There's no doubt the veterinary landscape is changing, and the last few months have seen veterinary practices face some major challenges. For instance, you've seen:
- An increase in the number of practicing veterinarians at a time when the number of pets has declined
- Big-box stores and wholesale clubs trying to claim your tick, flea and even heartworm business
- A worrying trend of pet vaccines now being offered to pet owners at pet stores, street-corner pharmacies and even gas stations
- Your integrity called into question on ABC's 20/20 in one of the most one-sided pieces of TV journalism ever screened
Well, if you thought things couldn't get any harder for veterinary practice owners, then think again. Those lovely politicians in Washington, D.C., are trying to give veterinarians another kick in the teeth.
That's right, the "Fairness to Pet Owners Act" (or H.R. 4023 as it will be known) has been introduced into the U.S. House with bipartisan support.
H.R. 4023 would require veterinarians to provide clients with written prescriptions for domesticated household animals regardless of whether such a prescription is requested by the client. Further, veterinarians would be prohibited from charging a prescription-writing fee or asking clients to sign a liability waiver related to writing the prescription.
What this means to your practice
So how does this affect your veterinary practice? Well, consider the following scenario…
Mrs. Smith brings Fluffy in for her annual exam, at which time Fluffy is given a heartworm test. Fortunately, the test comes back indicating Fluffy does not have heartworms. If this scenario played out in your veterinary practice today then, at this point, you would offer Mrs. Smith a heartworm preventative for Fluffy.
However, if H.R. 4023 becomes law, you would now be required to write Mrs. Smith a prescription for heartworm preventative, regardless of whether she was going to buy your heartworm preventative.
Apart from the extra administrative burden this creates, what this effectively does is encourage your clients to go elsewhere for their prescriptions. It also gives clients who are on the fence about being compliant with your heartworm recommendation an excuse to not comply because they can take the prescription away from your practice on the premise that they will get it filled when they leave.
How can you prepare?
There's a good chance that the Fairness to Pet Owners Act won't actually come into law. In fact, the last time it was introduced into congress in 2012 (then H.R. 1406), it never made it out of committee. However, there's no telling what might happen this time around.
So what can you do to prepare if it does come into law?
The first thing is to turn giving a prescription into an advantage for your practice. So you and your team need to talk up the benefits of getting a pet's prescription from you rather than elsewhere.
That means talking about the convenience of getting their prescription filled while pet owners are in your practice rather searching for it elsewhere. It means talking about the reasons why you trust the brand you use and the risks of going elsewhere. It means giving them the reasons as to why they should get the prescription filled now rather than tomorrow or days from now.
It also means changing your current thinking to provide your clients with options that the online pharmacies and big-box stores can't offer.
For example, let's go back to the example above of Mrs. Smith and Fluffy. Typically, the only heartworm preventative options Mrs. Smith has available to her are to buy a six-month or 12-month supply.
To make the numbers easy, let's say a 12-month supply of your recommended heartworm preventative is $120. That's not an inconsiderable sum, especially when added to the other costs of Fluffy's wellness exam, and Mrs. Smith may have to think twice about spending it.
But what if you offered her the chance to purchase Fluffy's heartworm preventative on a month-to-month basis? What if you offered to mail it out each month? And what if you offered to do this for just $14 or $15 per month?
Now you are offering Mrs. Smith something she can't get elsewhere. You are offering her a more attractive way to pay, as pulling out $15 today is not as painful as pulling out $120. Of course, you will actually make more money ($180 for a 12 pack, rather than $120). There will be additional mailing and admin costs, but they are covered in the additional price.
Another benefit is that compliance is likely to go up. Once per month Mrs. Smith will receive a tablet in the mail, which she just has to put in Fluffy's bowl.
In the case of heartworm preventatives, there is also another way to offer something the online pharmacies and big box stores can't. That is to offer it free as part of a wellness plan that also incorporates wellness exams, etc.
Prepare now and you won't have to worry
Consider this: The big box stores have effectively turned preventatives for heartworm, flea and tick into commodities. Mobile vets are trying to do the same with pet vaccines by offering them without a wellness exam at gas stations. However, there is nothing more commoditized than coffee, yet Starbucks is able to offer it in a way that differs from their competition and at premium prices.
The big takeaway here is not to worry too much about the Fairness to Pet Owners Act. Instead, start thinking of ways you can differentiate your service. And if you start being different now, not only will the Act (if passed) have a little effect on your business, but you will actually start to reap the benefits now.
