MBA Intelligence

August 15, 2011

Bi-weekly information and advice to manage optometric practices
from the Management & Business Academy™ (MBA)

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How Does Your Practice Compare?

New Patient Ratio

29 Percent of Exams Are Performed for New Patients

In established independent optometric practices, a median of 29 percent of complete eye exams are performed for patients new to the practice. New patient ratio is considerably higher among new practices, over half of which are started from scratch with no existing patient base. In established practices, a new patient ratio below 20 percent may indicate risk of a declining patient base, because patient attrition from relocations and vision insurance changes can total 15-20 percent annually.


 

Market Facts

Market Facts

24 Percent of Independent ECP Frames Sales Priced > $150

For the year ending December 2010, just 24 percent of the frames units dispensed by independent ECPs had a retail price over $150, according to Vision Watch. Two-thirds of frames units sold by independents are in the $100 to $149 price range. The average retail price of frames sold by independents during 2010 was $136.96, an increase of 0.2 percent from the prior year.

Spotlight on...

Best Practices of Spectacle Lens best practices

Management

This table illustrates the revenue impact of increasing usage ratios of progressive lenses, above current national norms for presbyopic prescriptions. The percentage of lens units dispensed by typical U.S. practices is shown, followed by estimates of the revenue generated when higher usage ratios are achieved. The highest usage ratio shown is currently being achieved by the best-performing practices.

Best Pratices in Spectacle Lens Management