Study Examines Role of Patient Perks in Market Share, Healthcare Costs

Amenities such as massages, scenic views and hotel-style room service are becoming more influential in hospital competition for market share, particularly in areas with well-insured patients, according to a study published in the Dec. 2 issue of the New England Journal of Medicine report.

Before the 1990s, hospitals attracted patients by recruiting talented physicians. Now, many compete for patients directly through hotel-like perks. This development raises a variety of questions, such as how amenities may influence the definition of hospital quality or affect healthcare costs.

The value of these perks is important, since the health care system currently pays for them. In research cited within the report, improvements in amenities cost hospitals more than improvements in quality of care — but improved amenities had a greater effect on hospital volume.

Amenities may be gaining influence in the hospital market because they are easier to understand that clinical quality data, according to the report. Many consumers may have an easy time basing decisions on the perks available in a certain hospital rather than complex, multidimensional statistics on other indicators, such as quality. Thus, hospitals seeking to strengthen their financial positions may consider amenity investment a sound strategy.

Read the full-length New England Journal of Medicine report on the influence of amenities in hospitals.  

Read more on patient experience and hospitals:

-Improving Patient Satisfaction and Eliminating Waste: Q&A With Dr. David Feinberg, CEO of UCLA Hospital System

-10 Stories on Patient Satisfaction

-Quint Studer: Using HCAHPS to Drive Patient Satisfaction

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