Measuring Practice Performance & Setting Goals for Growth
CareCredit’s free interactive Performance Calculators can help you evaluate your practice data and determine potential outcomes of setting specific target goals.
Enter your current performance numbers and target goals into the white data fields to calculate potential revenue per month. Review goals for specific types of procedures such as Laser Vision Correction (LVC) or premium IOLs, or use a weighted average for the revenue per procedure to look at a broader spectrum of surgical volume. The sample below illustrates the potential fiscal impact of increasing volume and average patient spend on LVC procedures.
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Step 1: Determine your true consoltation conversion rate by diving the number of new patients who have a procedure by the number of consultations conducted.
Step 2: Set a realistic target goal (sample: 65%).
Step 3: Calculate the target patient volume by multiplying the number of consultations by the new target conversion rate. (sample 22 consults X 65% = 14 new patients).
Step 4: Calculate the target procedure volume by multiplying the number of new patients by your current ratio of bilateral to unilateral surgeries (sample: 11 new patients and 21 procedures = 91% of patients receive bilateral procedures. 14 new patients x 91% = 13 bilateral patients + 1 unilateral for a total of 27 procedures).
Step 5: Project incremental revenue based on increasing conversion rate. Multiply the incremental number of procedures to be performed (sample: 27-21 = 6 procedures) by your average revenue per procedure (sample: 6 x $2,631 = $15,786).
Step 6: Project revenue by increasing your average revenue per procedure (sample: increase $2,631 by 10% to $2,894). Then multiply this new figure by the current number of procedures being performed (sample: $2,894 x 21 = $60,774 total; $5,523 incremental) or by your new target volume (sample: $2,894 x 27 = $78,138 total; $22,887 incremental).
Note: For optimal display, enter data into calculator as whole numbers.
*Target number of procedures to perform uses your current percentage of bilateral and unilateral surgeries calculated by observing the current number of new patients and procedural volume. Sample illustrates 91% bilateral LVC procedures and 9% unilateral. The average number of procedures and average price for LVC are supported by survey data gathered by Market Scope.1
Aiming to reach a specific revenue goal? Calculate the number of procedures that would need to be performed each month to reach your desired goal. Target revenue may be set as a percentage or incremental dollar amount.
Click for detailed instructions.
Step 1: Enter current practice performance data including number of consults and procedures performed, along with the total gross revenue generated by these procedures.
Step 2: Set a target increase of surgical revenue (sample: 25%) and then calculate potential incremental revenue (sample: $55,251 x 25% = $13,813). If preferred, you can set the desired incremental revenue amount directly and the percentage increase will be displayed ($12,000 incremental revenue desired = 22% increase). When setting a revenue goal, it is important to consider the number of consultations being conducted, the number of patients not scheduling a procedure and the opportunity for growth.
Step 3: Determine how many additional procedures will need to be performed to meet the revenue goal. Divide the desired incremental revenue by the average revenue per procedure (sample: $13,813 / $2,631 = 5.25, which will require 6 procedures).
Step 4: If you increase the average revenue per procedure (sample: 10%), the number of procedures required to reach the revenue goal will decrease.
Note: For optimal display, enter data into calculator as whole numbers.
*For illustrative purposes only. Data represents observed industry averages; however, figures can vary greatly between individual practices. The average number of procedures and average price for LVC are supported by survey data gathered by Market Scope1
Break It Down for Patients
Illustrating total out-of-pocket cost as an estimated monthly payment using financing options with the CareCredit credit card may help increase both your conversion rate and average ticket sale. $2,974 is the average out-of-pocket spend for a patient opening a CareCredit account in an ophthalmology practice – that's after any potential insurance allowance and applied discounts.2
Contact your CareCredit Practice Development Team at 800.859.9975 (press 1, then 6) to request a custom Performance Review. Discover how your practice has been utilizing patient financing, ways to integrate it more effectively and the new contactless tools available to help further streamline the application and transaction processes.
This content is subject to change without notice and offered for informational use only. You are urged to consult with your individual business, financial, legal, tax and/or other advisors with respect to any information presented. Synchrony and any of its affiliates, including CareCredit, (collectively, “Synchrony”) make no representations or warranties regarding this content and accept no liability for any loss or harm arising from the use of the information provided. Your receipt of this material constitutes your acceptance of these terms and conditions.
1. Market Scope US Refractive Surgeon Survey Report, Q3 2020.
2. Average 2020 1st ticket sale in independent refractive practices that accept CareCredit.
