WATERLOO, IA – Providers are curious about how to boost their efficiency in the world of online HME retail. Automation is fine, but how much is too much? Cassi Price, president of VGM Forbin (pictured below) presented on the topic (along with Lindy Tentinger, president of VGM & Associates) at Medtrade earlier this year at the Kay Bailey Hutchison Convention Center in Dallas.
Medtrade Monday sat down with Price to talk about the main concerns and challenges that accompany any sincere attempt to boost online sales. Old fashioned personal service is still important in this industry, but what functions can reasonably be automated?
Medtrade Monday: How would you describe the current “level of sophistication” among HME providers when it comes to online HME retail? High? Low? In between?
Price: In our assessment, the current level of sophistication in online HME retail is somewhere in between. While some providers have made significant strides in adopting advanced digital strategies, many still lag behind. We’ve observed a mix of basic e-commerce platforms with poor design or catalog experience to an online retail experience that rivals any big box online store. A trend I’ve seen lately in HME sites is linking out to manufacturer sites instead of keeping a catalog on their site. This is a terrible mistake as you’re driving away your hard-earned organic traffic by sending users to other sites, never to return to continue their business with you.
Many providers we’ve spoken with dream of expanding their services but are overwhelmed with the idea of creating an online catalog, and the behind-the-scenes juggling of inventory, logistics, and online sales. Fortunately, we have seen a growing awareness of the need to improve online capabilities, driven by the increasing importance of online channels in the HME industry.
Medtrade Monday: When you presented on this topic (Efficiencies in Online HME Retail: Where to Automate and Where to Innovate) at Medtrade 2024, what were the main questions/concerns that you were hearing from attendees?
Price: Key takeaways from our presentation at Medtrade 2024 were how to balance automation with good old fashioned personal service and expertise. Many providers struggle to allocate appropriate time to their online store, often resulting in lackluster performance online. However, if they automate too much, they have lost the sense of personal, authentic service their customers feel from them.
Medtrade attendees asked about the best ways automate repeatable functions and they wanted to learn where to lean into authentic, expert service. An example of this would be automating your email notifications for different repeatable functions on your site, such as abandoned cart emails—but making sure they are set up to add personal touches while also focusing on addressing questions that come in through the site or over the phone with a real person.
Medtrade Monday: How big of a threat (if any) is Amazon to online HME retail?
Price: Amazon’s presence in the HME market is undeniable. While Amazon can leverage its vast resources and logistics network, HME providers must lean in to their unique passion for service and product expertise, which is often lacking in the Amazon model. Providers need to showcase their in-depth understanding of HME products and services. Amazon cannot compete with this. To further mitigate the Amazon threat, HME providers need to focus on an elevated online ordering experience with a user-friendly ecommerce platform, SEO, and content marketing that will engage patients.
Medtrade Monday: How can providers compete with Amazon’s sheer speed?
Price: It’s true that Amazon has changed the consumer expectation of quick transactions and speedy delivery which can be hard to compete with. But HME providers can focus on what they specialize in where Amazon cannot—local, human customer service, setup, and repair, insurance coverage, training, consultation, and product expertise. And you can easily add the speedy delivery updates and quick transactions with the right development team that understands the HME industry.
Medtrade Monday: What is the biggest opportunity for automation in online HME retail?
Price: We see the opportunity for automation in order processing and fulfillment. Automating these tasks significantly reduces costs, increases efficiency, and minimizes human error. VGM’s VGM Fulfillment growth has proven this to be true. For that reason, we started offering HME providers who are VGM Fulfillment customers our HMECommerce solution to capture the benefits of these automation opportunities. This eliminates the hours spent by staff on manually fulfilling orders and communicating with patients on order status because it is all built into this platform.
Medtrade Monday: In what areas of online HME retail should providers avoid automation?
Price: As we discussed during the presentation at Medtrade 2024, providers should avoid automating where they should be providing personalized support. Building relationships with patients, healthcare professionals, and referral sources demands a personal touch that automation or AI can’t replace. This might be by ensuring callers reach a real person on the phone or via webchat. To take this one step further, you may be semi-automating your blog content or social posts too often, where you should be showcasing your true expertise with involvement in your marketing content. Give a real face and voice to your brand.
Medtrade Monday: We’ve been hearing about the rise of AI throughout 2024, but how much “AI innovation” is too much, particularly considering that many of providers’ patients are elderly?
Price: As HME online marketing experts who have been developing solutions for this demographic for over 25 years, we strongly encourage providers to keep balanced between AI or automation and the human touch to meet the emotional and social needs of patients. Your online platforms need to be accessible, user-friendly, and accommodating for seniors or individuals with disabilities using an accessibility-focused design. Possibly, get a web accessibility audit done to see where your opportunities for improvement are on your current site. Any use of chatbots or AI to serve patients should be done with the signals to switch to human service at the tap of a finger or click of a mouse to avoid frustration.
Medtrade Monday: What areas of the online HME business are particularly ripe (and logical) for innovation and automation?
Price: Supply chain optimization can help streamline inventory management, reduce costs, and improve delivery times. Another area that is ripe is patient engagement. Providers are busy wearing multiple hats, utilizing AI-powered chatbots and virtual assistants can facilitate timely communication, support, and education for patients. Of course, we encourage providers not to allow this to take the place of their personalized support.
Medtrade Monday: What is the biggest misconception about innovation in online HME retail?
Price: The biggest misconception is that automation will replace human interaction entirely. In reality, strategic automation can increase human capabilities, freeing up staff to focus on high-touch, high-value tasks that require empathy and expertise.
Cassi Price, president of VGM Forbin, began her tenure with the VGM Group Inc. family. in 2007 when she joined OPGA, a membership community under VGM & Associates. In 2011, Price transitioned to VGM Forbin, where she embarked on a decade-long trajectory of growth and leadership. During these years, Price held various pivotal roles. In 2024, she returned to her roots at VGM Forbin as its president.
RELATED: Additional Medtrade Monday Q&As w/ VGM experts.
Rhonda Buhrmester – Audit Climate: Taking The Temperature
Jim Greatorex – Home Modification: The Reactive And The Proactive
Alan Morris – Bringing Value To Referral Sources: The Message Matters