purina equine veterinary conference 2013

WELCOME WELCOME

OCTOBER 11, OCTOBER 11, 20132013

Who Said It?

“The budget should be balanced, the

Treasury should be refilled, the public

debt should be reduced, the arrogance of

officialdom should be tempered and

controlled and the assistance to foreign

lands should be curtailed lest (we)

become bankrupt. People must again

learn to work, instead of living on public

assistance.”Cicero, 55 BC

Factors Effecting Economic Growth

• Interest Rates

• Taxes

• Government Stimulus

Future of Interest Rates

What Happens before Interest Rates

Increase?

• Unemployment declines

• Demand increases

• Factory Utilization increases

• Inflation increases

• GDP grows

Future of Tax Rates

• US Spending and US Debt

• History of Tax Rates

• Nickels and Dimes

History of US Surplus and Deficit

History of US Federal Debt

• Unearned Income Medicare Tax – 2.9%• Hospital Income Tax – 0.9%• Income Tax Rate – 39.6%• Capital Gains and Dividend Tax Rate –

20% • Exemption Phase Out – AGI Threshold• Itemized Deduction Phase Out – AGI

Threshold

Nickels and Dimes

Income Levels where you get “nickel and dimed”

Single Married Filing Joint

Income Tax Rate, Capital Gains and

Dividend Tax Rates$400,000 $450,000

Exemption and Itemized Deductions

Phase Outs$250,000 $300,000

Unearned Income Medicare Tax and

Hospital Income Tax$200,000 $250,000

Future of Gift and Estate Tax Rates

Lifetime Gift Tax

Exclusions

Maximum Estate Tax Rate

Annual Exclusion

2012 2013

$5.12M

$5.25M 35% 40%

$13,000

$14,000

Ok…

So Now What?

Keeping & GrowingYour Client Base

Mike Pownall, DVM

2013 Purina Equine Veterinary Conference

Keeping Clients

• Excellent Customer Service• Excellent Vet Skills• Caring Vets• Fair Pricing• Latest Technology• Etc

OK….So Now What?

Customer Surveys

• Are we as good as we think we are?• Overall impressions• Problem areas

Past Customer Surveys

InconvenientAnnoying

<10% response rate

The Net Promoter Score

The NPS

• Promoters (9-10)• Passives (7-8)• Detractors (0-6)

Promoters – Detractors = NPS

The NPS

• Promoters (9-10) 30%• Passives (7-8) 60%• Detractors (0-6) 10%

Promoters – Detractors = NPS30%(P) – 10%(D) = 20% NPS

Good Profit vs Bad Profit

The NPS

• 4 questions• Surveymonkey.com• Target clients• Results shared

Results

•Ave NPS score = 84%•Ave response rate = 33%

Challenges

• Time•Repeating clients•No industry standard•Can’t relate to growth

What We Have Learned

• Initiatives working•Good profits• Empowered staff

The Business Cycle

• Typical Growth Pattern

• Expected Growth Pattern

Rates Rates

Typical Business Cycle

Rates ↑Value ↑

Rates ↓Value ↓

Inflation

Rates ↔Value ↑

Plateau

Plateau

Rates ↑Value ↓

Rates ↑Value ↑

Time

Rates Rates

Expected Business Cycle

Rates ↑Value ↑

Rates ↓Value ↓

Inflation

Rates ↔Value ↑

Plateau

Rates ↑Value ↑

2013 2009 2007

So What Now?

Historically Low Interest

Rates

+ Higher Taxes

+ Slower Growth

= Gain Market Share

• Build value by return on equity• Gain market share– Acquisitions of existing practices– Expand geographic locations

How do I react?

Growing Your Client Base

& Keep the Ones You Have

Gaining Clients

• Excellent Customer Service• Excellent Vet Skills• Caring Vets• Fair Pricing• Latest Technology• New Services

OK….So Now What?

Digital Marketing?

Strategy

• What is our goal?• Who is our target?• How are we going

to do it?• How do we know

we are successful?

Strategy

• Facebook is not strategy• Facebook is a tool.

• Herd health is a strategy to minimize the spread of infectious agents• A vaccine is a tool

4Es of Social Media

• Educate• Entertain• Engage• Evangelists

Digital Marketing Universe

Web Site

Blog

We Want to be Found

Which Platforms?

Which Platforms?

eNewsletters

Mobile

The Social Media PlanCan We Measure It?

Example - Dentistry

• Declining sales• Severe competition from lay dentists

Goals

• Show value of vet dentistry• Increase sales 10%

How

Results

31%

The person doing Social Media at a vet practice

is as important

as the person who answers the phones

June 2011•6500 web page views•28,000 FB Impressions•3000 phone calls

Questions?

Mike Pownall

Lets Keep in Touch

• www.veterinarybusinessmatters.com• Linkedin.com/mikepownall• Facebook.com/veterinarybusinessmatters• Twitter.com/dvmbusiness• mike@digitalpulse.ca

John A. Chalk, Jr., CPA, JD, CFP®

jachalk@chalkcullum.com817 – 416 – 5970

Thank You