{"id":1779,"date":"2026-09-29T05:31:41","date_gmt":"2026-09-28T19:31:41","guid":{"rendered":"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/featured\/everything-you-need-to-know-about-how-to-increase-revenue-at-your-veterinary-practice\/"},"modified":"2026-09-29T22:18:53","modified_gmt":"2026-09-29T12:18:53","slug":"everything-you-need-to-know-about-how-to-increase-revenue-at-your-veterinary-practice","status":"publish","type":"post","link":"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/practice-solutions\/everything-you-need-to-know-about-how-to-increase-revenue-at-your-veterinary-practice\/","title":{"rendered":"10 Strategies to Boost Veterinary Practice Revenue in 2026"},"content":{"rendered":"<h2 id=\"-key-takeaways-\"><strong>Key Takeaways<\/strong><\/h2>\n<ul>\n<li>Veterinary practice revenue grows fastest when clinics tighten their revenue cycle, reduce missed charges and keep their fee schedules up to date.<\/li>\n<li>Strong client retention, efficient workflows and well\u2011utilised staff help create predictable, recurring revenue throughout the year.<\/li>\n<li>Smart inventory management, modern technology and clear KPIs can help to reduce waste, streamline operations and support long\u2011term profitability.<\/li>\n<li>Tools like Covetrus Ascend make it easier to capture charges, automate reminders, manage stock and track performance so your practice can grow sustainably.<\/li>\n<\/ul>\n<p>Operating a veterinary practice today can feel challenging, especially when rising costs make it harder to maintain strong revenue. If you\u2019re looking for clear, practical ways to increase your vet clinic\u2019s profitability, the answer starts with tightening your systems and improving efficiency.<\/p>\n<p>In this article, we\u2019ll share strategies to help you capture more revenue, strengthen client relationships and streamline your practice\u2019s daily workflows.<\/p>\n<h2 id=\"-how-profitable-are-veterinary-clinics-\"><strong>How profitable are veterinary clinics?<\/strong><\/h2>\n<p>Veterinary clinics in Australia and New Zealand can be highly profitable when they\u2019re well\u2011managed. According to the Australian Tax Office, practices with turnover above \\$800,000 achieve 74\u201377% gross margins and around <a href=\"https:\/\/www.lotusamity.com\/industries\/professional-practice-valuations\/veterinary-practice-valuations\/\">20% net profit margins<\/a>.<\/p>\n<p>These strong results are driven by high pet\u2011ownership rates, steady demand for veterinary care and the growing availability of advanced diagnostics and treatments. In 2026, profitability increasingly depends on efficient operations, smart technology use, and disciplined cost control.<\/p>\n<h2 id=\"-key-areas-where-veterinary-clinics-may-be-losing-money-\"><strong>Key areas where veterinary clinics may be losing money<\/strong><\/h2>\n<p>Even profitable veterinary practices often lose revenue in ways that aren\u2019t obvious right away. Small inefficiencies, outdated processes and gaps in charge capture can quietly erode margins over time.<\/p>\n<p>In 2026, rising operating costs mean these leaks are likely to have an even bigger impact. By understanding where your practice revenue commonly slips through the cracks, you can take targeted action to strengthen your financial performance and maximise your veterinary practice profitability.<\/p>\n<h3 id=\"1-missed-or-incomplete-charges\">1. Missed or incomplete charges<\/h3>\n<p>Many veterinary practices lose revenue simply because charges aren\u2019t fully captured. Missed nail trims, repeat consults, consumables, lab fees and nurse time add up quickly. Without consistent workflows or charge\u2011capture tools, your practice can <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/practice-solutions\/the-opportunity-more-revenue-the-gap-missed-charges\/\">under\u2011invoice by 10-20%<\/a> \u2013 which could cost <a href=\"https:\/\/www.dvm360.com\/view\/missing-charges-your-software-should-help\">up to \\$64,000<\/a> per veterinarian per year in revenue. Regular audits, pre\u2011exam checklists and practice management software (PMS) prompts help make sure every service delivered is billed accurately.<\/p>\n<h3 id=\"2-out-of-date-fee-schedules\">2. Out\u2011of\u2011date fee schedules<\/h3>\n<p>Fee schedules that haven\u2019t been reviewed in the past 12 to 18 months almost always fall behind rising supplier and labour costs. This is especially true in the current period of rapid cost increases. Underpriced consults, diagnostics and procedures erode margins steadily over time. Quarterly reviews, benchmarking and automated price updates will help make sure your fees reflect true costs and maintain profitability without relying on higher patient volume.