Assistance with Marketing Assignment

Assistance with Marketing Assignment ORDER NOW FOR CUSTOMIZED AND ORIGINAL ESSAY PAPERS ON Assistance with Marketing Assignment I’m trying to learn for my Health & Medical class and I’m stuck. Can you help? Assistance with Marketing Assignment Please assist with two page writing assignment. Please see attached word document with instructions database_marketing__houston_methodist.docx chapter_10_organization_growth.docx swot_analysis___houston_methodist.docx houston_methodist.docx Database Marketing This week you will obtain information on database marketing to support the Marketing Mix section of your Final Project. As discussed in Chapter 10 of the course text, database marketing centers on gathering customer-based information such as gender, age, occupation, and lifestyles. As an example, to better understand the wants and needs of patients and their families, the Happy Valley marketing director monitors activities on the long-term care center’s web page. Data is collected regarding specific links viewed such as activities, skilled care services offered, and physical therapy. If a certain link is viewed more than other links, this could indicate to the marketing director that potential patients and their family members prefer specific amenities or services. Those amenities or services would then be marketed as a priority for the organization. Considering the marketing plan for your chosen healthcare organization, construct a three- to four-page paper in which you: Assistance with Marketing Assignment Describe your understanding of database marketing and how it could potentially be applied to your marketing plan for the Final Project. Discuss the benefits and drawbacks of using database marketing. State the ethical, legal, and HIPAA issues that need to be considered. Articulate reasons why you would implement or exclude the use of database marketing in your marketing plan for the Final Project. The paper Must be two double-spaced pages in length (not including the title page and references page) and formatted according to APA style as outlined in the Ashford Writing Center(Links to an external site.)Links to an external site. . Must include a separate title page with the following: Title of paper Student’s name Course name and number Instructor’s name Date submitted Must use at least three scholarly sources in addition to the course text. Must document all sources in APA style as outlined in the Ashford Writing Center. Must include a separate references page that is formatted according to APA style as outlined in the Ashford Writing Center. 10.1 Organizational Growth Most organizations have growth as a basic goal. Growth means an increase in revenue and a greater impact on the communities served.Growth also creates opportunities for staff to advance and take on new responsibilities. While many activities can help an HCO grow, the mostimportant is the development of an effective marketing plan to provide a consistent platform for the organization’s visibility and to brand theHCO as an attractive option for medical services. The development of an effective marketing plan was stressed in Chapter 8 as a basicmarketing need for an HCO: that is, to inform new and existing customers of the organization’s services and to persuade them to continueusing or to try using these services. Product/Service Life Cycles Like people, products and services have a life cycle. The term product life cycle refers to the stages that a product or service goes throughfrom the time it is introduced until it is taken off the market or “dies.” The stages of the product life cycle, illustrated in Figure 10.1, usuallyinclude the following descriptions: Introduction—The stage of researching, developing, and launching the product or service. Growth—The stage when revenues are increasing at a fast rate. Maturity—The stage when revenues peak, and the rate of growth slows down. Decline—The final stage of the life cycle, when revenues start to decline. Assistance with Marketing Assignment For example, a pharmaceutical manufacturer introduces a new cholesterol drug, and it is promoted by sales reps and possibly promoteddirectly to consumers during the product’s introduction stage. As more and more physicians prescribe the drug, sales grow at a fast pace, andthe drug enters the growth stage. As time passes, sales begin to slow as the drug reaches the maturity stage. Then, newer drugs areintroduced, and sales of the older drug start to decline. In an attempt to maintain sales of the older product, the manufacturer may decide tosell the older product as an OTC drug, but at a much lower price than when it was a prescription drug. Of course, not all products reach the final stage and may instead continue to stay at the maturity stage for a long period of time. Regardless,attracting and keeping new customers is critical because of the nature of how products evolve from their conception to extinction. When therevenues produced by the product or service begin to decline, so do profits. To boost or maintain revenues requires keeping existingcustomers, but also attracting new ones. Figure 10.1: Product/service life cycle Some products stay in the maturity phase for a long time. Other products movequickly through the cycle. Source: Adapted from Product Life Cycle Stages at http://productlifecyclestages.com/ Individual Adoption Stages A critical element in attracting new customers is to understand the stages that individual consumers move through when adopting a newproduct as it moves through the product life cycle. These stages, shown in Table 10.1, are referred to as the individual adoption stages . Ofcourse, promotional messages must be aligned with these stages to carry the consumer through them. In the introductory stage, promotionalmessages must inform potential customers of the offering. In the growth stage, promotional messages must encourage potential customers touse that specific offering, or product, rather than competing products. At the maturity stage of the product, customers are reminded of theproduct to build repeat usage and referrals. Thus, messages stressing the firm’s competitive advantage must be developed to answerconsumers’ questions at a given stage in the individual adoption process and to reflect the nature of the product at a given time during its lifecycle. Table 10.1: Individual adoption stages and information needs Stage in Individual Adoption Process Questions Consumers Want Answered 1. Awareness: Consumer first learns of the product,service, or organization. Who are you? What are you all about? What do you do? 2. Interest: Consumer is stimulated to get moreinformation about the product or service. Why would anyone use your services? What benefits would they get? 3. Evaluation: Consumer considers whether to trythe product or service. Assistance with Marketing Assignment Why should I buy your organization’sservices? 4. Trial: Consumer tries the product or service. Will it really deliver those claimed benefits? Can I risk trying the service? 5. Adoption: Consumer decides to use the product orservice, becoming “your” customer or patient. Did I make the right decision? 6. Repeat: Consumer may reevaluate his or herdecision to continue using the product or service. Should I continue to use the same serviceprovider or are there better alternatives? Consumers will be at various stages in their individual adoption process of a product and will have varying levels of knowledge andexperience. Therefore, a variety of promotional messages, conveying different types of information about the product, service, ororganization, is usually necessary to communicate effectively to them. While most consumers are concerned about the benefits received froma product, some are interested in the detailed information that produces those benefits. Such detailed information should be available toconsumers who request it. Information from the marketing plan’s consumer analysis is vital in making communications decisions on promotional message content. Theneeds and motives of consumers become the center of such content decisions. If time and money permit, promotional messages should betested before use, and measures indicative of consumer responses to those promotional messages should be evaluated in the decision-makingprocess to finalize the message content. 