Practo

Practo – A Marketing Analysis Product Overview. Practo is a company devoted to making healthcare simpler for everyone. Practo brings doctors and patients together on one stage. Practo acts as a middle man between healthcare facilities seekers and heath care facilities providers. Practo mainly has two distinct products: 1. Practo Ray: The start-up's flagship product is a software-as-a-service (SaaS) tool hosted online. This helps doctors schedule appointments, track a patient's medical records and send out follow-up reminders to them. It is offered at two different price that is at Rs. 999 and Rs. 1999 per month. The premium plan also includes a cloud telephony for doctors. 2. Practo.com is for consumer looking for doctors’ appointments. This is a free product for both patients and doctors. Here Practo.com permits advertisements from hospitals and clinics in separate sections of the website which also a source of their revenue. Apart from Practo.com and Practo Ray, the company has also started Practo Hello. Practo Hello is a cloud-based, smart software solution which allows patients to reach their doctors at any given point. Users can find, connect and share details with their doctors through a dedicated online interface.

Market overview: The overall Indian healthcare market today is worth US$ 100 billion and is expected to grow to US$ 280 billion by 2020, a Compound Annual Growth Rate (CAGR) of 22.9 per cent. Healthcare delivery, which includes hospitals, nursing homes and diagnostics centres, and

pharmaceuticals, constitutes 65 per cent of the overall market. There is a significant scope for enhancing healthcare services considering that healthcare spending as a percentage of Gross Domestic Product (GDP) is rising. Rural India, which accounts for over 70 per cent of the population, is set to emerge as a potential demand source. Per capita healthcare expenditure is estimated at a CAGR of 5% during FY 2008–15 to US$ 68.6 billion in the consecutive year. During 2008-20, the market is expected to record a CAGR of 16.5 per cent. The total industry size is expected to touch US$ 160 billion by 2017 and US$ 280 billion by 2020.

Figure 1 Healthcare Sector Growth Trend

Figure 2 Per-Capita Healthcare Expenditure

Practo Technologies pioneered Indian market by creating largest healthcare appointment platform connecting millions of patients with a database of a 200,000 registered doctors, 5,000 diagnostic centers and 10,000 hospitals across 50 cities, 5 countries across the world. Which enabled doctors to market, manage, consult and schedule appointments with their patients, on an annual basis.

Practo Ray, a software used by doctors to manage millions of patients and healthcare records every month and it has 90% market share amongst all doctors who use software to manage their practice. The market opportunity is expected to be Rs 9,000 crore in size by 2018. It has achieved a high valuation of at least $500 million. A challenge is to be accepted by Indian hospitals which spend less than 0.60 percent of the revenues on upgrading their IT infrastructure. As of now Practo is on its way to becoming the most valued healthcare startup from India.

Competition Analysis

Title Founded Leadership Headquarters

Status Revenue Total Fund raised Number of employees (estimate) Acquisitions Social Statistics

2008

2013

2011

2012

Shashank ND Founder & CEO Bangalore, Karnata ka, IN Private $6.3 M $124 M

Saurabh Arora Co-Founder & CEO Faridabad, Haryana, IN

Amit Bansal Founder & CEO New Delhi, Delhi, IN

Shantanu Jha Co-Founder & CEO Bhubaneswar, Orissa, IN

Private $1.7 M $11.43 M

Private $1 M $1.9 M

Private $6.8 M -

23,420

80

35

47

4 ~205,000 FACEBO OK Likes and ~18,533 Twitter Followers

Nil Nil ~73,130 FACEBOO ~51,330 FACEBOO K Likes and K Likes and ~1,304 Twitter ~1,499 Twitter Followers Followers

Nil ~2,839 Facebook Likes and ~96 Twitter Followers

The major competitors of Practo are Lybrate, Helping Doc, Kare4u, Praxify, Ziffi from India. Its top competitors consist of Lybrate, an online and mobile-based platform that allows users to book for doctor appointment in India; HelpingDoc, an online platform that lists medical professionals and enables patients to book for doctor appointments in India; and Ziffi.com, an online search and appointment booking service for salons and spas, health and wellness. Just Dial has a comprehensive database of doctors than Practo has, and far more traffic. The bigger threat to all these players is the Big Daddy of search - Google. Google local business listings have become remarkably good recently, and once it adds an appointment booking widget, it will be as good as any of these medical directory platforms for helping patients to find doctors. Marketing Strategies STP analysis

Segmentation & Targeting Demographic: Present in 46 cities in India. The service is more prominent in Tier I cities, but almost 25% traffic from Tier II and Tier III. Income Group: The service is offered free of cost from Practo, although Shashank ND, CEO claims mid and low income groups where access to good healthcare is restricted or denied is their long term objective. Age: consumers in their late 30s and mid-40s, of which majority have families. The provision of better healthcare services across all socio-economic groups is what the company aspires medicinal services crosswise over financial gatherings. Positioning Practo is cleverly positioning itself as "Your Health App", treading a territory where not many have succeeded earlier.

4Ps of Marketing: Product: An appointment booking application based on location, type of consultation and level of expertise for customers looking for doctors. Price: Practo Ray is offered at two price points, Rs. 999 and Rs. 1999 per month. Practo.com, the discovery portal is free to use and generates revenue through advertisements, PPC etc. Promotion: Practo had earmarked $10 million as advertising and marketing budget for this fiscal, dedicated to creating awareness and educating consumers. The company is evaluating traditional media channels like television, print and radio. #life mein campaign was kick-started in August 2015, a series of contests, videos and promotional events were carried out.

Place: The app lists doctors from 5 countries, of which they are present in 46 cities in India alone.