<\/p>\n<blockquote><p><em>\u201cIf your suppliers have put their prices up but you haven\u2019t put yours up \u2013 you could be making a loss and at best, break even.\u201d<\/em> \u2013 Gemma Barmby, Veterinary Business Consultant<\/p><\/blockquote>\n<h3 id=\"3-inefficient-inventory-management\">3. Inefficient inventory management<\/h3>\n<p>Poor stock control leads to expired products, over\u2011ordering and slow inventory turnover. These tie up cash and reduce profitability, especially in the pharmacy and consumables areas. Using PMS inventory tools, setting reorder points and reviewing supplier contracts will help your practice reduce waste, improve margins and keep stock aligned with actual demand.<\/p>\n<h3 id=\"4-low-client-retention-and-compliance\">4. Low client retention and compliance<\/h3>\n<p>When clients don\u2019t return regularly or decline recommended care, practices lose predictable, high\u2011value revenue. Missed vaccinations, overdue dentals and lapsed parasite prevention are common gaps. Multi\u2011channel reminders, forward booking and strong post\u2011visit communication significantly improve compliance and keep clients engaged throughout the year.<\/p>\n<h3 id=\"5-labour-inefficiencies-and-under-utilised-staff\">5. Labour inefficiencies and under\u2011utilised staff<\/h3>\n<p>Staffing is a clinic\u2019s largest expense, and inefficiencies quickly erode profit. Poor scheduling, unclear workflows and under\u2011utilised nurses reduce productivity and increase stress. Standardised processes, delegation, training and better use of technology help teams work more efficiently, improving both revenue and staff satisfaction.<\/p>\n<blockquote><p><em>\u201cIncreased utilisation of veterinary nurses and technologists as key members of professional veterinary teams will improve staff retention and practice growth.\u201d<\/em> \u2013 Patricia Clarke, Veterinarian, Manly Road Veterinary Hospital<\/p><\/blockquote>\n<h2 id=\"-10-strategies-to-boost-revenue-at-your-veterinary-practice-\"><strong>10 strategies to boost revenue at your veterinary practice<\/strong><\/h2>\n<p>Veterinary practices in Australia and New Zealand have strong potential for growth, but success in 2026 depends on having clear systems, consistent workflows and a focus on an excellent client experience.<\/p>\n<p>The most profitable practices focus on their revenue opportunities, improve team efficiency and build long\u2011term client relationships. Here are suggested ways to achieve this:<\/p>\n<h3 id=\"1-optimise-billing-and-capture-all-charges\">1. Optimise billing and capture all charges<\/h3>\n<p>Studies show that <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/practice-solutions\/how-profitable-is-a-vet-clinic\/\">up to 20%<\/a> of diagnostic charges for faecal exams, injection fees, recheck exams, ultrasounds and blood draws can go un-invoiced \u2013 making them the biggest potential source of practice revenue loss.<\/p>\n<p>Nail trims, consumables and nurse consults can also often go unbilled. Structured workflows, prompts from your <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/practice-solutions\/how-to-get-the-best-veterinary-practice-management-software-for-your-clinic\/\">practice management software (PMS)<\/a> and regular audits can help make sure every service is captured. Even small improvements can lift revenue without increasing patient numbers.<\/p>\n<blockquote><p><em>\u201cGetting Covetrus Ascend cloud-based practice management software really made the business easier to run.\u201d<\/em> \u2013 Angela Nehring, Veterinarian, HousePaws Mobile Vet<\/p><\/blockquote>\n<h3 id=\"2-modernise-and-maintain-your-fee-schedule\">2. Modernise and maintain your fee schedule<\/h3>\n<p>The latest <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/featured\/veterinary-industry-trends-2026\/\">Covetrus Top Veterinary Industry Trends<\/a> report highlights that practices will continue to grapple with rising operating costs and increased pharmaceutical and consumable prices. This, combined with fee schedules that fall behind rising supplier and labour costs, will reduce margins over time. Quarterly reviews, benchmarking and automated price updates will help keep fees aligned with true costs, which will protect practice profitability and reduce pressure on your team to see more patients in order to maintain revenue.