Chicago-based CommonSpirit Health, the nation's third-largest health system with 143 hospitals, recently said it would be adding its name to its hospitals for the first time.
The Catholic nonprofit will soon lose its distinction as the largest health system without its brand name on any of its hospitals. But which will take its place?
That would be Lifepoint Health, a private-equity backed, for-profit system headquartered in Brentwood, Tenn., with 64 community hospitals and 42 specialty hospitals.
"Marketing is about creating a brand that people can have confidence in. Many investor-owned facilities like to keep a more local name, and use their overall name for the market," Thomas Beeman, PhD, a professor of the practice of healthcare administration at Saint Joseph's University in Philadelphia and a former health system CEO, told Becker's. "If, as in the case of academic medical centers, where there is a lot of prestige, the local hospitals often adopt the name. Sometimes, the names of health systems have no resonance with local communities so it doesn't help."
Of the 10 largest systems that aren't putting their brand names on their hospitals, seven are investor-owned, for-profit systems (including three that are publicly traded), two (Community Health Corp. and Great Plains Health Alliance) are nonprofit hospital management companies, while only one (Ballad Health, formed via a 2018 merger) is a regional nonprofit system.
Nashville, Tenn.-based Ardent Health Services, for instance, is owned by private equity firm Equity Group Investments, real estate investment trust Ventas, and members of Ardent's management team. Its 30 hospitals include regional hospital chains and partnerships with academic organizations such as the University of Texas and University of Kansas health systems.
"Ardent's local market brands have well-established trust with consumers in the communities we serve, with some names being community staples for more than a century," said Reed Smith, chief consumer officer at Ardent. "As Ardent evolves, we are building a consistent consumer experience across our markets that puts consumers at the center of all we do, which includes a trusted name and brand tied to a range of convenient health services."
CommonSpirit Health, meanwhile, was formed through the 2018 merger of the former Englewood, Colo.-based Catholic Health Initiatives and San Francisco-based Dignity Health. Many of the Catholic nonprofit's names are still branded as CHI, Dignity Health or some of their former regional systems.
In August, CommonSpirit and Altamonte Springs, Fla.-based AdventHealth folded their joint venture — Centennial, Colo.-based Centura Health — and CommonSpirit said it would be putting its brand name on 20 former Centura hospitals in Colorado, Kansas and Utah, a first for the system.
"It is an exciting opportunity for our neighbors and communities across the country to connect with One CommonSpirit in a new, visible way," a health system spokesperson emailed Becker's.
Meanwhile, Ontario, Calif.-based Prime Healthcare was founded in 2001 by cardiologist Prem Reddy, MD, who is its chair, president and CEO. The for-profit system has 45 hospitals, including 14 that are owned by Prime's nonprofit charity foundation. None of them have the Prime name.
"Prime Healthcare rescues and transforms hospitals across the country, and many of these hospitals have a storied history and name recognition that should be respected and maintained, said Beth Nickels, vice president of communications and public relations. "Prime's hospitals are often named after the communities they serve, and as a family of hospitals, we are unified in our mission, values, and commitment to serving all who seek us for care."
She said Prime doesn't have any plans to change that, other than adding a "member of Prime Healthcare" tagline to its hospitals in advertising materials.
"Many of Quorum Health's affiliated hospitals have names that reflect local geographical or cultural elements," said Lisa Anderson, vice president of marketing and corporate communications for that 13-hospital private equity-owned system based in Brentwood, Tenn. "These hospitals have been caring for generations of families locally and we recognize the value in preserving their names — for residents and employees."
Here is the list of the 10 biggest systems that don't have their brand names on any of their hospitals (or plans to add them):
1. Lifepoint Health (Brentwood, Tenn.): 106 hospitals
2. ScionHealth (Louisville, Ky.): 94 hospitals
3. Community Health Systems (Franklin, Tenn.): 78 hospitals
4. Tenet Healthcare (Dallas): 61 hospitals
5. Prime Healthcare (Ontario, Calif.): 45 hospitals
6. Great Plains Health Alliance (Wichita, Kan.): 35 hospitals
7. Ardent Health Services (Nashville, Tenn.): 30 hospitals
8. Community Hospital Corp. (Plano, Texas): 28 hospitals
9. Universal Health Services (King of Prussia, Pa.): 27 hospitals
10. Ballad Health (Johnson City, Tenn.): 21 hospitals