2017 Physician Office Market Report
In the past year, 74% of U.S adults visited a primary care physician, while 38% visited a specialty physician. Annually, there are 884.7 million physician office visits, which bring in $513 billion in revenue to practices. An aging population and newly insured patients has driven new volume for physician offices, and demand for medical supplies. The leading factor for growth in the primary care market over the next five years is population growth.
One In Four Physician Practices Are Owned By Hospitals
The cost of maintaining a practice and cuts to reimbursement have caused many physicians to sell their practices and become health system employees.
• In 2016, for the first time, less than half of physicians reported having an ownership stake in their practice.
• The cost of maintaining a practice and reimbursement cuts are the leading motivators for physicians to sell their practices.
• Hospitals are looking to acquire practices to expand their services and to improve their ability to meet community needs.
Practices Are Adapting To Healthcare Consumerism
Practices are taking steps to attract new patients and cultivate patient loyalty:
• 75% of physicians participate in patient satisfaction surveys.
• The number of practices offering rapid laboratory tests, which have a strong correlation to patient satisfaction, have increased 22% since 2010.
• Patients value the cost-effectiveness and convenience of televisits, more than one in ten practices now offer this service to their patients.
Physicians Feel Burdened By Regulations, Bureaucracy
Physicians spend significant hours on paperwork, and find dealing with paperwork and regulations to be the least satisfying aspects of practicing medicine.
• 49% would not recommend medicine as a career to young people.
• 47% say they spend 10 hours a week or more on paperwork and administration.