10.2 Attracting New Customers New customers, or patients, can be attracted to an HCO in several different ways, some at a relatively low cost. One source has identified fourlow-cost approaches (Guerrero, 2013), which follow: Create an online presence with a website because people search for information, and sometimes ratings, online. Use social media to create a profile of your business and to get feedback. Using social media increases visibility and presence, and showspotential patients you are up-to-date. Increase community involvement, which is an age-old technique, but it works. Clubs, churches, speaking engagements, and so forth allincrease name recognition and awareness. Make it easy for patients to contact you. This can be done by creating a link on your website for customer contact or by using text,tweets, and email. Some hospitals have started using animated videos to attract new patients. These videos can be linked from your website, or emails can besent to provide links to videos on YouTube. This allows potential and existing patients to view the videos at their leisure and provides aninteresting interface, which can serve to present useful information (PRWeb, 2012). Another approach for increasing patients/revenues is to offer additional services. Dr. Clint Long of Long Eye Clinic in Sherman, Texas is aboard-certified ophthalmologist who has added new services to his practice to attract new patients and increase revenues from existingpatients. The clinic offers BOTOX ® Cosmetic, a proven prescription medicine that is injected into muscles to temporarily improve the look ofmoderate-to-severe frown lines between the eyebrows in patients from age 18 to 65. The clinic also offers CO2 laser treatment for skinrejuvenation. This treatment can help diminish brown spots and wrinkles while firming and toning facial skin. LONG VISION CENTER: DR. CLINT LONG Long Vision Center in Sherman, Texas cares about your vision. In fact we believe that it is very precious, and Dr. Long ishere to make sure you have superior quality eye care. Here at Long Vision Center, we provide general eye care, medical eyecare, surgical eye care, laser eye care, as well as Botox Cosmetic, Laser Skin Re-surfacing, and Lasik to patients in Sherman,Texas and the surrounding North Texas area. Dr. Clint Long, a State of Texas Board Certified Licensed Ophthalmologist, performs general eye examinations foreyeglasses and contact lenses, examinations for cataract and cataract surgery, lens implants, corneal surgery andtransplants, diagnosis and treatment of dry eyes, laser vision correction & surgery such as LASIK, diagnosis, medical, laserand surgical treatment of glaucoma and provide eye examinations and laser treatment for diabetic retinopathy andtreatment for age related macular degeneration. Source: http://www.longvisioncenter.com/ Retrieved November 13, 2013 (continued) While Dr. Long’s initial interest was in helping patients with skin issues around the eyes, he soon learned that patients also wanted thetreatments for other areas of their face. His investment in additional training and certification in those procedures has paid off through anexpanded customer base and increased revenues (Long Vision Center, 2013). Patient referrals are a cost-effective way of getting new patients. However, patient referrals, like other aspects of a marketing plan, must bemanaged. This means evaluating the process of new-patient referrals; that is, who is referring new patients, how is this information beingobtained and kept, and how are new patients treated by staff and made to feel welcome and valued. Many doctors will actually set up an appointment for a patient with another doctor and have the referred doctor’s office confirm theappointment. A record of each of these referrals should be maintained and the referring doctor thanked for the referral. A short note or callcan show appreciation and lead to more referrals. The cross-selling of services within a clinic is a valuable tool for referrals. Cross-selling means referring patients to other doctors or servicesoffered by the clinic. It is important that each doctor be aware of the services and qualifications of other medical staff at the clinic andcontinually reminded of the need to cross-sell, because it works both ways: I refer someone to you, and you refer someone to me. Assistance with Marketing Assignment In addition to attracting new patients, HCOs must effectively manage their existing customers to support long-term profitability. Customerrelationship management (CRM) further analyzes a targeted segment by addressing each customer’s potential for profitability. CRM isbased on the following four premises: Customers are a key asset of the organization. Customers vary in their preferences and behaviors and their value to the organization. Understanding customer needs, preferences, and behavior can improve a customer’s value. Relationships with customers must be managed. While many companies have operated on the premise that the best customers are loyal ones and have focused on segmentation by frequencyof purchase, traditional loyalty programs have neglected to analyze their profitability (Mason & Young, 2003). Instead of focusing on loyaltyalone, CRM goes one step further in finding ways to measure the company’s “cost” to maintain that customer relationship. Many companiesnow offer software for CRM programs, which, if implemented appropriately, can provide a competitive edge for an organization (Kotler,2003). These software programs involve the use of database marketing, which will be discussed in the next section. The All About Smiles dental practice in Durant, Oklahoma has learned to use several approaches to CRM. At All About Smiles, CRM beginswith new patients at the front desk, where they are greeted by office staff and made to feel welcome and appreciated. Everyone else’s job is toensure that customer appreciation continues throughout the whole treatment and payment process. The office layout is unusual for dentalpractices. For example, the Egypt room has murals of pyramids; the Jamaica room has scenes of beaches and palm trees; and a game roomcomplete with PAC-MAN ® entertains the younger patients. New patients are asked for their email addresses and mobile phone numbers so they can be sent reminders of their next appointment andalso have an opportunity to evaluate the services through an online survey, which is sent to patients a few days after their dental visit. Emailreminders are sent the day before the upcoming appointment, and text messages are sent the day of the appointment and two hours beforethe appointment time. Patients can opt out of both of these contact methods and request phone calls instead, if they prefer that type ofreminder. The office manager reports that the texts sent on the day of the appointment have significantly reduced the number of no-shows. ALL ABOUT SMILES DENTISTRY, DURANT, OKLAHOMA At All About Smiles Dentistry, we value our patient relationships, making it our priority to deliver gentle compassionatecare that you deserve from a dentist in Durant. We work hard to make you feel at ease by providing exceptional patientcare in a relaxed, convenient atmosphere. We strive to develop lifelong relationships with our patients by combining thelatest dental technology with a professional and compassionate staff. The result is a beau-tiful, healthy smile that lasts alifetime. We also believe that patients should have sufficient information to make educated deci-sions about their oral health,treatment options and choice of dentist in Durant. You’ll find all of this important information on our website, includingdirections to our Durant office, service descriptions, patient forms, patient education resources and more. Not