Business model advice

Discussion in 'Growing and Managing a Business' started by HPOA, Apr 25, 2012.

  1. HPOA

    HPOA
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    I know most people reading this forum are in website related business but I am seeking advice related to a specific business model. I am a state licensed, national board certified hearing instrument dispenser...I sell hearing aids. The traditional retail model offers a free hearing test and then hearing aids marketed between $3k-$7K per pair. 7 out of 10 do not buy due to price level...they can't afford hearing aids. I have sold nearly $1M in hearing aids in the past 3.5 years. I know how to do this.

    I am burdened to help more people hear. I envision an "At Cost" hearing aid business model where the instruments are provided literally at cost..No profit margin. My compensation would come from a modest fee for service ($200) for testing, fitting, and programming. Is it feasible to think patients would pay for a test that is normally free to get the same $3-$7K hearing aids for under $1K per pair?

    My motivation? To help as many people hear as possible. 10 tests a week would throw off $100K a year, my current income via commission only. I could open a traditional retail location and possibly gross $500K or higher, but I don't want the headaches that go with the overhead, something almost zero in my at cost and mobile business idea.

    Obviously a creative web presence would be effective to promote such a concept.

    I welcome any comments or questions.
     
  2. StarBC

    StarBC
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    You can give a regular price first but when a patient can't afford it then you can give him/her an option to pay just for the test and get a hearing aid under 1K but the patient has to give you an evidence of his/her low income (like tax return, bank statement etc.)
     

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