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The Definitive Guide to Medical Equipment Procurement and Planning

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As a medical supplier, you are primarily concerned with selling your items. On the other side of the equation are the group purchasing organizations (GPOs) and purchasing departments in hospitals.

To improve your sales, you need to understand what hospitals and GPOs expect from the medical equipment procurement process – a process that can take months or even years to complete in some cases.

With this guide, you can gain a new perspective on the medical sales cycle and learn how to make your sales process easier and more beneficial for your customers.

Key Takeaways

  • The medical sales cycle is a complex process that requires careful negotiating through all the steps to close a sale.
  • Medical suppliers need to get to know key influencers in the medical procurement process to understand the needs of potential customers.
  • Sales representatives should provide clear and complete information throughout the medical sales cycle.

Medical Sales Cycle Overview

Medical equipment procurement can also be called the medical sales cycle. It can be a long process. However, it is something that hospitals and suppliers want to get right. Carevoyance breaks down this cycle into nine steps:

  • Documenting the customer journey
  • Identifying target customers
  • Locating key decision makers
  • Discovering your prospects’ goals
  • Raising awareness of your products’ benefits
  • Building trust with prospects
  • Presenting solutions
  • Following up with next-step goals
  • Closing a sale

Who Is Involved in Medical Equipment Procurement?

There are numerous decision makers involved in the buying process for any hospital. Usually, one of the most important people in this process is a hospital purchasing agent. It is this person’s job to make sure a hospital has all the supplies, equipment, and tools it needs to deliver the best patient care. They also want to get the goods they need at the best possible price. 

Here are some of the most common responsibilities for a hospital purchasing agent:

  • Negotiating contracts
  • Administering contracts with medical suppliers
  • Finalizing sales
  • Monitoring shipments of goods
  • Analyzing data to maintain budget limits

As a medical supply company, you should be familiar with hospital purchasing agents, their goals, and how you can help them reach those goals. One important thing to remember for everyone involved in procurement is that all outcomes should be focused on improving patient care. 

Creating an Effective Sales Strategy for Medical Equipment Procurement

To master the hospital procurement process, you need an organized plan that will get you through every step of the sales cycle. These five stages can help you create an effective strategy that will make it easier to navigate through the complex medical sales world.

1. Get to Know Key Opinion Leaders

When selling medical equipment to a hospital, you will want to get to know some of its key opinion leaders (KOL). These are people with major influence in the hospital and could include the medical director, hospital purchasing agent, hospital executives, or even researchers. 

These people may also be part of a larger Value Analysis Committee (VAC), whose primary responsibility is overseeing the procurement process, especially of major hospital equipment.

Once you have established a connection, you can talk to your contacts about their needs and goals. This will help you understand what kind of solutions you can offer them.

2. Present Pertinent Research and Data

Collect all necessary data and research regarding the equipment and supplies you plan to present to the VAC or hospital purchasing agent. This could include studies, FDA information, MSDS documents, and product literature. Having all of this information on hand can help make it easier to close a potential sale.

By the time you reach this point in the sales cycle, the purchasing team likely already knows a lot about your product. According to a 2019 study by Gartner, many B2B buyers want suppliers to act more as an “information connector” to help organize the vast amounts of information in an easy-to-understand way. 

The study also indicated that providing information that is designed to help buyers make progress in their purchase decision will have the biggest impact on sales. It is three times as likely to lead to a “high-value, low-regret” sale.

3. Be a Thorough Negotiator 

While hospitals care about the cost of medical suppliers, the lowest price is not always the best deal. When negotiating with VACs, make sure all of your bidding information is complete. Offer them more than just the lowest price. Tell them how your product or solution can help reduce their costs and how it will affect patients and hospital staff.

Be prepared to answer tough questions about your competition and how your pricing may differ from theirs. If your cost is higher, defend your pricing by emphasizing the value and other fundamental values of your products. 

This YouTube video offers practical negotiation tips you can use when working through the procurement process.

4. Offer a Trial Phase 

Depending on the product you are selling, some hospitals may feel more comfortable proceeding with a sale if they can test the product first. You can offer a discount during the trial to encourage hospital staff to try the product.

Make sure you thoroughly outline the parameters of the trial including how long it will last and any limitations. Communicate frequently during this time so you can answer any questions and continue to emphasize the product’s capabilities.

