Building a Consumer-Driven Pricing Strategy

SHSMD Education 2020 Sponsored Webinar
Thursday, November 12, 2020
12-1pm CT / 1-2pm ET

The COVID-19 pandemic and the ensuing economic fallout has accelerated consumer expectations for receiving convenience, service, and value for their health care. At the same time, federal regulators are demanding that hospitals be more transparent about their prices, and new requirements will take effect in 2021.

Shoppable outpatient services are particularly at risk, given rising competition from retail-oriented providers, payer steerage practices and increased employer engagement in lowering health care costs. The vulnerability for most legacy organizations is significant—shoppable outpatient services can comprise up to 25 percent of an organization’s contribution margin. 

To successfully grow these important “front door” services, hospital and health system leaders must balance the related, but separate issues of transparency (i.e. the consumer’s experience of cost) and affordability (i.e. the value provided to consumers). Emerging health care category management best practices can help organizations re-examine the strategic role, delivery model, pricing strategy, and cost structure for ambulatory services.

This requires walking in consumers’ shoes, understanding common pain points, and developing a comprehensive pricing strategy predicated on addressing consumer needs—with the end goal of delivering the right care at the right place and the right price.

Sponsored by Kaufman Hall.*

* SHSMD Sponsored Webcasts are educational offerings brought to you directly by and with support from paid sponsors. The content is educational in nature relevant to the SHSMD membership, and has been selected by the sponsor. The opinions expressed are those of the presenter and do not necessarily state or reflect the views of SHSMD or the AHA.