growing options_environmental scan

Download Growing Options_environmental Scan

If you can't read please download the document

Upload: anon-378585

Post on 14-Nov-2014

103 views

Category:

Documents


0 download

TRANSCRIPT

Growing Options Inc.Professional Geriatric Care Management Environmental ScanBy: Marissa Bentivoglio, Korey Drewniak, and Dan Plante

Table of ContentsExecutive Summary....1 Current Situation..1-2 Problem Definition..2 Current Marketing Strategy.3-4 Website Review...4-5 Geriatric Care Management Industry5-7Significance5 History5 What is a Geriatric Care Manager?.........................................................................6 Education and Certification.6 What is the role of a GCM?..................................................................................6-7

Resources8 SWOT Analysis.9-13Overview9 Internal Forces10-11 External Forces11-13

Target Market Analysis.........13Introduction13 Demographics13 Psychographics..14

Competition...15The Jewish Home for the Elderlys Institute on Aging15-16 GeriCare Solutions.......16-17

Participant Print.18 Porters Five Forces.18-20 Goals..20

Executive Summary This report is a culmination of research of on the Geriatric Care Management industry, done in order to create a foundation for a solid internet marketing plan Growing Options Inc. The contents of this report include a summary of Growing Options Inc., a definition of their current problems regarding internet marketing, a review of the current website and past marketing strategies. A general overview of the Geriatric Care Management industry is provided for context and the SWOT analysis includes the resources and internal and external market forces. An in-depth look into the demographics of Growing Options target market and participant print of current clients is followed by a review of their competition, including an analysis of the competition based on Porters Five Forces. Finally, there are a set of goals for the internet marketing efforts of Growing Options based on the research provided in this report. Current Situation

Growing Options Inc. is a Geriatric Care Management Practice located in Fairfield, Connecticut. Growing Options is owned by Lisa Krauss, the senior geriatric care manager at Growing Options. She has over 25 years of experience in the field of geriatrics, first working in Hospice and then beginning the practice in 2002. The mission at Growing Options is to provide "a resource to help families in Fairfield County, who are struggling with the challenge of balancing the increasing needs of their elderly parents or loved ones while maintaining the responsibilities of their home, children and employment" (www.growingoptions.com). Lisa opened the practice to help people that are struggling with their later life, as well as the adult children who are concerned about their parents' health as they age. She is a very dedicated worker, on-call 24 hours a day 3

seven days a week, which other geriatric care managers are not. Overall, Lisa is there to provide help to adult children and she will do what ever it takes to lend a hand. However, after running the business by her self for almost six years, it is time that Growing Options make changes, especially in all online activities.

Problem Definition Growing Options has largely relied on word of mouth as a marketing tool, but now her website developed six years ago is out of date. Lisa isnt tech-savvy which requires her to reach out to outside resources. Her competitors sites have "testimonials, more pictures, and an overall better site" said Lisa. Her job as Geriatric Care Manager (GCM) is very time-consuming and generally un-scheduled, so she doesnt have time to focus on marketing, although she wants to be involved. Growing Options wants to reach customers using their website to attract leads. Just any business, Growing Options would like to pursue new opportunities to reach more people on the internet and grow the practice. Another concern is that people dont understand what geriatric care management is. If the target market isnt educated about the benefits of geriatric care management, they may not visit her website, so the message to the consumer will be lost. The problem is that Lisa needs help with her online marketing strategy, including her website and the technology behind it all.

