Product, Price, Distribution and Promotion

Product, Price, Distribution, and Promotion

In order to effectively transition into a specialty hospital, there must be efficient advertising methods. With the Cardiac Specialty Hospital there will be a lot of education involved for the staff as well as the patients. According to Evans (2006), multimodal transactional model of communication is brought to light by way of one-way distribution. Common strategies of this type of marketing are: promotion, distribution, and community level outreach.

More than ever clinics are using their advertising through the internet. Web pages will be created in order to distribute the information. Potential consumers will be able to access the facility. Admissions forms can be administered on the website to decrease the wait time upon arrive to the hospital. Once the forms are completed they are then rerouted to the admission personnel to enter into the hospital database.

Level of Intensity

A selective intensity of distribution is warranted when there is a specialty involved. Through the use of channel intensity will reveal a determination of how available the product is to the ultimate consumer. (Berkowitz 2011)

Channel intensity will further involve the following:

Intensive

Consumer Products:

Facial Masks

Urethral Catheters

* Primary Care Clinics Selective

Shopping Products:

Holter Monitors

Dialysis Machines

* Specialty Clinics Exclusive

Specialty Items:

Cardiac treatment facility

End Stage Renal Disease facility

* Academic Medical Center

Figure 10-2 Channel Intensity (Berkowitz, 2011)

According to Berkowitz (2011), demand is a major factor where price is concerned; recognizing the demand for the product or service. Due to the high demand of treatment for Cardiovascular disease, theoretically, one can assume higher cost. On the other hand, reimbursements may decrease therefore instigating profit loss rather than gain. According to Newhouse (2007), the use of strategic planning will differ on the basis of hospital type if the comparison involves rural institutions and academic or university medical centers. Decreasing the risk of the need for a coronary artery bypass graft would decrease the costs to the insurance companies. Typically the main payer for this type of surgery is Medicare. For this reason it is necessary to move into a specialty realm of the hospital region.

There is an ever increasing need for risk management and intervention to prevent progression of cardiac disease. Offering exercise programs that enhance cardiac care would be an essential part to benefit the hospital profits. The patients