only are we a leading dentist in Durant, we are a full-service practice providing for all of your dental needs. Ourservices include: General Dentistry Teeth Whitening Crowns Preventive Care Periodontal Exams View a Complete List of our Dental Services Should you ever need additional information about our practice, we are always available to answer your questions. Let uscare for your entire family! We look forward to meeting you. Source: http://www.durantsmiles.com/ Retrieved November 13, 2013 10.4 Database Marketing True database marketing creates customer intelligence that contributes to the development of profitable customer relationships. Databasemarketing is an organizational process that is customer research driven. The information base is dynamic and evolving, preferably with two-way dialog with the customer (Berry & Linoff, 2000). It is a measure of the importance of creating and maintaining a good database of marketinformation that Business Week devoted the cover story of its September 5, 1994 issue to the subject of database marketing, calling it “one ofthe biggest changes in marketing since ‘new and improved’” (Bloomberg Businessweek, 1994, para 5). Since that time, the concept ofdatabase marketing, coupled with new technologies, has grown to the point that a new generation of marketing professionals has beencreated. Basic information on age, gender, lifestyle, occupation, and so forth can easily be captured by HCOs through additions to the regularpatient forms filled out annually or by new patients. This information must then be entered into a software program by staff or an outsidemarketing agency. The data can then be analyzed for commonalities and trends. Assistance with Marketing Assignment Advantages of Database Marketing The new generation of database marketing professionals offer skills in four primary areas: (a) secondary data acquisition, including analysisof the value of lists; (b) database-building, including the understanding of computer hardware and software; (c) target marketing, includingmaximizing database record use; and (d) one-to-one marketing, which involves managing and refining the targeting process to customizecontacts for every customer (Kotler, 2003). The popularity of database marketing is grounded in the belief that marketing planning begins byunderstanding the customer—his or her buying and consumption patterns, location, interest, and other aspects of buying behaviordiscernible from databases—and then formulating plans that attempt to weave the firm’s product or service into the consumer’s pattern ofbehavior. The basic idea behind the use of databases is this: If that is what the consumer is doing, how can we make consumers want to dothat more often and with our product? This approach to satisfying customers adheres to the belief that the best indicator of future behavior ispast behavior. Thus, if American Express ® sees its card frequently used by a cardholder to purchase works of art, then it assumes anadvertisement for artworks in that cardholder’s monthly bill will generate a better response than it would with a cardholder who uses thecard for travel in the Caribbean (and receives advertisements for travel specials to that region). In fact, by monitoring card members’shopping, travel, and eating patterns, plus the economic and weather patterns in which they live, the database may trigger an ad to be sent tosomeone who has traveled in the past to warmer climates during a particularly inclement winter month, in a calculated effort to strike whilethe iron is hot. If an HCO learns that more and more patients are accessing its website before a visit, then ensuring that the website is up-to-date, and thatlinks to departments and services are all working, is an essential part of the use of data mining, which is discussed in the next subsection.Patient forms can simply ask about visiting the website and any additional information patients would like to be able to access on the website.Patients can also be asked whether they want to receive email or text updates of changes to the website. Data Collection and Manipulation The process of data collection and manipulation, which allows such powerful tactical marketing actions to occur, consists of several steps: Consumer action. The process begins with the consumer taking some form of action—they use a coupon, fill out a warranty card, make apurchase, enter a sweepstakes, place a toll-free call to request information, fill out a business reply card, order from a catalog, and soforth. This behavior is combined with other information in public records to identify a broad profile of each consumer in the database. Digesting the data. Sophisticated statistical techniques are used to merge data on the consumer into a coherent, consolidated database.Other software allows the marketer to “drill down” into the data to reveal patterns of behavior for classes of customers. Profiling the ideal customer. Neural networks that “learn” from the data are used to identify a model consumer, that is, the commoncharacteristics held by the high-volume customer. This allows the marketer to find customers or potential customers who share thosecharacteristics in common with the high-volume customer. Using the knowledge. This data can be used in many ways: to determine who gets which sales promotions, to develop attributes for newproducts or services with a targeted list of customers for new-product introduction announcements, to tailor ad messages and targetthem by customer groups, and so forth. Sharing data with channel members. For consumer package-goods marketers, it is possible to merge the manufacturer’s database(described in item 2 of this numbered list) with an individual store’s scanner data to help plan local promotional mailings, fine-tuneshelf displays, and design store layouts (Berry, 1994). Assistance with Marketing Assignment Modern technology has made it possible for marketers to do extensive searches through a large database, essentially mining the data. Datamining is the process of sorting through the data to find hidden patterns, potential trends, and correlations between customers or within asingle customer’s data. Data mining is predominantly accomplished through mathematical and statistical processes and is typically doneusing software developed for this purpose (Mason & Young, 2003). However, great care must be used in healthcare-related data miningbecause of the privacy concerns of patients and the need to safeguard access to patients’ medical information. While modern technology, including neural network software and parallel processor hardware, makes the use of such database marketingpossible, it is old-fashioned objectives that drive the interest in databases. Marketers seek to know their customers so well that they cananticipate their needs and provide them with desired products and services before the customers themselves know what they want. This isrelationship marketing, which is now at its most efficient evolutionary stage. Computer technology allows the marketer to acquire knowledgeof the purchasing habits of millions of individual customers and to weave relationships with them by anticipating their needs and informingthem of need-satisfying products specifically suited to their situation. By successfully weaving these relationships, the marketer makes itinconvenient or costly for the customer to switch to a competitor. Using the Data To some degree, the marketing plans of companies actively engaged in database marketing are driven by the desire to maximize the use oftheir databases and the technology that allows the manipulation of those databases. In other words, the ability to use the database in certainways means that those uses will become the implementation of the marketing plan (that is, the marketing plan conforms to fit the technologyavailable). This is not necessarily an inappropriate or backward approach to marketing, as long as marketers do not lose sight of this fact: Theultimate goal of any technology usage or marketing plan objective is to identify how an organization can gain a competitive advantage insatisfying customer needs and wants. Jackson and Wang (1994) have identified 15 ways to use a marketing database. These uses of a marketing database are described in depth intheir book and are listed as follows to illustrate the spectrum of possibilities for the use of databases in data-based marketing planning: Identify your best customers. Develop new customers. Deliver a message consistent with product usage. Reinforce consumer purchase decisions. Cross-sell and complementary sell products. Apply three-tiered communications. Improve delivery of sales promotion. Refine the marketing process. Increase the effectiveness of distribution channel marketing. Maintain equity. Establish a management resource. Take advantage of stealth communications. Conduct customer, product, and marketing research. Personalize customer service. Provide program synergy and integration. 