Sunday, December 18, 2011

781. The year 2012 will be difficult for vet practices and other businesses - Analytics

Some signs of economic recession amongst the pet owners in Singapore. Vet practices are still businesses that need to be profitable despite lofty ideals of animal care and welfare. If the practice can't make money to pay its staff and renovate and buy new equipment, it just does not exist anymore. I note that young employee vets do not have basic financial knowledge and the balance sheet.

Young employee vets who don't have to worry about the bottom-line will need to be properly assessed as regards their work performance and client outcomes. If the practice's business performance in a lull period is poor, young employee vets and staff will be out of jobs too as they become a liability.

ANALYTICS
The owner of vet practice needs to use analytics to make sense of large amounts of data from customers and business partners and social media like Facebook. If he knows what to do, he can improve business performance.

1. Highlight often-used products and services
2. Identify which market segment is growing and worth focusing on sales
3. Sales and marketing department to identify new customers, imp0rove cost control and increase sales
4. Banks to identify fraudsters - Vets to identify non-paying clients
5. Brand and reputation monitoring
6. Manage risks - credit given to pet shops and breders. Below cost services given by employee vets to breeders who don't bring in any referrals. Just taking advantage of below cost discounted vet services.

As pet owners are likely to spend less in 2012 recession, vet practice owners must use analytics to improve business performance and improve future business outcomes. Not doing it will cause the practice to decline and go into bankruptcy.

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