Asia-Pacific healthcare industry shifts towards preventive medicine, finds study
Wellness, nutraceuticals and health supplements are making inroads into the mass market, says Frost & Sullivan
Regulatory harmonisation and free trade of goods between Southeast Asian Nations will pave the way for opportunities worth US$160bn in the Asia-Pacific healthcare industry by 2016, finds new analysis from Frost & Sullivan.
Digitisation, decentralisation and democratisation of data will enable patients to take better responsibility for their health, widening the scope for preventive health and wellness products in the region.
The report, 2015 Asia-Pacific Healthcare Industry Outlook, finds that companies will look to differentiate themselves through pricing, positioning and distribution channels to capitalise on the widespread demand for preventive healthcare. Consequently, wellness, nutraceuticals and health supplements will become mass market products.Frost & Sullivan Healthcare Industry Manager Nitin Dixit said: 'Asian companies will strengthen their position and acquire larger market shares than multinational companies, especially in the low- to mid-tier technology space.
'The trend of private companies managing public hospitals and new private hospitals serving public insurance patients will gain traction in India, China and Indonesia.'
Digitisation, decentralisation and democratisation of data will enable patients to take better responsibility for their health
The report suggests that several factors will shape the Asia-Pacific healthcare industry over the next few years: to tackle corruption, countries in Asia-Pacific will introduce price transparency measures and innovative procurement models such as e-catalogues, which will help control medical device prices and generate healthy competition among suppliers; IT adoption in primary and community care settings will increase, chiefly in Australia, Singapore, Malaysia and Japan; and cell therapy, especially stem cell therapy for adult and embryonic stem cells, will be the most attractive market in South Korea and Japan.
The report also forecasts that multinational companies will prioritise R&D and launch strategies for the Asia-Pacific market over the needs of markets in the West, primarily to fight challenges such as infectious diseases in the region.
Singapore is emerging as one of the most attractive hubs for biologics in Asia-Pacific, the report finds.
Dixit added: 'International providers are establishing sales subsidiaries in Asia-Pacific countries to widen their operational reach.
'Customising products to cater to local market needs will be another crucial strategy for companies to bolster their standing in the Asia-Pacific healthcare industry.'