10.5 Managing Real and Virtual Customer Interactions Patients develop a service script in each healthcare setting. A service script is the expected sequence of events and outcomes for thatparticular setting. When the actual experience departs from the script, the patient may be uncomfortable (Solomon, 2013). For example, adental patient may expect a visit to the dentist to include reading out-of- Assistance with Marketing Assignmentdate magazines in the waiting room, experiencing pain while a cavityis filled, and hearing the high-pitched sound of the drill. This may not be perceived as a pleasant experience, but it is, traditionally, thepatient’s expectation. A problem now faced by many HCOs is that patients gather information from social media outlets before contacting a healthcare provider(Kane, Fichman, Gallaugher, & Glaser, 2009). The information gleaned from the Internet and social media sites determines, at least in part, thepatient’s service script. A new dental patient can search the Internet or interact with friends on a site such as Facebook to find a dentist whohas a big-screen TV in the waiting room, guarantees little or no pain, and uses a quieter laser drill. This information dramatically alters thepatient’s expectations of the dental appointment. Several popular healthcare social media sites are listed in Table 10.2. Table 10.2: Healthcare social media sites Website Purpose PatientsLikeMe.com DailyStrength.org Allows patients to share real-world health experiences tohelp themselves and other patients. angieslist.com healthgrades.com RateMDs.com All of these allow patients to rate healthcare providers. CaringBridge.org Helps people who have significant health problems connectwith friends and family, making the experience easier. Sermo.com Exclusively for MDs and DOs to post observations andquestions about puzzling cases. The following subsections will discuss the use of social media by patients, the management of online community relations, gaps in expectedand delivered service, and service recovery. Social Media in Healthcare Sixty million people in the United States read or contribute to blogs, wikis, and/or social networks about healthcare (Kane et al., 2009). Often,social media is the first place patients search for information concerning specific illnesses or recommended healthcare providers. This use ofsocial media provides opportunities as well as possible pitfalls for HCOs and individual healthcare providers. The opportunities offered by social media include the ability for the HCO to communicate its mission, vision, and products or services as wellas health education. HCOs also can use social media to advertise and post patient testimonials. Finally, social media can be used to managecustomer experiences by helping to create realistic service scripts. The biggest challenge for any organization involved in social media is the ability to control the conversation ( Forbes Insights, 2013). Threatsto a firm’s reputation may be internal or external. Internally, a disgruntled employee may post information damaging to an organization, suchas protected health information about a patient. Even an act of kindness may be damaging to an organization. For example, a nurse may post arequest on Facebook for her friends and family to keep a particular hospitalized patient in their thoughts and prayers. Depending on theamount of information revealed by the post, patient confidentiality may have been breached. Assistance with Marketing Assignment Controlling the external conversation is more difficult. Online communities spontaneously appear, often with different contributors taking thelead. Further, as patients, the participants are free to discuss personal medical information without violating privacy law (Kane et al., 2009).This allows the participants to be very specific about their experiences with an HCO or a healthcare practitioner. Often, the HCO cannotrespond to such posts without violating patient confidentiality. Nonetheless, it is imperative that HCOs have personnel who constantlymonitor and respond to social media conversations—both positive and negative. Elements of a social media policy are outlined in Table10.3. Table 10.3: Social media policy ?Develop a Formal Social Media Policy · Activate network settings so only designated staff can access social media. · Define inappropriate use of social media and ramifications for policy violations. · Encourage employees to report the inappropriate use of social media by others. ?Monitor External and Internal Online Communication · Use Google Alerts, Twitter Keyword Tool, and other tools to monitor online communications. · Deputize employees to augment the team’s efforts for internal communication. Assistance with Marketing Assignment ?Engage Online Communities Create compelling social media. Use online community leaders, such as well-known bloggers and journalists, to ensure that yourmessage is understood. Communicate internally—marketing to employees unifies the organization’s message. ?Act as First Responders React quickly to negative comments, but use a team trained in public relations triage. Acknowledge legitimate criticism and mistakes. Respond forcefully to unfounded rumors. Do not engage every online community—pick and choose those with which you want to beassociated. Managing Customer Service In a recent survey, more than 300 chief marketing officers (CMOs) from a broad array of industries, including healthcare, reported thatcustomer experience was their most important priority. Customer experience was viewed as more important than new products or services,branding, or need identification. Interestingly, pricing, as a concern, came in last. To achieve an outcome of excellent customer experience,CMOs believe that marketing, strategy, finance, information technology, and social medial need to all collaborate. As the CMO of onepharmaceutical company stated, “We don’t have a silo-driven culture at all. We are highly integrated across sales, marketing, R&D, andfinance” ( Forbes Insights, 2013, p. 8). As noted earlier in this section, social media now drives the service script, or customer expectations, of the healthcare experience. Thedifference between the service expected and the customer’s perceived service quality is known as the service gap , and the management ofthis difference is known as gap analysis (Loudon, Stevens, & Wrenn, 2005). Management needs to constantly monitor customer serviceexpectations and the customer’s perceived service quality. Actual gaps in service need to be addressed by the appropriate personnel. Forexample, a stand-alone urgent care center may advertise a no-waiting policy. However, patients actually experience a 15- to 20-minute wait,and they perceive that wait to be much longer. In this case, the person in charge of the promotional message can close the service gap byadvertising “short wait times.” Frontline employees , such as admissions clerks, receptionists, and triage nurses, are also in a position to manage service gaps. Frontlineemployees, as well as other personnel who initially interact with the patient, are the first experience the patient has with the H

