CPAPDropShip turns biz model upside down

Friday, August 23, 2013

HOUSTON – CPAPDropShip now allows providers to use the software it developed to follow up with patients about re-supplies for free if they use the company’s drop-ship services.

That way, providers can follow up with patients themselves, instead of paying the company to do it.

“After Round 2 of competitive bidding, we’ve shifted our model a great deal, because providers just can’t afford $2 per patient to follow up anymore,” said Ashley Thompson, communications and brand manager.

CPAPDropShip will begin phasing out its follow-up service, which featured live callers, on Sept. 30.

The software’s features include a calendar that notifies providers of the patients that need to be called, a script with questions to ask about compliance and usage, and a tool for tracking the reasons for non-functioning supplies.

“It’s the same follow-up service, but instead of it being our voice, it’s their voice,” said Lisa Stovall, general manager.

The transition should be a smooth one for most providers, because even when they were using CPAPDropShip’s follow-up service, they still had to make calls on the back end to collect co-pays.

“Providers don’t realize that the number of patients they have to follow up with in a day is usually pretty manageable,” Thompson said. “It could be five to six calls per day for a pretty sizeable patient list.”

While CPAPDropShip is now out of the follow-up business, it still believes live calling is the best way to communicate with patients about re-supplies—that’s why it made its software available to providers.

“We believe in it, and we’re giving our customers the tools they need to continue doing it,” Stovall said.

Due to the change in its business model, CPAPDropShip has had to lay off a number of employees.

“We’re feeling the effect of the same changes as providers,” Stovall said.