Industry Insights
The Competitive Edge in Laboratory Outreach: Enhancing Value Beyond Price
March 5, 2025
In today’s highly challenging laboratory landscape, independent clinical labs face an ongoing battle: competing against large national labs that can undercut prices while still needing to attract and retain clients by providing high-value services.
“It’s a competitive world,” said Dennis Winsten, a highly sought-after consultant in the healthcare systems industry. “On the one hand, clients are trying to lowball you on the price of tests, and on the other, they want added services, so success in outreach testing requires a careful balance between cost efficiency, competitive pricing, and differentiation through value-added services.”
With Mr. Winsten's expertise, this Industry Insights article explores the current landscape of outreach and offers strategies to help grow your lab’s outreach business.
Outreach as a Business Model
For an independent lab, outreach is more than just an extension of services, it’s a critical business driver. Client-based revenue fuels sustainability, and efficiency is key to maintaining competitive pricing. The challenge lies in counteracting high-volume national competitors by offering superior service, technological advancements, and client engagement strategies that justify a premium price.
“The big national labs remain a threat to client-based revenue, but they’re not going to be able to bring the value-added aspects that independent outreach labs can,” said Winsten.
Winsten emphasized the importance of advanced laboratory information systems (LIS software) in helping independent labs stay competitive against national players. He noted that the most effective LIS software goes beyond processing test orders. It enhances client experience, streamlines operations, and delivers critical business intelligence to drive success.
“You want to make it easy for the client to do business with you, and that’s part of it. A modern LIS system can help, but it’s not just about having a system, it’s about what the LIS system does to enhance client experience and efficiency,” continued Winsten.
Learn More: Comparing LigoLab Informatics Platform with Legacy Laboratory Information System Software
Here’s how independent labs can leverage advanced LIS laboratory information system functions and capabilities to maintain and grow their outreach business.
Enhancing Client Value with Modern Pathology Lab Software Technology
1. Intelligent Order Entry
- AI-driven order entry reduces errors by suggesting test alternatives or flagging contraindications.
- Integration with historical patient data ensures more precise test selection.
Learn More: How AI Can Propel Medical Laboratories into a New Era of Growth
2. Results Reporting with Interpretation
- Push results directly to clients in their preferred format.
- Provide AI-generated interpretations customized to patient history.
- Enhance decision-making for physicians through targeted insights.
Learn More: LigoLab’s Provider Portal Facilitates Faster Order Processing and Improved Turnaround Times
3. Specimen Management and Tracking
- Real-time tracking of samples using GPS and RFID.
- Automated alerts for missing, damaged, or insufficient specimens.
- Location tracking at lab workstations to ensure workflow efficiency.
Learn More: Top 10 Medical Laboratory Mistakes and How to Prevent Them from Happening in Your Lab
4. Courier Management
- AI-powered route optimization to reduce transportation costs.
- Automated mileage logging for operational efficiency.
- Predictive supply replenishment based on historical usage.
5. RFID for Efficient Sample Processing
- Mass RFID scanning for quick sample logging.
- Improved chain-of-custody tracking for forensic and high-value specimens.
- Reduced labor costs associated with manual barcode scanning.
- The cost of RFID labels still inhibits utilization.
“RFID tracking can revolutionize specimen management. Rather than scanning each sample individually, you can move an entire bin through a scanner and log everything instantly. That’s efficiency, and that’s the future,” said Winsten.
Learn More: How Specimen Tracking Software Improves Efficiency and Reduces the Chance for Diagnostic Errors
Optimizing Client Interactions
6. Responsive Customer Service
- AI-powered issue tracking for faster resolution.
- Instant access to specimen status and troubleshooting.
- “Built-in” awareness of customer preferences.
- Improved client satisfaction.
7. Supply Chain Management for Clients
- Usage monitoring to prevent misuse and ensure timely replenishment.
- Automated detection of discrepancies between supply orders and test volume.
- Proactive resupply management to prevent shortages.
8. Direct-to-Consumer Lab Testing and Patient Interactions
- Online portals for test ordering and tracking.
- Digital engagement tools for patients, reducing the administrative burden on providers.
Learn More: Highlighting the Versatility of the TestDirectly Direct-to-Consumer Lab Testing Portal
Data-Driven Decision-Making for Growth
9. Client and Lab Dashboards
- Real-time tracking of client test utilization, revenue generation, and cost analysis.
- Client-specific insights to optimize pricing and service offerings.
- AI-based financial modeling to determine ROI on new tests and equipment acquisitions.
Learn More: Understanding the Importance of Real-Time Analytics in the Modern Clinical Laboratory
10. Laboratory Billing and Lab Revenue Cycle Management (Lab RCM)
- Flexible client-specific laboratory billing models with discount options.
- AI-driven clean claim submissions to reduce denials.
- Enhanced receivables optimization to improve cash flow.
Learn More: The AI Revolution in Laboratory Billing: A Game Changer for 2025 and Beyond
The Role of AI in Outreach Growth
Artificial intelligence is rapidly transforming laboratory operations. Whether in predictive analytics for test demand, optimizing financial modeling, or automating complex or repetitive logistical processes, AI provides a competitive advantage that independent labs must embrace.
For example, by analyzing projected client demand and cost implications, AI-driven modeling can assess whether investing in a new test or instrumentation upgrade makes financial sense and labs can make informed decisions that maximize profitability.
Learn More: How to Prepare for Tomorrow’s Tech-Enabled Clinical Lab
Competitive Differentiation for Independent Labs
Large national laboratories may dominate in pricing, but they cannot always match the personalized service and innovative features that independent outreach labs can offer. To succeed, independent labs must:
- Reduce operational costs without compromising quality.
- Deliver superior value-added services that improve client workflow and satisfaction.
- Leverage technology to automate processes, improving efficiency and profitability.
- Use data analytics to refine outreach strategies and tailor services to client needs.
Conclusion: Winning the Outreach Battle
Outreach is a highly competitive laboratory business, but independent labs can thrive by focusing on providing high-quality, client-centric services supported by advanced technology.
“Yes, It’s a price-sensitive business, but independent labs that leverage the latest technology to reduce costs and provide value-added services will not only retain clients but also grow their business,” concluded Winsten.
By integrating modern laboratory information system software efficiencies, optimizing client interactions, and leveraging AI for business intelligence, independent labs can sustain and grow their outreach business. The key is not just to match the competition on price but to differentiate through innovation and service excellence.
About Dennis Winsten & Associates
Founded in 1985 in Tucson, Arizona, Dennis Winsten & Associates has been a trusted consulting firm in the healthcare industry, specializing in laboratory and clinical information systems. With a deep understanding of the complexities of healthcare IT, the firm has developed proven methodologies to help clients make informed, strategic decisions in an evolving technological landscape.
Known for delivering responsive and cost-effective consulting services, Dennis Winsten & Associates provides expert guidance to healthcare organizations navigating the selection, implementation, and optimization of their information systems.
The firm addresses critical concerns that healthcare institutions face, such as evaluating artificial intelligence and analytics applications, managing system costs, ensuring contract protections, and mitigating risks associated with vendor stability and system obsolescence.
Dennis Winsten & Associates empowers clients to optimize their workflows, enhance outreach services, and achieve regulatory compliance while maximizing their return on investment in healthcare IT solutions.
