Utilizing specific metrics for your dental business can be essential in helping promote growth toward long-term success. In this article, we’ll discuss the most important performance metrics to regularly track in your dental business.
Documenting these metrics in the proper business plan format will add to the effectiveness of your practice and help build it overall.
1. Patient Retention Rate
The patient retention rate is an important metric for gauging how well your practice is retaining patients over time. This metric provides a measurement of the overall satisfaction patients have with your services. To calculate this metric, take the number of active patients that returned in the current period and divide it by the total number of active patients from the previous period.
2. Average Cost Per Patient Visit
The average cost per patient visit will allow you to gauge how much money you spend on each patient during an appointment. This metric helps determine whether or not your practice is making a profit on a per-appointment basis. To calculate this, add up all costs associated with treating each patient throughout an appointment and divide it by the total number of appointments performed during that period of time.
3. Number of New Patients
Tracking how many new patients your business acquires over time is important to measure growth and performance. Monitoring this metric can also help determine where new patients are coming from so you can invest more resources into those areas.
4. Cancellation and No-Show Rates
Cancellations and no-shows can have a negative impact on your bottom line due to lost revenue opportunities, as well as operational costs associated with scheduling again for patients who missed appointments. Tracking these rates will allow you to better manage patient flow and optimize your resources.
5. Treatment Acceptance Rate
The treatment acceptance rate measures how successfully proffered treatments are accepted by patients during examinations or procedures. Knowing this metric will give insight into the effectiveness of the treatment planning process and offers an opportunity to expand it to better suit the needs of patients.
By tracking the performance metrics outlined in this article, you’ll be able to measure the success of your dental business and make necessary changes, as needed. With these key metrics monitored closely, you’ll have everything needed to ensure your dental business continues successfully in long-term growth.