A Challenge for the Ages
I think what we’re saying is the health constitution often don’t have the largesse to do rightful shock marketing to specific individuals or to different groups. As it is with baby boomers and genexers, we know that a lot of the health care spending, particularly in acute care areas are mostly individuals that are responsible for this health care need. We also know the future as we found out with affordable care act, is often with the millennials and the financial impact they’re going to have on the entire health care system in the future. The reality is that budgets and health care institutions rarely allow these separate marketing efforts. So we’re going to hear from some experts who have done some research on how we can understand the nuances about these groups and also look at some of the commonalities in order to craft a marketing winning communications strategy.
We’re very privileged to have SPM this evening, they are Chicago based brand consultancy and integrated marking communications firm. The focus is solely on the health care industry. There client base is vast, they’ve worked with over 200 different hospitals and health system organization in 39 different states. I’d like to give them kudus, where kudus are due. They’re recently named the agency of the year by modern health care magazine. If you want additional details, please look up their website, spmmarketing.com for additional information. But again, thanks to our two individuals from this wonderful organization.
First, let me introduce Marty Horn, Marty is the director of consumer insights and research at SPM. That is to say all of the research done for SPM clients, including quantitative and qualitative studies which has different applications and branding positioning, creating and profiling target markets is in Marty’s work. Marty’s also responsible for the research this evening, the American health and life study which gives us some information about the differences and similarities in the three generational groups we’ve introduced already. Marty’s background is not just in health care, he’s had a lot of experience with other kind of clients and certainly a lot of heavy hitters in the package goods field. Marty’s BA and MA are in Communications from the University of Connecticut.
Special guest also this evening is the person who’s very familiar with the GW MBA program because she’s one of our honoured grads and also she has some experience working with students as the facilitator for the core marketing courses. Cory Aron joined SPM in January 2004. Prior to this she was in the Washington area for a good number of years and her last position was as Director of Marketing and Physician Relations with children’s national health system in DC. She’s the one that create the physician’s relations program. In addition to that, in her spare time she managed all the advertising and directive consumer work. A lot of Cory’s work, I know because I’ve seen this personally was involved bent marketing in health care and so forth she had the responsibilities for. A lot of Cory’s work, I know cause I’ve seen this personally was involved in event marketing, she had the responsibility for. Cory’s background, she has an undergraduate degree from UNC Chapel Hill and of course her MBA for George Washington University. As I mentioned she’s been a facilitator for health care MBA program for the past three years, welcome Cory.
A colleague of mine from the marketing faculty, who’s going to make a comment or so after the presentation is clear, is Dr. Marilyn Liebmanheinz. Mau is an associate professor of global marketing at GW and she teaches the courses listed here. She has been very active in the health care marketing program, working with me for over five years. Currently she offers an elective course in services marketing, broader than just health care marketing but certainly a program that’s been interesting to a number of our individuals in the health care MBA Program. She has a number of different research fields. In the Washington Metro area, indeed nationally, she’s been a leader in multiple professional marketing organizations in our field.
Ayman Al-Tarabishi is somebody who really holds the health care MBA close to his heart. He’s the research professor and director at the international council of small businesses at GW – George Washington University. He teaches courses in leadership and entrepreneurship and also, he’s the only person in the faculty that offers two courses in the program. He also does the course in medical records technology. Note that Ayman is the driver of the program. He’s the lead faculty member and chairman of our faculty steering committee. It’s important to note that Ayman’s received two consecutive outstanding teaching awards. One for the health care MBA program and more recently for our GW online MBA program. Welcome Ayman.
This is me, here’s what I do. I’ve been teaching the program for a good long while. I still teach the core courses in nature of markets and marketing decisions. I’m involved with a couple case writing projects, working with medical technology innovations and also some very interesting cases on high end, new sports equipment technology for injury prevention. And I’ve done some consulting work in the health care field as well. So let’s turn it over to Marty and Cory and see what this challenge for the ages is all about.
Cory: Thank you so much for that awesome introduction, hello everyone, my name is Cory Erin, we’re really excited to be here today and talk about this. So, on the bottom in the corner you’re going to see a quiz question pop up for you guys, that’s a question – if you see the generational categories, where do you fit in and what do you think about these categories. So go ahead and select so we kind of know what age group we’re working with here. I don’t know how long that will take, so I’ll keep talking. If you could get a little bit about yourself and might not have known about yourself and the insights you have about health care, behaviours, and also about others in that generation that you think. As you hear about and think about how these generational insights can then apply to your work. Whether you’re a physician communicator with patients or you’re a health care administrator and you’re working with your marketing department to develop the new award winning strategy for your organization.
Respondent: Cory, can you see the poll results?
Cory: No I cannot.
Respondent: Okay, I can give you a quick break down. Just quickly before you move on. So we have 14% baby boomers, 29% genexers and 32% millennials.
Respondent: And 25 hasn’t answered yet, so in three more minutes, if any more answer then I’ll update you.
Cory: Sounds fantastic, yay genexers, that’s me. So today’s discussion we’re going to talk about how you get to know your consumer a bit better, what they think, how they act, what makes them tick. So we’re going to talk about why each generation is an important business opportunity, how we’re going to strategically capture the three headed monster and in particular how we apply this to one of our clients, the Medical College of Wisconsin.
