Direct-to-consumer advertising now amounts to about 32% of all ad spending in the health care vertical.
Television and radio advertising in the health care industry is taking a slight backseat these days to social media and individualized direct advertising. While total spending on health care appears to be holding steady the past few years, the percentage devoted to TV, radio and print advertising has declined
More hospitals in the U.S. are merging and forming partnerships in order to achieve economies of scale. As they do so, these institutions must also reach out to a larger patient base – in some cases this means a regional or national market. While most consumers are aware of the strengths of their local hospitals, they’ll soon be hearing messages from facilities offering specialized care on a national basis.
With provisions of the new national healthcare plan ready to take effect, some media companies might wonder whether hospitals will bother to allocate a marketing budget anymore. An analysis of the industry recently written by Brad Seitter at TVB shows hospitals will be advertising specific services and at specific times of the year. The report also shows that, for now, TV remains the top influence for consumers who have a choice when it comes to healthcare services.
Not so very long ago, hospitals were mostly non-profit institutions and advertising in this industry was unthinkable. But many hospitals are now owned by for-profit corporations. Even those institutions that remain non-profit are feeling the revenue squeeze from more competitors, a slow economy, higher expenses and lower reimbursements from insurance companies. One way to remedy the situation is to increase advertising.
The upcoming health care reform legislation is prompting action in hospital marketing departments. Everyone expects health care services to become more competitive in the next few years. As a result, hospitals are applying new strategies to their marketing initiatives.