Marketing of Healthcare Services

1. Hospitals
a. Public: Sub Center (SC) / Primary Health Center (PHC) / Community Health Center (CHC) /
Government Hospitals / District Hospital / Medical Colleges (State / Center)
b. Private: Own Account Entrepreneur (OAE) / Mini Hospitals (Domain Specific) / Multispecialty
Hospitals
2. Medical Equipment
3. Pharmaceutical
4. Medical Tourism: Highest Source of FDI after Softwares
5. Diagnostics:

Challenges in Hospital:

1. Availability
2. Accessibility
3. Affordability
4. Quality
5. Accountability

What are types of Care?

1. Emergency Services
2. Routine Services
3. Elective Services1

Pricing of Services (Social Services but there is some amount of profit that private hospitals seek)

1. Psychological Cost: there is high degree of Information asymmetry (customer has little knowledge about the
service) (How will a consumer asses the price / cost of treatment?)
2. Price is associated with Quality
3. Cost of treatment will go up
a. Out of Pocket Expenses (OOP) ( 70% of treatment in India is given by private hospitals, 80% cost of
this treatment goes into buying medicines)
b. Universal Health Insurance (Aayushman Bharat)
c. Drugs Price Regulatory agency (Jan Aushadi Kendra=> Generic Medicine)
4. What should be the strategy for pricing?
a. Core Services
b. Supplementary Services
5. Discounts
6. Admission / Length of Stay (LOS) / Diagnostics / Pharmacy / => Medical Insurance)
7. Quality?
a. Outcome of Service may take a long time and at times it is difficult to measure.
b. Patient participation IN SERVICE DELIVERY
c. Patient is a layman
8. Surrogate Measures of Service Quality
a. RATER
b. Instead of Technical Quality customer measures functional quality?
9. Internal Marketing
a. Work Life Balance / stress
10. Word of Mouth Communication (WOM)
11. Process (Waiting Time / Service Failure )
12. Physical Amenities (Amenities / Infrastructure (Medical) )
13. People: High degree of variation (Training => Behavioural)