So marketing – well, health care overall, maybe from a transaction-based fee per service volume payment sort of system to a population health system where we have bundle payments. Where we’re rewarding our providers for keeping patients out of the hospital. And so when you have that sort of change in dynamic in your business strategy, you also have to change your marketing strategy and not focus on getting the patients out the door but it’s really building a relationship with them. In order to build a relationship with anyone, whether it’s someone you’re dating or somebody your providing care too, you have to have a better understanding of them.
Think about Amazon and how they cater to you, as soon as you log-in, they know exactly what you’ve purchased in the past and what you might need in the future. So building better relationships, that requires the deeper insights that we talked about and people don’t make the hospital or brand – or for that matter choices, fully on our impressions. They make their decisions based on how they are as human beings, what has happened in their lives, all those different perceptions that come in to them and the changing nature of the society that we live. So if you think about a car company, Ford, Toyota, Mercedes, Lexus, you have an instant reaction based on your perception and historical interactions with those brands. Either from an event in your life, and the same thing applies to health care.
We have to stop thinking about our consumers just as our patients that comes in the door but you take them as a whole human being and what they bring to the table when they’re looking for their healthcare provider. So that kind of leads us to this SPM American Health and Life that Dr. Dyer introduced in the beginning. Marty’s been a part of crafting it since it started in its early ‘70s. So, SPM in particular has been doing this study since 2010 and we license this data through GDB. Which is pretty much the largest advertising agency network in the world, which is pretty awesome for us to have that connection and relationship to them to be able to do that. So they do a survey, nationwide, we’ll talk about the question they ask but we re-surveyed about 4000 adults and asked them about 250 health care specific questions.
So we can look at the results that GDB pulled from this lifestyle and we have learning’s to that as well. The beginning part of this, we learn about how consumers live their lives and we ask them hundreds of questions about self-image, their outlook on life, intellectual curiosity, financial well being, social connections, religion, thoughts about that and it kind of paints a really real picture of what our average consumer is dealing with on a day to day basis and how they feel about things that are happening around them. Then we can pile that with our – having approach health care. In particular, an academic medical center vs. community hospital. What really defines a high quality hospital? What influences, if any, do awards and US news rankings or top doctors they’ve had, choice and preference for the organization, that sort of thing.
We compile all of this data and you were sent out a quiz earlier, I believe, when we registered for this. If you haven’t filled it out, minus ten points – just kidding – but if you did fill it out, bonus ten points. Tell your professor’s in your classes to award it to you – also just kidding. Please quickly try to fill it out now as we go through the data from the survey, will reveal a lot of these answers. I think you’re going to be surprised with how we end up. At least I was. So as we go back to the agenda, first let’s talk about why each generation is an important business opportunity for us.
So boomers, what percentage of boomers in the crowd – 14%, we like to refer to you as the silver tsunami. You guys have the largest acute care needs. Wellness spending is going to increase from 200 million, to 1 trillion in 2024. That’s staggering, jaw dropping things. From 2011 to 2030, ten thousands baby boomers will age into Medicare each day. Think about capacity of hospitals and acute care need for these baby boomers and how that’s going to affect the delivery of care. And the Medicare patients will comprise more than half of the in-patient. It will be the primary source of volume growth. So knowing all of that and knowing how important health care would be for the boomer generation, so are genexers and millennials unconcerned about health?
The answer to that is no, they are very important and I’m going to show you that right now. So I’m going turn you over to my friend, Marty, who is going to take it from there.
Marty: Yeah, so in taking a look at these three generations, it’s important to find out how they think about health and what’s on their minds. That will have an impact on how we might market to them. So what you see here is one of the health related questions we ask on the American Healthy Life study, these are the percentages of people in each of the three generations, who agree with that statement on the scale we administer. What you see here is that millennials, surprisingly, are almost twice as likely as boomers to think that their health is spinning out of control and genexes fall right in between. That’s the answer to your first quiz question, boomers are 24%, genexers are 36%, and millennials is 45%.
The percentage of people that say, I fear getting old. This is interesting but perhaps counter intuitive, which is one of the reasons I like to do this research is to either confirm our hunches or frankly, blow them to pieces. What we see here is well over half of the millennials fear getting old and boomers, who are clearly oldest of all three generations, it’s really not that. It’s not as bad as the millennials think it is. They’re certainly much more likely to fear getting old than their older counterparts, the boomers.
This is another question that we ask on our survey, is whether or not a person over the past twelve months scheduled a hospital-sponsored health screening in response to a hospital advertisement. Once again, I think millennials are twice as likely as boomers and significantly more likely than genexes to actually go to these screenings and respond to an advertisement run by a hospital. That’s the answer to quiz question number two, 20% for millennials.
Moving on, we ask about interest in various technological devices and perhaps not surprisingly in this case, millennials are much more digitally in tuned with what’s going on in the healthcare market these days. Showing a much greater interest in devices such as [drug bond, quick bit and fuel band] to monitor and track their health and wellness. In general, we have found our survey ,4000 people, is that boomers have more ingrained habits. Which does not make the unpersuadable, they can be a tougher sell. While younger generations are less likely to have committed relationships with providers. So this is a percentage of people in each generation who say they already know which hospital they would choose if something would happen to them or your family. The older a person is, the more likely they are to have a hospital in mind should the need arise.
