Growth of Concierge Medicine Means Opportunity

With physicians facing potential cuts in Medicare payments and increased costs related to health information privacy and insurance claims processing it’s no surprise that some are looking in new directions to raise revenue. One business model garnering increased attention is concierge or boutique medicine. These physicians privately contract with patients and usually don’t accept insurance. While the specific delivery of services varies, in general, patients pay a fixed annual fee and in exchange, the physician is available for preventive and routine health care often through a mix of office visits, telephone calls and email.

The benefit to physicians is the chance to practice medicine instead of running an insurance claims business and the benefit to patients is personalized medicine.

What’s the drawback? At least one physician publication notes it’s difficult to develop a good marketing campaign.

Are there physicians in your marketlooking to shift to concierge medicine?

Sources:

DeJesus, Jose. “The Pros and Cons of Concierge Medicine,” PhysicianEntrepreneur​.com, 12.16.2007

Harrington, Kate. “Concierge medicine gaining popularity in Austin,” AustinBusinessJournal, 7.11.2008

Kathy Crosett
Kathy is the Vice President of Research for SalesFuel. She holds a Masters in Business Administration from the University of Vermont and oversees a staff of researchers, writers and content providers for SalesFuel. Previously, she was co-​owner of several small businesses in the health care services sector.