for hearing care in your community? We can help.
