Health Care Marketing Business Plan Project
Develop a marketing business plan for a healthcare organization of your choice (either for-profit or non-profit HCO) where you choose a new product or service to market for a specific target market.
Your Marketing Plan should have the following components:
Table of Contents
• Executive Summary,
Marketing Mix-Promotional Strategy,
Service Delivery Plan
Human Resources Plan,
• Financial Statements: Balance Sheet and Income Statements
1.Prepare the project in APA-style, double-spaced with 1-inch margins and 12-point Times New Roman font. Select “bold” font for headings and sub-headings and use as many as necessary. Submit your marketing business plan in word document. An APA-formatted title page, and reference pages are required. All elements of the project must conform to style requirements of the Publication Manual of the American Psychological Association, Sixth Edition (commonly
called the APA style manual, 6th edition). APA resources can be found on the PBSC library
website: http://palmbeachstate.libguides.com/c.php?g=313291… 3. Be creative by incorporating graphics, pictures, graphs, charts, etc.
Getting Started – Health Care Organization Selection
Select a Not-for-profit or For-profit Health Care Organization for your Health Care Marketing Business Plan. The chosen health care organization will either market a new product or service to a specific target market. You are responsible for constructing the business plan for the new product or service for the HCO.
Once you have chosen the type of HCO you will market for, then comes the decision of whether you want to market a new product or service.
Try to make the product or service as original as possible.
Submit HCO selection and new product/service idea in Blackboard for approval.Phase I: Executive Summary
I. Executive Summary
a summary of the planning issue , which includes a new product, new service opportunity, or process improvement issue.
A future –oriented, two page document demonstrating knowledge of the issue and provides the prospective value
What to include in the Executive Summary:
1.An introduction to your business plan which involves a discussion of the new serviceopportunity, cost saving measure, or process improvement.
a.Make a list of the distinctive features by answering these questions:
i.What is the real value regardless of the type of project?
ii.What will the product/service save the organization in dollars? (estimated guess, doesn’t have to be accurate)
b.Ex: What savings or profits will it generate by improving efficiency? Or what saving or profits will it generate by developing a new service? Or what will it bring by bringing in paying patients or no-show patients?
3.Targeting Market Summary: Answer the following questions:
§Who is your target market?
§Who benefits from this plan?
§Is the market internal, external, or both?
4.Competitive Analysis (if a new service opportunity)
§Who else is doing it?
§Provide a competitive analysis
1.Key Marketing Strategies –
oWhat key marketing strategies will you use?
oHow will you get compliance of patients, staff, the board, or referral services?
• Are there any critical legal or regulatory constraints?. Intermediary Concerns or Issues
• Are there any noteworthy issues with referrals or other entities? Grading Rubric
Executive Summary (2 pages) – 80 points
Targeting Market Summary
Key Marketing Strategies
Intermediary ConcernsAPA Format, Use of References – 15 points Grammar, Spelling, Punctuation – 5 pointsPhase II: Company Profile and Industry Overview
I. Company Profile
This is an overview of your organization including who is involved and the scope of what the company does.
Type of Organization
Name of Organization
Hours of Operation
Scope of Service Line
Location of clinics/services
Description of Business
II. Industry Overview
this is an analysis of the industry and economy in which the organization operates
it demonstrated a current understanding of industry characteristics and trends
a trend is a definite, predictable direction of events
Conduct this type of research using secondary data sourcesSee the below areas that should be covered in the industry overview and the chapters where you can review the subjects:
Overall Business or Client Trends and Opportunities
1.Social changes – Chapter 3
2.Economic reimbursement changes – Chapter 3
3.Demographic changes – Chapter 3
4.Health care delivery changes – Chapter 3
5.Regulatory/political changes – Chapter 3
6.Key success factors in your segment of the industry – Chapter 3
7.Barriers to entry in your segment of the industry – Chapter 2
8.Barriers to exist in your segment of the industry – Chapter 2
Organizational Profile – 20 points
Industry Overview – 60 points
APA Format, Use of References – 15 points Grammar, Spelling, Punctuation – 5 points
Phase III: Service Overview, Competitive Analysis, Marketing Mix
I. Service Overview
This service describes the new service-the benefits and features that you are providing and to whom.
