MGS Dental Expansion Plan

BUSINESS EXPANSION PLAN


Our Vision & Purpose
Our wish for you, your children and family is to achieve the goal of never needing dental work inthe future.
Our purpose comes from the derivation of the word “doctor.” It comes from the latin word docere, which means “to show, teach or teach to know.”
We help achieve this goal of “teaching” with hygiene visits twice a year...a goal that can eliminate gum disease and future dental work for a lifetime.
This goal is our sincerest wish for you, your children and family!
Adriatic Dental © 2018 All Rights Reserved.


Table of Contents
4 Statitistics & Figures 5 3-Year Expansion Plan 7
Section One: Demographics & Market Research
Section Two: Marketing Plan 16
Overview & History
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Overview & History
The year was 1999. Dr. Svetlana Gomer, her husband Dr. Mikhael Gomer, and 1 year old daughter had moved to Cleveland, OH from their home, Ukraine.
Dr. Mikhail Gomer graduated from Tufts University School of Dentistry in 2004. As a foreign- trained dentist he completed an Advanced Standing program and received his DMD degree.
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MGS Dental has been in operation for approximately 12 years. The practice over these years has afforded steady growth with objectives to have stable patient flow, production and collections. The vision is to stably achieve and continue
a production goal averaging $100,000 per month, in both production and collections...an annual expectancy of $1.2 million per year.
The production of any monetary goal must have an underlying purpose of patient care and quality...a high and positive consumer Experience. Paramount to achieving any expansion is a structure of the business that focuses on 3 specific aspects:
1) Consumer acquisition (new patients)
2) Consumer Retention (recare/recall/reactivation) 3) Consumer Sales (treatment acceptance)


Statistical Facts & Figures
The following are recorded and documented statistics of MGS Dental:
Years in operation
Total Patient Files since starting
Average # of New Patients/Month*
No. of Active Patient* 500 No. of Employees
Day Open for business
No. of operatories 4
*NB: The National New Patient Monthly Average for Dental Practices in the U.S. is 26. Adriatic’s monthly new patients is nearly 2.5 times the national average.
The National Active Patient count for dental practices in the U.S. is less than 1,000.
12 1,000 13
6 M-Th
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Statistical Facts & Figures Continued
The following graphs below show the month by month production and collections over the last 12 months. Practice metrics and statistics are reported weekly, monthly, quarterly and annually which supplies management information for control of Adriatics’s future growth.
Production & Collections Last 12 Months
Differential of Production vs Collections
As illustrated by the collections and production statistics, the annual total revenue generated is $1.16M while the collections is at $996.
The collection percent is at 85% of
total production with either a) PPO/Ins adjustments, and/or b) aging receivables or c) a combination of both.
New Patients Last 12 Months
100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%
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Total Production Last 12 Months
$1,168,000
Total Collections Last 12 Months
$996,000


