San Francisco, CA, May 18, 2016 – Dr. Jonathan Kaplan, founder/CEO of BuildMyBod Health, published in peer-reviewed journal following a yearlong study on price transparency in healthcare.
Consumers are driving price transparency in healthcare, and decision makers within the healthcare establishment are taking notice. In fact, many private and public initiatives are pushing for greater price transparency in the healthcare marketplace.
With a rise in the number of Americans opting for high-deductible health plans (HDHP), consumers are more conscious than ever about the cost of healthcare services. Patients with HDHP’s are responsible for paying a larger portion of their medical bills out-of-pocket before insurance benefits kick in. Due to this financial obligation, they have a right to know how much those services will cost them ahead of time.
Traditionally, doctors have been reluctant to publicly list their prices for services. Their fear is that patients will focus on cost over quality of care, and “price shop” amongst the competition. According to a recent study performed by Dr. Jonathan Kaplan and published in the Annals of Plastic Surgery, price transparency in healthcare can lead to increased conversion rates.
Using the BuildMyBod Health Pricing Estimator, the price transparency-lead generation tool used in the study, providers can now receive leads (prospective consumer contact information) in exchange for providing pricing information online. Lead generation remains a hot topic in the healthcare space as physician reimbursements continue to decrease. A qualified lead from a motivated customer will more likely turn into cash flow in the short term, before insurance reimbursement arrives in the long term.
Why would consumers provide their contact information in exchange for healthcare cost estimates? The key is to make the process valuable to both parties involved. BuildMyBod Health’s Price Estimator “widget” combines price transparency and lead generation into one powerful web tool. Patients receive the pricing information they cannot find anywhere else, doctors receive contact information for follow-up, and patients schedule consults only after having realistic price expectations.
The study followed Kaplan’s first year in private practice, tracking the number of patients that were price-aware prior to the consultation (via the online price estimator tool) and scheduled a procedure vs. patients that came in unaware of price. Price aware patients booked procedures 62.2% of the time, whereas price unaware patients only booked procedures 44% of the time. The difference in booking behavior between these two groups is statistically significant. The study reveals that price-aware patients are 41% more likely to book a procedure than non price-aware patients, implying a nonrandom, positive association between price awareness and booking behavior for non-emergent services.
“From a financial perspective, there is no difference between the breast augmentation patient and the patient with a high deductible health plan seeking a full-body MRI. Either way, they’re paying out of pocket.“ says Kaplan. In other words, the lessons learned, and the benefits of price transparency in the cosmetic self-pay space can be applied to self-pay services that are medical necessary and not emergent in nature. With greater price transparency, BuildMyBod Health is helping bend the cost curve in healthcare.
Contact: Kelsey Rypl at firstname.lastname@example.org