Home >Healthcare >Branding in Healthcare - 14 Reasons Why Strong Brands Win

Branding in Healthcare - 14 Reasons Why Strong Brands Win

Date post:15-Jul-2015
Category:
View:362 times
Download:5 times
Share this document with a friend
Transcript:
  • BRANDING IN HEALTHCARE14 Reasons Why Strong Brands Win

  • STRONG BRANDS PROVIDEIMMUNITY IN TODAYS CHALLENGING MARKETPLACE

    Todays healthcare market provides ample challenges for businesses: increasing

    competition and commoditization, significant merger and acquisition (M&A)

    activity, and uncertainty with regulatory and government oversight. Healthcare

    companies have more than doctors to win over they have to reach patients,

    providers, and payers too. The pressure is not on companies to perform its on

    the brands. People dont buy into a company and its set of products or services.

    They buy into the brand, and what it means to them. They buy into the security

    within the brand promise and they buy into the way that brand relates to their

    individual human journey.

  • WHAT IS BRANDING?

    Branding should not be confused with marketing, advertising, or public relations.

    Those are ways of communicating your brand. In order to communicate your

    brand, you must first build it.

    A brand is a recognizable identity that has a personality, values, and traits. It is

    an active business asset that provides differentiation, shareholder value, and

    longevity.

    GOOD BRANDS ARE:

    Memorable

    Captivating

    Relatable

    Likeable

  • 1. THREAT OF COMMODITIZATION

    Disruptive technology, substitute products or services, and global competition

    entering U.S. markets are all forces that threaten to make your product or

    service a commodity. Branding off ers an opportunity to provide consumers

    with a unique experience that cant be replicated. Brands are one of the only

    business assets that provide long-term competitive diff erentiation.

  • 2. MERGERS, ACQUISITIONS & PARTNERSHIPS

    More and more healthcare businesses are either joining forces with other

    brands, or acquiring other brands to strengthen their portfolio of products

    and broaden their capabilities. In order to attract M&As, you need a strong

    brand. Your brand identity should clearly communicate the strength of your

    company so that other companies perceive your company at a high value.

  • 3. INCREASING FINANCIAL PRESSURE

    National tax policies, the medical device tax, pressure to cut costs, and

    additional factors are putting increased pressures on healthcare companies

    financials. According to Interbrand, brands create economic value by

    generating higher returns and growth, and by mitigating risk. In addition,

    brands provide the intangible asset of goodwill that can increase company

    value and market capitalization.

  • 4. STRONG BRANDS PROVIDE SECURITY IN UNCERTAIN TIMES

    Strong brands attract loyalty, and loyalty is protection for when your

    company has a PR crisis or the economy gets shaky. Brand loyalists will

    defend your brand even when youre not there. Strong brands can earn

    benefit-of-the-doubt, whereas weaker brands with slip-ups are more likely

    to be called out.

  • 5. KNOWN BRANDS REDUCE PERCEIVED RISK

    People choose brand names because known brands are trustworthy. Known

    brands with a proven track record provide reassurance and comfort. Branding

    is so powerful that consumers are willing to pay more for brand names than

    lesser known brands even when the products are virtually identical. This

    is evidenced by shopping data collected by Nielsen on OTC Pain Relievers.

    That research shows 24% of aspirin sales by volume, and 59% by expenditure,

    is devoted to Bayer. Even when there are generic alternatives at significantly

    lower costs, people choose the branded aspirin. What do you think attributes

    to consumer preference? Brand. The brand not only allows the company to be

    the preferred option, but it also allows the company to command higher prices.

  • 6. RISE ABOVE THE NOISE

    According to the book, The 24-Hour Customer, people see more than 34

    billion bits of information per day an equivalent of two books a day. Todays

    consumers (whether B2B or B2C) are inundated with messages. Expertly

    crafted messaging is no longer enough to break through the clutter and

    reach your target market. Companies can no longer purchase peoples

    attention they must earn it. Strong brands that resonate with people win

    the privilege to speak to consumers.