At the same time, while a large majority of people for all three generations have a primary care physician, boomers are much more likely to have a physician then genexers and certainly the millennials are. That answers the quiz number three, 50% for boomers and the answer to four, 70% for millennials. Another question we ask is the following, to monitor the importance if you will, of the doctor versus the hospital. So if you had no doctor hospital, which is the question posed, it’s a serious medical condition, which of these two are you more likely to do – would you first choose the doctor and then the hospital which he/she is affiliated or which you first choose a hospital and then see which doctor in the hospital you might want to see.
What we find is some fairly significant differences across the three generations. Boomers will be much more likely to choose the doctor. That’s there go to person, much less likely to first chose the hospital. Generation X, also more likely to choose the doctor first, then the hospital but the proportions are beginning to change and by the time you get to the youngest group, the millennials, you see nearly a 50/50 proposition. So the dynamics of selection are quite different depending on the generation in which you fall. And that’s the answer to quiz question five, 46% for millennials who first choose the hospital.
Just a quick recap, this is just – by the way – a small smattering of all the questions we asked in the health care part of this American Healthy Life study. So all three generations clearly represent different opportunities. Boomers tend to be more set in their way, while millennials are more malleable and genexes are kind of on that cuff. They sort of have one food in the millennials camp, one foot in the boomer camp, and that’s – so they’re in that transition phase, which we also need to be cognisant of.
So the question then becomes, we have these three different groups that at times at least, have these very different needs, very different attitudes, very different behaviours. How do we strategically capture this three generational monster? Well, certainly on the basis of the few lines that I share with you, you can certainly treat these generations as being very distinct and as a result you can come up with three distinct strategies and marketing/communication approaches of those strategies to appeal to each generation on its own terms. As Dr. Dyer said at the very beginning, most hospitals – and this is true for most, if not all of our clients, are simply not equipped to do that. They don’t have the resources available to them to have a significant impact against any one of these generations. Yet, they still have to appeal to all three generations in order to achieve the critical mass to meet their business objectives.
So that requires a different model. That model, rather than treating the generations as distinct, actually looks to acknowledge – but looks to where – or what the generations have in common. It’s that commonality we can market too and we do that then we can appeal to all three generations simultaneously, which again helps us to more efficiently allocate our dollars to meet our business objective. That’s what we want to concentrate on for the rest of this presentation, is a focus on where the three generations, different though they may be in age and experience, what certain things are universal. What sort of thing do we have common that we can take advantage from a marketing/communications standpoint.
So very few examples of the hundred – really thousand questions we ask. This is a percentage of people who agree with the statement, I’m actively looking for ways to simplify my life. You can see two out of three people, irrespective of the generation, agree with that statement. There’s a belief in hard work where over three out of five people, whether their boomers, genexers, millennials, agree that becoming a success is a matter of hard work, luck has little or nothing to do with it.
Seven out of ten people believe they have a good imagination. Whether they do or not, is in many respects immaterial. What’s important here is how people view themselves and how they want others to view them and people like to think of themselves as being imaginative and creative and you know, transformative if you will. Two out of five people, or one out of three at the least, like to think they have more discriminating tastes than most people. In a kind of related item which I don’t have here but I will share with you, is that 40% of boomers, genexers and millennials, again, it doesn’t make a difference what generation it is. But 40% of those three generations, all of them think they are in the top 10% of intellect or the top 10% of IQ. This is no shortage of the extent to which we think highly of ourselves. By the way, men are more likely to think that then women are. When it comes to health care, there’s also a commonality of thought where seven out of ten people believe hospitals job is to keep people well and not just to treat their illness. So in this day and age of population health, this is a particularly important and critical mind set of people have.
That’s the answer to quiz question number 6, it’s greater than 50% for all three generations. When it comes to trust, people say if I needed hospitalization I’d stick with the hospital I trust no matter how much cheaper other hospitals might be. You could see these at least two out of three people in each generation agree with that statement. This is particularly interesting because millennials, as you might imagine, tend to be the most price sensitive shoppers whether it’s in any kind of brand selection or certainly in the health care field we see that price is very important to them. It can often be the difference between a hospital they go too and one they decide not to go too. However, trust will trump price to the point where even if a hospital might be more expensive, a millennials will pick that hospital if it’s one they have a lot of faith in.
Now another important commonality is the need for self-direction. We’re going to spend the rest of our discussion on commonality with this particular issue. The primary reason, it turned out that this particular issue turned out to be especially important for the Medical College of Wisconsin, which is the case we’re going to be sharing with you shortly. It just happened this particular need for self-direction was appropriate for freighters market, for the consumers in that market and for who they were competing against. And also, it fit in very nicely with the culture of the company and what they felt was something they could very easily take advantage of in terms of how they go to market.
What the need for self-direction is all about, if you define it, would be – American’s across all generations are dismissing the standards set by authority and institutions and they’re setting their own personal definition of the kind of life they want to life. Now I’ve actually been seeing this trend for quite some time now, however it just seems to be reaching health care, which is why it’s becoming particularly important in the category. And at least in the case of freighter – the continental of Wisconsin, was something they could take advantage of. So let’s take a look at some of the underlying items for self-direction.
