Welcome to our first in a series of posts sharing insights and tips for medical device, DME, and O&P companies leading up to our presentation and exhibit at Medtrade, Oct. 26-29. Medtrade is the largest HME expo in the US, with educational sessions, innovative exhibitors, and networking opportunities.
When we work with medical device, DME, and O&P companies on contracting with insurance companies/payers, one of the first things we want to talk about is their sales strategy.
This throws some for a loop — “Wait a minute, aren’t we here to talk about insurance companies and provider reimbursement?”
We are — but making sure all your strategies are aligned is one of the best things you can do to ensure your business’s success.
Let us explain.
Your sales strategy and data show which areas of the country or state are fertile ground — plenty of patients, strong relationships with physician offices and other businesses, which products/devices are most purchased, etc.
Instead of taking a shotgun approach to contracting, you can then focus and use this information to pursue opportunities with the greatest payoff for your business.
Say, for example, your sales data show you are having success in the greater San Fransisco Bay Area. You’ve added more sales reps in the Bay Area as well. That tells you it’s worth developing a strategy to contract with some of the biggest payers in that area (as well as making connections with the corresponding large covered employer groups to let them know once you are in the network). Further, consider areas that you are expanding and expect the most growth from.
This helps you focus your greatest limited resource — your time — to contract and negotiate with payers that can bring you the most revenue. It also means you will have plenty of data on patient utilization, the value you can bring the payer, and other metrics that can effectively build your case for why a contract with you is a win for the payer, the patient, and your company.
We’ll be sharing more of these strategies in a free webinar leading up to Medtrade on Wednesday, Sept. 30. Register to attend by clicking here and stay tuned to our blog for more tips.