Marketing Strategies Influencing Performance Of Private Hospitals In Nyeri County, Kenya

Abstract

The study aimed at finding out marketing strategies influencing performance of private hospitals in Nyeri County based on internal organizational perspectives. Available studies in this field are based on customer perspectives. Marketing strategies determine how best business organizations can achieve their marketing targets in the light of existing pressure from competition while operating under limited resources. This study sought to identify the marketing strategies adopted by private hospitals and effect they have on hospital’s performance. Specifically the study aims to evaluate the effect of health products, price, place and promotion on performance of private hospitals in Nyeri County. To achieve the objectives of this study a descriptive research design was adopted. The target population was a census of 56 respondents composing of heads of department or their assistants in the five hospitals in Nyeri County. Self-administered questionnaires were used to collect data from the private hospitals registered by Medical Practitioners and Dentists Board of Kenya in Nyeri County. A pilot study was carried out in two private hospitals in Kirinyaga County. Cronbach Alpha coefficient with a value of 0.70 and above indicated that the instrument was reliable. Out of fifty six (56) questionnaires that were distributed, fifty one (51) responded representing a response rate of 91.1%. The analysis of the collected data was done by use of statistical package for social sciences (SPSS) to produce descriptive and inferential statistics. A bivariate and multiple linear regressions were adopted at statistical confidence level of 95%. The study revealed that product, price and place strategies had positive and statistically significant effect on performance of private hospitals while promotion strategies had a positive but insignificant effect. In addition, the study revealed that majority of private hospital offers quality services and engage medical personnel who handle patients professionally, prices are based on cost of providing services and the hospital charges fair prices, private hospital opening hours for outpatient clinics are convenient, and most of the private hospital promotes sales through free medical camps. The study recommends that private hospitals should come up with health service delivery charter with a view to enhance the quality of service delivery and ultimately the performance. In addition, private hospitals should focus on price differentiation in order to enhance performance. The study suggests that future research could focus on challenges private hospitals face when they focus on implementing marketing strategies.