How to Create In-House Dental Membership Plan That Actually Scales
What’s up, everybody? Jordon Comstock here. If you are reading this, you’re probably tired of feeling like a middleman in your own practice. You’re tired of the “Evil Empire” (aka PPOs) dictating what you can charge and when you get paid.
Let’s be real for a second: running a dental practice today is like holding a stick of dynamite while the fuse is burning. Overhead is skyrocketing. Wage inflation is brutal. And yet, some insurance companies haven’t raised their reimbursement rates in 22 years. It’s unsustainable.
Are you stressed out looking at your monthly write-offs? Are you herding cattle through your operatory just to break even? Does it feel like your practice is regulated by a corporation in a skyscraper instead of by you? If you’re nodding your head, it’s time to create in-house dental membership plan strategies that put the power back in your hands.
The PPO Trap: Why Efficiency Isn’t Enough
Most dentists think the answer to low reimbursements is to work harder. They run from Op 1 to Op 2 to Op 3, sweating through their scrubs, trying to make up for a 40% or 60% write-off in volume. But that’s a non-functional model that eventually collapses.
The truth is, you don’t have a volume problem; you have a loyalty and “ownership” problem. When you rely solely on insurance, you don’t own your patients—the insurance company does. They can send a “threatening” letter tomorrow telling your patients you’re out of network, and suddenly your hygiene schedule falls apart. This is one of the primary patient retention problems dentists face.
But what if you could move those patients laterally? What if, instead of being a provider for Delta, you became the provider for your own “membership tribe”? That is where the magic of MRR (Monthly Recurring Revenue) and ARR (Annual Recurring Revenue) comes into play.
The Epiphany: From Middleman to Membership King
I remember talking to my good friend Dr. Dan Nelson on the Automatic Patient Podcast. He was stuck in a “podunk” town in Idaho where costs were high and reimbursements were low. He felt like he was dragging a ball and chain every single day.
Then he decided to jump. He didn’t just pull the plug overnight (we call that the “kamikaze” method—don’t do that). He was methodical. He started to create in-house dental membership plan tiers that gave his patients a reason to stay loyal to him, not the insurance card in their wallet.
The epiphany was simple: Membership patients spend 2X to 4X more than insurance patients. Why? Because they aren’t restricted by “annual maximums.” They have a relationship with the office. When they pay a monthly subscription, they are psychologically committed to getting their treatment done at your practice, significantly improving your case acceptance rate.
Why You Need Dental Membership Software with Marketing Tools
You can’t manage a recurring revenue business on a Google Sheet. Trust me, I’ve seen practices try. It’s a mess of expired credit cards and missed payments. To scale, you need a dental appointment scheduling software with an integrated CRM that automates the “boring” stuff like billing, renewals, and tracking.
When you use dental practice subscription software like BoomCloud™, you aren’t just getting a payment processor. You are getting a growth engine. You need software to scale a dental membership plan that identifies who in your database doesn’t have insurance and invites them to join your plan automatically.
- 🚀 Automated Billing: No more chasing checks or manual entry.
- 📈 Analytics: Know your MRR (Monthly Recurring Revenue) to the penny.
- 💳 Dunning Management: Automatically fix failed credit card payments.
- 📱 Patient Portal: Let patients manage their own subscriptions so your team doesn’t have to.
Case Study: Scaling to $25k Monthly Recurring Revenue
Let’s look at a “Real World” example. Dr. Smith (practice name changed for privacy) was 85% dependent on PPOs. He felt “stifled.” He started setting up a dental membership plan using BoomCloud™ and focused on his uninsured “orphans” first. Here is what happened over 18 months:
| Metric | Before Membership | 18 Months After |
|---|---|---|
| Active Members | 0 | 650 |
| Monthly Recurring Revenue (MRR) | $0 | $22,750 |
| Annual Recurring Revenue (ARR) | $0 | $273,000 |
| Hygiene Re-appointment Rate | 62% | 94% |
| Treatment Acceptance | 35% | 78% |
Do you see that ARR? That is $273,000 in guaranteed revenue before he even opens his front door on January 1st. That is the power of the in-house dental subscription model. It creates a “Parachute” for your practice when you decide to drop those low-paying PPOs, helping to fuel your DSO growth.
