Sample Study

Vet Practice in Frisco, Texas

OWNERSHIPSample Study

Vet Practice in Frisco, Texas

City of Frisco, Texas Population Census

This graphic represents the long term growth of Frisco, Texas. The population, in just the last 6 years has grown by nearly 40,000.

City of Frisco, Texas Actual Growth Stats by Year

This chart simply shows the month by month growth of Frisco, Texas over the past 6 years. This chart is an index of the growth chart on the opposite page.

POPULATION PROJECTIONS: City of Frisco, Texas

This chart shows the future PROJECTED POPULATION, which in any market analysis, is critical in determining ones marketing strategy... in order to capture ones "market share" during the growth increase.

• How many households have a pet?

• How many of those households visit a veterinarian?

• What’s the average number of veterinary visits annuallyper pet-owning household?

• What’s the average expenditure for veterinary services per year perhousehold?

• What’s the average expenditure per visit?

Critical Market Research: Planned Expansion

1. Determine the amount of income derived from a population.

Let’s use AVMA statistics for a city with a population of 150,000 people.

Each household contains an average of 2.7 people. That comes to a total of 55,555 households in the city being researched.

• According to the AVMA, 59.5 percent of the 55,555 households own pets, which means 33,055 households own a pet in this city being researched.

• 76.5 percent of households with pets take their pets to the veterinarian, which means 25,287 households—or 68,250 people—take their pet to the veterinarian.

• Each household spends $366 annually x 25,287 household, which means $9,255,042 total is spent every year.

• According to the AVMA a full-time equivalent FTE veterinarian generates between $500,000 and $800,000 in gross revenue annually. (Typically an associate veterinarian grosses approximately the lower number, while veterinary owners gross closer to the larger.)

• On the low-earning end of the earning spectrum, $9,255,042 ÷ $500,000 = 18.5, which means 25,287 households (or a population of 150,000) could support 18.5 FTE veterinarians.

On the high end of the spectrum, 9,255,042 ÷ $800,000 = 11.5, which means a city of 25,287 households could support 11.5 veterinarians.

2. Determine the number of veterinary visitsvs. appointment slots per practice. Using ourprevious example, a city has a populationof 150,000 and 55,555 households, 33,055 ofwhich frequent a veterinary practice.

• The AVMA tells us each household visits the veterinarian 2.8 timesper year, totaling 70,804 visits per year.

• If we assume a five-day workweek with 15 to 20 appointments perday per veterinarian, the average number of appointments per yearwould be 3,900 to 5,200, or an average of 4,550 appointments.

Summary: These calculations tell us that 15.5 doctors could stay busy in a city of 150,000.

3. Determine the number of active patients perdoctor.

Sticking to the city of 150,000 people where 25,287 households frequent a veterinary hospital.

You need 1,900 to 2,000 active files to support one FTE veterinarian. The total number of active files equals the number of pet-owning, veterinarian-visiting households in the specific city.

Summary: With 25,287 active files in this city, the population can support 13.3 to 12.6 veterinarians.

OWNERSHIP: Own the Footprint of Your Area

As a first step in any marketing plan, one "draws out" the territory he or she wants to own as this becomes part of the overall marketing plan to capture a higher market share of the services offered by ones business.

Veterinarian PracticeCompetitionThe map to the right depict the Frisco area competitors who will participate in the increase number of house-holds between 2016 to 2021.

Over the next 5 years there is an anticipated popula-tion growth rate of 4.5 to 5% of the current population. Frisco will grow to nearly 200,000 people.

This is an increase of nearly 25% over the current population, which equates to approximately 45,000 to 50,000 more people. With 2.7 people per household, this means an addition 18,500 households will be added to the Frisco Veterinarian Marketplace. With 60% of these homes owning a pet (11,100), and 76% of those owning a pet actually take their animal to a clinic, (8,436) and spend an average of $322/year, the expansion forecast is extremely predictable.

This forecast means there will be an additional $2.7 million available workload for veterinarians throughout the Frisco area.

The average practicing full-time D.V.M. will produce about $500,000/year. This is an additional 5+ Vets, in just the next 5 years.

Either the existing clinics will take on additional D.V.M., or new offi ces will open up. But it’s a fact that nearly $3 million will be spent in this small city called Frisco.

A map illustrating the competition of other like-businesses fighting for the same market share.

A small-town feel is part of Frisco’s appeal, though “we’ve always known we’re going to be a bigger city,” Chamber of Commerce president Tony Felker says. The city’s population reached 150,000 as of Friday, but that’s not even halfway to the 350,000 it’s projected to have when it reaches build out.

A Long-Range Strategic PlanFrisco, Texas is predictably expanding to over 350,000 population over the next 10 to 20 years and possibly beyond. It’s a sure-fi re fact it has already out-paced most cities in growth and become one of the fastest expanding cities in the U.S.

A forecast of the growth in this city is an opportunity to capture a far greater market share with proper planning. The elements of planning include:

Strong Branding

Strong logo, consistent look, fonts, colors in all promotion, advertising, web presence, social media. Branding needs to include a strong emotional appeal with larger photos of animal care, use of happy children with pets, elderly patients with pets, etc. To cover all age groups and all animal types.

Ownership of the Area through Repeated Message and Image

Repeated image and message to community via direct mail, website presence, internal campaign, database campaign several times a year. Focus on care and economical treatment...Consumers are extremely smart as shoppers so make sure your copy is slanted to saving your consumer money.

Launch an Overall Loyalty Program

Establish a loyalty program that puts in a strong retention program. I.e. something free to come back once a year....So the offi ce can up-sell the patient at this “recall” visit on services the animal needs.

Community & Business Involvement

Establish your clinic as “The Vet Clinic” for business owners, their employees and friends with use of introductory free service...Use Viva Gift Box to give to businesses that contain 6 to 12 gift packs & cards.

Opening of Satellite Offi ce in Expanding Household Area(s)

RETENTION & LOYALTY

Retention & Loyalty: The Key to Increasing Your Database!Harvard Business Review: by Karen Freeman, Patrick Spenner and Anna Bird

Brand Loyalty: People care more deeply about the things you stand for rather than how often you engage with them.

The only thing that is going to enhance or bring about a loyalty relationship is the knowledge that your business is on the same team as them. This customer will want to see that you share their beliefs and that you incorporate these ideologies into how you conduct business.

Branding Definition: “The marketing practice of creating a name, symbol or design that identifies and differentiates a service or product from other services or products .

An effective brand strategy gives you a major edge in increasingly competitive markets.”

Achieving Loyalty & Retention:

One Brands with Images and Message...it says WHO you are and WHAT you stand for.

Your “Mission Statement”is your message.

The first step is to BRAND your office. Everything carries your Logo, Colors, Mission Statement... Your Database Mailers carry your message.

Your Brand is HOW you bring about LOYALTY.

Loyalty Causes Word-Of-Mouth

The Key to Increasing Your Database

Viva Concepts, LLC (888) 340-1840