  • 7. SIMPLIFY THE DECISION-MAKING PROCESS

    During the decision-making process, consumers search for information

    to analyze the differences they perceive between competing brands. Brand

    awareness and brand knowledge play an important role here. Branding

    positions a company as relevant to a consumer in order to gain their attention.

  • 8. HEALTHCARE DECISIONS REQUIRE TRUST

    While branding is important in all industries, branding plays an especially

    important role in healthcare where purchase decisions have greater

    implications than, say, the restaurant industry. Healthcare decisions impact

    our lives on a greater scale - varying from quality of life to life-or-death.

    Before a consumer decides to let a doctor implant a medical device in their

    body, they need to trust that it will be safe. A doctor isnt going to use a

    medical device or drug theyre not confident in either. Branding creates trust

    by delivering on brand promise and through relationship building.

  • 9. EMPLOYEE MORALE

    Attracting and keeping the top talent is important. High turnover rates are not

    only bad for a companys finances, but they also erode company morale.

    If your employees dont believe in your brand, theyre more likely to spread

    negative word-of-mouth. Employee morale affects performance and the

    overall bottom line. A strong brand with a compelling mission provides

    meaning and purpose for employees, contributing to overall employee

    satisfaction. When employees can feel a part of the mission, theyre more

    dedicated to the work.

  • 10. TARGETING PHYSICIANS, NPS & PAS

    The MM&M/Ogilvy CommonHealth Healthcare Marketers Trend Report for

    2013 found that overall, marketing directors allocated around 75% of their

    total budget to healthcare professionals and 25% to the consumer space.

    But healthcare companies must adapt to a changing environment, and

    deploying an army of reps doesnt work as well anymore. Instead of

    communicating on an individual, per physician level, brands need to be able

    to speak for themselves. Today, physicians can be reached through a variety

    of touch points, including multiple digital channels. The challenge for

    healthcare companies is to develop an overarching brand strategy to guide

    all communications. This maximizes brand equity, aids brand awareness and

    recognition, and establishes the brand as the superior choice. In addition,

    companies need to create positive brand experiences for the nurse

    practitioners (NPs) and physician assistants (PAs) that interact closely with

    patients and play a crucial role in patient education, product adoption, and

    medication adherence.

  • PAYER

    PHYSICIAN

    PATIENTMEDICAL DEVICEMANUFACTURER

    REP

    INSTITUTIONS

    KOLS

    PHARMACY

    FAMILYCAREGIVER

    FRIENDS

  • 11. PATIENT SATISFACTION

    Is your brand voice human or corporate? Your brand has to be consistent

    across platforms and audiences, but it should be nimble enough to speak to

    the patient. This means producing the right content and delivering it at the

    right time, to the right people, with the right tone and style. According to the

    Pew Internet and American Life Project, 72% of internet users say they looked

    online for health information within the past year. As a healthcare company,

    you need to provide patients with the information theyre looking for about

    your products and services. Patients are empowered decision-makers and

    are asking their doctors for specific brand name products.

    72% of internet users say they looked online for health information within the past year. Pew Internet and American Life Project

  • 12. PAYER PRESSURE

    Healthcare companies are adjusting to the shift in bargaining power to the

    payer. Payers now play a key role in the commercialization process, making

    them an important stakeholder to please. The onus is on healthcare

    companies to demonstrate value. Branding influences perception, and the

    right value proposition can prove the true value of a product or service to

    patients in the mind of the payer. Because of healthcare reform, convincing

    the payer to provide coverage and reimbursement is a bigger priority than

    before, and healthcare companies will have to step up their game.

  • 13. THE PROVIDERS DECISION SET

    With healthcare reform, the process of purchasing medical devices within

    hospitals has become increasingly sophisticated with a longer, more complex

    decision-making process. In more complex decision-making processes,

    companies must fi rst earn a spot within the decision set. A strong brand

    strategy that communicates value and is easy to recall is key to becoming

    part of this coveted selection set.

    dir: 760.743.7744 x129cel: 760.50

Popular Tags:

Click here to load reader

Reader Image
Embed Size (px)
Recommended