Why You Need to Keep Track of Patient Attrition

As a medical practice owner, one of the most important metrics to track for your business success is patient attrition — the rate at which you lose clients over time.

Many service business owners forget that retaining existing clients and making sure your regular ‘’clientele’’ remains satisfied and loyal to your business is even more valuable for business growth than it is to focus one’s strengths on attracting new customers. 

Why? 

A satisfied client is likely to share their positive experience with others, setting in motion one of the most powerful marketing tools: word-of-mouth (WoM).

Read on with Doctor Medica and explore ways to keep track of patient attrition, ensuring it is as minimized as possible.  

Key Takeaways

• Patient attrition refers to the term for a med spa business loss of clients. 
• Keeping track of patient attrition reasons can help maintain and grow a med spa business, so dive into the quality of your provided services and patient communication to improve any possible faults in your business. 
• Some of the tactics used to minimize patient attrition rates include: creating exceptional customer experiences, regular client communication and follow-ups, addressing patient satisfaction, loyalty programs and incentives. 

The Importance of Patient Attrition

Patient attrition could mean a patient no longer schedules appointments, discontinues a treatment plan, or simply chooses another med spa for their skincare or wellness needs.

The significance of tracking attrition lies in understanding the broader health of your business.

High attrition rates can indicate dissatisfaction with your services or experience, while low attrition rates often suggest strong customer loyalty, effective treatments, and good patient care.

To know where your med spa stands in terms of patient attrition, you can use a patient retention formula. 

Patient Retention Formula

The patient retention formula is a metric used to gauge how well your med spa retains clients over time. 

It’s typically calculated using the formula:

Retention Rate = (Patients at the end of the period – New patients during the period) ÷ Patients at the start of the period × 100

This formula helps you determine the percentage of patients who return to your med spa after their initial visit. 

Once you have your patient retention percentage, you can move on to identify the points of your business that need improvement. 

These can include:

1. Low service quality

To put things simply – if your services are conducted poorly, with outdated equipment, low-quality products, and via an unprofessional service, it is quite unlikely that your patient will want to keep coming back to your med spa or that they would think of recommending your business to their group of friends. 

Always focus on quality vs. quantity, even if it means cutting your services short to offer just a few well-thought-out experiences for your clients. Make sure your employers are happy to work for you and that their professional life is well taken care of – as they mirror the quality of your business services. 

2. Dissatisfactory patient communication

Patients are looking into a personalized experience with a brand – be it a product or a service. Ensure you are listening to your clients, as a whole, and as individuals, and that you are there for them throughout every touchpoint – from the moment they discover you till they leave your venue and beyond. 

Offer consultation services, engage with them via surveys, and remind them of their appointments if needed – knowing that they are cared for by your business truly goes a long way.

In short, dive into all aspects of your business and see where you can implement wiser business solutions. A wide range of satisfied clients is worth more than your marketing budget could ever be, and a lack of good patient monitoring can lead to reputation damage, one that is far harder to recover from than any other mistakes your business may make along the way. 

How to Minimize Patient Attrition

Patient attrition can be minimized by implementing strategies that give you valuable insight into how your clients perceive your medspa. By focusing on improving their overall experience and engagement with your business, you can foster loyalty and keep your patients coming back. 

Here are some key tactics to lower attrition and retain clients long-term:

1. Creating an Exceptional Customer Experience

The foundation of patient retention is delivering an outstanding experience every time a client visits your med spa. From a welcoming atmosphere to personalized care, ensuring that patients feel valued and cared for will increase their likelihood of returning. Train your staff to be attentive, friendly, and knowledgeable, so each patient feels like they’re receiving top-tier service tailored to their unique needs.

2. Regular Client Communication and Follow-Ups

Keeping in touch with patients through regular communication is essential. Send appointment reminders, follow-up messages after treatments, and personalized offers or updates. These efforts keep your med spa top-of-mind and show patients that you care about their progress and well-being, not just their business.

3. Addressing Patient (Dis)satisfaction

If a patient is dissatisfied, it’s crucial to address their concerns promptly. Actively seek feedback through surveys or one-on-one conversations, and make necessary adjustments to improve their experience. Whether it’s addressing treatment results, wait times, or customer service issues, resolving complaints quickly can turn a negative experience into an opportunity for loyalty.

4. Loyalty Programs and Incentives

Rewarding patients for their loyalty helps incentivize them to continue choosing your med spa over time. Implementing loyalty programs, offering discounts after a certain number of visits, or providing referral bonuses for bringing in new clients creates a sense of value and exclusivity that encourages repeat business.

By applying these tactics, you’ll gain a better understanding of patient needs, improve satisfaction, and significantly lower your patient attrition rate.

Conclusion

When patients stop coming in, your revenue directly suffers. Med spas often operate on recurring revenue models, so losing even a small percentage of patients can have a significant financial impact, especially if the attrition rate is high.

Minimizing patient attrition is key to long-term growth. By improving your services and focusing on client satisfaction, you can reduce churn and turn word-of-mouth into your most effective marketing tool.

FAQ

1. What is patient attrition?

Patient attrition refers to a rate at which patients stop visiting a med spa business.

2. What causes attrition?

Patient attrition can be caused by numerous factors, most of which include low quality services and dissatisfactory patient communication. 

3. Why is it important to track patient attrition rate?

By tracking patient attrition rate, you can focus on improving your business experience and ensure a steady growth in revenue. 

4. How can you control attrition rate?

You can control attrition rate by improving patient satisfaction, offering personalized care, maintaining regular communication, and implementing loyalty programs to encourage repeat visits.

References

• StackPath. www.dentaleconomics.com. https://www.dentaleconomics.com/practice/article/16386274/patient-attrition-3-steps-to-finding-a-hidden-gold-mine
• patient R. edgeMED Healthcare | Revenue Cycle Management and Cloud-Based Healthcare Software. edgeMED Healthcare | Revenue Cycle Management and Cloud-Based Healthcare Software. Published March 8, 2024. Accessed November 16, 2024. https://www.edgemed.com/blog/patient-retention-strategies