Seven out of ten boomers, genexes and millennials say that I am creating my own life. And I’m the kind of person who knows that what I want to accomplish in life and how to achieve it, the large majority across all three generations agree with that statement. Likewise, three out of five people at a minimum in each generation are more likely wanted to be seen as a leader than a follower. Again, whether they really are or not, is in many ways, immaterial. It’s a classic case of perception is reality and this is how I like to view myself and how I like to think of myself and therefore that’s the kind of mindset we need to be cognisant of when developing a creative strategy.
So for today’s self-direct consumer is not just self-directed in terms of packaged goods and services, they’re also self-directed in the health care category. Where they were once very passive and willing to, pretty much accept, hook line and sinker, whatever was told to them by the medical profession. They are now becoming much more active, much more engaged and much more willing to put some skin in the game when it comes to their health care decisions. Whether it’s hospital selection, the choice of physicians or even as a kind of treatment options that they may be facing and need to choose.
So clearly people are more likely to take matters into their own hands in health care. So for example, the hospital I would choose would depend with what’s wrong with me. Two out of three people across generations agree with that statement. Once again indicating that perhaps if they had a relationship with one hospital in a long time, they are no longer necessarily blindly committed to that hospital. They will go to another institution if they feel that institution provides them with treatment and care options that suit them.
Similarly, at least three out of four people across the three generations say if I was diagnosed with a serious health problem, I would automatically get a second opinion. Once again an indication that just because you’re told to follow a particular treatment plan that they’re going to sort of automatically respond – no they’re going to go get a second opinion.
In fact, we had a client for which we developed an advertisement campaign all about getting a second opinion. What was so remarkable about that ad, it wasn’t about getting a second opinion – it was the CEO delivering this message. It wasn’t necessarily about getting a second opinion at his hospital, it was about getting a second opinion period because it was so important to do that. So whether it was at his hospital or some other hospital, he was urging people who in this particular case had a cancer diagnoses. When that ad was shown with many other hospital related ads to about a dozen focus groups the client conducted, that particular radio commercial rose to the top as the ones most people were most favourably impressed by. They said it demonstrated how this particular hospital had the patient’s best interest in mind. That’s the answer to quiz question number seven, 78% of genexers would get a second opinion if they were diagnosed with a serious health problem.
Another manifestation of the self-direction trend is people just doing what’s convenient for them. So, one of the questions we asked on a survey is among a variety of attributes, how important is each one in selecting a primary care physician and one of those attributes is located near your home or work place. As you can see here, 81% across the board picked that particular attribute as being critical in the selection of the primary care physician. Likewise, eight out of ten of those folks also think it’s really important in the selection of primary care physician, you don’t have to schedule appointments far in advance. And speaking of convenience, what we see is that roughly three out of five people feel a quick care clinic at a drugstore, pharmacy or retail outlet is a great place to go to treat common ailments, whether it’s colds, ear aches, sore throats, fevers, whatever. Which of course suggests if I have one of these ailments, I’m going to bypass the ER because it’s faster and in many respects, it’s cheaper. Some people, especially millennials, are a little bit more active to think of the quick care clinic as, in a sense, their primary care option.
One of the things that are fuelling this need for self-direction is that it is hyper information. There’s certainly no shortage of websites, online sources that people can go too, to get information, to read opinions and to help guide their own hospital and physician selections process whether it’s US news ranking, ZapDoc, WebMD, you name it, it’s out there. As the need for self-direction is giving rise to these various website sources, the more website sources are created the more it feeds in the need for self-direction. So it’s kind of a symbiotic relationship.
And we see that the large majority of all three generation say if I had a health problem that would require hospitalization, I’d make a real effort to investigate the hospitals success rate in treating that problem and we see that over half those boomers, genexers, and millennials have gone to a website to get information about a doctor or hospital. So if you think that it’s only millennials who would take advantage of online resources, in fact, boomers and genexers are just as likely to do that at least when it comes to website information about doctors or hospitals.
We also see, surprisingly, similar percentages of the generation using an online service to learn about online treatment options for medical condition. I’ll also add that based on our survey, we find many individuals are not only going to these websites to learn about a treatment options for medical condition, they’re going to these websites to self diagnose and treat themselves instead of going to a physician. Which is particularly scary, to be honest with you. I think that behaviour is kind of humorously captured in this cartoon where the patient said doctor, I already diagnosed myself on the Internet – I’m only here for a second opinion. More truth than jest in that cartoon.
So how do we tackle the three-headed monster? Well, as we said earlier, there’s always that temptation to treat the generations distinctly and craft communication strategies and executions specifically geared towards each, the reality is that in a world of finite, limited resources, that have to go against large proportions of a big population, whether genexers, boomers, or millennials, what we need to do is look for the commonalities and tap the fundamental human motivator. And looking at what it is that makes us the same rather than looking at what makes us different because in this particular world, brand gains a universal appeal by focusing on what generations have in common.
Now having said that, the reality is that they are different and we can’t just ignore that. So there are ways to balance the commonalities with certain degrees of customization, specifically when it comes to how we buy media and the types of ads that we run in the different media that will have appeal to different generations.