Current Marketing Strategy Growing Options current marketing strategy is relatively under-developed and in

a period of growth. There is a Growing Options information folder handed to each new client about the company, with Lisas business card, a Growing Options pamphlet, a letter from Lisa, a sample Geriatric Assessment and a sample Client File. Growing Options pamphlets and business cards are placed in locations where Lisa frequents including geriatricians offices, the elder law attorney who Lisa works with intensively, and the medical equipment store. The letter and Growing Options pamphlets were placed in the Shelton Senior Center when Growing Options opened their office in May. Public relations has played a slight role in Lisa's business. In 2003, Growing Options was featured in a local newspaper in Wilton, Connecticut. No press release solicited this action; the interested reporter came and then an article and a picture of Lisa with her first client was in the newspaper. Since then, Growing Options hasn't been in the press. Growing Options has not spent any money on marketing efforts beyond paying for the up-keep of the website. In the 2009 Senior Go To Guide of Fairfield County they will have a full page ad and full page editorial, but this is their first major advertising investment. Their main goal is to continue to build a network of professionals. Lisa recently joined the Greater Valley Chamber of Commerce which has many opportunities to network with other professionals of all trades in the Shelton area. She also joined a womans professional network. The website isnt heavily involved in attracting leads. Using the analytics weve discovered that most new clients will visit the website before calling, but ultimately call in order to put in an inquiry for services. Most leads are generated by referrals from the

5

elder law attorney and the NAPGCM website that has an option to Find a Care Manager. Most prospective clients locate Growing Options using the search tool at www.caremanager.org when they do a local search for Geriatric Care Managers in Fairfield, Connecticut. However, these sites direct traffic to Growing Options current website. Website Review Growing Options current website was developed in 2002 by a family member of Lisas. It is very simplistic. The first thing that appeals to an audience is how the website looks when they first click through from a search engine or type in the URL. The current website does not have the hook that is needed to engage the audience. The white background is very simple, and it looks its six years of age. There is currently no logo for Growing Options besides the text:

Growing Options Inc.Professional Geriatric Care Management The logo for the National Association of Professional Geriatric Care Managers (NAPGCM) is prominently displayed in the corner of the site and on each page as a sun with the letters GCM. It does not take a visitor back to the home page, so it makes it a little difficult to navigate throughout the site. Growingoptions.com has a simple layout with five tabs on the left of the page. These tabs are titled: "Home Page," "The New Millenium," "Who We Are," "What Is Geriatric Care Management?" and "Services Provided." Though the information on these pages is crucial to understanding what Growing Options and geriatric care management are all about, none of these pages have links to other pages embedded in the text to help

direct visitors. Each tab and page looks identical. At the bottom of every page there is an e-mail and a phone number to contact the company, which could be missed by some visitors if you are looking at the tabs. The point of the website is to educate visitors on Growing Options and the importance of the emerging field, geriatric care management.

Geriatric Care Management Industry Significance The elderly population is growing as the baby boomers, those born between 1946 and 1964, begin to retire. In fact, the Social Security Administration awarded the first baby boomer, Kathleen Casey-Kirschling, her social security check on February 13, 2008. Casey-Kirchling is the first in a long line of aging baby boomers and it is estimated that, over the next two decades, 80 million Americans will be eligible for Social Security benefits. With age comes health problems and added responsibilities for adult children of the baby boomers; thus the emerging field of geriatric care management has evolved to help the growing number of elderly in the United States. History In 1985, the National Association of Professional Geriatric Care Managers (NAPGCM) was formed and continues to be the leading professional association for GCMs based out of Tucson, Arizona. Initially, the acronym NAPGCM stood for National Association of Private Geriatric Care Managers, but by 1993 was changed to the NAPGCM, because it was not only a profession in the private sector but also in the public sector. In 1986, the NAPGCM had 50 members and in 2007 there were a total of 2,126 members. Members must have a minimum of a bachelors degree.

