6 Ways Millennials are Disrupting the Sale and Delivery of Healthcare
Millennials, or the young adults of today, are the largest and most influential generation in United States history. They have grown up in a technological boom, changing the way they think, act, and demand. Already we are seeing changes in the way that healthcare is delivered, branded, and sold that reflect the unique Millennial mindset. Check out these six ways Millennials are impacting healthcare.
1. In-N-Out Healthcare
Millennials are often called the “microwave generation” or “drive-thru generation". They have been raised on convenience, and they expect quick, efficient service. This may account for why, since 2008, investors have put $2.3 billion into urgent care clinics. In order to stay in the game, big box retailers, pharma, and even commercial insurance companies have started their own urgent care practices or partnered to form business relationships with existing clinics.
Traditional practices seeking to expand their business will need to promise and deliver in-and-out service. Without advancing with this generation, these traditional practices may not see as much, if any profit. The business model is simple: treat as many patients as possible, as quickly as possible. Basically, urgent care offers a low-margin, high volume value proposition.
In an average minor medical clinic, according to the New York Times, most people are seen in less than 30 minutes, with an average bill of $155 per patient visit. Considering that a typical physician will see around 30 or 35 patients each day, it’s easy to see how money starts to add up.
2. They Avoiding Going to the Doctor
In 2010, it was noted that a significant percentage of patients were starting to avoid managing their healthcare. There is a two-fold reason behind this trend: trust and cost. According to a paper, published in the Journal of Advanced Nursing, several qualities are essential for establishing trust and successfully connecting with patients of this generational age group:
- The practice must exhibit altruism, compassion and community involvement.
- The physician and staff must have a critical attitude to the mainstream.
- They must engender neutrality to gain the loyalty and trust.
- The healthcare providers should exhibit persistence and tenacity when encouraging follow-up.
- The practice will offer greater flexibility regarding payment as well as, scheduling.
- They office staff and physicians should practice optimism, diplomacy, patience, and creativity as well as exhibit immunity to stress.
As far as cost, because the Affordable Care Act didn’t come without financial burden, it has contributed to issue of healthcare avoidance. As recently as March 2015, if was reported that 54% of millennials regularly delay or avoid medical treatment. The cost of premiums is one reason many millennials consistently give for remaining un-enrolled in health care coverage.
We know that if this trend is not curbed, the costs of healthcare will soar. Delays in seeking healthcare at appropriate times can lead to more complicated, costly procedures down the road.
3. They Expect More
The millennial generation expects to have an upfront estimate of fees, and will likely ask for services to be bundled since they are paying out of pocket. Despite being unprecedented in past generations, free consultations will have to become standard in healthcare.
4. They Want Social Proof
Millennials actively seek out reviews and advice from social media sources in order to validate the type of care they are looking for. For example, Healthgrades.com is a source they often use for finding this experiential type of information. The site estimates that 30 percent of all patients will read reviews, before making an appointment.
5. TECH + Data = Healthcare
The marriage of healthcare and technology has blossomed into a thriving industry largely because of the influence of Generation Y. The trend is really a win-win for all concerned. Wearable technology can record and save health-related data which offers valuable insight to providers. It is expected, with increased connectivity through the Internet, that practitioners will eventually deliver valuable feedback through the device itself.
6. You’ll Need an App for That
Because millennials manage their lives via their smartphones, they would like to maintain their health from them, as well. The irony in this phone-obsession is that since this generation hates to make and receive phone calls. In order for a medical practice or an insurance provider to actually connect, mobile app development is essential.
Millennials, as the largest generation, have unprecedented power and control over how things are getting done today; healthcare is no exception. To stay relevant in the insurance and risk adjustment industry, new and innovative solutions have to be considered. To learn more about effectively connecting with the Millennial generation, contact us today.