Dr. Holland (farthest left as you look at photo) with his practice team. They have experienced great success improving the practice’s per-patient revenue by making a few specific changes.
Increase revenue per patient in optometry
By Zachary Holland, OD, FSLS
Feb. 26, 2025
As an optometrist, I always focus on providing the best care for my patients, but I also understand the importance of running a profitable practice.
Over the years, I managed to increase my revenue per patient from $562 in 2015 to $1,562 in 2024.
Here are the details on my journey, the strategies I implemented and the lessons I learned along the way.
A Steady Climb: My Revenue Per Patient Over the Years
Tracking my revenue per patient is a crucial part of my practice management.
Here’s a snapshot of how it evolved:
- 2015: $562
- 2016: $594
- 2017: $700
- 2018: $1,120
- 2019: $1,242
- 2020: $1,239
- 2021: $1,028
- 2022: $1,714
- 2023: $1,480
- 2024: $1,562
This steady increase reflects not only my commitment to excellence, but also my strategic focus on specialty services.
Specialization: The Key to My Increased Revenue
One of the most significant factors in my success is my focus on medical specialties.
I decided early on to concentrate on specialty contact lenses and avoid routine care for patients without medical diagnoses. This decision allowed me to maximize profitability by homing in on high-revenue streams like dry eye treatments and myopia control.
In 2024, glasses accounted for only 3.7 percent of my gross collections, and I aim to reduce that even further.
By focusing on specialty services, I was able to create a niche that benefits both my practice and patients.
Logistical Strategies for Success
Implementing change in my practice required careful planning and execution. I adopted a strategy of adding new technology every 6-12 months, ensuring that each addition aligned with my patient needs.
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Key investments included:
- IPL (Intense Pulsed Light) technology
- Aberrometer for HOA correction
- Slit lamps with imaging capabilities
These investments enhanced my service offerings and improved patient outcomes, leading to increased satisfaction and referrals.
The Importance of Delegation
A critical aspect of my success is the delegation of tasks.
I believe that a thorough examination should take no more than five minutes, provided that all necessary testing is completed beforehand. By empowering my staff to handle routine tasks, I can focus on high-level decision-making and patient care.
I invested significantly in staff training, ensuring that my team is equipped to handle specialized tasks.
For instance, one staff member with no prior experience in optometry became proficient in fitting scleral lenses and performing IPL treatments.
This level of training not only enhances patient care, but also contributes to my bottom line.
Financial Investments and Returns
Investing in the right technology and staff has yielded substantial returns.
The cost of a fitting set for scleral lenses is often less than $500, yet the revenue generated from these fittings can reach hundreds of thousands of dollars.
Additional investments in advanced technology, such as a Pentacam CSP ($65,000) and aberrometer ($20,000), further enhanced my practice’s capabilities.
However, my most significant investment is in staff development. A well-trained team can perform complex tasks, allowing me to focus on specialty care and increasing overall efficiency.
Immediate Results from Strategic Changes
I saw immediate financial benefits from my strategic changes. Implementing a system that requires payment at the time of service has reduced accounts receivable and improved cash flow. This proactive approach increases revenue per patient and streamlines administrative processes.
Staffing for Success
While I haven’t significantly increased my staff size, I optimized the roles of my existing employees.
By maintaining a slight over-staffing of 0.5 personnel, I ensure that my team can adapt to new processes without becoming overwhelmed. This flexibility is crucial for implementing improvements and maintaining high levels of patient care.
Measuring Success: Tracking Revenue Per Patient
Calculating revenue per patient is straightforward: total collected revenue divided by total exams conducted.
I utilize my EHR system to track this metric, along with other key performance indicators such as revenue per doctor day and accounts receivable metrics.
This data-driven approach allows for continuous improvement and informed decision-making.
Maintaining High Standards of Patient Care
As my revenue per patient has increased, maintaining high standards of patient care has been paramount.
I successfully integrated advanced procedures and technologies, enhancing the patient experience.
By offering superior products at fair prices, I built loyalty and trust among my patient base.
Future Growth: Aiming Higher
Despite the strong growth in revenue per patient, I’m not resting on my laurels.
My plans for 2025 include introducing higher-order aberration correcting scleral lenses and expanding my referral networks.
I’m also considering hiring an additional optometrist to focus on routine care, allowing me to concentrate even more on specialty services.
Bottom Line: There is Power in Delegation and Specialization
The journey to increasing revenue per patient is multifaceted, involving strategic specialization, careful logistical planning and effective delegation.
By focusing on high-revenue services and empowering my staff, I achieved my goals and beyond.
Zachary Holland, OD, FSLS, is the owner of Cornea & Contact Lens Institute of Minnesota. To contact him: drholland@corneaandcontactlensinstitute.com