Assistance with Marketing Assignment ORDER NOW FOR CUSTOMIZED AND ORIGINAL ESSAY PAPERS ON Assistance with Marketing Assignment I’m trying to learn for my Health & Medical class and I’m stuck. Can you help? Assistance with Marketing Assignment Please assist with two page writing assignment. Please see attached word document with instructions database_marketing__houston_methodist.docx chapter_10_organization_growth.docx swot_analysis___houston_methodist.docx houston_methodist.docx Database Marketing This week you will obtain information on database marketing to support the Marketing Mix section of your Final Project. As discussed in Chapter 10 of the course text, database marketing centers on gathering customer-based information such as gender, age, occupation, and lifestyles. As an example, to better understand the wants and needs of patients and their families, the Happy Valley marketing director monitors activities on the long-term care center’s web page. Data is collected regarding specific links viewed such as activities, skilled care services offered, and physical therapy. If a certain link is viewed more than other links, this could indicate to the marketing director that potential patients and their family members prefer specific amenities or services. Those amenities or services would then be marketed as a priority for the organization. Considering the marketing plan for your chosen healthcare organization, construct a three- to four-page paper in which you: Assistance with Marketing Assignment Describe your understanding of database marketing and how it could potentially be applied to your marketing plan for the Final Project. Discuss the benefits and drawbacks of using database marketing. State the ethical, legal, and HIPAA issues that need to be considered. Articulate reasons why you would implement or exclude the use of database marketing in your marketing plan for the Final Project. The paper Must be two double-spaced pages in length (not including the title page and references page) and formatted according to APA style as outlined in the Ashford Writing Center(Links to an external site.)Links to an external site. . Must include a separate title page with the following: Title of paper Student’s name Course name and number Instructor’s name Date submitted Must use at least three scholarly sources in addition to the course text. Must document all sources in APA style as outlined in the Ashford Writing Center. Must include a separate references page that is formatted according to APA style as outlined in the Ashford Writing Center. 10.1 Organizational Growth Most organizations have growth as a basic goal. Growth means an increase in revenue and a greater impact on the communities served.Growth also creates opportunities for staff to advance and take on new responsibilities. While many activities can help an HCO grow, the mostimportant is the development of an effective marketing plan to provide a consistent platform for the organization’s visibility and to brand theHCO as an attractive option for medical services. The development of an effective marketing plan was stressed in Chapter 8 as a basicmarketing need for an HCO: that is, to inform new and existing customers of the organization’s services and to persuade them to continueusing or to try using these services. Product/Service Life Cycles Like people, products and services have a life cycle. The term product life cycle refers to the stages that a product or service goes throughfrom the time it is introduced until it is taken off the market or “dies.” The stages of the product life cycle, illustrated in Figure 10.1, usuallyinclude the following descriptions: Introduction—The stage of researching, developing, and launching the product or service. Growth—The stage when revenues are increasing at a fast rate. Maturity—The stage when revenues peak, and the rate of growth slows down. Decline—The final stage of the life cycle, when revenues start to decline. Assistance with Marketing Assignment For example, a pharmaceutical manufacturer introduces a new cholesterol drug, and it is promoted by sales reps and possibly promoteddirectly to consumers during the product’s introduction stage. As more and more physicians prescribe the drug, sales grow at a fast pace, andthe drug enters the growth stage. As time passes, sales begin to slow as the drug reaches the maturity stage. Then, newer drugs areintroduced, and sales of the older drug start to decline. In an attempt to maintain sales of the older product, the manufacturer may decide tosell the older product as an OTC drug, but at a much lower price than when it was a prescription drug. Of course, not all products reach the final stage and may instead continue to stay at the maturity stage for a long period of time. Regardless,attracting and keeping new customers is critical because of the nature of how products evolve from their conception to extinction. When therevenues produced by the product or service begin to decline, so do profits. To boost or maintain revenues requires keeping existingcustomers, but also attracting new ones. Figure 10.1: Product/service life cycle Some products stay in the maturity phase for a long time. Other products movequickly through the cycle. Source: Adapted from Product Life Cycle Stages at http://productlifecyclestages.com/ Individual Adoption Stages A critical element in attracting new customers is to understand the stages that individual consumers move through when adopting a newproduct as it moves through the product life cycle. These stages, shown in Table 10.1, are referred to as the individual adoption stages . Ofcourse, promotional messages must be aligned with these stages to carry the consumer through them. In the introductory stage, promotionalmessages must inform potential customers of the offering. In the growth stage, promotional messages must encourage potential customers touse that specific offering, or product, rather than competing products. At the maturity stage of the product, customers are reminded of theproduct to build repeat usage and referrals. Thus, messages stressing the firm’s competitive advantage must be developed to answerconsumers’ questions at a given stage in the individual adoption process and to reflect the nature of the product at a given time during its lifecycle. Table 10.1: Individual adoption stages and information needs Stage in Individual Adoption Process Questions Consumers Want Answered 1. Awareness: Consumer first learns of the product,service, or organization. Who are you? What are you all about? What do you do? 2. Interest: Consumer is stimulated to get moreinformation about the product or service. Why would anyone use your services? What benefits would they get? 3. Evaluation: Consumer considers whether to trythe product or service. Assistance with Marketing Assignment Why should I buy your organization’sservices? 4. Trial: Consumer tries the product or service. Will it really deliver those claimed benefits? Can I risk trying the service? 5. Adoption: Consumer decides to use the product orservice, becoming “your” customer or patient. Did I make the right decision? 6. Repeat: Consumer may reevaluate his or herdecision to continue using the product or service. Should I continue to use the same serviceprovider or are there better alternatives? Consumers will be at various stages in their individual adoption process of a product and will have varying levels of knowledge andexperience. Therefore, a variety of promotional messages, conveying different types of information about the product, service, ororganization, is usually necessary to communicate effectively to them. While most consumers are concerned about the benefits received froma product, some are interested in the detailed information that produces those benefits. Such detailed information should be available toconsumers who request it. Information from the marketing plan’s consumer analysis is vital in making communications decisions on promotional message content. Theneeds and motives of consumers become the center of such content decisions. If time and money permit, promotional messages should betested before use, and measures indicative of consumer responses to those promotional messages should be evaluated in the decision-makingprocess to finalize the message content. 