7

What is a Geriatric Care Manager? A Geriatric Care Manager (GCM) is a health care professional who specializes in the care of the elderly. The fees of a GCM are based on an hourly rate and range from $75 to $150 an hour depending on geographical location. By definition, care management is to, assess, arrange and evaluate supportive efforts of seniors and their families to remain independent, according to the U.S. Administration on Aging. Education/Certification GCMs have a background in a number of fields including, but not limited to, gerontology, social work, nursing, and psychology. In 2000, an AARP survey of the NAPGCM members showed that 19% held a bachelors, 68% held a masters and 7% held a doctoral degree; 37% had a social work license and 30% had a nursing license. 67% had more than four years of experience in the field. The two main types of certification are Certified Care Manager (CMC) which has been available since 1995 from the National Academy of Certified Case Managers (NACCM), and Certified Case Manager (CCM) which has been offered by the Commission for Case Management Certification (CCMC) since 1992. What is the role of a GCM? A GCM is responsible for facilitating services for the elderly, but also works with their caregivers, usually the adult children or other younger relatives of the aged client. The number of people who are caregivers to the elderly are described by the following results from a 2003 National Caregiver survey conducted by the National Alliance for Caregiving, It is estimated that 80 percent of all care received by older Americans is provided by family members spouses, children, grandchildren and other relatives.

The staple service provided by a GCM is the arrangement of services for clients. Those services might include working with a homecare agency to hire a home health aide or a live-in caregiver. Part of the facilitation of services involves having a large database of resources. According to the 2000 AARP survey, 74% of GCMs worked with a physician, 62% other social workers, 51% with other health care professionals, and 49% with attorneys. Mark Zilberman, a GCM and licensed clinical social worker, recently wrote an article for Caregiver Magazine, Professional Geriatric Care Management: The 1,000 Points of Light. In this article he outlines the general process that a GCM follows: 1. 2. 3. 4. Assessment: Initial assessment of the situation with the client. Care Plan: Steps to achieving a goal for the clients care are established. Implementation: Putting these steps of the care plan into action. Monitor: Keep an eye on the client and make any changes necessary.

In order to follow this process, a GCM relies on resources within his or her practice.

Resources Growing Options employee resources have tripled just in the past six months. They went from essentially two employees to six employees. Growing Options hired a

9

second GCM in July 2008. David Krauss has an active role as Chief Financial Officer in the practice as well. Other employees include a human resources manager and an administrative assistant. Industry resources that build credibility for Growing Options include the National Association of Professional Geriatric Care Managers (NAPGCM) and the Greater Valley Chamber of Commerce. The NAPGCM has referred many clients to Growing Options via their website; the NAPGCM is also a way for GCMs to stay current in their field. They hold annual conferences throughout the country. The Greater Valley Chamber of Commerce is something that Lisa has just joined since opening her office in Shelton, Connecticut. They have a number of facilities, workshops and networking opportunities available for Growing Options. Lisa Krauss is willing to invest in internet marketing efforts. She hasnt spent money on marketing before this year, and is willing to spend it to update her website and get Growing Options out in the news. A budget for marketing does not currently exist, but it will be discussed in the near future when they reassess their business plan. In order to do this, they need to evaluate internal and external market forces.

SWOT Analysis Overview The SWOT is an overview of the internal and external forces working for or against Growing Options. Internal forces are what Growing Options controls, their strengths and weaknesses as a practice. External forces are out of the control of Growing Options, but may have an impact on the practice. These are the market forces and include opportunities and threats. Strengths Excellent Reputation Member of the NAPGCM, Greater Valley Chamber of Commerce On-call 24/7 Clients call the cell phone of their GCM Referrals from elder law attorney Growing number of elderly i.e. Baby Boomers & adult children Long distance caregiving Increasing interest in home care/Aging in Place Trend Bad reputation of nursing homes or other residential care facilities Economy trying to conserve money for the care of their loved ones Legislation on healthcare Other GCMs Opportunities Weaknesses Time Management for marketing Knowledge of online opportunities Charging same hourly price for different kinds of services; same for emailing as dealing with a crisis. Keeping track of billable hours with clients

Economy Is a GCM worth the expense? Competition from other GCMs People who provide similar services for less (i.e. home assessments) Legislation on healthcare Residential Care Facilities

