Strategic Development –finding the “sweet spot” of differentiators that will drive revenue.

Developed For NCHN-New OrleansApril 2013

A well thought-out plan is the single most effective way to strategically achieve success by establishing observable and measurable marketing objectives that coincide with your business goals.

WHY A STRATEGIC PLAN?

• A way to accurately plot your network’s (and members) current position in your markets

• A positive way to build consensus and strengthen internal direction

• A way to prioritize objectives, effectively allocate and determine investment resources

• A way to eliminate guesswork and doubt about message and media decisions

WHY A STRATEGIC PLAN?

PLANNING STEPS:

Review the Situation

Conduct a SWOT Analysis

Identify Key Attributes

Determine New Opportunities

Develop Brand Statement

Craft Key Objectives

Determine Strategies and

Tactics

STEP 1: REVIEW THE SITUATION • History –past actions

• Current Stratus • Growth

• Competition

• Board support

• Key Audiences

STEP 2: CONDUCT A SWOT ANALYSIS Internal

• Strengths • Weaknesses

External • Opportunities • Threats

STEP 3: IDENTIFY KEY ATTRIBUTES Brand attributes are key descriptors that become key messages if you can prove them.

Think of them as magnets

How does this apply to your organization?

STEP 4: DETERMINEE NEW OPPORTUNITIES Identify opportunities because they can become strategies for your plan.

How does this apply to your organization?

• In the world of for-profits it is the science and art of finding, keeping and growing profitable customers.

• In healthcare today it has become the science and art of finding, keeping and growing paying patients

SO WHAT IS MARKETING?

A rural health network at work developing a comprehensive marketing plan. Pinnacle Network.

The Network’s mission is to support its members ability to improve the health of the people and communities they serve.

Their vision is to be the primary source of relevant management information, shared services and technical assistance services for all members.

A CASE STUDY-

SITUATION

NETWORK VALUES:Excellence: in delivery of

services

Integrity: building trust to

better collaborate

Flexibility: continually adapt,

adopt and develop innovative

ways to serve members

Teamwork: achieve common

goals by working together

STRATEGIC INTENTDescribe the direction you want to go…..

-THEN-

Review what we have done in the past so we don’t repeat…..Programs, Actions, CommunicationsTool 1 – Audit

STRATEGIC INTENTDescribe the direction you want to go…..

-THEN-

Review what we have done in the past so we don’t repeat…..Programs, Actions, CommunicationsTool 1 – Audit

Audit of Previous & Current Marketing Activities* ACTIVITY Start

date End date

Cost Goal Assessment method

Level of Success

*Examples include community events you organize or participate in, articles about your network in the local press, advertising in newspapers, online, radio or billboards, social media eff orts, presentations at community organizations or civic clubs, etc.

COMPETITIVE ANALYSIS Use a matrix – a simple way to compare

Tool 2 – Competitive Matrix

COMPETITIVE ANALYSIS Use a matrix – a simple way to compare ---

Understand Differentiation..

Understand Focus …

Understand the two variantsof cost focus: See Handout►►►►►►

Tool 2 – Competitive Matrix

Services Offered

Strengths Weaknesses Marketing Activities

Cost Comparison

Overall Assessment

Competitor One

Competitor Two

Competitor Three

Repeat the process for all competitors. Consider the relationship between competitive scope and competitive advantage (see reverse). Note: You may be unable to make a complete list of a particular competitor’s strengths and weaknesses, or a complete list of that competitor’s marketing activities—but you can come as close as you can. Use as resources each competitor’s website, press releases, and your own staff ’s knowledge of marketing activities that competitors engage in. Your overall assessment will be subjective to some extent—but make sure it’s based on the evidence you outlined regarding that competitor.

Competitive Analysis Matrix

DEVELOP COMPETITIVE ADVANTAGE • Services –

Differentiators?• Payer Mix • Board Advocators• Financial Stability • Community

Perceptions• Integration of

network members

Tool 3 – Key Questions

DEFINE TARGET MARKETDRG Data Sources

CMS Data

County Data / Demographics

Tool 4 – Data

REACHING TARGET MARKETSInternal and External Resources

Efficient and Effective Methods

Tool 5 – Communications Check List –You Compile

VALUE PROPOSITION • Clear statement of

the concrete results a patient/provider will get from purchasing and using your products and/or services.

• Not just for consumer oriented marketing communications

Tool 6 – Audience List –You Develop

THE PLAN

• Objectives

• Strategies

• Tactics / Actions

• Budget

• Timeline

• Assign Responsibility

SIMULATION• Objectives

• Strategies

• Tactics / Actions

• Budget

• Timeline

• Assign Responsibility

• Trial Run…..

The Situation:Midwestern county of 16,000 residents has one critical access hospital and several primary care clinics, three major pharmacies along with a long term care facility. There are no behavioral health services available in the county. In addition there is no organized wellness program. 60% of the county’s population is over the age 65. Some union based manufacturing but most not. Predominate employers are: 1. School system, 2. Manufacturer of short line ag equipment ( sprayers) with 250 employees, (3) hospital,(4) Retailers. Simulation steps:1. Each group picks a healthcare entity in the county. 2. Define services to be provided3. Define audiences to be served4. Craft Two marketing objectives. What do you want to achieve? How will you measure success?5. Craft a strategy for each objective. How will you achieve this objective, what’s going to get you there?6. Craft a tactic or action to support a specific strategy. E.g. an online campaign via Facebook or a TV effort.------------------------------------------------------------------------------------------------------------------------------------------

Objective Strategy Tactics

QUESTIONS?

Can you drive revenue to sustain and grow?

Thank You-Sally Trnka & Randy (Rj) Jacobs