You don’t need a crystal ball to see changes on the horizon in the business of durable medical equipment (DME). While we’re not here to predict the future, we can point out some current and developing trends we’re watching right now in the world of DME.
What’s in store for DME suppliers in the near future? What challenges do they face? And how can they be prepared for what’s around the corner?
The Current State of DME Business
For companies involved in selling and distributing DME, now is a good time to be actively growing your business. The industry itself is currently stable, with opportunities for sales and growth at just about every level.
The DME industry itself is ripe for innovation. Despite technological leaps forward and advancements in logistics, there’s still plenty of room for DME providers to improve the methods and processes for doing business.
The biggest challenge, of course, is the state of constant change that DME businesses are currently experiencing. The future, while generally positive, will require no small amount of adjustments for DME businesses trying to stay profitable and competitive.
Changes in the Future of DME Business
In the United States, significant changes are developing now that will impact the DME industry in dramatic ways.
The first and most notable factor is the aging of our population. According to the U.S. Census Bureau, the number of older adults will outnumber children by 2034, marking the first time that’s happened in U.S. history. Because older citizens require a greater amount of medical care, the need for DME is rising and will continue to do so for the foreseeable future. While that presents great business opportunities, growing pains are inevitable.
Secondly, the increasing number of regulations affecting DME is expected to continue. The Centers for Medicare and Medicaid Services (an official U.S. government agency) regularly reviews and approves new rules regarding the manufacture, usage, and payment requirements for DMEs. Whether they’re adding new equipment to the list of approved devices or revising the costs allowed for certain equipment, changes will continue to affect the industry.
In addition to population and regulation changes, the DME industry itself is growing and becoming more competitive. New providers, mergers and acquisitions, and existing manufacturers jumping into the market are all driving the stakes higher for current DME suppliers. While the rising tide lifts all boats, the waters are indeed getting crowded. The need to stand out and cut costs is more important than ever.
Speaking of costs, the future of DME business is also being impacted by economics. With prices rising on just about everything and margins quickly shrinking, it’s imperative that DME suppliers find ways to contain or even reduce their costs. Whether that means trimming budgets or partnering with companies that can help you trim expenses, staying profitable will remain an issue for the foreseeable future.
Let Medbill Guide You Through the Future of DME Business
Medbill works with hundreds of DME businesses every day, managing their billing processes and expediting their payments. We work as an extension of your company, providing more streamlined and productive billing practices to ensure your business stays profitable.
Medbill is fully immersed in the financial and regulatory aspects of DME, and our knowledgeable experts stay on top of every change that comes our way, whether it comes from government agencies, fluctuations in the marketplace, or evolving behaviors among consumers, distributors, or billing firms.
We can assist you with navigating the regulation and policy changes — even the most disruptive ones. We can help you find ways to contain costs. And we’re able to avoid costly mistakes, penalties, and delays in processing your payments.
Talk to the DME billing experts at Medbill today to find out how we can help your DME business be ready for whatever the future has in store.