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Utilizing CBSA codes in Market Analytics

Market analytics has proven to be a key strategy for companies to develop a plan for targeting prospects. By analyzing the make-up of a particular market segment, a company can get a good idea as to the type of consumers that reside in a market as well as ways to showcase their services. Different industries may consider a variety of demographics in a particular segment, and the healthcare industry is no different.

Core Based Statistical Areas (CBSAs) were introduced by the Office of Management and Budget (OMB) in 2003. The general concept of a CBSA is that of a core area containing a substantial population nucleus (minimum population of 10,000), together with adjacent communities having a high degree of economic and social integration with that core. The table below shows the five largest CBSAs based on estimated 2014 population.

For the purposes of healthcare market analytics, Definitive Healthcare has aggregated many data points by CBSA to allow for market analysis at this level. Following are some examples of how this could be useful.

 

cbsa

 

Claims Analyses

In a given CBSA, understanding the volume of particular diagnoses and procedures performed can be helpful to size a sales opportunity. For example, if a medical device manufacturer sells a device that is used in a specific procedure, and they are trying to figure out where they should build up their sales force, they can review how many relevant procedures are performed by CBSA.  The table below shows potential opportunities in CBSA code 35620 (New York-Newark-Jersey City NY-NJ-PA) based on diagnoses codes.

 

Inpatient Diagnosis Claims Analytics for CBSA

 

Provider Density Analyses

Other factors that can play into the market analysis include the density of providers in a CBSA. The number of hospitals and/or purchasing organizations (GPOs) can influence the attractiveness of a particular CBSA. Or the population per hospital or per bed may be of interest. Some of this data is shown for the top 5 CBSAs below.

 

CBSA Population

 

Technology Utilization Analyses

Definitive also rolls up technology usage by CBSA, which can be used to recognize regional preferences for certain technologies. For example, in the New York-Newark-Jersey City market Epic leads the market for inpatient EHR software, with twice the market share of MEDITECH. But in the Los Angeles-Long-Beach-Anaheim market, MEDITECH leads the market with a share several points higher than Epic.
Map of Hospitals and IDNs Operating in CBSA

 

By analyzing markets based on CBSA codes, there are a number of ways to dig into this information depending on the service offerings, target demographics, and density based on population or number of providers as well.

Definitive Healthcare has the most up-to-date, comprehensive and integrated data on hospitals, physicians and other healthcare providers. Our hospital database tracks nearly 7,600 US hospitals and allows users to view much of the data based on Core Based Statistical Area (CBSA) market segmentations.

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