10.2 Attracting New Customers New customers, or patients, can be attracted to an HCO in several different ways, some at a relatively low cost. One source has identified fourlow-cost approaches (Guerrero, 2013), which follow: Create an online presence with a website because people search for information, and sometimes ratings, online. Use social media to create a profile of your business and to get feedback. Using social media increases visibility and presence, and showspotential patients you are up-to-date. Increase community involvement, which is an age-old technique, but it works. Clubs, churches, speaking engagements, and so forth allincrease name recognition and awareness. Make it easy for patients to contact you. This can be done by creating a link on your website for customer contact or by using text,tweets, and email. Some hospitals have started using animated videos to attract new patients. These videos can be linked from your website, or emails can besent to provide links to videos on YouTube. This allows potential and existing patients to view the videos at their leisure and provides aninteresting interface, which can serve to present useful information (PRWeb, 2012). Another approach for increasing patients/revenues is to offer additional services. Dr. Clint Long of Long Eye Clinic in Sherman, Texas is aboard-certified ophthalmologist who has added new services to his practice to attract new patients and increase revenues from existingpatients. The clinic offers BOTOX ® Cosmetic, a proven prescription medicine that is injected into muscles to temporarily improve the look ofmoderate-to-severe frown lines between the eyebrows in patients from age 18 to 65. The clinic also offers CO2 laser treatment for skinrejuvenation. This treatment can help diminish brown spots and wrinkles while firming and toning facial skin. LONG VISION CENTER: DR. CLINT LONG Long Vision Center in Sherman, Texas cares about your vision. In fact we believe that it is very precious, and Dr. Long ishere to make sure you have superior quality eye care. Here at Long Vision Center, we provide general eye care, medical eyecare, surgical eye care, laser eye care, as well as Botox Cosmetic, Laser Skin Re-surfacing, and Lasik to patients in Sherman,Texas and the surrounding North Texas area. Dr. Clint Long, a State of Texas Board Certified Licensed Ophthalmologist, performs general eye examinations foreyeglasses and contact lenses, examinations for cataract and cataract surgery, lens implants, corneal surgery andtransplants, diagnosis and treatment of dry eyes, laser vision correction & surgery such as LASIK, diagnosis, medical, laserand surgical treatment of glaucoma and provide eye examinations and laser treatment for diabetic retinopathy andtreatment for age related macular degeneration. Source: http://www.longvisioncenter.com/ Retrieved November 13, 2013 (continued) While Dr. Long’s initial interest was in helping patients with skin issues around the eyes, he soon learned that patients also wanted thetreatments for other areas of their face. His investment in additional training and certification in those procedures has paid off through anexpanded customer base and increased revenues (Long Vision Center, 2013). Patient referrals are a cost-effective way of getting new patients. However, patient referrals, like other aspects of a marketing plan, must bemanaged. This means evaluating the process of new-patient referrals; that is, who is referring new patients, how is this information beingobtained and kept, and how are new patients treated by staff and made to feel welcome and valued. Many doctors will actually set up an appointment for a patient with another doctor and have the referred doctor’s office confirm theappointment. A record of each of these referrals should be maintained and the referring doctor thanked for the referral. A short note or callcan show appreciation and lead to more referrals. The cross-selling of services within a clinic is a valuable tool for referrals. Cross-selling means referring patients to other doctors or servicesoffered by the clinic. It is important that each doctor be aware of the services and qualifications of other medical staff at the clinic andcontinually reminded of the need to cross-sell, because it works both ways: I refer someone to you, and you refer someone to me. Assistance with Marketing Assignment In addition to attracting new patients, HCOs must effectively manage their existing customers to support long-term profitability. Customerrelationship management (CRM) further analyzes a targeted segment by addressing each customer’s potential for profitability. CRM isbased on the following four premises: Customers are a key asset of the organization. Customers vary in their preferences and behaviors and their value to the organization. Understanding customer needs, preferences, and behavior can improve a customer’s value. Relationships with customers must be managed. While many companies have operated on the premise that the best customers are loyal ones and have focused on segmentation by frequencyof purchase, traditional loyalty programs have neglected to analyze their profitability (Mason & Young, 2003). Instead of focusing on loyaltyalone, CRM goes one step further in finding ways to measure the company’s “cost” to maintain that customer relationship. Many companiesnow offer software for CRM programs, which, if implemented appropriately, can provide a competitive edge for an organization (Kotler,2003). These software programs involve the use of database marketing, which will be discussed in the next section. The All About Smiles dental practice in Durant, Oklahoma has learned to use several approaches to CRM. At All About Smiles, CRM beginswith new patients at the front desk, where they are greeted by office staff and made to feel welcome and appreciated. Everyone else’s job is toensure that customer appreciation continues throughout the whole treatment and payment process. The office layout is unusual for dentalpractices. For example, the Egypt room has murals of pyramids; the Jamaica room has scenes of beaches and palm trees; and a game roomcomplete with PAC-MAN ® entertains the younger patients. New patients are asked for their email addresses and mobile phone numbers so they can be sent reminders of their next appointment andalso have an opportunity to evaluate the services through an online survey, which is sent to patients a few days after their dental visit. Emailreminders are sent the day before the upcoming appointment, and text messages are sent the day of the appointment and two hours beforethe appointment time. Patients can opt out of both of these contact methods and request phone calls instead, if they prefer that type ofreminder. The office manager reports that the texts sent on the day of the appointment have significantly reduced the number of no-shows. ALL ABOUT SMILES DENTISTRY, DURANT, OKLAHOMA At All About Smiles Dentistry, we value our patient relationships, making it our priority to deliver gentle compassionatecare that you deserve from a dentist in Durant. We work hard to make you feel at ease by providing exceptional patientcare in a relaxed, convenient atmosphere. We strive to develop lifelong relationships with our patients by combining thelatest dental technology with a professional and compassionate staff. The result is a beau-tiful, healthy smile that lasts alifetime. We also believe that patients should have sufficient information to make educated deci-sions about their oral health,treatment options and choice of dentist in Durant. You’ll find all of this important information on our website, includingdirections to our Durant office, service descriptions, patient forms, patient education resources and more. Not only are we a leading