Threats

11

Internal Forces Growing Options biggest asset is Lisas spotless reputation. Her business has been successful because of consistent referrals from professionals she works with closely, especially the elder law attorney. Word of mouth has been primarily how she acquires new cases. She also attains new clients as a member of the NAPGCM, but it also gives her high credibility as a GCM. An important differentiation is that Lisa is on-call at all times, and every client has her cell phone number, so they reach her instead of getting sent to a voicemail in the office. Clients can feel comfortable that if a crisis arises with their loved one, they can get a hold of a GCM right away instead of calling 911. Growing Options hasnt done extensive marketing because of Lisas strong growth from her renowned reputation. Growing Options has operated off of referrals. Now that she is beginning to grow her business and is not the only GCM, she will need to attain more clients. She has a full time job with her own clients, so she doesnt have a lot of time to focus on marketing efforts. She does want to be involved, so its difficult for her to balance both being a GCM and growing her practice. Beyond the website, Lisa knows very little about the opportunities on the internet. She is very interested in updating the website and making necessary improvements to generate more leads directly from her website, and also wants to write articles to be published online. A weakness for Growing Options is that they charge a fee of $125 per hour as blanket fee for all their services. So, if a GCM is driving to an appointment or picking up a prescription or writing an email, the client is still being charged $125 per hour for each of these tasks, which range in difficulty. Part of Growing Options success has been that Lisa will diligently respond to emails, providing updates to the family almost

immediately following the visit with the client. Therefore, emails alone take up a large portion of her time. If there was a breakdown from $125 for each service that is provided it would give her an advantage. Clients have the money, but $125 an hour can be intimidating and may make a prospective client hesitate to sign the contract. If there was a breakdown of different charges for different tasks it may benefit her business in the end and attract more clients. External Forces The market is there, its our fault if we dont tap into that market, said Dave Krauss, CFO of Growing Options. The growing population of the elderly due to the baby boomers retiring is a huge opportunity. Adult children are the primary caregivers to the elderly. With todays world of cell phones and other technological advancements more adult children live far away from their parents or elderly loved ones, and feel that a call is sufficient and the occasional visit. However, once the elder loses his or her independence to dementia or other aging problems, the adult child is left to cope with long-distance caregiving responsibilities. The need for services from GCMs is increased by adult childrens desires to maintain their own lives and still be the caregiver to their elderly loved ones. The decision of how to facilitate care for the elderly is a difficult one. Aging in Place is a term that is becoming a trend for the future. According to their website, the National Aging in Place Council (NAIPC) has termed Aging in Place, as a national forum for individuals from the aging, healthcare, financial services, legal, design and building sectors to work together to help meet the needs of our growing aging population, so they can continue living in the housing of their choice. Thus, home health care has become a

13

booming industry as well, and is a big network for GCMs who usually generate business for these home care agencies. Nursing homes are an alternative, supervised, living environment for the elderly, but a September New York Times article written by Robert Pear revealed that, violations are reported at more than 94% of nursing homes. This statistic can certainly generate fear for caregivers who are looking at the care options in residential care facilities. The economy can play a factor for those trying to conserve the funds of their elderly family members, but it may convince them to get a geriatric care manager so they can make smart decisions. The state of the economy may be a deciding factor for some adult children that don't want to spend $125 an hour for a GCM. Other GCMs in the area have not received as much business from the one elder law attorney who Lisa works with the most, so it seems that she may have a competitive edge over the competition in the area. The field is growing steadily as other people realize the opportunities that lie with the geriatric population, so a competitor could be a threat in the future. Legislation on health care, such as laws about what Medicare and Medicaid cover, can impact Growing Options' business either way. For example, in the future, there might be an amount allocated in Medicare that will pay for the services of a GCM, which would mean an increase in business and a new market, but right now they do not cover the services of a GCM. Residential care facilities are a threat to Growing Options. Nursing homes, assisted living facilities and retirement homes are all competing for the same market. Some are beginning to offer their own version of "Geriatric Care Management" services which is an extra service that can be provided within the walls of the facility. Growing