<\/p>\n<h3 id=\"3-strengthen-client-retention-and-compliance\">3. Strengthen client retention and compliance<\/h3>\n<p>Strong client retention and good compliance with your recommendations help create more predictable and recurring revenue. <a href=\"https:\/\/www.vetpracticemag.com.au\/five-tips-to-ensure-customer-loyalty-in-your-new-veterinary-practice\/\">Vet Practice magazine<\/a> suggests strategies like using modern communication channels, implementing rewards programs and establishing your practice as a trusted source of information help build customer loyalty.<\/p>\n<p>Forward bookings, reminders across multiple channels and personalised follow\u2011up messages can all help clients stay engaged. This supports better compliance with vaccinations, dentals and parasite prevention, which can improve patient health and increase practice revenue.<\/p>\n<h3 id=\"4-improve-operational-efficiency-and-team-utilisation\">4. Improve operational efficiency and team utilisation<\/h3>\n<p>Staff costs are your largest ongoing expense \u2013 around <a href=\"https:\/\/www.scalesuite.com.au\/resources\/veterinary-practice-financial-management\">40-50% of revenue<\/a> \u2013 so inefficient workflows can have a major impact on profitability. You can reduce bottlenecks and improve productivity with clear delegation and responsibilities, standardised processes and better utilisation of your veterinary team&#8217;s skills. Base your scheduling on patient load and use technology to streamline tasks \u2013 this will help your team work smoothly and reduce stress.<\/p>\n<h3 id=\"5-enhance-your-accounts-receivable-processes\">5. Enhance your accounts receivable processes<\/h3>\n<p>Slow invoicing and inconsistent follow\u2011up reduce your practice cash flow and increase the risk of bad debt. Use automated reminders, upfront payment policies and <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/practice-solutions\/how-online-payments-can-save-your-veterinary-practice-time-and-open-new-revenue-streams\/\">integrated digital payments<\/a> to help clients pay on time. Strong accounts receivable processes can reduce write\u2011offs and improve your practice\u2019s financial stability.<\/p>\n<h3 id=\"6-diversify-your-service-offerings\">6. Diversify your service offerings<\/h3>\n<p>Adding complementary services increases average transaction value and encourages your clients to visit more often. Rehabilitation, laser therapy, behaviour consults, grooming and seasonal wellness campaigns are all strong possibilities for new revenue streams \u2013 aside from the key benefit of supporting patient wellbeing and strengthening client relationships.<\/p>\n<h3 id=\"7-optimise-inventory-management\">7. Optimise inventory management<\/h3>\n<p>According to Crampton Consulting Group, inefficiencies like daily stock ordering, margin leakage, holding excess stock and wasted staff time can cost your practice <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/podcast\/your-vet-clinics-hidden-profit-centre-84000-per-vet\/\">up to \\$84,000<\/a> per vet per year. Poor stock control ties up your cash and reduces profitability from expired products and over\u2011ordering.<\/p>\n<p>Inventory tools in a <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-solutions\/ascend-cloud-veterinary-software\/mobile\/\">PMS like Covetrus Ascend<\/a>, reorder points and supplier contract reviews will help your team maintain optimum stock levels. Efficient inventory management improves margins, especially with pharmacy and consumables.<\/p>\n<blockquote><p><em>\u201cOur current system works well. The software tells us what to order based on preset mins and maxs.\u201d<\/em> \u2013 Tracy Kamens, Practice Manager, Middle Brighton Vet<\/p><\/blockquote>\n<h3 id=\"8-use-technology-to-improve-client-experience\">8. Use technology to improve client experience<\/h3>\n<p>Nearly 27% of veterinary professionals surveyed in the latest <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/featured\/veterinary-industry-trends-2026\/\">Covetrus Veterinary Industry Trends report<\/a> highlighted technology \u2013 particularly AI, automation and data\u2011driven tools \u2013 as a key consideration in 2026.<\/p>\n<p>Practices are increasingly turning to digital solutions to <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/client-solutions\/use-automated-software-to-reduce-admin-in-veterinary-practices\/\">reduce their administrative workload<\/a>, improve their efficiency and manage staffing shortages. They also make it easier for clients to engage with your practice through online booking, <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/client-solutions\/use-veterinary-communications-tools-strategies-to-engage-pet-owners\/\">automated reminders<\/a>, telemedicine and integrated payments. A better client experience leads to higher retention, stronger compliance and more consistent revenue.