We don't negotiate with terrorists (but we might negotiate with you)

ByPaul M. Stubenbordt

Recently I participated in giving an education talk on LASIK and premium IOL business development. During that talk, the attendees were able to ask the panel of speakers anything they wanted. One question in particular intrigued me.

"Do you allow patients to negotiate LASIK prices?"

Oh buddy... This was a tough question for me because I know that none of my clients would share the same opinion.

One speaker answered by saying that one of his clients has a no-walk policy. If a patient says the price is too high, then the surgeon personally offers a lower price to make the patient happy.

Another said he recommends price matching as a way to overcome price. This is becoming very common nowadays — even Wal-Mart has adopted this policy with some limitations. However, some markets make price matching quite difficult. I live in Dallas, where four surgeons advertise a "lowest price guarantee" year-round. Because of this guarantee, patients hop from practice to practice in search of the lowest price.

To match or not to match

So let's return to the question: "Do you allow patients to negotiate LASIK prices?" In today's tough economy, practices do indeed need to take into consideration that a competitor might have a much lower price and that they might need to do something to keep the patient from walking.

I believe in matching only if technology, follow-up care and experience are comparable. It's all about comparing apples to apples. For example, practice A might offer all-laser LASIK for $2,450 an eye while practice B offers all-laser LASIK for $1,950 an eye. From the consumer perspective, there must be a valid reason to choose practice A over practice B — what does that extra $500 purchase? If I were practice A, this is what I'd be saying:

Does practice B's surgeon have the same training as practice A's?
Does practice B's surgeon see you for your all of your postop visits?
Does practice B offer 3 years of follow-up care and enhancement coverage?

Suddenly the prospective patient realizes that that extra $500 might be worth it. Practice A might even meet the patient halfway to seal the deal, which I'm in favor of.

Have a reason

If you have to give savings to keep a patient, then make sure you do it on your terms. Have them come in on a slow day for surgery. If you have an associate who is proficient in LASIK but doesn't have as many cases under his or her belt, then put the patient with that associate. Having a reason is essential, even if you consider it a 'red herring.' If you don't give a reason, then you're setting the bar low for patient referrals. If you don't explain that the savings are circumstantial, then referral patients will think that your normal price is a bad deal.

Proceed with caution

In the past decade, I have never seen so many shoppers looking for a deal, especially for practices that generate patients from advertising. Patients come through the door wanting to have LASIK. They might be scared of surgery, financial commitment or both. Offer savings if you have to, try not to make it a habit, and make sure to rationalize the savings to keep from having to give the same deal to all of your patients.