Power Hour Optometry: Episode Summary

Title: 3 Proven Strategies to Boost Practice Revenue by 65%: Insights from Jamie Rosin & Eugene Shatsman
Host: Eugene Shatsman
Guest: Jamie Rosin
Release Date: January 15, 2025

Introduction

In this episode of Power Hour Optometry, host Eugene Shatsman welcomes Jamie Rosin, a seasoned optometry practice expert known for scaling practices from a handful of locations to over 50. The discussion centers on three fundamental strategies to exponentially grow an optometry practice's revenue by up to 65%. These strategies focus on increasing patient numbers, enhancing transaction sizes, and improving patient visit frequencies.

1. Stacking Success: The Foundation of Exponential Growth

Eugene introduces the concept of "stacking success", emphasizing that growth is not achieved through isolated efforts but by leveraging multiple small improvements that compound over time.

Jamie Rosin elaborates:

“It's about small incremental improvements in three to five areas of your practice. These create geometric, not linear, growth.” [06:51]

He explains that focusing on increasing the number of patients, the average transaction size, and the frequency of patient visits can lead to significant revenue boosts when these elements work synergistically.

2. Strategy One: Reducing the "Exam Only" Rate

A critical metric discussed is the "exam only" rate, which measures the percentage of patients who leave without making any purchases beyond their eye exam.

Jamie Rosin clarifies the difference between exam only rate and capture rate:

“Capture rate includes patients who buy multiple pairs, whereas exam only rate strictly tracks those who leave without purchasing anything.” [12:34]

Key Insights:

• Tracking and Metrics: Practices should meticulously track exam only rates daily, understanding the reasons behind patients not making purchases.
• Behavioral Changes: Shift focus from merely presenting metrics to changing staff behaviors. Regularly observe and coach staff to adopt best practices that reduce exam only rates.
• Implementation Example: Jamie shares his experience of reducing the exam only rate from approximately 40% to 20%, resulting in a substantial revenue increase without significant additional costs.

“Small incremental improvements in three to five areas of your practice can lead to geometric growth.” [06:51]

Behavioral Strategies:

• Effective Handoffs: Ensure seamless transitions from the doctor to the optician, providing opportunities to discuss recommendations and address patient budgets.
• Staff Training: Regularly train staff to emulate top performers, fostering a culture of continuous improvement and accountability.

3. Strategy Two: Increasing Referrals

Referrals are a potent growth lever, tapping into the existing satisfied patient base to attract new clients.

Jamie Rosin discusses the potential of referral programs:

“If you can convince 10% of your patients to refer two new patients each year, your patient volume can increase by nearly 30%.” [48:29]

Implementation Tactics:

• Direct Asks: Train staff to ask for referrals during key interactions, such as when scheduling exams or delivering glasses.
• Segmented Approaches: Tailor referral requests based on patient segments and their specific experiences or needs.
• Community Partnerships: Collaborate with local nonprofits or community groups to drive cause-based referrals, enhancing both community presence and patient trust.

Examples:

• Hosting events that align with patient interests (e.g., outdoor enthusiasts) to engage and encourage referrals.
• Partnering with nonprofits to create mutually beneficial referral channels.

4. Strategy Three: Strategic Reactivation

Enhancing the frequency of patient visits ensures a steady revenue stream and strengthens patient relationships.

Jamie Rosin introduces strategic reactivation:

“By sending personalized, relevant messages every month, rather than the same generic recalls every six months, we increased patient return rates significantly.” [58:12]

Key Components:

• Customized Communication: Develop segmented and relevant email and text campaigns that resonate with different patient demographics and needs.
• Consistent Follow-Up: Extend recall periods beyond industry norms (e.g., up to 60 months) without increasing unsubscribe rates by keeping messages fresh and personalized.

Impact:

• Revenue Growth: Reducing the average time between visits by three months can boost patient volume by approximately 18%, directly enhancing revenue without substantial additional costs.

“An extra 6% patient volume per month adds substantial revenue with minimal incremental costs.” [58:12]

5. Stacking the Strategies for Exponential Growth

By integrating the three strategies—reducing exam only rates, increasing referrals, and enhancing patient visit frequencies—practices can achieve compounded growth effects.

Example Calculation:

• Initial Revenue: $1,000,000 from 2,400 patients annually.
• After Reducing Exam Only Rate by 10%: +15% revenue.
• After Increasing Referrals by 10%: +30% revenue.
• After Enhancing Visit Frequency by 3 Months: +18% patient volume.
• Total Revenue Growth: From $1,000,000 to approximately $1,650,000, marking a 65% increase.

Conclusion and Key Takeaways

Jamie Rosin and Eugene Shatsman emphasize that sustainable practice growth stems from multiple small, strategic improvements rather than singular overhauls. By focusing on reducing exam only rates, actively increasing referrals, and strategically enhancing patient visit frequencies, optometry practices can achieve significant, compounded revenue growth.

Final Notable Quote:

“Growth is geometric, not linear. Focus on three to five small, impactful areas, and watch your practice transform.” [63:23]

For optometry professionals seeking to implement these strategies, the episode provides actionable insights backed by real-world examples and emphasizes the importance of behavioral change, continuous improvement, and strategic experimentation.