The 4 Things I Do To Increase Profits In My Pharmacies – Monthly Mastermind March 2023
Dr. Lisa Faast discussed four strategies to boost pharmacy profits: optimizing pricing tables using Robbie Stokes’ program, which increased average margin per prescription from $13.06 to $17.42 in three months; direct billing for workers’ comp through Streamcare, which can yield full AWP payments; implementing a Thank You card program, offering a $200 bonus per employee per month for sending personalized cards to patients; and encouraging employees to sell one item per transaction to boost OTC sales. These strategies are low-cost, easy to implement, and significantly impact profitability.
Action Items
- Reach out to Lloyd at Streamcare to confirm whether the company can handle direct billing for workers’ compensation claims in New York and obtain an update on any recent regulatory or payer changes.
Outline
Optimizing Pricing Tables
- Lisa Faast introduces the monthly mastermind call and the four things she does to boost profits in her pharmacy.
- She explains the importance of optimizing pricing tables and mentions a conversation with Robbie Stokes that changed her approach.
- Lisa shares a success story from a pharmacy in Texas where implementing Robbie’s program increased the average margin per prescription from $13.06 to $17.42 in three months.
- She emphasizes the benefits of using algorithms and smart billing practices over the traditional method of billing the highest amount to PBMs.
Direct Billing for Workers Comp
- Lisa discusses the benefits of direct billing for workers comp, which has been a neglected area for independent pharmacies due to profitability and complexity.
- She shares her personal experience of learning the discrepancies between what pharmacies bill and what insurers pay directly.
- Lisa introduces Streamcare, a company that handles direct billing for workers comp, and explains how it helps pharmacies get paid the full allowed rate by insurers.
- She highlights the profitability of direct billing, noting that even a few workers comp patients can significantly impact the bottom line.
Thank You Card Program
- Lisa introduces the Thank You card program, which involves employees sending handwritten thank you cards to patients.
- She explains the logistics of the program, including the number of cards per week and the bonus employees receive for completing their cards.
- Lisa emphasizes the positive impact of the program on patient relationships and the importance of consistency in sending cards.
- She addresses potential pushback from employees and reassures that the program is worth the effort.
1% Improvement Every Day
- Lisa talks about the concept of making small improvements every day, which can lead to significant long-term benefits.
- She introduces the practice of selling one thing with every transaction, which helps increase OTC sales.
- Lisa shares her experience of training employees to ask every customer if they need something additional.
- She provides examples of how employees can suggest related products and non-related items to customers.
Cost and Implementation of Profit-Boosting Strategies
- Lisa briefly mentions the costs associated with optimizing pricing tables and direct billing for workers comp.
- She highlights the low cost of the Thank You card program and the custom cards available for pharmacies.
- Lisa encourages participants to implement these strategies in their pharmacies and offers support through scheduled calls with Lisa Baker or Mike.
- She concludes the session by inviting questions and offering additional resources and custom marketing materials available through the membership.