Implementing a membership plan in your dental practice’s supports both sides of the care transaction. Your patients seek alternatives to insurance to afford their dental care. At the same time, your membership plan can also help you grow your practice, from revenue and ROI to patient populations and practice valuations.
But this growth for your dental practice isn’t just theoretical – it’s measurable.
With the following membership plan analytics, you can track and scale the performance of your membership plan and make adjustments as the data directs to best support your patients and your practice.
New Members Added, Overall. The total number of new patients added to your membership plans. You can calculate this metric per month, per quarter, or per year to gauge membership participation and growth at different intervals, and to adjust your plans and marketing strategies accordingly.
You may even follow the metric for new members added per week if you’re incentivizing your team to promote your plan to patients and including this metric in your daily team huddles.
New Members Added, Per Plan. The total number of new patients added to each membership plan, if you offer more than one option. Again, you can calculate this metric per month, per quarter, per year, or per week, to assess and optimize your plans and marketing strategies.
Number of Active Members. The total number of patients enrolled in your membership plan who are actively scheduling and attending their appointments. From a strictly revenue-based perspective, your practice continues to bring in that monthly revenue whether your patients schedule appointments to receive their included services or not.
But if members are paying for your membership plan and not scheduling their appointments, this could be a sign they may not renew their membership with your practice. Your front office team can include these members in their usual patient outreach scheduling calls to be sure patients are making the most of the membership they are paying for.
Churn Rate. The number or percentage of patients who terminate their membership plan in a given billing period. Keeping this number low is valuable for your practice in maintaining ROI for your budget for membership plan marketing and logistics, as well as for investors interested in your practice.
A sudden spike in churn rate for your membership plan can also indicate areas where your plans could use additional focus and improvement. This could include increasing patient communications, such as increasing mentions of your membership plan and its benefits for patients on social media, your practice’s email newsletter, or other marketing channels.
Monthly Recurring Revenue. The revenue you receive each month from your membership plan subscriptions. You can calculate this metric per patient, per plan, and for your membership plans overall.
If a patient pays annually for their membership plan, you can divide this number by 12 for an estimated monthly recurring revenue. You may consider reviewing these metrics for your practice’s membership plans overall, as well as for individual plans.
Annual Recurring Revenue. The revenue you receive each year from your membership plan subscriptions that you can calculate per patient, per plan, and for plans overall. If a patient pays monthly for their membership plan, you can multiply that number by 12 for an estimated annual recurring revenue.
Again, you can gain insights into your membership plans’ performance by calculating this metric for membership plans overall, and for individual plans. You may choose to adjust your pricing based on these numbers, related costs within your practice, and other factors.
Revenue Churn. The percentage of lost revenue from existing subscribers in a given period, or in other words, the financial impact of patients who cancel their membership plan in that time period.
For annual revenue churn, subtract the revenue at the beginning of the year from the total lost revenue due to plan cancellations during that year.
Average Membership Revenue Per Member. The average total revenue your practice earns from a patient enrolled in your membership plan. If your practice offers only one membership plan, this data point may be less relevant for you, as the average revenue will simply be the price of that membership plan.
However, if your practice offers multiple plans, such as with a tiered structure for pricing and services provided in each plan, then this metric could be more useful. A higher average membership revenue per member shows that patients enrolled in your practice’s membership plans are opting for your higher-priced plans, and vice versa.
Renewal Rate. The total number of membership plan subscriptions renewed in a given period, divided by the total number of patients’ subscriptions due for renewal in the same period. This metric links back to patient retention.
You want patients to sign up for your membership plan, and to improve their oral health by regularly seeking care from your practice. But if these patients are not renewing their membership, your practice’s patient attrition increases, and the monthly revenue your practice was counting on decreases.
Renewal Margin. The profits driven to your practice by patients participating in your membership plans. Subtract annual costs associated with these patients and your membership plan from your annual recurring revenue to determine the margin and profitability of your plans each year.
More Membership Plan Analytics
Customer Lifetime Value. The estimated total revenue you will potentially generate from a patient throughout the duration of their time with your practice. Your membership plan, particularly with a monthly payment option for patients, means your practice can more likely retain patients for longer, thereby extending a patient’s customer lifetime value.
Membership Plan Landing Page Views. The number of page views to a webpage that your practice has dedicated to marketing your membership plan. Your dental practice website may host a webpage, or landing page, to promote your membership plan(s). This webpage may be informational only, or you may include a signup link for patients to enroll in your plan online.
Membership Plan Landing Page Unique Visitors. The number of unique visitors to a webpage that your practice has dedicated to promoting your membership plan. This data can help you make strategic changes to your marketing efforts, both for your membership plans and your practice as a whole.
Measuring these membership plan analytics can provide useful insights for how to best manage, grow, and optimize your membership plan logistics, pricing, and marketing efforts. As you grow your plan, you grow your practice, and membership plan analytics can help you make these decisions based on data and measurable performance trends.
To see DentalHQ’s upgraded analytics dashboard in action, schedule a demo with us today.