5. Maintain Honesty Throughout the Process 

Honesty is a key trait in any successful sales representative. There may be times when you might not want to share specific information. However, by always delivering complete and truthful information, purchasing groups will respect you, even if you do not complete the sale. This could lead to sales in the future.

By using these strategies whenever you start a relationship with a potential customer, you can quickly become an expert in the complexities of medical equipment procurement.

Avoid Roadblocks in Procurement Planning

Because medical procurement is such an intensive process, you want to recognize and/or remove any potential roadblocks as quickly as possible. This could be as simple as making sure the technology in your products is compatible with the computer systems in your contact hospital. 

You do not want to be further down the sales funnel before realizing your solution is not compatible with their technology. The key to doing this is continual communication through every step of the process.

Share Moving Media Can Help You Improve Your Sales Potential in the Medical Sales Cycle

Even with a complete understanding of the medical equipment sales process, it can still feel like you are not making any progress. If you need a boost in finding new customers, Share Moving Media can help. We specialize in helping medical suppliers reach their target audience through a range of media sources and marketing strategies.

If you are ready to increase your profitability in the medical equipment procurement process, contact us today to get started!

5 Freight & Shipping Challenges in the Healthcare Supply Chain

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There are over 2.14 billion consumers around the world who shop online. Even those who shop in a physical store may still order a product online because it’s out of stock. In addition, healthcare and medical personnel are also turning to online stores to make purchases.

To meet the growing demand for shipping products, you also need to meet the accompanying challenges.

Getting healthcare products from medical suppliers to the customer isn’t always easy. Here are five common freight and shipping challenges in healthcare to address for a seamless supply chain.

Key Takeaways

·       Fast and reliable shipping is essential to the healthcare supply chain

·       Costs and requirements for shipping often fluctuate

·       Communication and support should be customer-focused

Continually Changing Costs and Requirements

The added cost of shipping isn’t pleasant for anyone to see, especially in a society where free shipping is becoming the norm. Sometimes, extra high shipping costs are so off-putting to the point that you could lose customers over them.

One reason why the cost is a significant shipping pain point is that it’s unpredictable or unclear. It changes depending on a product’s:

  • Dimensions
  • Weight
  • Location
  • Carrier

In addition, healthcare workers often need special services for their products, such as temperature-controlled shipping or fragile labels. In the end, shipping costs may sky-rocket, leaving customers wondering if the price is fair or the manufacturer is just trying to make a profit.

Your Solution: You can create charts and shipping calculators for your customers to use. These estimates will give your customers a better idea of what to expect and where the added charges came from, so the costs don’t catch your customers off guard when they arrive at the checkout.

You can also do your part to cut shipping costs so your customers aren’t as startled by high prices. Plan your freight routes and location of supplies to cut back on unnecessary shipping charges.

Increased Errors Due to a Lack of Automation

When humans are involved in a process, errors are inevitable. As a result, the more humans do, the more errors will occur. On the contrary, the more tasks you automate – the fewer errors will occur.

Already, 62% of businesses use automation in their workflow. One of the top workflow challenges that automation solves is communication issues.

Errors in shipping lead to returns. In the U.S., returns peak in January at 1.75 million packages returned a day.

Your Solution: Through automated systems, medical suppliers and healthcare facilities can cut down on returns and shipping errors. These systems can:

  • Log inventory needs
  • Communicate purchases
  • Streamline orders
  • Track packages

Lack of Communication within Departments

A healthcare supply chain involves many pieces that link together. However, when one link breaks, the entire chain falls apart.

For example, the healthcare worker ordering supplies isn’t usually the same person who uses the supplies. So, often, what they order and what workers need are very different. In addition, the person doing the ordering may select the wrong shipping speed and either spend too much on fast delivery for unnecessary supplies or neglect to purchase expedited shipping on urgent supplies.

In companies with over 100 employees, miscommunication costs the business an average of $420,000 each year.

Your Solution: Communication is key to keeping your supply chain together with effective supply chain management. While you can’t control a healthcare facility’s inter-company communication, you have one way to help eliminate errors due to communication. Encourage healthcare workers to consolidate their medical suppliers to one or two companies.

