Seven Ways to Boost Case Acceptance with Point-of-Sale ...

Seven Ways to Boost Case Acceptance with Point-of-Sale Financing

Offering financing is crucial to the success of every dental practice, but it's only useful if patients actually take advantage of it.

SPONSORED BY:

Well-planned financing truly exemplifies the power of a winwin situation. It lets consumers transform expensive, big-ticket purchases into more budget-friendly monthly payments, and it enables business owners to improve their sales by increasing customers' purchasing power.

As dentists, you likely already offer at least one financing option, but financing has evolved in recent years. Thanks to advances in financial technology, you now have more options than ever to help patients pay for services and grow your practice.

The journey to case acceptance, arguably one of a practice's most important key performance indicators, can be riddled with patient uncertainty and trepidation. Recent case acceptance statistics illustrate this dilemma. Jim Philhower, director of North America sales and leadership development for Henry Schein, stated in Dental Economics that average case acceptance is 50% to 60% for patients of record and 25% to 35% for new patients. He said the practice goal should be greater than 80% for patients of record and between 50% to 75% for new patients. And in a 2016 Dental Economics/Levin Group Practice Survey, it was determined that dentists were only persuading patients to move forward with treatment 61% of the time.

What was disturbing about this number, the survey administrators contended, was that it included treatment for caries, which is typically in the 95% to 100% acceptance range. If caries treatment was removed from this statistic, what would be the acceptance percentages for elective treatment and larger cases?

Patient hesitation regarding procedure costs can cost your practice thousands of dollars every month in lost revenue. That's what makes financing a crucial part of every dental practice, but it's only useful if your patients actually take advantage of it. LendingUSA, a technology-driven finance company, understands this, which is why it gives dentists the power to offer affordable financing to their patients precisely at the point of sale. It is a seamless way for dentists to improve the services and convenience they provide to their patients while also growing their practices by giving them access to more purchasing power.

How Financing Helps Dentists

Higher profits Fast, direct funding to your account Upfront payments (certain restrictions apply) No fees for promotional financing Bigger loans than specialty cards

2

For patients who want a budget-friendly way to pay for their treatment, financing with installment loans is the clear winner. Unlike a credit card, an installment loan has fixed terms and fixed payments. When patients utilize an installment loan to finance their treatment, they benefit from set payment terms that do not fluctuate. Also, unlike a credit card, the interest rate doesn't change, and patients will know exactly when the balance will be paid in full--both very helpful when it comes to managing a budget.

Financing with an installment loan also facilitates flexibility because it allows patients to keep their credit cards for emergencies and other situations where they might need to make a large payment quickly. Additionally, many lenders don't charge prepayment penalty fees, so if patients pay their loan in full early, they aren't charged extra. Some companies even promote early repayment with financing plans featuring reduced rates or no interest charges.

For example, LendingUSA offers a patient-friendly program with no interest on principal on all loans repaid in full within six months or less. (This applies to loans paid in full within six months with LendingUSA's No Interest on Principal Promotion.)

Why Patients Like LendingUSA

Pre-approved decisions in seconds No prepayment penalty No interest on principal on all loans repaid in full within six months or less Fixed rates Low monthly payments

WHY DENTISTS NEED FINANCING

Offering financing to your patients can drive practice success simply because convenient access to a financing option makes paying for more expensive dental procedures more viable for many patients. Also, there's less risk to your practice when a patient pays with an installment loan because you get funded directly by the lender. That means no late payments to chase down and no risk to you in the case of default or bankruptcy. Plus, all approved loans are good for your practice only--they can't be used at a competitor who may try to underbid you.

Another benefit is that when patients apply for an installment loan and are pre-approved, they receive a maximum loan amount that may be more than their estimated cost of treatment. This can help you suggest additional needed services or treatments patients may have previously felt they could not afford.

Finally, keep this in mind: many lenders and credit card companies are unable to approve financing or credit for patients with subprime credit. LendingUSA, however, is able to approve a wider range of credit scores than most lenders; therefore, you can offer service to more patients and grow your practice year over year.

3

WHY PATIENTS NEED FINANCING

With most Americans having less than $1,000 in savings, the days of large cash payments are over. People expect financing for large purchases like houses and cars, and they want it for the high-end dental procedures you offer as well. Credit cards and revolving credit options are good for smaller procedures, but for big-ticket items, financing is the better option.

HOW TO PRESENT PATIENT FINANCING

Based on its success with financing across a variety of business platforms, LendingUSA has developed specific strategic sales tips that dentists, practice managers, and treatment coordinators can use to effectively present financing and grow their revenue by focusing on the power of fixed payments. Here are seven that it strongly advocates.

1

Focus on Payment, Not Price

A $10,000 procedure seems much more

affordable when broken up into monthly payments.

2

Give Patients Multiple Opportunities to Apply for

Financing Offer financing online, at your point of sale, and before and after consultations.

3

Offer Financing to Everyone

You never know who might need it. Don't try to guess who might

need financing.

4

Use Marketing Materials

Brochures, web banners, and other materials

can help increase awareness.

5

Train Your Staff to Sell Investing in regular sales training for your staff can pay dividends. Make sure everyone knows how to sell and is educated on what financing

options you offer.

6

Take Advantage of Maximum Approvals They may want additional services if they find they are approved for more

than the cost of the procedure.

7

Keep Offering If the first few patients aren't approved, that doesn't mean that financing doesn't

work.

MAKE SURE FINANCING ISN'T COSTING YOUR PRACTICE

Look at the fees your lender is charging you. The cost of setting up and using point-of-sale financing can vary significantly depending on the financing provider, and discount fees can escalate up to 30% for riskier loans. Also, discount fees aren't the only things a lender can charge. Some have fees for initial enrollment and/or fees for continued membership--on a monthly or annual basis.

Some lenders also charge a fee to offer special promotional financing options that generally involve a lower interest rate for a set period.

4

For example, as stated, when patients take out a loan with LendingUSA, there is no interest on principal on all loans repaid in full within six months or less. This promotional feature is offered at no additional cost on all of LendingUSA's loans, while it is often an expensive extra with other lenders. How many of your patients will get approved for financing--and how quickly--will depend on the underwriting criteria and approval process of the lender you choose to work with. Some will only finance patients with very high credit scores and a near-perfect credit history, while others like LendingUSA can approve a broader range of applicants. Also, before enrolling with a lender, make sure to ask about its credit criteria. Higher approval rates mean more patients for your practice. Look at its lending requirements. Is it not approving enough of your patients? Look at its maximum amounts. Can it cover big ticket procedures?

IN CONCLUSION

Don't look at financing as a "backup" payment option. It's only going to become more commonplace for people to finance their dental procedures, so get ahead of the curve and start offering it early and often. Focus on the fixed payments when presenting financing to patients, and make sure that your financing provider is the right fit for you. For more information about how the right financing solution can grow your practice, speak with one of LendingUSA's experts at (866) 280-5932 or email demo@. The company has worked hard to establish its reputation among both borrowers and business owners, and it has an A-plus rating from the Better Business Bureau and a 4.6/5 rating out of 290-plus Google reviews.

For more information about how the right financing solution can grow your practice, speak with one of LendingUSA's experts at

(866) 280-5932 or email demo@

All loans are made by Cross River Bank, a New Jersey State Chartered Bank, member FDIC. Loan amounts range from $1,000 to $35,000. Loans are not available in Connecticut, New Hampshire, New York, Vermont, or West Virginia. Other terms and conditions may apply. These marketing materials are only directed to prospective merchants and not intended for consumers.

5

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download