Dental Clinics Are Scared ! | Practice Management Coaching | Dr. Allen Nazeri DDS MBA

Hi, this is Dr. Allen. Welcome to my channel. I had a question coming in from a dental group out of Houston, Texas. And the question is, Dr. Allen, the economy has really slowed down because of the pandemic. And actually some of the groups in Texas have recently gone bankrupt. And we have our practice for sale since month of May and nothing has happened. Do you have any suggestion what we can do? Well, doctor, thank you so much for your question. Yes, I am very aware of what's happening across the globe. It's not just the US market and what's basically happening. And I wish many of these practices were more prepared for this, you know, situation by having their ducks in a row and having better cash balance sheets and so forth. But from what I can do, and I highly recommend you guys picking up my book that will be out first of October called Value Engineering, which I will describe how you can 10x your the value of your company. So let's get to that. So sometimes what you can do is instead of thinking about selling a business, maybe you should think about buying a business. I know that sounds very hypercritical, but.

What you can do is to find opportunities in markets like this where you can maybe find another group same size as yours, maybe even bigger, and how you can consolidate, really understand the financial statement between the groups and try to understand how you can consolidate the two practices and have the synergy that you can actually get more patients, more revenue, but lower the cost. So maybe the two offices can be combined into one. Maybe their accounting platform can be integrated, maybe their marketing can be integrated, the staff can be leveraged and so forth. So it's, you certainly have a lot of opportunities here. So that's number one thing. I would say. Number two, I understand this. I mean, I had a call the other day, I think was from Dublin and they said, you know, nobody's doing cosmetic dentistry actually in Vancouver, Canada. And other dentists contacted me. Hey, nobody's doing, you know, profitable, productive type dentistry anymore. Well, I don't think that's the case. I think the people I talk to are average officers, they're average dentists. Okay? You cannot just be ordinary. You have to be extraordinary. And being extraordinary means differentiating your practice inside out do things different that nobody else is doing. What. When you differentiate your practice, okay. No matter what the situation is, okay, outside the external factors, the macroeconomic factors, there are people who are willing to spend that sort of money in your practice because, I mean, we all hear rich is getting richer and so forth. So there are people out there that will be willing to pay for their teeth and so forth. As you see a lot of brand new cars, you know, pretty much everywhere, right? Because the car companies know how to incentivize, how to bring better financing and so forth. So you have to think about how you can differentiate yourself, how you can have a better competitive advantage. If you have never watched my video on competitive advantage VRIO framework.

Then I recommend looking that up on the YouTube or comment below that you want to watch that, I'll send you the link so you guys can watch that program.

So you need to find out how you can differentiate. The differentiation can come in service, it can come in price. It can be the hours of your practice, it could be the skills that you provide. It could be strategic partnerships, okay, I put a strategic partnerships in Singapore with a smile Direct club where this group is getting hundreds of new customers coming through the doors, okay? In a pandemic like this, okay, I struck other deals.

For, you know, strategic partnerships across the globe that has helped companies to grow. So you have to find out how you can differentiate yourself. You cannot just say, hey, I cannot grow the practice anymore. So this is seriously my recommendation to you guys. And also another technique again that I am big for. Especially when the markets are competitive, when everybody's searching for patients, prices coming is bundling. Bundling is about creating value for patients. So you bundle your treatments, you bundle your packages, you create more value. Well, what does bundling do? Well, bundling, number one, it moves the patients away from being price focused to become more value focused. And they stop comparing your prices like you're a, you know, you're selling corn or sugar or, you know, any other commodity. This is what the insurance companies have done.

Damage to dentistry and medicine because they have, you put everything as insurance code. So when a patient comes in, they look at your treatment plan and you have, you know what I have crown and bridge buildup pins, this and that. You know, they start comparing prices with the office down the road. Well, you need to start bundling it. How can you bundle a cosmetic case that's also maybe with one year.

Hygiene treatment? Maybe it includes some sonic care, some hygiene care, you know, different things, okay? So you have to be creative. And those are things that I work with, with clients, you know, and I coach them in terms of finding ways to stay competitive in this marketplace Again, this is Dr. Allen. Thank you so much for the question. If you have any questions or concerns or if you like me to post any new videos, please comment below. And I appreciate it. If you can hit the like button and share. Thank you so much. Take care. Bye bye.