In this way, as the medical supplier, you can track their purchasing history and identify errors and inconsistencies. With timely communication, you can save both yourself and the healthcare facility money by confirming flagged purchases. One way to promote consolidation is by letting healthcare businesses know that they save money when only one company ships their supplies versus paying for shipments from multiple locations.

Unreliable Shipping and Handling

In the U.S., over 1.7 million packages disappear every day, resulting in a total of $25 million in lost goods. A lost package is a big deal for healthcare workers, especially if it includes life-saving equipment or time-sensitive supplies.

Healthcare facilities also need to know that when their packages arrive, the contents will be safe. For example, a broken piece of equipment could be life-threatening. Also, many supplies need a temperature-controlled environment or other special shipping instructions.

If a healthcare facility can’t trust that their supplies will arrive undamaged, they will lose trust in the entire medical supplier.

Your Solution: You shouldn’t feel stuck to one shipping supplier. Instead, find a fast and reliable shipping solution that can handle all your special requests and address your freight challenges in healthcare.

Lack of Customer Support for Shipping Challenges in Healthcare

When things go wrong, your customers need to know you have their back through reliable customer support. About 95% say customer service is vital for brand loyalty.

Healthcare providers need to know they can count on you when their package is lost, damaged, or wrong. However, all too often, customers can’t get ahold of someone capable of remedying the mistake. Alternatively, customers end up struggling to find a solution through an automated phone system.

Your Solution: You can build trust with your healthcare customers by offering easy-to-access customer support. Providing 24/7 support is essential in the healthcare industry as many medical workers are on duty around the clock. They need to know they can count on your support no matter when their product issues arise.

One way to eliminate many issues is by creating a patient-centric supply chain. In this system, you provide a reliable tracking system that alerts your customers where their package is, along with updated arrival predictions and a way to give customized delivery instructions.

Contact us to learn more!

5 Topics Every Healthcare Sales Training Program Should Include

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Healthcare sales is far more complex than most other fields of sales. Due to the additional obstacles involved, it also requires additional training.

Unfortunately, 26% of healthcare sales representatives say their training has been insufficient.

On average, investing in well-trained and successful sales representatives costs $1,459 per trainee. However, that cost is worth the investment. Healthcare companies that make that investment see their revenue increase by 95%.

Most comprehensive sales training programs last ten weeks. To make the most of that money and time, here are five topics you should cover in your healthcare sales training program to maximize your return on investment.

Key Takeaways:

  • Training is essential because smarter sales lead to more sales.
  • Healthcare sales training is more specific than regular sales training.
  • Effective healthcare sales training requires both sales and medical knowledge.

5 Crucial Topics for Effective Healthcare Sales Training Programs

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Healthcare sales training programs are different from regular sales training programs because of the unique courses specific to the medical industry. However, sales training programs can lay the groundwork for healthcare sales.

How to Sell 101

The first course to any effective medical sales training program is learning the basics of sales. An excellent foundational sales course will include:

  • Understanding customers and their needs
  • Generating and contacting leads
  • Learning your products
  • Creating achievable goals
  • Using tools and apps to simplify the process

These topics teach a sales representative the entire process of making a sale, from finding potential buyers to selling the product. It also teaches finalizing a sale and filing the necessary paperwork.

On average, a person interacts or sees a product seven times before buying the item. These are called touches. A good sales representative cuts down on touches by maximizing each interaction to answer the buyer’s questions, address their concerns, and solve their pain points.

Business Basics

Sales representatives tend to focus on meeting their quotas. However, businesses-minded sales reps consider their whole company. This more comprehensive view influences their entire sales technique.

Business knowledge sets sales leaders apart from regular sales reps. 

Knowing how businesses function also helps reps solve potential issues. For example, a sales rep may see a dip in customers in terms of lost commission. In contrast, someone with business savvy could identify more significant business problems behind the lower customer numbers.

Someone who understands businesses also understands that making a sale isn’t the end goal. If a sales rep focuses on selling a product as the primary target, they will do whatever is necessary to make a deal. However, if you want to build a strong business, your end goal is creating a positive experience and lasting customers through meaningful interactions and strong sales tactics.

People Skills and Customer Relations

A good sales rep is also a good people person. They know how to strike up a conversation and listen to a customer’s needs. After all, selling a product is all about meeting those needs.

A good sales training program will teach people how to develop relationships that turn into returning customers.