So that brings us to the third and final part of our discussion today, we talked a lot about commonalities, about tapping the fundamental human motivator but customizing media paths. So what I’m going to do now is turn it over to Cory, who will talk about how we apply these learning’s to the Medical College of Wisconsin.
Cory: Alright, so Fraser – what is that? It’s actually eastern Wisconsin’s only academic community health network. You think I’ve heard of an academic health center but I haven’t really heard of the term academic community health network. What this really means is it’s a network of clinics and hospitals that are tied to a mega academic medical center. So all of these community hospitals that are affiliated with the Freter system and also their urgent care centers, their community care clinics, speciality care, are all driven by that power of academic medicine. Even more importantly is that Freter is a huge economic driver in their region, they have over 14,000 employees. And just as a side note as you’re working on marketing strategies and your classes, don’t ever forget about the internal consumer or internal employee as one of your potential audiences to reach.
Freter and the Medical College of Wisconsin have to reach three and half million lives, impact three and half million lives with limited resources. You can’t do that by segmenting the population to death. So to kind of give you an idea of the marketing analysis, while they’re the only AMC in eastern Wisconsin, they still need to elevate their status locally and regionally. So there’s another academic medical center in the state, Southeastern Wisconsin has a very competitive market with very aggressive competition, spends a lot of money and they’re not ashamed to do that. Maybe even, you know, make claims that are very similar to our positioning, they are an academic medical center.
There’s also the increasing threat of national brand, Mayo clinic, fantastic brands that are branching out and affiliating with community hospitals. Also things like cancer centers of America, they have a lot of money and also advertise throughout the nation. This is the competition our clients are faced with. So in developing a strategy, what Marty talked about earlier, really focus on tapping that fundamental human motivator and kind of our insight for the campaign. So what we did is we took that American health and life study research, the quantitative research that Marty just kind of went through and combined that with Freter’s dozens of focus groups in their local and regional marketing for some qualitative research.
So when you combine that together, they came up with the need for self-direction. Ironically, when we took six different concepts into these focus groups and there was not any specific concept that was target just about self-direction. This idea came from a concept that was about second opinions, which Marty also talked about earlier. There was one paragraph, regardless of the generation of the person in the focus group, everyone gravitated to this one paragraph in this one concept about second opinion, which we thought was really fascinating. I think it’s because it really focused on you as a consumer, on you as a person and what you bring to the table in health care decision-making. So when you are writing a creative strategic brief, we write the strategy and then we pass it along to our creative accounts team to come up with an award winning ideas and beautiful ad campaigns. We put it into a statement so they understand the feeling we want to get across when we’re developing these ads.
The insight is an expression of our core idea and what we came up with for this particular campaign and what we’re going to show you in a minute, is I want a health care provider who will work with me to explore all of my options and enable me to be in control over my health care decision making. So empathize that the treatment is being centered around you. You’re not just being told this is your treatment plan and this is what’s going to happen, you’re a part of the decision making process. So as Dr. Dyer said earlier because of technology, we weren’t able to put the spot in here. We did a couple TV spots for this client. We use the same look and feel as our previous campaigns, they have a spokesperson who’s very well attuned to the market but we did a change in messaging this go around after we came to this insight.
We did it more or less about beating our chest and talk about how great Freter is and talked about how you’re engaged. Let me read you that is part of the script that is brand advertising. Those of you that aren’t familiar, a brand ad is more kind of global. It’s not focused on a specific service side, it’s really focused on selling the product overall, or the health system overall and what we stand for. So the script for this ad says what if you had a serious illness but you never lost hope. That’s how you’ll feel at Freter and the Medical College of Wisconsin health network. Here’s specialized teams and experts focus entirely on you, top to bottom, inside and out, looking at every treatment option and involving you in every decision. Our comprehensive academic approach puts you at the center of it all. Giving you the hope you need to turn what if, to what is possible.
The what is possible is our campaign tag line, it’s been around for a couple years now and we’re continuing that throughout this next part of the campaign. There’s also turns into our print advertising that we developed for them. You can see there’s this need for self-expression is expressed within the body copy of the ad. So when you’re facing a health issue, you want to know all of your treatment options and be a part of the decision making process. That looks very blurry on the screen, sorry about that.
This is a billboard, involving you every step of the way. There’s also – that can happen even on a billboard when you’re driving 80 miles an hour down the highway. The same thing, also expands into our service line marketing. We did cancer as one of our priority service lines. This link is the same throughout but if you write it down once, all three are on the same link. The script for this says, what if instead of having one cancer doctor, you had a team of experts looking at you from every angle. That’s what Freter and the Medical College of Wisconsin gives you. Researchers, surgeons, chemotherapy, radiation and genetic experts. Every point of view. Getting you the right diagnoses right away. Giving you more options, involving you in every decision. And turning what if, into what is possible.
So again, bringing back the campaign tag line, refocusing on you and your impact in the nutrition making process in your healthcare. Same thing with the print advertisement, we focus on the you part of it. Together you and your team will look through all of your options and decide which plan is right for you, which is so important when you’re looking for a cancer team. It’s really focusing on you and the consumer relationships. When we talked about the shift in dynamics from being transaction based to relationship based, this is what that is. This is a representation of relationship-based marketing.
So as Marty said too, we need to balance the commonalities between generation with customizing the input path. We can’t afford one TV ad targeted to the millennials and then another targeted to boomers but what we can do is customize media path to be sure we can hit those different audiences where they’re watching.