<\/p>\n<h3 id=\"9-build-a-strong-team-culture-and-communication-capability\">9. Build a strong team culture and communication capability<\/h3>\n<p>A confident and well\u2011supported team delivers better client interactions and more consistent patient care. <a href=\"https:\/\/www.provetccg.com.au\/training\/\">Training<\/a> in communication, workflow efficiency and upselling will help your staff feel capable and motivated, while a strong culture helps to reduce turnover, lift productivity and support higher revenue.<\/p>\n<h3 id=\"10-track-and-act-on-key-performance-indicators\">10. Track and act on key performance indicators<\/h3>\n<p>Track veterinary key performance indicators (KPIs) using tools like <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-solutions\/integrated-solutions\/vetlytics\/\">Covetrus Vetlytics<\/a> that are built into practice management software like <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-solutions\/ascend-cloud-veterinary-software\/\">Covetrus Ascend<\/a>. KPIs like average transaction value, active client rate, inventory turns and missed charges will help you spot trends early. A regular review of PMS dashboards and reports will support you to make better informed decision\u2011making and help your practice stay on track throughout the year.<\/p>\n<h2 id=\"-key-considerations-when-implementing-revenue-generation-strategies-at-your-practice-\"><strong>Key considerations when implementing revenue generation strategies at your practice<\/strong><\/h2>\n<p>Veterinary practice profitability and growth are most successful when it\u2019s planned, measured and supported by your whole team. Before you introduce new systems or services, it can help to understand how they will affect your workflows, client experience and financial performance.<\/p>\n<p>Here are some considerations to guide smooth implementation and help your practice get the full benefit of each strategy:<\/p>\n<h3 id=\"1-make-sure-your-team-is-aligned\">1. Make sure your team is aligned<\/h3>\n<p>Revenue initiatives work best when everyone understands the purpose behind them. Clear communication, simple workflows and <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/team-management\/how-staff-training-can-improve-your-veterinary-practice-performance\/\">practical training<\/a> will help your staff feel confident and supported. When your team knows how each change improves care and reduces stress, they are more likely to adopt any new processes consistently.<\/p>\n<h3 id=\"2-review-your-current-workflows-first\">2. Review your current workflows first<\/h3>\n<p>Introducing new strategies without understanding your existing processes can create confusion or extra work for you and your team. Map out how appointments, billing, inventory and client communication currently flow; this will help you identify gaps and choose the right improvements. It will also make it easier to integrate new tools into daily routines.<\/p>\n<h3 id=\"3-prioritise-changes-that-deliver-quick-wins\">3. Prioritise changes that deliver quick wins<\/h3>\n<p>Some improvements \u2013 like charge capture prompts or fee schedule updates \u2013 can deliver fast and measurable results. Starting with these quick wins can help to build momentum and confidence across your team. Early success also makes it easier to introduce larger changes like new services or technology upgrades later.<\/p>\n<h3 id=\"4-use-data-to-guide-your-decisions\">4. Use data to guide your decisions<\/h3>\n<p>Reliable data will help you understand where practice revenue is slipping and where there are opportunities. Review KPIs like missed charges, active client rate, and inventory turns to help you choose the most effective strategies. Data will also help you track progress and adjust your approach as needed.<\/p>\n<h3 id=\"5-protect-the-client-experience-during-change\">5. Protect the client experience during change<\/h3>\n<p>Revenue initiatives should never compromise the quality of patient care or client relationships. When you introduce new processes, make sure they support a smooth, friendly and consistent experience. Clear communication, simple payment options and personalised follow\u2011ups can help clients feel valued while your practice strengthens its financial performance.