Medical sales training courses will be different from regular sales courses when it comes to customer relations. Medical professionals often have very little time to listen to long sales pitches. Making an impression in half the time is key to reaching your market. Physicians and healthcare providers are also highly educated and won’t fall easily for a hyped-up sales pitch.

A healthcare sales rep needs to learn how to approach medical professionals with respect, time sensitivity, and intelligence – leveraging statistics and facts to back up each claim.

Medical Industry Terminology

Good healthcare sales reps understand more than just their market. They also understand their products. Medical equipment and products are essential for saving lives and preventing infection. If a sales rep can’t guarantee its quality and features, they won’t be able to sell their product.

When a sales rep interacts with medical personnel, they should understand all related medical terms in order to offer intelligent responses to any questions posed. Then, they need to understand the ins and outs of how their product functions in the medical field, so that they can explain just why their product is better than the competition.

Obstacles and Pain Points in Medical Sales

All sales come with their challenges. However, knowing what these challenges are beforehand can help a sales rep navigate around them.

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One main obstacle in medical and healthcare sales is the need to offer quick, intelligent sales pitches. Doctors and healthcare professionals need to know why your product is better through facts, figures, and statistics, provided in a fast sales pitch that respects the busy schedule of healthcare providers.

The second obstacle sellers will face is proving the reliability of the product. Healthcare providers won’t be willing to perform trials and errors with most of their equipment and supplies. People’s lives are at stake, so they feel most comfortable using products and equipment with guaranteed reliability.

To make that sale, a sales rep needs to understand the pain points of healthcare providers – meaning, the typical issues that healthcare providers face. Here are four common healthcare pain points:

  • Dissatisfied customers
  • Medical lawsuits
  • Losing employees
  • Doctor and nurse burnout

Now, show how your product solves some or all pain points. This technique positions your product as an essential part of any healthcare facility.

Invest in Healthcare Sales Training Programs for Your Reps

Healthcare sales is a rewarding field, as you have the chance to be part of saving people’s lives by offering the best supplies and equipment to medical facilities and healthcare providers. However, becoming a leader in healthcare sales will not happen overnight.

If you want to succeed in your healthcare sales, take a comprehensive healthcare training course that offers these five topics.

Begin your training through one of Share Moving Media’s educational programs specifically for healthcare sales representatives.

6 Strategies that Work to Sell Medical Supplies in 2022

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As a medical supplier, you sell medical supplies to improve the lives of patients. 

You work hard to provide hospitals, doctors, and other healthcare organizations with the critical supplies and tools they need to care for patients.

Whether you are a seasoned medical sales representative or new to the role, you should always be ready to learn new strategies. These effective selling strategies can help you improve your business and keep pace with the rapid industry growth of medical supply sales.

Key Takeaways

  • Use advanced technology to provide visually engaging demonstrations of complicated products.
  • Create a personalized buying experience for your customers by getting to know them and staying engaged.
  • Keep yourself educated with up-to-date medical information that helps you fully understand your products and answer customer questions.

Sell Medical Supplies More Effectively with These 6 Strategies

These sales strategies can help you improve your medical sales as you look towards 2022 and the incredible progress of the healthcare industry.

According to IBISWorld, the medical supplies wholesaling industry is expected to grow by 3.8% in 2021. This is faster than the average annual growth of 2.5% between 2016 and 2021.

You can improve your sales strategy as you look to the future with these 6 tips.

1. Offer Advanced Demonstrations of Complex Products 

Some of the medical supplies you sell are complicated. Offering your potential customers a brochure or one sheet for these products will not give them adequate information. These types of materials will not effectively demonstrate all the product’s features, and they have the potential to include outdated information.

To improve your chances of making a sale, you want hospitals and physicians to visualize your products in their facilities. If they can’t imagine this, you will have a harder time closing the sale.

Showing off your products, and even letting your clients experience them for themselves, is one of the most effective selling strategies. Unfortunately, some of your most valuable equipment is large, expensive, and not practical to carry around. Modern technology can help you get past this roadblock. Consider using some of these advanced visualization options:

  • Medical Animation: A medical animation can show healthcare professionals a detailed view of how your product works, even on a cellular level. It can show off the inner workings of a product. This gives information to your clients that they might not know even if they are holding the product in their hands.