3-Year Expansion Plan
The following pages illustrate the 5-Year Expansion Plan for Adriatic Dental. The plan contains 4 sections:
Section 1: Demograhics, Population and Market Reseach
Section 2: MGS Market Research for Capturing Community Residence Section 3: Marketing Plan...New Patients
Section 4: Modernization of interior office & Summary
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SECTION 1: DEMOGRAPHIC RESEARCH
Tewksbury: Demographics Market Research
An overview Tewksbury, MA demographics were reviewed for future current and future projections. The information is diagramatic rather than copy driven for simplicity of presentation.
Economy in Tewksbury, Massachusetts Tewksbury has an unemployment rate of 5.3%. The US average is 6.0%.
Tewksbury has seen the job market increase by 4.3% over the last year. Future job growth over the next ten years is predicted to be 42.9%, which is higher than the US average of 33.5%.
Tax Rates for Tewksbury
- The Sales Tax Rate for Tewksbury is 6.3%. The US average is 7.3%.
- The Income Tax Rate for Tewksbury is 5.1%. The US average is 4.6%.
Income and Salaries for Tewksbury
- The average income of a Tewksbury resident is $40,201 a year. The US average is $28,555 a year. - The Median household income of a Tewksbury resident is $87,496 a year. The US average is $53,482 a year.
The average annual household income in Tweksbury is $120,712, whilethe median household income sets at $105,480. Residents aged 25-44 earn $126,473. Younger than 25 and older than 65 earn an average of $41,338 and $55,231 respectively.
In summary, your area of business is much above the national average on overall annual salaries.
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Number of Households
There are a total of 11,808 households in Tewksbury, each made up of around 3 members. Family establishments represent 69.07% of these Tewksbury households, while non-family units account for the remaining 30.93%.
Additionally, 26.88% of households have children and 73.12% of households are without children.
Population
There are 30,973 residents in Tewksbury, with a median age of 46.2. Of this, 46.3% are males and 53.7% are females. US-born citizens make up 90.94% of the resident pool in Tewksbury, while non-US-born citizens account for 6.48%. Additionally, 2.58% of the population is represented by non-citizens.
A total of 27,791 people in Tewksbury currently live in the same house as they did last year.
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Tewksbury: Competitor Market Analysis
A geographic study dental practitioners in the Tewskbury area were reviewed. The below information excludes specialists as the market share is based on similar general practitioners in the area.
There are approximately 13 dentists in the Tewksbury 21 square mile. As covered earlier, the population is circa 31,000 giving a patient/dentist ratio of 1:2,000 (taking into account pediatric dentists).
Shown below are websites and basic market information of the 13 surround dental practices:
Tewksbury Dental Associates
Largest dental group in area:
712 Reviews! Heavy marketing, Ad words
5 Doctors, 2 specialists, 6 Hygienist, 21 total staff
Very high payroll/overhead...
Website: High Tech, very inviting, motion driven...which causes higher engagement Professional---and hi-tech, clean and happy/smiling images throughout
highly competitive
Silver Lake Dental
11 staff, 2 doctors...
They market, Yelp, etc. Open M-F and Sat by Appt 224 Reviews! Competitive
Elain Wu, DDS (Dental Implant Solutions)
Husband is Oral Surgeon
Website features Implants competitive on implants, high tech Competitive on Implants 1 Review
Oasis Dental Solutions:
Nice Website: Competitive
1 Google Review Not a heavy marketer...
but spaces are inviting on website...internal marketing high
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SECTION 1: DEMOGRAPHIC RESEARCH
Shawsheen family Dental ... Dr. Carla Bustillo-Gonzales
192 Reviews
Okay website. Single dentist, no hygienist, small practice...good reviews Semi-Competitive (high reviews)
Guerin Jon L, DDS The Dental Group
No website. Old school, strip mall acquisition of patients Has 2 locations...he’s at both... non-competitive
Jana Heller, DDS
No website; non competitive
Biondo & Foley Dental Group
1 Google Review
Poor website...low or no marketing Non competitive
Karin Buckley, DDS
No Website Non competitive
Boutselis Family Dental
67 Reviews
No website. Non competitive
Aruna L. Jannalagadda, DMD
No reviews
No Website. Non competitive
Stephen Lu, DDS
16 Reviews
Poor Website. Non competitive
Tewksbury Family Dental ... Dr. Shahidi
9 Reviews
Poor website. Non competitive
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SECTION 2: MARKETING RESEARCH
Summary
In going through the basic 13 separate, general practitioners offices, there are 4 competitors, leaving 9 offices that are low volume, few or no reviews, and no agressive marketing in place.
The top office in Tewksbury is “Tewksbury Dental Associates.” They are agressive, have high reviews, market, do Ad Words, have 21 staff...5 doctors and 2 specialists.
Their website when patients go to it, will be chosen over other practices as their website is “motion driven,” clean, aesthetic, hygienic looking and high-tech looking. Please review their website at: https://www.tewksburydentalassociates.com
Tewksbury population has an extremely high median income so with 26-28% of the total population being children and/or adolescents/teens. Nearly 75% are adults.
As seen on the earlier demographics, the total HOUSEHOLDS in the Tewksbury 2.1 square miles, is right around 11,000 homes. You can ‘own’ the entire neighborhood homes in the town.
Look & Feel...Know you Competition/Gain Market Share Below are actual websites of the 13 offices in your area (that have websites)!
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SECTION 2: MARKETING RESEARCH
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Internal Marketing/Website Feel & Look
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These images are examples of “modernizing” any office. Light colors, white, light greys with small accents of purple ...like the outside of your building.
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SECTION 2: MARKETING PLAN
Modernize Interior Design
Carry the motif, colors and branding to the interior of the building...i.e., light grey laminate- interlocking waterproof “faux wood” ...white/off white walls
accent adjacent walls light grey...match floor, accent of minor purple...i.e., chair coverings are black... keep them, they’re a neutral color for white/greys. ... Use glass where you can...or optically clear acrylic as different materials give a high tech look.
The below “Before” and “After” will give a concept. This is an overall strategy/plan...pieces of the plan can be done little by little...but your outside was gorgeously done...and when you get to the upgrade on the inside...just match what you did on the outside...clean, bright, marketing colors and it looks hygienic.
Existing
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SECTION 2: MARKETING PLAN
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SECTION 3: RESIDUAL RETENTION BUSINESS MODEL
Ad Words
You are just now embarking on Ad Words and KEYWORDs placed on the backend are important for capturing clicks to your website. The below PPC (pay per click) Keywords are currently the top to be used and piloted. While there were 31 listed in the research article, the top 10 have far more relevance.
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SECTION 3: RESIDUAL RETENTION BUSINESS MODEL
Implementation of Actions
There are initial actions to focus on to increase the new patients on a consistent and continual basis:
• Ad Words: I believe your budget was $1,000/mo. Pilot this for 2-3 months...with good keywords have Trevor watch the numbers and if ROI is good, increase budget to $1,500- $2,000
• Mailers to Neighborhoods
• Excellent Call Conversion...phone coverage during lunch hours and the days you are not in the office.
• Website ... see comparative of Tewksbury Dental Associates https://www.tewksburydentalassociates.com/
• Interior Upgrade (longer term strategically)
• Making Trevor an expert on Dental Marketing...NB: I will send him a series of Marketing Videos that will give him industry benchmarks and standards. He’s already tech savy as he’s doing your ad words.
Summary
You have several important factors that will affect your practice in the next 3 to 5 years. Foremost you have a high potential due to the non-competitive number of dentists in your area.
There’s really 3 to 4 strong offices. If you look at their websites they all have strong REVIEWS... Tewksbury Dental Associates has 712!
MGS has 141...you’re #3 or 4 in terms of volume of reviews...Trevor will be excellent at this to double your number!
Reviews in your area are USED...as the income range is high...and the volume of people in ages 25- 55 is the highest...they use devices, check reviews, etc.
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SECTION 3: RESIDUAL RETENTION BUSINESS MODEL
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Total households is 11,000... in a 2 square mile area...whoever wants to “own” the neighborhoods of Tewksbury can do it over the next several years. I will cover this in our Zoom meeting.
In the attachments, I have included the Finance Control Module which addresses putting a proper format in place for your P & L statement for overhead control.
This document was put together to give you an overview and direction over the next year. It can be used as a reference for the objectives to be achieved.
The information as well as the planning can be modified as we move forward and/or changed. Let’s set our first Zoom meeting with Svetlana, yourself and Trevor.!!


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