Dr. Ross Knippenberg, assistant director of economics with the American Veterinary Medical Association, and the association’s economics intern Sean Barker have completed a deep dive into seasonality and client spending in veterinary clinics. They confirm that business is slowest in the winter. Their analysis quantifies this effect and shows what the national average looks like.
Source: DVM 360, July 18, 2016.
The researchers looked at a decade’s worth of data from the Bureau of Labor Statistics and confirmed the common belief that practice income is generally lowest in the fourth quarter, making that a good time to give staff time off, conduct repairs and remodels, and consider promotions to increase revenue. AVMA data show utilization of veterinary care has declined for the past two decades, but those who do take their pet to the veterinarian are spending more at those visits.
INSIGHTS: The article’s last three paragraphs open the topic of what to do about lower spending. Clinic teams and sales representatives supporting practices can now plan for slower times, use promotional funds and develop communications to encourage increased traffic.