Augmented Reality: Augmented Reality (AR) is when digital objects are superimposed on top of real-world objects. It is used in everyday apps, such as with chatting filters that make your face look like an animal. In a medical setting, AR is interactive and can be used with a smartphone, tablet, or virtual reality headset. In a demonstration, AR can show digital details and facts on top of a real-world view.

  • Virtual Reality: Virtual Reality (VR) is similar to AR, except all the images are digital. A VR demonstration of a medical product allows physicians and other medical personnel to try out the product for themselves.

Advanced visualizations like this are a powerful tool that can help bring products to life. Doctors and hospitals can see a clear image of how your products will work in their facility.

This YouTube video shows a good demonstration of how virtual reality works in the medical field.

2. Be Engaged with Customers through the Entire Sales Cycle 

Imagine how easy your job would be if customers were always reaching out to you. Unfortunately, that is not how the medical supplies world works. You need to be fully engaged with all your customers through every step of the sales cycle. This includes continual communication, support, and guidance when your customers or prospects have questions.

When you are making frequent visits, responding quickly to their emails, or staying in contact with virtual meetings, you will have a much more rewarding relationship, whether it ends in a sale or not.

Being engaged with your customers is something you always have control over, unlike other parts of the sales cycle. It is worthwhile to set aside part of each day to connect with and respond to your customers. Make sure you follow through with whatever you say to your customers, so they maintain their trust in you.

3. Create a Personalized Experience for Your Customers 

The modern medical supplies sales cycle includes multiple stakeholders. You no longer deal with one buying representative. Instead, you must convince an entire committee of the benefits of your products. These committees may include surgeons, physicians, hospital administrators, nurse managers, and other support staff.

Before you come to a meeting with these groups, you need to learn as much as you can about the people, their responsibilities, and their goals. The more you know beforehand, the better you can customize your presentation to their specific needs.

During the sales conversation, try to engage each person and ask about their expectations for you and your products. This will create a strong foundation that you can build on for future meetings.

4. Stay Up to Date on Medical Technology

Medical technology is making big advancements year after year. As a medical supplier, you need to stay on top of these advancements and know what is happening in the industry. Keep yourself educated by reading medical journals, attending conferences, and speaking with colleagues. As you learn more about new technology, think of ways to incorporate these updates in your sales strategy.

5. Fully Understand All Your Products

You are the representative for your company and your products. You are responsible for knowing every detail of every product you sell. Without this knowledge, you will not be a successful representative. 

Each person you interact with will have different questions about your products. You need to answer them all with precise information. This could include technical specifications, pricing information, and how it works.

Use whatever resources you have to your advantage so you can effectively address each question with relevant information.

6. Keep the Focus on Patients

Everything you sell is meant to improve the health of patients. Your customers have their patients’ experiences at the forefront of their mind. Every sales decision they make is based on how they think your product could benefit their patients and how it compares to other medical devices.

When you talk to your customers, make sure you keep your focus on the patients. Show your customers how your products can add value to the patient experience, and they will be more likely to purchase from you.

Want to learn more? Contact Share Moving Media today to get started! 

Healthcare Expos & Trade Shows in the Post-Pandemic World

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In 2020, most conferences, conventions, expos, and trade shows – any large in-person gatherings – were postponed or canceled. Today, many expos and similar events are still not what they once were. People are cautious, still masking up and keeping their distance from others in large-group settings. Healthcare expos and trade shows are no exception.

However, people are also eager to get out and network again – even if they must do so from behind a computer screen. So, what’s the state of healthcare expos and trade shows today? We’ll cover how the pandemic has changed these types of events and what we can expect from them moving forward.

Quick Takeaways:

  • Today, many are still cautious of large-group gatherings, while others are eager to get out and network again.
  • In 2019, 9,400 B2B trade shows and exhibitions took place in the U.S., contributing $101 billion to the nation’s GDP.
  • While virtual events have downsides, they also help decrease our carbon footprint, reduce travel expenses, and offer the convenience that in-person events can’t.
  • Some companies saved money they’d otherwise have spent on booths, collateral material, sponsorships, and traveling costs.
  • We can expect to see advanced technology and better customer service at trade shows in the post-pandemic world. Event organizers will have contingency plans, stricter health and safety standards, and use hybrid expo models.

How Has COVID-19 Changed Trade Shows and Other Large Events?

