This month’s blog theme is business metrics for therapy practices. But before we jump into the specifics of what to measure, calculate, analyze, and act upon, let’s take a step back and cover the basics—what are business metrics?

You know the first word in the phrase: business. So how about the second? In addition to referring to a much smarter standard of measurement (the metric system), a metric in its simplest form is a measurement. Put the two words together and you have a business measurement, or a measurement you can use to track and assess a quantifiable component of your practice’s performance.

You already track and assess a quantifiable component of each patient’s performance: you take a baseline measurement, set a SMART goal, and generate new measurement data on each visit to track his or her performance toward that goal. Now, turn that progress-tracking eye to the state of your business.

The key to ensuring that your business metrics are effective is to compare them to your baseline measurements (in other words, your status quo) and industry-wide benchmarks or business objectives (your goals). This provides context for your metrics and tells you how far you’ve come and how much farther you have to go. As this article explains, $20 million in sales in the fourth quarter seems rather impressive—unless you’re Boeing, in which case you’re considering bankruptcy. It’s all about the context. Don’t fall into the trap of assuming everything’s going great without understanding the whole picture.

While we’re on the subject of potential traps, don’t get too attached to your metrics, either. One of the most important things you can do is to regularly evaluate and re-evaluate your metrics to determine if tracking them is still beneficial to your business. If the metrics are no longer applicable—for example, revenue generated from a Yellow Page ad—throw ’em out and find new ones that will provide you with much more relevant data.

You also might hear the term KPI (key performance indicator) being bandied about in a business metric discussion or two. But before you get worried about deciphering yet another business jargon acronym, a KPI is simply an important business metric—one that is imperative in meeting key business objectives. Whereas website traffic may be a helpful business metric to pay attention to, profit-per-visit or customer satisfaction might be key performance indicators. In other words, they’re crucial to your success.


Got that? Good! Because we’re about to jump into some really important business metrics for private therapy practices. Stay tuned to the blog this month to learn more.

The State of Rehab Therapy in 2019 Guide - Regular BannerThe State of Rehab Therapy in 2019 Guide - Small Banner
  • One Week at a Time: How PTs Can Achieve Big Goals by Thinking Small Image

    articleJan 30, 2015 | 2 min. read

    One Week at a Time: How PTs Can Achieve Big Goals by Thinking Small

    In this third video of a three-part series, PT and entrepreneurial consultant Jamey Schrier explains how private practice physical therapy owners can achieve their year-long goals and 90-day sprints by pinpointing one key “to-do” each week. Want to know more? Watch the video or read on for Jamey’s description: What is the number-one thing you should be doing next week to grow your practice? If you’re unsure as to what your top priority is over the coming …

  • Founder Letter: Ask and You Shall Perceive: Why Every Rehab Therapist Must Track NPS Image

    articleJul 6, 2017 | 10 min. read

    Founder Letter: Ask and You Shall Perceive: Why Every Rehab Therapist Must Track NPS

    Oh, the Net Promoter Score ® (NPS®)—a simple customer loyalty metric that packs a meaningful punch. So, how likely is it that your patients would recommend your services to a friend? If you don’t know the answer to this question, then it’s safe to say you’re not tracking your NPS , which means you’re missing out on a veritable goldmine of mission-critical information about how your practice is performing from your patients’ perspective. And that’s a pretty …

  • Does Cutting Expenses Really Grow Your Practice? Image

    articleJun 19, 2015 | 3 min. read

    Does Cutting Expenses Really Grow Your Practice?

    In this third video of a three-part series, PT and entrepreneurial consultant Jamey Schrier explains why looking at your practice’s staff as an investment—rather than a cost—is the key to achieving business growth and financial success. Want to know more? Watch the video or read on for Jamey’s description: Ask any business “expert” what you should do to increase your clinic’s profits, and he or she likely will advise you to do two things: Cut costs. Increase …

  • Think Big, Think Differently: 6 Bits of Inspiration from Ascend 2017 Image

    articleOct 5, 2017 | 11 min. read

    Think Big, Think Differently: 6 Bits of Inspiration from Ascend 2017

    The overarching theme of Ascend 2017 —the fourth-annual installment of rehab therapy’s premier business summit—was, quite simply, “Think big.” But, based on what we learned from our esteemed group of speakers over the course of two inspiration-filled days in Washington, DC, a more accurate tagline for this year’s conference might have been, “Think differently.” After all, in a field as complex as health care, grand aspirations are not enough. To solve the problems plaguing this industry, we …

  • Common Questions from our State of Rehab Therapy Webinar Image

    articleJul 17, 2017 | 16 min. read

    Common Questions from our State of Rehab Therapy Webinar

    WebPT recently conducted an industry survey of thousands of rehab therapy professionals across a wide variety of settings, specialties, and geographic regions. Our goal: To capture an accurate snapshot of the demographics, trends, frustrations, and motivations that shape our businesses, our future outlook, and our potential for success in this environment of change. In last week’s webinar , WebPT President and Co-Founder Dr. Heidi Jannenga, PT, DPT, ATC/L, and WebPT CEO Nancy Ham shared the results of …

  • Are Your Patients Really Satisfied? 5 Metrics to Find Out. Image

    articleAug 21, 2014 | 10 min. read

    Are Your Patients Really Satisfied? 5 Metrics to Find Out.

    Physical therapy can be a long, hard, difficult—and yes, sometimes unenjoyable—experience. So what, then, keeps patients coming back for more? Well, it’s probably safe to assume that it’s not the sweat-inducing gym sessions or the wince-eliciting manual therapy. Rather, I would argue it’s the feeling your patients have when they leave your clinic at the end of their visits. How are they feeling as they walk to the parking lot? Satisfied? Happy? You might not realize it, …

  • NPS® in Health Care: Leveraging Loyal Patients to Drive New Business and Improve Revenue Image

    articleApr 6, 2018 | 8 min. read

    NPS® in Health Care: Leveraging Loyal Patients to Drive New Business and Improve Revenue

    Most rehab therapy business owners, executives, and administrators understand the value of happy, loyal patients—especially given that a patient’s attitude toward, and relationship with, his or her provider can majorly impact the outcome of that patient’s treatment. But, did you know that you can use Net Promoter Score® (NPS®) tracking to systematically identify your already-pleased patients and leverage them to drive new business and improve your revenue? This powerful metric can also help you learn about, prioritize, …

  • 3 Simple Steps to Develop a PT Marketing Budget Image

    articleJan 19, 2015 | 7 min. read

    3 Simple Steps to Develop a PT Marketing Budget

    January is synonymous with resolutions, and now that direct access is a reality in all 50 states, many rehab therapy practices are resolving to better market to consumers. But marketing costs money, and nothing dashes dreams like a budget. As Marketing pioneer John Wanamaker said, “Half the money I spend on advertising is wasted; the trouble is, I don't know which half.” Fortunately, you can avoid that trap and make your 2015 marketing dreams come true. After …

  • Live from the Direct Access Front Lines: The Story of Your Front Office Image

    articleOct 16, 2014 | 6 min. read

    Live from the Direct Access Front Lines: The Story of Your Front Office

    A self-referred patient walks into a PT clinic. Is this the start of a joke or a story with a happy ending? Well, that’s up to you. Your direct access marketing efforts will inspire patients to pick up the phone and dial your clinic. But then what? Your front office team is your direct access front line, and if they’re not prepared to interact with self-referred patients (i.e., those with no referral from another healthcare provider), then …

Achieve greatness in practice with the ultimate EMR for PTs, OTs, and SLPs.