Startups redesigning healthcare, helping bring down costs: Study

Date posted: Monday 2 October 2017

Technology-focused start-ups in the healthcare sector are helping bring down the cost of care by segregating each healthcare function and offering it as a specialized product or service to consumers. By fragmenting each service like fitness, dietary supplements, hospital automations, and so on, the industry has now started catering to ‘consumers’ as opposed to ‘patients’, according to a study conducted by Kalaari Capital and Grant Thornton. The study narrowed down some important sub-segments in healthcare. For example, the dietary supplements market in India is projected to grow at a compound annual growth rate (CAGR) of nearly 12% over the next four to five years, according to the study. The fitness technology market in India is expected to double to $250 million by 2023. Close to 90% of this is expected to come from fitness wearables. However, smartphone penetration will be key a variable in its adoption. Lack of digitised health records and the reliance on ‘people more than technology’, and medical and drug malpractices are some of the problems in the mainstream healthcare sector in India. Start-ups are also solving this using the cloud computing to store healthcare data and automating patient-doctor interaction. Additionally, start-ups in the mobile health space use a mix of physical labour, portable devices and Internet based platforms to bring diagnosis and monitoring at the doorsteps of patients.

(DealStreet Asia)

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