So bonus quick question, it’s not on your sheet of paper but when you think about media, meaning TV, print, Internet, what medium to boomers go after? Genexers or millennials? I don’t know, you’ll find this surprising. I thought millennials would be like not watching TV at all, they’re too hip for that. TV has the greatest reach for all generations, there’s a really, really high numbers for every generation. First you see baby boomers, then genex, then millennials, all about 80%. TV still has the greatest reach. In terms of switching, indeed to digital, especially for genexers and millennials, you’ll see internet, as Marty talked about before, everyone is pretty much using the internet for resource and information. When you get down to smart phones and tablets, the millennials are doing a little bit more. And finally print and radio remain strong among all generations probably as we all commute to work but print is the strongest among boomers, and ROP stands for run of print, which is essentially newspapers.
My mom still cuts out articles from the newspaper every day and sends them to me and she’s in that boomer category. You can see the big bump down from the boomers at 49% to the genexers at 27%. So how that applies to our strategy with Freter Medical College, we took the commonality, so the messages like brand and primary care, system access, kind of reaching across all of the generations that are really important. We also – as a genexer I’m worried about the health care of my parents and I’m helping them make decisions about what they need to do as they get older.
In doing these commonalities, in particular TV, since it has the greatest reach for all generations, it’s really important for us to buy high profile programs that reach a wide spectrum of audiences, such as specials, reality competition like the Voice and sports. If you’re from Wisconsin, you probably live and die by the Green Bay Packers. That’s also a benefit for us because you don’t fast forward through commercial because you’re watching it live.
Digital trends are showing that digital reach is growing for all generations. So it’s really important to reach all three groups. So then how do we customize for the boomers and in particular the genexers. For our messaging, we’re able to focus on high community service ones like heart, cancer and neuro. And then we can – and when it goes to TV, we target the program to skew over. It’s the same messaging but more boomers are watching 60 minutes than NCIS. The same thing for print, the mediums skewed so it reaches older generations, especially boomers, so we really heavy up the creative rotation for our service line. You’ll see a lot of our service line print ads across the spectrum because of its reach in the market.
How do we customize for millennials? So the message brand, primary care system access and maternity are really popular in these groups. And also because of what we said earlier, they might be helping the right decisions for their family members. So we want messaging for the overall brand to build recognition and help them make their overall decision on their healthcare partner. We also buy programs that tend to skew a bit younger like glee, things like Charlie Brown Christmas, which people are probably watching with their family. And use that to run primary care messaging, to show we can be a medical home provider for your entire family.
And then in terms of digital, we make sure we’re making the website responsive to mobile and tablet, to growing trends, and then in particular for Facebook ads, especially for ob-gyn has a successful for targeting millennials. 50% of all clicks were for people between the ages of twenty and thirty four for this particular ad.
Finally, you really have to realize your employees are your consumers too and that fundamental motivator and the commonality between the different generations also apply to your employees. So your employee probably span all of the generations and we have every reason to believe we have the same need for self-direction as the average consumer. Even more importantly, employees inform how consumers view our brand because they actually are the ones delivering our brand experience. So one of the things we worked on is how we can help the employee know that I’m empowered to make what is possible, possible.
So what we did on that link we gave you, you’ll see a brand a video. So we used the same spokesperson that’s on the TV commercials, there was a management meeting with several hundred employees and Laurence came out and talk a little bit about your role in the brand and what you can do to help make the brand. Remember, you are the face of the brand.
So we talked a little bit in that meeting, about why brand was important, what it means, how you live it and in break ups, we talked about what you did today to live the brand but now you have this insight so what would you do tomorrow to represent the brand. Also, the need for self-direction, let the employees know that they actually have control to actually make that change. Consumer doesn’t have all that controls, the employees have control to influence the perception of the brand based on the service that they deliver.
And we send it back to different things, we’re working on this now – we’re talking about elevator raft and different ideas we can place throughout the hospital to empower our employees but also remind our employees that we have empowered consumers. To kind of always keep that in the back of their mind, that they’re the safe in the brand.
So, in conclusion, it’s really important as we move to relationship based delivery care model, relationship based marketing, we really understand what makes our consumer tick, the things that are different about them but also more importantly, the commonalities between them. In that, with resources being very limited in all of our organization, it’s very important we tap into that fundamental human motivator and balance the common with the custom through our media strategy. And finally we have to always rally our employees as the face of our brands. So if you think about these different conclusion, think about how this applies to your organization and how you can take the learning’s and apply them in your environment around us.
That being the conclusion, we’ll go ahead and turn you over to our faculty for some comments.
Dr. Dyer: Let’s kick it off with Professor Liebanheinz, Marilyn?
Respondent: I thought this was a terrific presentation. I thought the information is really on target and it’s really insightful and it’s also, I think it’s breaking down a lot of stereotypes that both researchers, patients, students and everybody has and I think really look at some of the more common leads and some of the more common desires and drives across all three of these majors categories is really important. From my services and marketing background, I’m so happy – Cory was one of our star students back in our MBA program to start with. She’s really focusing on the internal customer who is the employee and I think it’s really important to realize that the employees in the medical – or services and the medical providers, regardless of whatever type of medical facility they come from.
