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NEW YORK—In addition to gathering some of the optical industry's top executives, VM's Global Leadership Summit served up a diverse group of experts, all speaking to the dizzying pace of change and challenge in today's global society. In this fourth part of VM's online series, we examine the advantages and opportunities associated with today's resource groups.

Follow the links below for previous Summit Sound Bytes articles:
Part 1: 3D Vision Trend
Part 2: What’s Next for Digital Trends?
Part 3: The Marketing Appeal of Groupon

New Alliances
Leaders of six resource groups address the challenges faced by independents.

With the modern challenges facing optometrists on the business front, new alliances are emerging in the form of professional business organizations, resource groups or buying groups. In the New Alliances panel, leaders of six such organizations addressed the challenges facing independent ODs today.

Following a presentation from each of the speakers on their particular group, the panel responded to audience questions ranging from keeping staffing and making time for human resources to working with managed vision care programs and fostering relationships with vendors.

Here is some key advice from the panel:

 
Jerry Lieblein, OD Excellence
"According to 2010 Census, 68 percent of ODs gross under $600,000 even though independents deliver 67 percent of all eye exams. Doctors today are working harder but not making more money. That's because schools don't teach practice management so new graduates are not ready to run a business."

Regarding most prominent questions from ODs: "When do you bring a second OD in? At what time in your practice can you afford to bring a second optometrist in; and one that will bring more business in rather than just see patients?"

"Doctors have to understand that [managed vision care] is not going to go away. It's up to all of us to help doctors learn how to make money with it and how to make it work for them."

 
Brad Shapiro, C&E Vision buying group
"The magnitude of our support is for organized optometry. As a result, we're endorsed by 11 state optometric associations."

"Forces are converging on ECPs to squeeze markets together. We'll soon be introducing services to teach our partners how to leverage social media in their practices."

"Two to three times a week I see an ad for eyeglasses online—$14.99 for complete frame and lenses. It makes me sick that we live in an environment where people don't see the value in going to have your eyes examined from a professional. That's a real challenge that we have to focus on in the industry."


 
David Golden, OD, Professional Eyecare Resource Co-Op (PERC)
"Smart marketing means a prominent online presence and search engine optimization [SEO]. Today's independent practices have better knowledge and we need to share it!"

"If I see a patient and they enter my dispensary in 40 minutes or less, sales go up. If they're delivered over 50 minutes, sales drop significantly. We take the patient experience and monetize and capitalize on that. This way, we can directly understand what patients are saying about our practices and we increase value by reducing waste; it's a continuous process improvement."

Regarding the problem of human resources:
"A lot of practices think, 'We're big enough where we should be compliant, but we're small enough where we don't want to pay for it.'"

 
Derrick Artis, OD, Vision Source
"One of the true strengths of independent optometry is that we're independent and one of the weaknesses is that we're independent. It's our competitive nature that won't let us share best practices. But if we [do], we can all grow and thrive."

"Most important to our success is…the cooperative marketing and territorial exclusivity. We believe that our success is based on our investing in our own infrastructure."

"I don't see why customers won't want to go online. But if they want to come to us, they'll still come to us."



 
Jerry Hayes, OD, Prima Eye Care Group
"The independent OD of today is incredibly well trained in providing the best quality eyecare. Unfortunately, what ODs don't get enough training in is marketing, budgeting, managed care and staff management."

"ODs always ask us 'What are the right ratios to pay staff?' We approach that with quantitative information and also focus on issues of leadership."

"Vendors didn't appreciate the opportunity 25 years ago [to partner with a buying group] the way they do today. I give thanks to the Vision Sources of the world for changing that mindset."


 
Mark Feder, OD, Independent Doctors of Optometric Care (IDOC)
"We're working in the most challenging economy since the beginning of the 21st century. Independent ODs need support to run their practices like a business. ODs are not known for their business management expertise…they probably need these services more today than ever before."

"Staffing is a tremendous problem in this industry because when an employee leaves it's a huge drain—probably twice the cost of the salary. So retaining is very important."

Regarding changes in the supplier community:
"It's so competitive out there. We work to transform the relationship into a business partner for us."

For videos, photos and full PDFs of the event's complete sessions, please visit VisionMondaySummit.com.