dentist in Durant, we are a full-service practice providing for all of your dental needs. Ourservices include: General Dentistry Teeth Whitening Crowns Preventive Care Periodontal Exams View a Complete List of our Dental Services Should you ever need additional information about our practice, we are always available to answer your questions. Let uscare for your entire family! We look forward to meeting you. Source: http://www.durantsmiles.com/ Retrieved November 13, 2013 10.4 Database Marketing True database marketing creates customer intelligence that contributes to the development of profitable customer relationships. Databasemarketing is an organizational process that is customer research driven. The information base is dynamic and evolving, preferably with two-way dialog with the customer (Berry & Linoff, 2000). It is a measure of the importance of creating and maintaining a good database of marketinformation that Business Week devoted the cover story of its September 5, 1994 issue to the subject of database marketing, calling it “one ofthe biggest changes in marketing since ‘new and improved’” (Bloomberg Businessweek, 1994, para 5). Since that time, the concept ofdatabase marketing, coupled with new technologies, has grown to the point that a new generation of marketing professionals has beencreated. Basic information on age, gender, lifestyle, occupation, and so forth can easily be captured by HCOs through additions to the regularpatient forms filled out annually or by new patients. This information must then be entered into a software program by staff or an outsidemarketing agency. The data can then be analyzed for commonalities and trends. Assistance with Marketing Assignment Advantages of Database Marketing The new generation of database marketing professionals offer skills in four primary areas: (a) secondary data acquisition, including analysisof the value of lists; (b) database-building, including the understanding of computer hardware and software; (c) target marketing, includingmaximizing database record use; and (d) one-to-one marketing, which involves managing and refining the targeting process to customizecontacts for every customer (Kotler, 2003). The popularity of database marketing is grounded in the belief that marketing planning begins byunderstanding the customer—his or her buying and consumption patterns, location, interest, and other aspects of buying behaviordiscernible from databases—and then formulating plans that attempt to weave the firm’s product or service into the consumer’s pattern ofbehavior. The basic idea behind the use of databases is this: If that is what the consumer is doing, how can we make consumers want to dothat more often and with our product? This approach to satisfying customers adheres to the belief that the best indicator of future behavior ispast behavior. Thus, if American Express ® sees its card frequently used by a cardholder to purchase works of art, then it assumes anadvertisement for artworks in that cardholder’s monthly bill will generate a better response than it would with a cardholder who uses thecard for travel in the Caribbean (and receives advertisements for travel specials to that region). In fact, by monitoring card members’shopping, travel, and eating patterns, plus the economic and weather patterns in which they live, the database may trigger an ad to be sent tosomeone who has traveled in the past to warmer climates during a particularly inclement winter month, in a calculated effort to strike whilethe iron is hot. If an HCO learns that more and more patients are accessing its website before a visit, then ensuring that the website is up-to-date, and thatlinks to departments and services are all working, is an essential part of the use of data mining, which is discussed in the next subsection.Patient forms can simply ask about visiting the website and any additional information patients would like to be able to access on the website.Patients can also be asked whether they want to receive email or text updates of changes to the website. Data Collection and Manipulation The process of data collection and manipulation, which allows such powerful tactical marketing actions to occur, consists of several steps: Consumer action. The process begins with the consumer taking some form of action—they use a coupon, fill out a warranty card, make apurchase, enter a sweepstakes, place a toll-free call to request information, fill out a business reply card, order from a catalog, and soforth. This behavior is combined with other information in public records to identify a broad profile of each consumer in the database. Digesting the data. Sophisticated statistical techniques are used to merge data on the consumer into a coherent, consolidated database.Other software allows the marketer to “drill down” into the data to reveal patterns of behavior for classes of customers. Profiling the ideal customer. Neural networks that “learn” from the data are used to identify a model consumer, that is, the commoncharacteristics held by the high-volume customer. This allows the marketer to find customers or potential customers who share thosecharacteristics in common with the high-volume customer. Using the knowledge. This data can be used in many ways: to determine who gets which sales promotions, to develop attributes for newproducts or services with a targeted list of customers for new-product introduction announcements, to tailor ad messages and targetthem by customer groups, and so forth. Sharing data with channel members. For consumer package-goods marketers, it is possible to merge the manufacturer’s database(described in item 2 of this numbered list) with an individual store’s scanner data to help plan local promotional mailings, fine-tuneshelf displays, and design store layouts (Berry, 1994). Assistance with Marketing Assignment Modern technology has made it possible for marketers to do extensive searches through a large database, essentially mining the data. Datamining is the process of sorting through the data to find hidden patterns, potential trends, and correlations between customers or within asingle customer’s data. Data mining is predominantly accomplished through mathematical and statistical processes and is typically doneusing software developed for this purpose (Mason & Young, 2003). However, great care must be used in healthcare-related data miningbecause of the privacy concerns of patients and the need to safeguard access to patients’ medical information. While modern technology, including neural network software and parallel processor hardware, makes the use of such database marketingpossible, it is old-fashioned objectives that drive the interest in databases. Marketers seek to know their customers so well that they cananticipate their needs and provide them with desired products and services before the customers themselves know what they want. This isrelationship marketing, which is now at its most efficient evolutionary stage. Computer technology allows the marketer to acquire knowledgeof the purchasing habits of millions of individual customers and to weave relationships with them by anticipating their needs and informingthem of need-satisfying products specifically suited to their situation. By successfully weaving these relationships, the marketer makes itinconvenient or costly for the customer to switch to a competitor. Using the Data To some degree, the marketing plans of companies actively engaged in database marketing are driven by the desire to maximize the use oftheir databases and the technology that allows the manipulation of those databases. In other words, the ability to use the database in certainways means that those uses will become the implementation of the marketing plan (that is, the marketing plan conforms to fit the technologyavailable). This is not necessarily an inappropriate or backward approach to marketing, as long as marketers do not lose sight of this fact: Theultimate goal of any technology usage or marketing plan objective is to identify how an organization can gain a competitive advantage insatisfying customer needs and wants. Jackson and Wang (1994) have identified 15 ways to use a marketing database. These uses of a marketing database are described in depth intheir book and are listed as follows to illustrate the spectrum of possibilities for the use of databases in data-based marketing planning: Identify your best customers. Develop new customers. Deliver a message consistent with product usage. Reinforce consumer purchase decisions. Cross-sell and complementary sell products. Apply three-tiered communications. Improve delivery of sales promotion. Refine the marketing process. Increase the effectiveness of distribution channel marketing. Maintain equity. Establish a management resource. Take advantage of stealth communications. Conduct customer, product, and marketing research. Personalize customer service. Provide program synergy and integration. 