They have the same common needs, and desires and wants that the outside consumers do. I think if they can bring courage to transfer those desires and realize that – know even more about the medical background and treatments is being offered but also have the ability to relate to the patient and the patients families and friends and to really provide a far more beneficial and I think unique experience.
I think these ads and this type of communication are really going to encourage the employees to do that. So I was just really delighted to see that and to see what was coming.
Dr. Dyer Thank you. I don’t think I’ve ever seen an elevator wrap around, what a terrific idea. Ayman, your thoughts?
Ayman: Can you hear me? Great, excellent, good evening everybody. Again I want to echo what Marilyn said, the presentation was excellent, very polished as well as the information, which is very critical but I want to raise this issue and maybe it’s not an issue. You did the initial polling to begin with, and a break down. I was surprised with the breakdown. I thought there would be more generation exer’s than the millennials. But actually the shift has happened and I’m also very impressed with the rate of people sticking with this whole presentation this evening. So the question I had and the comment I have is decision making.
Now it seems like there’s an interplay between baby boomers, who are still – some of them are still holding decision-making abilities. Generation exer’s are assuming because you’re making abilities. Then there are millennials who are moving up the ranks real fast and being delegated a lot of the decision making. How do we balance the right decision making with all these factors coming in? There needs to be some logic to this. Maybe there is no logic to it, and it seems like we’re going to be testing it out for a while to figure out what’s the right balance, vis-a-vis business, vis a vis consumer trends.
I’m hesitant to use the word consumers because they’re also patients, so we need to differentiate between both. At the end, what makes business sense in the long run, not just in the short term? So, I didn’t answer the question, it’s confusing but it’s also exciting at the same time. I’ll stop here.
Robert Dyer: Thank you Ayman, Cory can we now move into the questions from our participants?
Cory: Yeah, absolutely, so we have two on here.
Male: Yeah, for the first question, why are you focusing on boomers, genexers and millennials. The greatest proportion of sickness fall into the silent generation – that is certainly true but part of it is – I hate to say it, it’s a numbers game. The silent generation, they have the highest acuity needs but they’re also exiting the population. The next best group from a business standpoint to go after becomes genexes and by the way, even though we are focusing genexes it’s not as if some of our media price misses the silent generation like television and newspaper. That’s going to draw in the greatest generation group but again, that group is unfortunately is dwindling in size. So in the spirit of making your media dollars work hardest and getting the greatest return on that investment, it’s really going to fall with the other three generations before it falls with the greatest generation.
Cory: You guys can type it in if you have any, there’s two so far. So Lindsey said, how do you choose your target profile? This really depends on the client, there’s a strategic – we chose our service side based on volume projections, where we need to grow. So we work with our clients individually to see where the greatest business needs are and that’s how we target our marking dollar. There’s not, you know, you want to do it from the best business perspective, where you can truly move the needle but it’s really depending on our clients.
One thing I wanted to let you guys know too is that this campaign in the market now, in terms of the results we’re getting, we know that the campaign is very successful and we’ve had an increase in web hits and the call center but we’re still working on compiling all that because it’s really been in the market for something like five months.
Dr. Dyer: Service line selection is based on our client, it’s really based on their business objective and everything we do works back from that. There’s really no magic formula for which service lines are being emphasized. Very often they tend to be things like cardiology, oncology, neurology, those are the common issues and they tend to be fairly profitable service lines but it really depends on the clients and the competitive environment.
Cory: Someone… [inaudible 01:01:04]. So we don’t actually work for Freter and we don’t have any insight in how their changing their clinical delivery practices. We can’t really answer on behalf of our client at this time but I do – from my experience, working in the health care, we’re working hard to change how we think. That’s why implemented a patient medical record, so consumers can have greater access to our physicians but it’s really on a case-by-case basis with each organization.
Dr. Dyer: Very often the onus is on the hospital organization to make sure what their physicians are doing is in line with what the greater brand is trying to accomplish in the marketplace. That said, physicians are very often part of the decision making process when it comes to the development of advertising. So, they do have some participating in the development of the communications and they obviously want to select those campaigns that are not only something that the hospital can deliver on but also what the physician groups can deliver on as well.
Cory: So, Erika from Wisconsin sent me a message saying given the competitive market and the close geographic location of a competitor, how much do you take it into account when developing the best approach? So in any good business, whether it’s Fraser or any of our other clients, part of our research as we’re developing the strategy and looking what else is being done in the market, what sort of messages are out there, where we have space so we can own a space or where we can really differentiate our brand from others.
We don’t want to put on an ad that looks just like our competitor in the region, that doesn’t help our client at all. You will learn that as you go through your marketing classes in the MBA program. I know those who take Dr. Dyer’s class, you will have a group project where you have to do a situational analysis on the client and really look at those competitive forces and using the different marketing models that are out there. In particular, porter, we did fly now, all kind of stuff. So we do that here. It’s not just something you do in class, it’s something you do in a real world environment. Especially if you put on new clients and get a sense of their strategic environment.
The other question is have you seen any differences in marketing approaches since – I think that’s becoming more prevalent now. I think a lot of our clients are moving towards this general wellness and population health messaging. It’s a very difficult situation because they’re still being reimbursed for volume based services but they know it’s happening soon, where they won’t get reimbursed on that rate. So we are seeing changes in that and I think especially as more and more hospitals implement things like my chart and online resources, you’ll see that becomes more prominent.
