Just because President Obama and his team have been pathetic when it comes to letting Americans know what’s in his healthcare reform law doesn’t mean the press shouldn’t be zeroing in on this huge, multifaceted story. The law is packed with changes – some of which have already taken effect but have barely been written about – whose ramifications range from likely upheavals in the advertising and marketing industries to an apparent lifeline for all Americans who are mystified or even tormented when dealing with their health insurers.
A marketing explosion
Let’s start with the business angles. As this article from Advertising Age points out, once various provisions of Obamacare take effect, key sectors of the healthcare industry, particularly hospitals and insurance companies, are going to have to become heavily engaged in consumer marketing and communications. In the last few years we’ve seen some hospitals use advertising to establish their brand, and, as I mentioned in this column in February, United HealthCare has been aggressively advertising to consumers.
All of these early efforts are about to be taken to a whole new level because of Obamacare – which requires that by 2014 everyone must buy health insurance and every state must have an exchange where consumers can go online and compare insurers’ offerings. This means not only that the market for health insurance is going to expand but also that much of it is likely to be sold directly to individual consumers rather than through an employer. Meantime, hospitals and doctors’ networks will want to advertise to have more leverage in negotiating with insurers to include them in the insurers’ networks.
That there is already a robust community of public relations, marketing, advertising, and market research professionals who specialize in the multitrillion-dollar healthcare industry is itself an interesting story. But getting inside the dynamics of how that business is now going to explode – and which big players, such as the largest ad agencies, are likely to start buying up the specialists – is a much bigger deal.
Healthcare is the largest industry in the world’s largest economy, and, with the exception of the drugmakers, those who provide it have never really had to communicate directly with consumers, let alone compete for them.