10.5 Managing Real and Virtual Customer Interactions Patients develop a service script in each healthcare setting. A service script is the expected sequence of events and outcomes for thatparticular setting. When the actual experience departs from the script, the patient may be uncomfortable (Solomon, 2013). For example, adental patient may expect a visit to the dentist to include reading out-of- Assistance with Marketing Assignmentdate magazines in the waiting room, experiencing pain while a cavityis filled, and hearing the high-pitched sound of the drill. This may not be perceived as a pleasant experience, but it is, traditionally, thepatient’s expectation. A problem now faced by many HCOs is that patients gather information from social media outlets before contacting a healthcare provider(Kane, Fichman, Gallaugher, & Glaser, 2009). The information gleaned from the Internet and social media sites determines, at least in part, thepatient’s service script. A new dental patient can search the Internet or interact with friends on a site such as Facebook to find a dentist whohas a big-screen TV in the waiting room, guarantees little or no pain, and uses a quieter laser drill. This information dramatically alters thepatient’s expectations of the dental appointment. Several popular healthcare social media sites are listed in Table 10.2. Table 10.2: Healthcare social media sites Website Purpose PatientsLikeMe.com DailyStrength.org Allows patients to share real-world health experiences tohelp themselves and other patients. angieslist.com healthgrades.com RateMDs.com All of these allow patients to rate healthcare providers. CaringBridge.org Helps people who have significant health problems connectwith friends and family, making the experience easier. Sermo.com Exclusively for MDs and DOs to post observations andquestions about puzzling cases. The following subsections will discuss the use of social media by patients, the management of online community relations, gaps in expectedand delivered service, and service recovery. Social Media in Healthcare Sixty million people in the United States read or contribute to blogs, wikis, and/or social networks about healthcare (Kane et al., 2009). Often,social media is the first place patients search for information concerning specific illnesses or recommended healthcare providers. This use ofsocial media provides opportunities as well as possible pitfalls for HCOs and individual healthcare providers. The opportunities offered by social media include the ability for the HCO to communicate its mission, vision, and products or services as wellas health education. HCOs also can use social media to advertise and post patient testimonials. Finally, social media can be used to managecustomer experiences by helping to create realistic service scripts. The biggest challenge for any organization involved in social media is the ability to control the conversation ( Forbes Insights, 2013). Threatsto a firm’s reputation may be internal or external. Internally, a disgruntled employee may post information damaging to an organization, suchas protected health information about a patient. Even an act of kindness may be damaging to an organization. For example, a nurse may post arequest on Facebook for her friends and family to keep a particular hospitalized patient in their thoughts and prayers. Depending on theamount of information revealed by the post, patient confidentiality may have been breached. Assistance with Marketing Assignment Controlling the external conversation is more difficult. Online communities spontaneously appear, often with different contributors taking thelead. Further, as patients, the participants are free to discuss personal medical information without violating privacy law (Kane et al., 2009).This allows the participants to be very specific about their experiences with an HCO or a healthcare practitioner. Often, the HCO cannotrespond to such posts without violating patient confidentiality. Nonetheless, it is imperative that HCOs have personnel who constantlymonitor and respond to social media conversations—both positive and negative. Elements of a social media policy are outlined in Table10.3. Table 10.3: Social media policy ?Develop a Formal Social Media Policy · Activate network settings so only designated staff can access social media. · Define inappropriate use of social media and ramifications for policy violations. · Encourage employees to report the inappropriate use of social media by others. ?Monitor External and Internal Online Communication · Use Google Alerts, Twitter Keyword Tool, and other tools to monitor online communications. · Deputize employees to augment the team’s efforts for internal communication. Assistance with Marketing Assignment ?Engage Online Communities Create compelling social media. Use online community leaders, such as well-known bloggers and journalists, to ensure that yourmessage is understood. Communicate internally—marketing to employees unifies the organization’s message. ?Act as First Responders React quickly to negative comments, but use a team trained in public relations triage. Acknowledge legitimate criticism and mistakes. Respond forcefully to unfounded rumors. Do not engage every online community—pick and choose those with which you want to beassociated. Managing Customer Service In a recent survey, more than 300 chief marketing officers (CMOs) from a broad array of industries, including healthcare, reported thatcustomer experience was their most important priority. Customer experience was viewed as more important than new products or services,branding, or need identification. Interestingly, pricing, as a concern, came in last. To achieve an outcome of excellent customer experience,CMOs believe that marketing, strategy, finance, information technology, and social medial need to all collaborate. As the CMO of onepharmaceutical company stated, “We don’t have a silo-driven culture at all. We are highly integrated across sales, marketing, R&D, andfinance” ( Forbes Insights, 2013, p. 8). As noted earlier in this section, social media now drives the service script, or customer expectations, of the healthcare experience. Thedifference between the service expected and the customer’s perceived service quality is known as the service gap , and the management ofthis difference is known as gap analysis (Loudon, Stevens, & Wrenn, 2005). Management needs to constantly monitor customer serviceexpectations and the customer’s perceived service quality. Actual gaps in service need to be addressed by the appropriate personnel. Forexample, a stand-alone urgent care center may advertise a no-waiting policy. However, patients actually experience a 15- to 20-minute wait,and they perceive that wait to be much longer. In this case, the person in charge of the promotional message can close the service gap byadvertising “short wait times.” Frontline employees , such as admissions clerks, receptionists, and triage nurses, are also in a position to manage service gaps. Frontlineemployees, as well as other personnel who initially interact with the patient, are the first experience the patient has with the HCO and