How to Examine Your Medical Practice to Outperform the Competition
Last week in Understand Your Competitors to Beat Them I asked you what you are doing better than your competitors.
Why should your customers choose you over your competition?
The first step in answering these questions is understanding what your competitors are doing. The second step is assessing and analyzing your business to fortify your weaknesses and leveraging your strengths. Here is what helped me build my medical practice:
Questions to Ask About Your Competitors
We need to know exactly what the competition is doing so we can do it better than them. I’ve found the best thing for me is to:
- Gather information once a year
- Analyze the information
- Decide our best strategies based on what we learn
- Execute the strategies
In other words, the steps above will allow you to analyze your weaknesses and figure out what you’re going to do to strengthen the business.
Assess and Analyze Your Medical Practice
Once a year we do an assessment of our competition in each market and try to evaluate honestly what they’re doing well and what we're doing well. To do this assessment, we take the following steps:
- Make a list of our competitors in the areas we want to grow in.
- Divide that list into:
- Dominant Players - Those that require everyone else to respond to what they do because of their size. Many times, you may not have a dominant player in your competition list.
- Strong Players: Those who are able to do what they choose without being directly affected by the rivals.
- Tenable Players: Followers, at risk of being targeted or acquired by dominant players.
- Weak Players: Survive only because of some small niche or because the dominant player allow it.
- For each competitor on the list define their strategy, how they acquire patients, what they’re doing better than us, the same as us, or worse than us. Rate ourselves against each of our competitors based on the price, convenience, quality of care, and customer service. Be honest with each rating.
- Make a list of our own strength and weaknesses.
This is a team exercise. It’s important the people on your team do this assessment. This is a group effort, not something for you to do alone. It’s critical to see what they see. With this information in hand, you can start to build strategies to either improve your areas of weakness or grow your areas of strength. Once this process is done, allocate resources, time, and energy to address the areas where you’re weak. Use innovation to think about how you can get your patients and potential patients to choose you over your competition. Most importantly, if you go through this process once a year and consciously choose what changes to make, you’ll be able to spend most of your time focused on pleasing your customer and building your own business instead of obsessing over what your competitor is doing.