Marty: We had one client in Pennsylvania, where the primary stress of their marketing campaign really follows a business model which is much more about wellness, health and being proactive in your own well being than it is specifically their ability to treat a serious medical condition. Which is not to say we don’t talk about that but much of how they’ve positioned themselves in the marketplace is really all centers on this whole notion of wellness. That I think is a direct – of the changing reimbursement environment because of the affordable care act.
Cory: Just got a new question, the emergence of quick fix organizations you mentioned, what impact do you think smaller urban care locations and non-urgent care locations have on current consumer trends?
Marty: Well a lot of our clients are kind of worried about it to put it mildly and this is a great case of capitalism at work because what these hospitals have to realize is that people are not going to necessarily flock to the emergency departments anymore and frankly, nor do we want them too. So what we’re seeing in this area and some of our other markets where our clients operate, the hospitals are putting in their own version of quick care clinics. The advantage is that they got the brand, they got the brand name of the hospital but that brand name is now not just competing with other hospitals in the market, it now has to compete against the CBS’s, Wal-Marts and Walgreens of the world. That’s a very different set of problems clients are faced with. I think it also reinforces the importance of creating a strong brand and making sure that brand stands for something in consumers mind that is both better than and different from what they can get from any other competitor whether it’s a hospital or whether it’s a pharmacy.
Cory: When you think about practicality, most of our hospital clients can’t compete on the corner of healthy and happy. Dollars that are being spend to promote these clinics, especially for Walgreens in particular and our market in Chicago, there’s advertisements, our clients can’t afford that sort of spend dollars. So if you can’t beat them in terms of spending and owning the airwaves, at least you can ensure your brand is differentiated enough to really show the difference.
Marty: The question about quick fix organizations targeted for the low income population, in this I can’t speak for other markets but certainly the Chicago market, there’s a Walgreen probably no more than a mile from any neighbourhood, low income or otherwise. So if that Walgreens happens to have a quick care clinic outside of their retail outlet, then whoever lives in that neighbourhood is fair game. They can certainly have the option to go there.
Cory: It’s really interesting too, I think CBIS had a story about three weeks ago about how now that hospitals are not being reimbursed as much for repeat patients, people misusing the emergency that it’s negatively affecting the lower income population that might not have access to other resources. I think it really depends on your market, as Marty said, that’s what they have in Chicago but I don’t know if it’s around anywhere else.
Ayman: Just quickly, Marty and Cory, it occurs to me that the people that you work with are decision makers and if your thesis about your presentation is correct and it applies to internal decision making about how they’re going to promote their brand, they would be to some degree in the driver’s seat and want to participate in the direction of this campaign. How did you involve them from – informing them about the national research constructing for their brand and then rolling out the campaign? How were they involved and who was involved?
Cory: So we very regularly assume leadership of a particular client. We get all of their opinions but also when we’re formulating our campaigns, with all of our clients, we gather that consumer research or that employee research and use that data to help employment strategy. I know in particular, at children’s it was really important. We relaunched the brand – they relaunched the brand about a year ago and an employee opinion about what national paediatric institution should stand for and how it should present itself was really integral in developing the new brand positioning.
So, it just depend on the clients whether it’s through surveys or focus groups or we clearly have to go through a lot of channels to get our creative and our strategies approved. We had to present and get approval from several different pieces of the organization and all the community. So I don’t know if that answers your question, it’s kind of how we tackle it. We never want to lose sight, the employee audience is one of the most important.
Marty: As an extension of that, you mentioned what I think is a very important dimension about his decision making process. I believe you said, I don’t want to misquote you, if at the end of the day when you developed the creative platform and the executions of the advertisement themselves, whatever the media, in some way they have to be consonant with the brand itself. There has to be a strong link between what you want to say and what this organization really is. Could you maybe comment on that?
Ayman: Well my first comment is that you’re right. You’re absolutely right. There’s this balancing act between what the consumer says and what the organization can deliver and what the organization wants to stand for. Obviously the ideas is where those two things intersect. Also, a colleague of mine once said, consumers want to be listened too, but they also need to be led. So, sometimes you have to take the consumer perspective in mind but you also have to realize where you want to go to an organization, may not necessarily be in sync. So, what you have to do then is figure out a way to position the organization in such a way that the consumer finds an attractive proposition.
Cory: We have that discussion all the time. As an example, some people might want to promote easy access in primary care, we guarantee you an appointment in 24 hours. If the organization doesn’t deliver on that, or really, truly represent, then that’s doing a bigger disservice to your brand than it is elevating a brand. You never want a client to not deliver on a promise you’re making to consumers.
Marty: Good point.
Dr. Dyer: I’m looking at the clock on the wall and I do not want to wear out our welcome mat. Thank you so much that you have allowed for this additional time to respond to some questions. That leads to the last slide, I want to take the opportunity to thank so much, Cory and Marty for this terrific presentation and on behalf of the faculty, alums, students, and perspective students, thanks for your terrific job on this webinar. We really appreciate it. Good night all and you will be receiving more information, the creative we mentioned will be coming out to you along with some other things. Good night everybody.