It’s no surprise that the pandemic has changed the way many organizations run. The virus has negatively impacted our daily lives and the economy – on an individual, business, and country-wide level. In 2019, 9,400 B2B trade shows and exhibitions took place in the U.S., contributing $101 billion to the nation’s GDP. 

Medical suppliers, like many other businesses, have had to adjust their sales strategies. Companies that share new products with healthcare organizations at trade shows have had to get creative to maintain exposure. Many events have gone virtual, which has been disappointing in many ways, although it also comes with advantages like decreasing each attendee’s carbon footprint, reducing travel expenses, and saving time.

The Future of Healthcare Expos and Trade Shows

According to Forbes, many companies have saved money that they’d have otherwise spent on booths, collateral material, sponsorships, and traveling expenses. Regardless of those savings, trade shows and expos offer participants benefits that might be too good to pass up. 

As a medical supplier at a trade show, you can drive sales by maintaining current customers and selling to new buyers looking for better products. The best part about attending in-person events is talking one-on-one and setting up future client meetings.

Here are several ways trade shows could look different in the post-pandemic world (and how they’ve already begun to change).

1. Advanced Technology

In addition to connecting on social media platforms and using online marketing to promote events, trade show hosts and attendees incorporate new technology to communicate with and impress new buyers. Event organizers use live streaming technology, virtual reality, and other tools to collaborate in innovative ways with participants online.

2. Higher Health Standards

We can expect to maintain rigid health guidelines and regulations, such as not attending events if sick, self-isolating for a set amount of time after being sick, and using hand sanitizer regularly. Remaining aware of potential health threats and implementing COVID-19-specific safety practices may be vital to limit the spread of the virus and avoid future cancellations.

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3. Contingency Plans

Businesses now know to think ahead and remain flexible in case something unexpected happens. Considering how a future disaster might affect your event is critical to avoiding a massive financial setback when planning significant events. Organizers may draft stricter contracts and rework cancellation policies.

4. Hybrid Models and Virtual Events

Hybrid events have already become normalized. Many events today offer participants the option to attend either in person or virtually. Hybrid models must juggle in-person and online experiences simultaneously, which may prove complex. Getting remote attendees to feel as involved as those attending face to face can also prove challenging.

Forbes predicts that hybrid models may include educational sessions and webinars that occur primarily online in the future. In-person expos should focus on reaping the benefits of networking. This gives medical suppliers attending live events the opportunity to “up their game.”

Greet people who pass by, so they know you’re approachable. Provide outstanding customer service while maintaining professionalism and proving quality. Prepare what you want to pitch to potential buyers and be ready to set up future meetings to continue conversations after events.

5. Keeping Things Interesting

Running a virtual event may sound simpler than organizing all the logistics surrounding in-person events. But virtual can require just as much work and attention to detail. On top of bringing in suitable suppliers, virtual events must go above and beyond to hold online participants’ attention. Organizers must make the event entertaining, interesting, and deeply engaging. Otherwise, attendees could quickly become distracted and tune out.

Upcoming Healthcare Expos to Consider Attending

Here are several upcoming healthcare trade shows to consider attending or participating in throughout the rest of 2021 and in 2022.

  • HLTH Conference: October 17, 2021, in Boston, MA
  • HCD Healthcare Design Expo & Conference: October 23, 2021, in Cleveland, OH
  • Medical Design and Manufacturing (MD&M) Show: November 3, 2021, in Minneapolis, MN
  • Total Health Virtual Global Conference: November 15, 2021
  • Biotech Showcase: January 10, 2022, in San Francisco, CA
  • Medtrade Conference & Expo: April 4, 2022, in Phoenix, AZ
  • MD&M West: April 12, 2022, in Anaheim, CA
  • International Biotechnology Meeting & Exhibition (BIO): June 13, 2022, in Boston, MA
  • Texas Pharmacy Association Conference & Expo: July 15, 2022, in Austin, TX
  • HIMSS Conference and Exhibition: March 2022
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Strategic Marketing for Healthcare Suppliers

If you need help with the marketing or promotion for an in-person or virtual healthcare expo, Share Moving Media is here to help. As a leading content creation, communications, and publishing company for medical suppliers – manufacturers and distributors – we provide full-service products and services for our clients. 

We would love to help you increase market share through compelling and timely content your prospects seek. Contact us to learn more.