<\/p>\n<h2 id=\"-increase-revenue-for-your-veterinary-clinic-with-covetrus-ascend-\"><strong>Increase revenue for your veterinary clinic with Covetrus Ascend<\/strong><\/h2>\n<p>Growing your practice revenue in 2026 and beyond is about working smarter, not harder. When you tighten your revenue streams, strengthen your client relationships and streamline your workflows, you\u2019ll create a more efficient and profitable clinic.<\/p>\n<p>Covetrus Ascend supports every step of this journey with modern tools that simplify billing, improve charge capture, automate reminders and give you clear visibility of your key performance indicators. If you\u2019re ready to reduce practice admin, improve your team\u2019s efficiency and open up new revenue opportunities, see how Covetrus Ascend can help your practice thrive.<\/p>\n<p>To see how, watch Covetrus Ascend\u2019s latest <a href=\"https:\/\/solutions.covetrus.com\/covetrus-ascend-q1-2026-on-demand-demo\">recorded demo<\/a>, or <a href=\"https:\/\/software.covetrus.com\/apac\/book-a-demo\/\">book an in-person demo<\/a> today.<\/p>\n<p><a href=\"https:\/\/solutions.covetrus.com\/covetrus-ascend-q1-2026-on-demand-demo\"><img decoding=\"async\" class=\"alignnone size-full wp-image-3325 lazyload\" data-src=\"https:\/\/software.covetrus.com\/apac\/wp-content\/uploads\/sites\/4\/2026\/05\/CTA-4.png\" alt=\"\" width=\"750\" height=\"150\" data-srcset=\"https:\/\/software.covetrus.com\/apac\/wp-content\/uploads\/sites\/4\/2026\/05\/CTA-4.png 750w, https:\/\/software.covetrus.com\/apac\/wp-content\/uploads\/sites\/4\/2026\/05\/CTA-4-300x60.png 300w, https:\/\/software.covetrus.com\/apac\/wp-content\/uploads\/sites\/4\/2026\/05\/CTA-4-328x66.png 328w, https:\/\/software.covetrus.com\/apac\/wp-content\/uploads\/sites\/4\/2026\/05\/CTA-4-120x24.png 120w, https:\/\/software.covetrus.com\/apac\/wp-content\/uploads\/sites\/4\/2026\/05\/CTA-4-400x80.png 400w\" data-sizes=\"(max-width: 750px) 100vw, 750px\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 750px; --smush-placeholder-aspect-ratio: 750\/150;\" \/><\/a><\/p>\n<h2 id=\"-faqs-\"><strong>FAQs<\/strong><\/h2>\n<h3 id=\"-1-what-is-the-quickest-way-to-increase-veterinary-practice-profitability-\"><strong>1. What is the quickest way to increase veterinary practice profitability?<\/strong><\/h3>\n<p>The fastest gains usually come from tightening your revenue cycle. Audit how you capture charges to identify and avoid missed billing. Fee schedule updates and better use of the tools in your PMS can also help lift revenue and capture charges you\u2019re earning but not invoicing. These steps can often deliver results quite quickly and don\u2019t need more patients or extra staff.<\/p>\n<h3 id=\"-2-how-do-i-know-which-revenue-strategies-will-work-best-for-my-practice-\"><strong>2. How do I know which revenue strategies will work best for my practice?<\/strong><\/h3>\n<p>Start by reviewing your data and identifying your <a href=\"https:\/\/software.covetrus.com\/apac\/veterinary-insights\/article\/practice-solutions\/veterinary-key-performance-indicators\/\">9 key KPIs<\/a>. These will show where your biggest gaps are. Once you know where revenue is slipping, you can choose strategies that target those areas and measure the impact over time.<\/p>\n<h3 id=\"-3-how-can-technology-help-improve-my-practice-s-profitability-\"><strong>3. How can technology help improve my practice\u2019s profitability?<\/strong><\/h3>\n<p>Technology can help reduce practice admin, improve accuracy and strengthen client engagement. Tools like online booking, automated reminders, integrated payments and charge\u2011capture prompts can help your team work more efficiently and create a smoother client experience. Practice software like Covetrus Ascend brings these tools together so you can manage workflows, billing and reporting seamlessly in one place.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways Veterinary practice revenue grows fastest when clinics tighten their revenue cycle, reduce missed charges and keep their fee schedules up to date. Strong client retention, efficient workflows and&#8230;<\/p>\n","protected":false},"author":123456824,"featured_media":1781,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4],"tags":[],"class_list":["post-1779","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-practice-solutions"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.8 (Yoast SEO v27.8) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>10 Strategies to Boost Veterinary Practice Revenue in 2026<\/title>\n<meta name=\"description\" content=\"Need some inspiration on how to increase revenue at your veterinary practice? 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