How to Create a Dental Membership Program: A Tactical Guide
If you want to create in-house dental membership plan structures that work, you have to keep it simple. Don’t overthink the “flavors.” Whether it’s “Adult,” “Child,” or “Perio,” the goal is to make it an “Oh Damn—I got to have that!” offer.
Start by looking at your data. Use tools like Dental Intel to find your inactive patients. These are people who haven’t been in for 18 months because they “lost their insurance.” They are thirsty for a solution. Offer it to them.
Next, get your team “rowing in the same direction.” We talk about this a lot on the podcast—you have to incentivize your team. Bonus them on new member sign-ups. When the team wins, the practice wins, and the patient gets better care. It’s the ultimate triple-win.
How Membership Maximizes Revenue Per Patient
The best way to grow a practice isn’t just getting “new patients” (which are expensive to acquire). The best way is to optimize the revenue per patient you already have. An insurance patient is a “one-and-done” transaction. A membership patient is a long-term asset.
Because membership patients pay monthly, they have the “Costco Effect.” They feel like they already paid for their cleanings, so they show up. Once they are in the chair, they are more likely to accept that crown or the Invisalign case because they get their 15% “member discount.” This is also a great strategy to consider when looking at guaranteed new patient marketing, as it boosts existing patient value.
By shifting to dental plan software for small practices, you aren’t just surviving; you are building a predictable business. You are moving away from “Controlled Chaos” and moving toward a “Freedom Model.”
Creative Corner: The “Local Tribe” Strategy 💡
Here is a move most dentists miss: Use your dental membership software with marketing tools to target local small businesses. Most small businesses (under 50 employees) can’t afford traditional group insurance. It’s too expensive and the “employer’s mandate” is a headache.
Go to the local coffee shop, the auto body shop, and the accounting firm. Tell the owner: “Hey, I have a way for you to provide dental benefits to your staff for $35 a month with zero paperwork for you.” You use BoomCloud™ to manage the “Business Group,” and suddenly you’ve added 40 new members in a single afternoon. That is how you scale.
Mistakes to Avoid When Setting Up Your Plan
Don’t call it “insurance.” It’s a “Membership Club” or a “Patient Benefit Plan.” Using the word “insurance” invites the regulators to your door, and nobody wants that party. Also, don’t make the discount too deep. You aren’t a Groupon; you are a high-quality provider.
Avoid the “Manual Trap.” If your front desk has to manually charge credit cards every month, they will grow to hate your membership plan. It will become a burden instead of a blessing. Use dental practice subscription software to automate the dunning and renewals so your team can focus on the patient in front of them. This also helps in how to prevent cancellations in the dental office by creating a more stable revenue stream.
Frequently Asked Questions
How do I create a dental membership program without extra paperwork?
The secret is using software to scale a dental membership plan like BoomCloud™. The software handles the contracts, the payments, and the automated emails. Your only job is to present the value to the patient and click “enroll.”
Is an in-house dental subscription model legal in my state?
In most states, yes, as long as you aren’t acting as an insurance company. This means you are providing services for a fee, not “indemnifying” risk. Always check with your local dental board, but thousands of doctors are doing this successfully right now across the US.
Can dental plan software for small practices actually help me drop Delta Dental?
Absolutely. In fact, we recommend it as your “Nicotine Patch.” As you grow your membership base to 500 or 1,000 members, you create a financial cushion. When you finally drop that PPO, the “hole” in your schedule is quickly filled by loyal members who spend 2-4X more.
The Final Word: Your Parachute is Ready
Becoming fee-for-service or out-of-network is a journey that requires courage, strategy, and the right tools. You don’t have to “gut it out” alone. There are practices on the other side of this transition who are finally breathing again. They aren’t herding cattle anymore—they are practicing dentistry on their own terms.
If you are serious about taking your power back, start today. Create your plan. Train your team. Leverage the right dental membership crm for dentists. Your future self—and your bank account—will thank you.
Ready to see how BoomCloud™ can help you shed the “Evil Empire”? Let’s get to work.
👉 Download the million-dollar membership plan ebook
👉 Take The Six-Figure Patient Membership Plan Course
👉 Schedule a Demo of BoomCloud™ & Learn how to manage & grow your membership plan
