Pharmabiz
 

India- Asia's health tourism hub

Satish TiwariThursday, June 29, 2006, 08:00 Hrs  [IST]

Indian healthcare and wellness industry employs over four million people land is one of the largest service sectors in the economy. Indian healthcare industry is in the midst of a rapid transformation, thanks to the changes within the segment and outside. Increased spending on healthcare along with health insurance being available to the rich and the middle class and improvement in healthcare infrastructure are drivers set to fuel the growth of Indian healthcare market. Rated among the top 10 most attractive destinations for healthcare tourism, Indian healthcare tourism is projected to grow at 30% and fuel the growth of Indian healthcare market along with tourism, hotel and travel industries. Worldwide market The global market for Healthcare tourism is around US$ 40 billion growing at 15%. Broadly defined as a collaboration of medical services with the tourism industry, healthcare tourism offers cost effective medical services for individuals who cannot afford these services in their country due to high costs or to people who are tired by long waiting times. Also patients from countries, where treatment is not available, can avail the benefits of healthcare tourism. Its estimated that over 9,00,000 healthcare tourist across the world were benefited by the services of healthcare tourism in the year 2005. Countries that are actively promoting healthcare tourism include Belgium, Singapore, Malaysia, India, Thailand, Cuba, Costa Rica, Hungary, and Poland. Greece and South Africa are also emerging as new destinations. India is the latest entrant in the field of health tourism. Trends in India Healthcare tourism is projected as a new segment in healthcare and travel business in Indian healthcare and wellness industry. It is the most recent fallout of privatization and globalization in India. A recent study carried out by Confederation of Indian Industries (Cll) indicates that the total healthcare market in India is expected to rise from Rs.1030 billion currently to Rs.3200 billion by 2012. Currently Indian healthcare tourism is estimated at Rs. 24 billion, snowing at 25% and accounts for about 13% of global healthcare tourism industry, It is estimated that by 2012 Indian healthcare tourism will bring revenues of over Rs.120 billion and account for about 20% of the global market. Today people from all over the world have begun to realize the potential of Indian healthcare system. Entry of corporate hospitals, offering world class treatments in almost every medical specialty has changed the character of medical care in India. Indian healthcare system offers a unique basket of services by providing a blend of both modern and traditional Indian systems of medicines. Large number of tourists from UK, USA, Europe and Canada have benefited from healthcare service in India at a much reduced cost. Already about 1,50,000 visitors, seek treatment in India every year. With healthcare cost soaring high in USA and Europe, the number of healthcare tourists in India can increase to over 4,00,000 by 2012. Unlike other healthcare tourism destinations that are oriented towards physical wellbeing through surgical therapies, Indian healthcare tourism industry combines wellness and healthcare with holiday and relaxation to rejuvenate mind, body and soul. Indian healthcare services provide ancient alternate therapies of healthcare which includes yoga, meditation, ayurveda, aromatherapy, acupuncture, etc. Drivers A combination of many factors has led to the recent increase in popularity of healthcare tourism in India. World-class treatment at competitive price India offers world-class healthcare that costs substantially less than those in developed countries, using the same technology delivered by competent specialists and attaining comparable success rates. Availability of skills, knowledge and resources Indian medical education turns around 30000 doctors and nurses every year adding to the existing pool of over 14 lakh doctors and nurses. About a dozen corporate hospitals provide world class treatments across all specialties. Availability of over 15,000 hospitals and 8,70,000 hospital beds provides adequate infrastructure support to the healthcare tourists. The New Consumer Times are changing and so is the consumer for Indian healthcare tourism. Till recently, India attracted healthcare tourists from middle-east and non resident Indians (NRIs) in USA. However today consumers of Indian healthcare services include citizens of Canada, Europe as well as Southeast Asia. Also the needs of the customers have changed with times. Today a medical tourist in India not only looks towards heart surgery, knee replacement and cosmetic surgery. One of the fastest growing areas of Indian healthcare tourism is dental care. Also more and more people visit spas for rejuvenation at physical as well as at mental level. Critical success factors The measures that will shape the future of Indian healthcare tourism are as follows; Create global image Indian health ministry along with industry associations of hospitals and tourism industry need to focus efforts to promote India among the large demand centers of healthcare tourists from USA, Canada, UK and other European countries. These places account for about 70% of healthcare tourists. It is therefore critical to project the strengths and achievements of Indian healthcare tourism in these countries. Branding of India as a safe, scientifically advanced and cost effective center for healthcare tourism needs to be developed. Create value networks It is imperative for the success of Indian healthcare tourism that a value network is established across all relevant stakeholders. On one side where the government of India can concentrate on demand creation and branding of Indian healthcare tourism, hospitals and other players can focus on quality of deliverables. Creating value networks will facilitate to offer a package deal to healthcare tourists that include flights, transfers, hotel accommodation, treatment and a post operative vacation. Business model It is advisable to collaborate with all relevant stakeholders to offer more value to the consumers. Mutual co-existence and collaborative opportunities will attract consumers to Indian healthcare tourism. The essence behind co-existence and collaboration is not just about making a value offering but also to create the right environment for driving consumer traffic in Indian healthcare tourism industry. A successful business model for healthcare tourism needs to identify all relevant stakeholders and make them a part of the value chain. It is relevant to set all the stakeholders together in-order to increase the size of the market rather than each stakeholder carving out a market share for itself. What are the Opportunities? Make the Pie bigger Healthcare tourism in India accounts for 13% of the total global healthcare industry but growing at higher rate than other global markets. Size of Indian healthcare expanded by providing healthcare tourism can be expanded by tourism services across different locations in the country. With Rs. 830 crore made available in the annual budget of 2006-07 for development of 15 tourists centers across the country and focus on infrastructure development will help in providing better services to the healthcare tourist. Integration of global trends with Indianism In order to differentiate Indian healthcare tourism, its important to integrate the inherent strengths of Indian healthcare with the global trends. With Ayurveda becoming increasingly popular across the globe, this ancient Indian therapy can be used as a non-surgical treatment for various ailments along with medication and yoga. This will give help of Indianism to the Indian healthcare tourism offerings. Prospects As developed world with overstressed medical system knocks at Indian healthcare tourism, the need of the hour is innovation and new ideas that can make Indian healthcare tourism compete in the global market. Viewed from a long term perspective, government policy encouraging medical tourism will increase employment opportunities with simultaneous expansion of tourism, hotel and aviation industry. The trends in Indian healthcare tourism are encouraging and opportunities are abundant. The crucial partners in the industry include state and central governments along with tourism, healthcare industry with support from other key stakeholders. The existing lack of any sustained and focused effort to market medical tourism needs to be addressed in order to make India as the preferred destination for healthcare tourism and medical outsourcing. (The author Is a consultant with Interlink Marketing Consultancy Pvt Ltd) --Courtesy: Interlink Insight

 
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