It is important to recognize that the benefits may way from customer to customer. Patients may see one value or benefit such as timely clinical intervention, whereas the referral sources may see a different benefit, such as having the patient under supervised care within 3 hours of a call, or medical group may see a different benefit having a competitive value with which to better negotiate contracts.
What is the proposed new service/product unique features and benefits?
What values does it provide to the key target market?
What are the benefits of this new service/product?
How is this new service/product against existing services and products offered by others?
What are you doing differently?
oUnderstand your customers (be they patients, family members, judges, third-party payers, employers, o the government)
oHow is the market segmented? Who in the group is involved in the buying decision?
The competitive analysis is a thorough analysis of both direct and indirect competitors. It identifies strengths and weaknesses of competitors. Indirect competitors may not provide the same service, but they may be competing for the same dollars.
Describe your competition’s service
What is/are their point(s) of differentiation?
What real value do they deliver to the customer that others do not?
What is their marketing/advertising approach?
What are the opportunities or threats to your organization?
1.Marketing Mix-Promotional Strategy
oWhat are the key messages you want to convey in your marketing materials about your organization?
oHow are you positioning your service/organization?
oWhat mix of vehicles will you use?
oWhat are the objectives?
Where will the service/product be delivered (location, hours, technology utilized)?
What are the costs associated with this manner of distribution?
What is the marketing importance/advantage of the location?
Does the location/distribution approach provide any competitive advantages? Marketing Mix-Pricing
oLabor costs of FTEs (full time employees)
oMargin costs?Other Pricing considerations:
§Customer perception of value
§Will there be discounting?
§What type of pricing strategies will you use?
Refer to Chapter 9 – Price
Service Overview – 80 points
Marketing Mix-Promotional Strategy
Marketing Mix-PricingAPA Format, Use of References – 15 points
Grammar, Spelling, Punctuation – 5 points
Phase IV: Service Delivery Plan and Human Resources Plan
1. Service Delivery Plan
Outlines the method by which your service will be delivered to clients or customers
It is a statement of what resources are needed in terms of both personnel and other assets to bedelivered.
Outlines the critical points in the clinical service delivery process§ What to Include
§ Service delivery methodology: what methods will your organization use to deliverservices-this can be an outline
§ Flow Chart of delivery service, delivery sequence, and timing requirements§ Human Resources
1.Organizational Structure/staffing Plan§ Clinical (full time vs. part time)§ Non-clinical (full time vs. part time) 2. Compensation§ Rate
§ Job descriptions-brief
§ Roles and responsibilities-brief descriptionGrading RubricService delivery methodology – 25 points Flow chart of delivery service- 25 points Human Resources – 30 points
APA Format, Use of References – 15 points Grammar, Spelling, Punctuation – 5 pointsPhase V: Financial Statements, Balance Sheet and Income StatementThe balance sheet shows the financial picture of a business at a given point in time. It is what the organization owns versus what they owe.The income statement shows the profit (or revenue-positive position) versus the loss of an organization over time.
For this phase, utilize Merrill Lynch’s handout on reading financial statements.
1.Using one year of the balance sheet, determine the organization’s liquidity through the current ratioand debt-to-equity ratio. Use the table below and answer the questions.
a.What is the current ratio? Do you have enough current assets to meet your current liabilities? Explain. (Refer to page 23 of the Merrill Lynch handout)
b.What is their debt-to-equity ratio? Total liabilities/total shareholder equity =
2.Using one year of the income statement, determine the organization’s profitability or fund balance perspective through operating margin and net profit ratio. Use the table below and analyze the both the operating margin and net profit ratio. Refer to page 31. Of the Merrill Lynch handout/link.§ Operating Margin = Operating Income/net sales § Net Profit Margin= Net Income/net sales
Balance Sheet – 40 points
Income Statement – 40 points
APA Format, Use of References – 15 points Grammar, Spelling, Punctuation – 5 points
Final Health Care Marketing Business Plan
Complete and submit the final business plan with revisions (revised Phases I-V). See grading rubric.
|Left Side||Right Side|
|Current Assets ________||Current Liabilities _________|
|Fixed Assets _________||Long-Term Liabilities______|
|Other Assets __________||Shareholder Equity ________|