Patient retention is the lifeline of a thriving dental practice. It costs far less to retain an existing patient than to acquire a new one, but the retention rates and revenue potential vary dramatically depending on the type of patient. Let’s break down the stats for PPO patients, cash patients, and membership patients—and see why membership plans, powered by BoomCloud™, are the ultimate strategy for boosting retention and profitability.
Retention Rates by Patient Cohort
Here’s how the major patient types stack up:
| Patient Type | Retention Rate | Case Acceptance Rate | Average Annual Revenue per Patient |
|---|---|---|---|
| PPO Patients | 40% | 20% | $500 |
| Cash Patients | 55% | 35% | $850 |
| Membership Patients | 85% | 65% | $2,150 |
PPO Patients: Low Retention, Low Revenue
PPO patients are notorious for low retention rates because they often choose providers based on insurance networks rather than loyalty or quality of care.
- Retention Rate: 40%
- Case Acceptance: Only 20% accept treatment plans due to out-of-pocket costs and insurance limitations.
- Annual Revenue: A mere $500, driven by low reimbursements and limited upselling opportunities.
The Problem:
Your practice is essentially working harder for less.
Cash Patients: Better Revenue but Low Retention
Cash-paying patients often seek out-of-network providers for specialized care but are harder to retain due to a lack of ongoing financial incentives.
- Retention Rate: 55%
- Case Acceptance: 35% accept recommended treatments, but affordability can still be a barrier.
- Annual Revenue: $850 on average, with no recurring revenue.
The Problem:
While revenue per patient is higher than PPO patients, the lack of a recurring revenue model leaves your practice vulnerable to churn.
Membership Patients: The Gold Standard
Membership patients are the holy grail of retention and revenue. They join your plan, pay a recurring fee, and are incentivized to stay loyal.
- Retention Rate: 85%
- Case Acceptance: A whopping 65%, as members perceive greater value and affordability.
- Annual Revenue: $2,150, including subscription fees and increased treatment acceptance.
The Solution:
A membership program powered by BoomCloud™ creates predictable revenue, drives loyalty, and encourages patients to say “yes” to comprehensive care.
How BoomCloud™ Maximizes Membership Patient Retention
BoomCloud™ makes managing a membership program effortless, allowing you to focus on delivering excellent care.
Key Features:
- Automated Billing: No more chasing payments—BoomCloud™ collects subscription fees seamlessly.
- Retention Tools: Track member engagement and identify at-risk patients.
- Customizable Plans: Tailor perks to meet the needs of your ideal patient profile.
Example Plan:
- $30/month or $300/year.
- Includes:
- Two annual cleanings.
- 15% off restorative and cosmetic treatments.
- Priority scheduling.
Case Study: Wood River Dental
The Challenge:
Wood River Dental relied heavily on PPOs, leading to low retention and inconsistent revenue.
The Solution:
They launched a membership program using BoomCloud™, targeting uninsured and underinsured patients.
Results:
- Active Members: 700+
- Retention Rate: 85%
- Annual Revenue per Member: $2,150
- MRR: $25,000
- ARR: $300,000
- Case Acceptance: 65% of members accepted treatment plans compared to 20% for PPO patients.
Quote from Dr. Dan Nelson:
“Switching to a membership model with BoomCloud™ not only boosted our revenue but also created a loyal patient base that values their dental care.”
Why Membership Plans Increase Retention and Revenue
1. Financial Predictability
Patients know exactly what they’re paying each month, which builds trust and removes cost as a barrier.
2. Higher Perceived Value
Membership perks like free cleanings and discounts make patients feel valued and cared for.
3. Strengthened Relationships
Membership plans foster long-term loyalty, turning one-time visitors into lifelong patients.
How to Promote Your Membership Program
1. Highlight Membership Benefits
Use your website, social media, and in-office materials to showcase savings and exclusive perks.
2. Train Your Team
Ensure your staff can confidently present the benefits of membership to every patient.
3. Leverage Direct Mail
Partner with MVP Mailhouse to target local businesses and communities with mailers promoting your membership plan.
FAQs
How do membership plans reduce patient churn?
Membership patients are financially invested in your practice, making them less likely to switch providers.
Can BoomCloud™ integrate with other systems?
Yes! BoomCloud™ integrates seamlessly with practice management software, making implementation smooth and effective.
What’s the ROI of a membership program?
With a retention rate of 85% and annual revenue of $2,150 per member, the ROI is substantial compared to PPO or cash patients.
Final Thoughts: Transform Your Practice with Membership Plans
Reducing churn, increasing treatment acceptance, and maximizing revenue starts with a membership program. By choosing BoomCloud™ to manage your plan, you can create a loyal patient base and achieve predictable, recurring income.
Ready to Take Control of Your Practice?
Schedule a demo with BoomCloud™ today and learn how to launch and scale a membership program that transforms your bottom line.