Options is a private Geriatric Care Management practice, so people might not solicit an outsider if they can get help from the staff of the facility where their loved one is living. Target Market Analysis Introduction The target market is a specific group of people who a company wants to attract to buy their product or service. When trying to define a target market one must first do research and find out which market segment will be most effective. Since Growing Options is an established practice, they have narrowed down that basic target market are adult children. Adult children are adults between the ages of 35-54. These people are the main clients of the geriatric care management service. After ones basic information on target market has been obtained, it is now time to pursue deeper into their habits and lifestyles, demographics and psychographics. Demographics The target market for the geriatric population is mainly adult children who are in need of extra help with their parents. To get a better look at the target market we did our research on prizm.com. They segmented our target market into two different groups, the winners circle and the blue blood estates, based on Growing Options primary location in Fairfield County. The first segment that matched our target market was titled the winners circle. The winners circle, as described by Prizm, are people between the ages of 35-54, they are wealthy, making a six figure salary, have at least a graduates degree if not a masters, have kids, and live in the suburbs. The second segment are the blue blood estates, a 15

group of people between the ages of 45-64 who live a lavish life style making over six figures a year. They are educated with a graduate or masters degree, and have strong ties with family. Psychographics Using this information, one can determine that the target market for Growing Options is adult children who live in Fairfield County and have aging parents. They are able to pay for a private GCM, and have a need for their services. Many adult children turn to geriatric care management simply because they just cant be there all the time. There are services such as Growing Options to help with these responsibilities. The service, in the mind of the consumer, is positioned as something that they dont want to deal with alone. It is hard to make the decision to put your mother or father in the care of another person, but sometimes the situation calls for an extra hand. Growing Options is that extra hand that consumers know and like. Growing Options isnt just help for elders, the GCMs are there for the adult children as well, helping and guiding them through the whole process of aiding them in elder care and helping make the right decisions. In Fairfield County, Growing Options is not the only options for geriatric care management services.

Competition

The Jewish Home for the Elderlys Institute on Aging The Jewish Home for the Elderly is a non-profit nursing home located in Fairfield, Connecticut. The Jewish Home is currently offering a special consultation service that offer services similar to those provided by Growing Options. Their mission, as stated on their website states, Our team of geriatric professionals, our clients, and their caregivers will work closely together to help slow the progression of geriatricrelated disorders and enhance their quality of life (www.jhe.org). Their services, as listed on their website, include the following: Geriatric Care Consultation Memory and Cognitive Disorders Evaluation and Management Medication Management Caregiver Education and Support Social Service Coordination

Growing Options provides these services, but is not able to provide medication management to the extent that the Jewish Homes Institute does. It requires a license to disperse medication for others. Growing Options provides the services of handdelivering medication or calling in refills to be delivered to their door, but the GCMs cannot legally dispense the medicine into the weekly pill boxes that the Jewish Home might do, or monitor their patients on a daily basis. It might appeal to the conscience of an adult child to have a GCM providing services who works as part of the facility. The service of geriatric care consultation is what Lisa provides, but adult children whose parents are residents of the Jewish Home might choose to use the Jewish Homes Institute of Aging and their services over hiring a private GCM, who may be more expensive. 0100090000037800000002001c00000000000400000003010800050000000b0200000000 050000000c025e0bde0e040000002e0118001c000000fb021000070000000000bc0200000 17

GeriCare Solutions GeriCare Solutions is a geriatric care management practice like Growing Options, and the content of their websites is very similar. GeriCare is located in Stamford, Connecticut also part of Fairfield County, and close to Growing Options. Gericare is run by one GCM, Bette Bonne. According to Gericares website the following services are provided: Consultations Assessments Home Visits Set-up home care Referrals Crisis Intervention

