Med Ad News spoke with the authors of Prophet’s study of customer centricity in health care to find out more about their research and recommendations

Med Ad News: How do you define “customer centricity”? What should customer centricity look like from the perspective of a patient interacting with a pharma or other healthcare company?

Prophet: Consumer centricity is, quite simply, about finding ways to engage with consumers the way they want to be engaged with. There are two parts to this. The first is when consumers “shop,” be it for a provider, a plan, or a medicine. In many cases, consumers have choices. Thus, increasing the incentive to exercise the choice, and increasing expectation that they should be able to make smart comparisons. However, many consumers are also seeing restricted plan choice, formularies and networks, and in some ways have less choice. That brings us to the second part of consumer centricity: when consumers engage, or fail to engage, in their own health. Note that some of the bright lights when it comes to consumer centricity (e.g. Intermountain Healthcare in Utah) are actually in less competitive markets. When it comes to pharma, consumer centricity is most powerfully demonstrated when it creates what we call “plus product” solutions (in contrast to “products” or “product plus” solutions) to help consumers manage their condition holistically.

Med Ad News: What are the forces at work in healthcare that push against a movement towards customer centricity? How might companies overcome those forces?

Prophet: Our research confirms there is a gamut. The lack of resources is the easy answer. However, a more nuanced understanding suggests it is lack of commitment or lack of know-how of where to get started. It is far too easy (requiring less know how and less commitment) to tackle things in a less than transformative way. For example, when a hospital undertakes an effort to reduce nigh noise in the medical surgery unit. Good to do, for sure but to do it in a truly consumer centric in a way that puts consumer in the center? Far from it. We do believe in taking a test and learn approach before scaling solutions. Advocate Aurora Healthcare’s evolution from “Call and be Seen Today” to “Call. Be Seen. Get Results Today” related to mammography with intent to scale to additional offerings is a great example. But Advocate’s initiative was for one thing, against a critical pain point of access and two, built with a plan to scale. The best hope for transformation come with a leadership mandate, a multi-faceted approach to running pilots, and plan to scale are critical to overcoming organizational inertia.

Med Ad News: Your report gives the reader the sense that most healthcare orgs are nibbling around the edges of customer centricity when they really should be putting it at the very core of their business strategy. Why do you think that’s been the case? And what will it take to change it?

Prophet: Yes, that is generally correct. It has been the case for many of the reasons previously listed – lack of resources, lack of commitment, lack of know-how, etc. Here is one other reason – for many, the threat of disruption is intellectually understood…but not emotionally believed it is imminent. To change that will require either disruption really showing up (when it may be too late) or inspired leaders.

Med Ad News: In developing your report, you interviewed executives from a couple of different corners of the healthcare ecosystem – providers, payers, pharmas, and digital health companies. Did you discover any interesting differences in perspective on customer centricity between those various corners?

Prophet: More commonalities than differences. We believe the five shifts are relevant across the payer, provider and pharma sectors. However, we do see some differences. For example, pharma companies are generally ahead of other sectors when it comes to building what we call “Insights Operating Systems” and creating a culture of consumer obsession. However, they are further behind on creating a connected ecosystem that delivers health solutions. On the other hand, providers have made more progress in connecting the healthcare journey (although lots more to be made!), but not as far along in being truly consumer centric.