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August 22, 2005

Referral Systems

Client Dr. Beverly Yates, a naturopathic doctor, enrolled in one of my two year, process oriented, programs back in the late nineties, (not unlike my Abraham Insiders' Club, except without the daily Internet mastermind collaboration element). Although her results are admittedly extraordinary, I chose her case study for two reasons:

1. I want to show you what is indeed possible for ANYONE committed to growing their business. I want to inspire your sense of possibility and show you what's VERY doable in your own business or professional practice.

2. I want to give you a critical distinction, regarding one of the most useful marketing strategies there is---REFERRAL SYSTEMS.

Here's Dr. Beverly's success story...

"I had a natural medicine practice in Portland, OR from 1997-1999. When I started the practice, the patient flow was average, gross revenue was average and net profit was average. I attended one of Jay's programs for two years and the way I do business and serve my patients is forever transformed.

"For me, it was a real eye opener to find out how to be super successful in business and ethical and honest at the same time.

"I employed two techniques I learned from Jay and had wonderful results.

"The first technique was to only accept patients who had been referred by other patients or colleagues. No exceptions. If someone was not referred, then I suggested (up front) other colleagues who might be helpful to them if they needed ideas about whom else to see. I only served those who understood what services my clinic offered and understood that their health results ultimately depended on their willingness to take care of themselves.

"The second technique was to ask current patients for referrals, and to do it at the time of first visit and whenever they had a health breakthrough - "You are always welcome to refer other people you care about to our clinic so they can find out how we might help them." Or a similar statement requesting referrals when appropriate as their experience at the clinic progressed.

"The new patient Welcome Letter also discussed referrals, saying that if the patient was happy with our services please tell their loved ones and friends, if the patient was dissatisfied for any reason please tell me so we can respond to the problem.

"My practice was all cash, no insurance or other third party reimbursement. I kept two patient slots open at all times for people who could not pay full fees at the time of service, whether it was because they had lost their job, had extraordinary debt burdens or whatever else had tanked their cash flow. This simple gesture generated a lot of good will.

"Many doctors and other health practitioners are afraid to offer reduced fees or sliding scale fees because they know some people will abuse their kindness and lie about their ability to pay. I found that having a referral-only practice eliminated the scam artists up front, as people who had been referred by someone else under our care did not want to look bad in front of the person who referred them as a liar and a cheat.

"As time went by, it became common for people to come in who were referred by 2 or 3 different patients. It was phenomenal. I had no uncollected debts from patients at all.

"Extra special to me was the outpouring of generosity in my direction. As people got their health back, they began to paint, write, do photography, etc. I got numerous gifts and cards from my patients or their loved ones, all expressions of their thanks that mean more to me than any revenues. Practicing this way was truly "win-win" for everyone. I am now at home raising my young child with another on the way and plan to return to practice in 2005.

"So, for the specific results:

"1. Gross revenue increased over a 12 month period by 400% and maintained at that level until I sold the clinic.

"2. Appointment schedule ran so full that I extended my office hours into the early morning and evening hours and still had to shoehorn people in to the time slots available.

"3. Net profit increased by 500%, in part because the clinic schedule was more predictable and therefore we could order supplies and special medicines at a discount.

"4. Back end opportunities soared. Patients loved that any specialty medicines, supplements or other supplies could be sent to them on a monthly basis at their convenience, they did not have to drive to the clinic to pick up these items. These items were paid for in advance so my clinic had no financial risk.

"In some cases I could buy items in bulk at a discount, thus increasing my profits and making it easy to offer reduced cost to those patients who were in financial dire straits. This way they could continue their supplements as needed and it didn't cause my clinic any financial difficulty to make this possible.

"5. As a naturopathic physician (ND), I loved how the practice evolved. As the clinic got busier, it got more efficient and treatments remained effective. I found I really enjoyed working on the business instead of just in the business. When I did a patient survey and people shared great feedback that they loved the convenience of services and knowing that they were receiving true health care and not just disease management. They enjoyed referring the people they care about to my clinic. It made them feel like they had done something good for someone else.

"6. In the midst of all this growth, I cut back my office hours to accommodate time for writing my first book and a weekly live call-in radio show, "Natural Health Talk". Patient care, revenue, profits, and my personal satisfaction
remained the same.

"7. I used no advertising of any kind, not even so much as a flyer to promote my practice.

"8. Before using Abraham techniques, I had 1 or 2 new patients a week. While using Abraham techniques, I had 2 or 3 new patients a day on average, sometimes more.

"9. It became easy to provide group educational classes to reinforce taking care of one's health.

"10. Patient base was quite diverse, from CEOs to college students to electricians to homemakers to retirees.

"11. Staff: There was 1 part-time employee, 1 independent contractor and an office manager.

"It was fun to run my clinic this way! What a joy to be of service to others and get what I want from my business.

"OK, that's it in a nutshell. I hope someone can make good use of what worked so very well for me." - Dr. Beverly Yates, ND


So there you have it. In Dr. Beverly's own words.

Lot's of people give lip service to referrals, saying they have built their business by referrals. But I challenge you---do you have a referral program as systematized as Dr. Beverly's? One that consistently adds new clients and patients to your business or practice, WEEK IN AND WEEK OUT?

Which brings me to my point: Referral systems are one of the most underestimated and undervalued marketing strategies---in the business world.

Why?

Because with this single strategy, you get the high quality, high paying, highly profitable, practically pre-sold clients---with almost zero marketing expense!

Now who wouldn't want that kind of business?

Most business owners don't even have one consistent referral system they use. Let me teach you at least ninety three different successful ones.

In my brand new Abraham Insiders' Club, you and I will focus on implementing one or more referral systems in your business that will drive your revenues and profit sky high. To find out more, go to:


Yours truly,

Jay L. Abraham

PS: As you can see, my clients are quite generous in describing the ideas that have made them successful. Regardless of your business, Dr. Beverly's experience and marketing techniques have a lot to offer you and your business.

Everyone should take a page from her book.

Jay Abraham offers are brought to you by:
Abraham Publishing
27520 Hawthorne Blvd. Suite 263
Rolling Hills Estates, CA 90274

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Posted by OneWebCo at August 22, 2005 11:12 PM

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