Bette Bonne is certified to practice in Connecticut and in New York. GeriCare is a big threat for Growing Options because they are so similar and located close to each other. Both companies are located near Interstate 95, so their territory overlaps in Fairfield County. GeriCare provides another private GCM for adult children besides Growing Options. In order for Growing Options to remain successful and competitive in the field, they must keep track of their competition. 0100090000037800000002001c00000000000400000003010800050000000b0200 000000050000000c025e0bde0e040000002e0118001c000000fb021000070000000000bc0

Participant Print Area General Profile Digital Profile Focus Demographics Psychographics Technographics Key Highlights or Insights People aged 35-54, six figure salaries, educated, live in suburbs, strong family ties Fastest growing demographic online. They have children, so online shopping is convenient and using internet research to make purchasing decisions. Exploring new media such as social networking, blogs, and twitter. Average of 20 clients at a time. Some are more active than others. Continue to use Growing Options services for the rest of their lives.

Individual Profile

Current clients

Porters Five Forces Porters Five Forces cover five aspects, substitutes, competitors, rivalry, customers bargaining power, and bargaining power of suppliers. These need to be considered when assessing where a company stands in the market next to competition. There is always a threat of substitute in the business world. For Growing Options there are not many in the Fairfield County area, but they still need to stay on top of the

19

market for potential substitutes. Staying the number one geriatric care manager in her area is something that Lisa wants to do and to do that they need to be more aware of the market that more and more people will try to tap into. As the market gains attention, more and more substitutes for geriatric care management services will be available to the target market. The threat of competitors is always there. The truth is that the client has a choice, and geriatric care management is a field which is personal for the client, both adult child and elder. Then it becomes a game of price for which company takes the case. For Growing Options, a few competitors would educate adult children about geriatric care management making them more liable to make comparisons between practices. If Growing Options markets their differentiating features, they will attract more clients, and, because of the way they do business this may appeal to adult children who are weighing the differences between two practices in order to make a decision. Rivalry between two practices encourages both to do better. For the case with Lisa she has no direct rivals currently, but she is constantly trying to find ways to improve Growing Options. In a way, Lisa's biggest rival might be herself, if she is always trying to find better and easier ways to run her business, than she is constantly improving herself and the business. This is important for a geriatric care management practice, because if a GCM doesnt adapt to changes well, they will lose their edge in the market. The elder law attorney gives a list of geriatric care managers to her clients to choose from, but one adult child who is a client and called multiple GCMs on the list said, "Lisa was the friendliest and I felt most comfortable going with her." For Growing Options, the bargaining power of the clients is low because Growing

Options is the one of few geriatric care management practices in Fairfield County. Since she is one of few, she has the control over price and who she takes on as a client. The cost of specific GCMs is not easily accessible, such as being displayed on the website because it is a significant cost. She is also face-to-face with the client and actually working with the client to build a relationship which will yield positive results. Most people who manage their own business might not have as much customer contact, but geriatric care management is a field where the GCMs provide the service and work directly with the clients. Due to the fact that Growing Options provides a service and not a product, supply power lies in the hands of the GCMs. The more GCMs that Growing Options hire, the more supply power they will have access to because supply power equals the knowledge and skills of a GCM. They hired their first GCM to work with Lisa this year, and that is just the first step towards increasing the supply power of Growing Options. Goals Goal #1 Update the website so that it reflects the current state of Growing Options. Growing Options is no longer just one GCM. They are growing, and their website needs to stay up-to-date with the current happenings at Growing Options. It should include testimonials, profiles of GCMs and current events affecting the field for research purposes that might interest a prospective client. Goal #2 Educate target market on the field of Geriatric Care Management and services provided by Growing Options using the internet.

21

The best market is an educated market. Spreading the word about what geriatric care management is remains an important task. Using online tools, such as new media, to introduce geriatric care management to the public will be effective in encouraging people to visit Growing Options site.