For example, consider the restaurant business model. In most mid-scale restaurants, the difference between revenue from one table to the next—the appetizers-only table versus the full meal and wine table—is about a hundred dollars or so. Therefore, since one seat is not worth that much more than another, in order to maximize profits the restaurant owner needs to see consistent turnover, while maintaining a commitment to quality that keeps people coming back.
Advantages of Having a Dental Practice
Compare that with the dental practice model. For a dentist, there are only so many patients you can see in a day, and in fact a large increase in volume is a path to stressfulness rather than a path to growth, unless you have a transition plan to accommodate increased capacity. That’s your limitation.
Unlike the restaurateur, however, a dentist with the right clinical training and confidence has a range of possible revenue from each patient seating in the dental practice that varies tremendously – from the most basic services to complex restorative procedures that bring in anywhere from $5000 to $30,000. And unlike the restaurateur who has to buy more food and pay more staff to serve more people, your expenses don’t go up significantly when doing comprehensive cases; so the majority of revenue increases go straight to the bottom line.
In other words, real success in dentistry is not necessarily about getting more people through the door. It’s about going deep with the patients you have. That’s how you springboard to the next level. And best of all, the better you become at getting acceptance for great dentistry, the better care your patients receive. Everybody wins.
This is an incredible business advantage, one that I think not enough dentists fully appreciate. The possibility of going from good to great—with the patients, the team, and facility you already have—is right there in front of you. But, like all advantages, it does you no good until you make the choice to seize it.
If you find topics like this helpful, check out Imtiaz Manji’s practice management courses available to you through our Course Library. Not yet a member of Spear Online? Click here to learn more.