Page 29 - HME Business, April 2019

‘Where’s my stuff’ calls that DMEs get.”
GETTING YOUR FEET WET
If you don’t want to jump in all at once, start with disposables like incontinence and urology products or resupply items for oxygen patients. Once you and the health provider have helped the patient identify the right product, size and features, it’s just a matter of making sure the patient has a continuous supply that stays within insurance billing limits. Meanwhile, you can keep control of delivering large and high-touch items like oxygen tanks and hospital beds, and train your drivers to upsell retail accessories
like sheets. Most retailers will probably find a balance of staff and drop-shipped deliveries.
“Some DMEs are not drop-shipping every- thing; they are having it delivered to the DME and would rather have their own delivery drivers,” Mason says. “That is their distinction in the market. A lot of DMEs feel like that. The owner of the DME or the pharmacy makes a big point that they are delivering everywhere; they want to do it because they want that patient contact; they want that extra touch.”
Sometimes patients do, too: DMEs may see
a “Meals on Wheels” effect, where the delivery person is a familiar face and a link to the outside world, especially with elderly customers, says Richard Maluyo, vice president and general manager of Caremax. That contact also gives the driver an upselling opportunity: When a bed is sent out for delivery, the van has sheets to fit. When a commode goes out, the driver is ready with commode liners. “All of our drivers are capable of selling those things and have them to show the customer. To have the actual product there, instead of having it drop shipped, it makes their decision easier,” he said.
Distributors aren’t all about drop-shipping. Many offer consulting or advice on running your physical business and optimizing your retail floorspace. They can help identify manufacturers that offer the most retail support like displays, plan-o-grams and national advertising for their products. They can advise on everything from product mix to retail lighting and product placement.
“Sourcing from distributors allows the DME provider to get their needed products at competitive costs, but also gives them a partner in their local market. What has succeeded in
the past? How can I create efficiencies in my business? How can I appeal to my target demo- graphic?” explains Patrick Griffin, national field sales for Medline Post-Acute Care Sales. “All of these questions can be answered by your local distribution partner. If both the distributor and DME provider can help grow their businesses together, it’s a win-win.”
Medline straddles the line: the company offers distribution and private labeling for DMEs, but also has a Part B business line. Orders may be drop-shipped, but the company also has 40-plus warehouses and 700 MedTrans vans to deliver
its products.
Finally, distributors offer DMEs access to their
wide network of industry contacts. “We’re not talking just to the sales rep, we are talking to the VP of the company,” Mason says. “The distrib-
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