How to Convert Patients on a Budget: The Importance of Outside Financing
“That’s out of my budget. I can’t afford that.”
How many times have you heard a patient bring up this objection during a consultation? Trust me when I say you are not alone. If you are like most aesthetic providers, the answer is probably multiple times a day. Pricing that is out of a patient’s budget is one of the top five most common objections.
So how do you handle this objection? Do you offer a discount? Do you offer alternative treatments, services, or procedures that cost less, perhaps won’t yield the same results or even yield the best ROi? but might not yield as great of results?
One of the critical elements I teach in my sales training courses is when objections arise, it is more about what you DID NOT say vs. what you DID say.
I view objections as opportunities. They indicate that you have either not shown the patient enough value, you didn’t uncover the real emotional need beneath the surface, or perhaps you did not offer a solution—such as outside financing options.
Let me explain a bit more by giving you a scenario and a sample script.
Say a patient comes to you wanting a tummy tuck (in a plastic surgery practice) or body contouring (in a medical spa). At this point you have gone through our Sales Training course in APX Platform, you understand the LAER communication model–Listen, Acknowledge, Explore, Respond. You are great at asking a series of questions. By doing this, the client’s answers are giving you critical details as to their emotional state, how long they have been looking, their commitment level, their budget, and what they are looking for in an aesthetic practice.
You educate them on the treatment plan you recommend, they ask the price, and then they say they cant afford it..
“Well, Jane…I completely understand this is an “investment”… But what I heard you saying is that you are feeling old, and your stomach has loose skin after having a baby, so you don’t feel great in your bathing suit. I completely understand how that would make you feel. Based on what you said, the treatment plan I’ve educated you on is what you need to improve your laxity, and get you feeling more confident.
If moving forward with this treatment plan will make you feel more confident and more like your old self and pre-baby body, how much would that mean to you? I understand it is an investment but let me share with you a couple of financing options. What type of budget did you have in mind? We work with two different companies that offer 0% interest for 24 months and a payment that could be as low as $150 a month that can get you the results you want. Is this something you could afford?”
Do you see how introducing and offering financing to your patients pro-actively during the consultation can result in more conversions? It makes so much more sense than trying to devalue your hard work, skill, and time by lowering the price of your services or losing the potential patient altogether.
The Benefits of Outside Financing Options
Offering financing options can help you:
- Enhance your Unique Value Proposition (UVP) that every team member should be able to communicate effectively
- Boost your consultation conversion rates and increase long-term retention rates
- Drive more traffic to your practice
- Attract more millennials as more than 50% of millennials (according to a recent article by mybanktracker.com don’t have or want a credit card and prefer payment plans)
- Get paid in full upfront and increase your cash flow
- Reduce risk of accumulating uncollectible accounts receivables from patients who do not repay their loans
Types of Financing
There are many financing companies to choose from with a variety of options for payment plans that range from 12 months to 60 months, various lines of credit limits of up to $5,000 with no down payments, and some do not require a hard credit check. Some companies even have an app that requires no paperwork and gives instant approval, so you can get the procedure/service booked before the patient leaves the office. It is always a good idea to compare the features each company offers to see which one fits best with your practice.
How to Use Patient Financing Options in your Marketing
- Prominently feature that you offer financing options on your website. Place a button prominently in multiple places) where they can click to either apply or get pre-approval before they come in for their consultation. Many companies provide a custom link for you.
- Make sure your entire team, especially your front desk team and providers who are conducting consultations, can articulate that you offer financing options. Encourage patients to apply before they come and get approval so they can schedule their procedure or service immediately.
- Spread the word in all your ads (if you run them), social media posts, or in all your patient newsletters you send out that you offer financing options.
- Have a tablet in your waiting area that patients can apply for approval while they wait to be seen if they have not done so beforehand.
As always, our team is here to offer best practices and support your growth.. If you have any questions about offering financing options, please feel free to reach out or post a comment below, and we will be sure to follow up.
Our comprehensive sales course within APX Platform, goes into detail on handling budget and other objections as well as training your team to be able to articulate your Unique Value Proposition, and other strategies for consultations that convert.