Manufacturers Becoming Our Direct Competitors Comments Part 2

Manufacturers Becoming Our Direct Competitors Comments Part 2

Jon Hess

4/22/2014

Here's part 2 of the comments.

 

 

I ran into a situation with DonJoy which we know sells directly but patient
and physician wanted DonJoy brand. The patient had no insurance so we agreed
to discount the price and set payments. Then the patient called DonJoy and
was quoted a price $100 LESS than what they would sell it to us! The patient
called wanting to know why we were marking the price up so high. I had to
explain that we could not even buy it as cheap as they were quoted. There is
no way for us to compete when they sell to the public cheaper than to O&P
providers!

 

 

Jon,

 

Thanks for the note. My practice is primarily prosthetics but have used AZ
afo on a regular basis when they were needed. Done! I'm personally sending
then a letter letting then know my displeasure in their inability to
maintain an upstanding business model. Thanks and have a good weekend.

 

 

 

 

Not sure why you surprised. You know Ivan Sabel was owner (and I bet he
still has his grip on it) of Hanger.

 

 

All of our local hospitals and neuro offices stock Aspen collars and
different types of LSO's. Our ortho offices stock Bledsoe products. They no
longer send bracing to an orthotist but fit these brands in the office or
hospital. Many brands will only sell to O&P but those will sell to anyone.
There is also a local Townsend rep that goes to the MD's office to cast or
measure the pt for knee braces and fits and bills them himself without going
through an O&P company. I know this because he contacted my office to do a
Medicaid pt for him because he couldn't bill the insurance. He wanted to
come in with his pt to our office but have us do the billing. Again no
loyalty.

Use this information carefully. Making the manufacturers angry by outing
them may only make them cross us more.

 

Thank you for informing me. It does bother me and I am going to write
Arizona Brace a letter on Monday and inform them why I will no longer be
using them.

 

Thank you

 

 

This is one reason to patronize companies like Allard USA and SureStep
because these two companies will educate your referral sources but NOT sell
to them. They have your back in building your business and referral base.

They're loyal to you and have earned your consideration to be loyal to them.

Other carbon composite AFO manufacturers actively pursue your referral
sources and sell to them behind your back!

 

 

 

 

How about DJO, Breg, Bledsoe, and Ossur. All 4 of these companies not only
have stock-n-bill operations but they also have inventory control programs.
They then teach the doctor's office how to bill and what is profitable.