Wellness Tourism

Jonathan EdelheitCEO | Medical Tourism Association®

Jon@MedicalTourismAssociation.com | MedicalTourismAssociation.com

Introduction to Wellness Travel & Medical Tourism

Travel Agents• Need to Find New Opportunities• Access New Niches and• Innovation that Leads to New Revenue and

Income Sources

Affordability, Accessibility,

Availability Quality

Perception of Destination Value

People traveling from one country or city to another country or city

for medical and/or wellness services.

Wellness Tourism/Medical Tourism Defined

• Traveling for medical care is NOT a new phenomenon. Individuals have travelled abroad for health benefits since ancient times.

History of Medical Tourism

& Wellness Travel

Roman and Greek Baths

“Take the Waters” Spa, Town of Cheltenham, England

• During the latter half of the 20th century, wealthy people from less developed areas of the world began to travel to developed nations to access better medical expertise and technology.

Examples of Centers of Excellence in the United States:

• Mayo Clinic

• Johns Hopkins

• MD Anderson

History of Medical Tourism

Key differences today

Affordable, accessible travel

Growth of Healthcare &

Wellness clusters

Easy access to info on the web

Medical providers

Hospitals

Clinics

Doctors

Tourism providers

Airlines

Hotels

Travel agencies

Transportation comp

Tour operators

Logistical providers

Facilitators

Public institutions

Promoting entities

Ministries

Regional governments

Organizations

Clusters

Chambers of commerce

Associations

Universities

Accreditations

JCI

HCAC

Markets

Self-pay patients

Self-funded employers

Insurance carriers

Medical & Wellness Travel Stakeholders

Value & Growth of Wellness Tourism?

• $2 Trillion U.S. Dollars, conservative estimate according to SRI (an independent, nonprofit research institute) $1 trillion of which came from the United States in 2012.

• 5 percent annual growth

Source: Spas and the Global Wellness Market

How Far Reaching is Wellness?

• According to SRI:• There Are 289 Million Wellness Consumers• The Majority of Consumers Come from the

30 Most-Wealthy or Most-Industrialized nations.

Wellness in the Modern Healthcare Landscape

• Proactive vs. Reactive• Wellness is proactive, acting before

health people become sick.• Modern medicine is reactive, acting

once a person become ill.

The Wellness Consumer

• More research is needed, but generally the wellness consumer falls into one of two categories:1. Wellness-focused2. Sickness reactors

The Wellness-Focused Consumer

• These consumers are moderate-to-active spa-goers

• Open to new ways to approach health and exercise

• May be motivated by the effects of aging

The Sickness Reactor Consumer

• People with a health condition seeking a new or alternative approach to treat their condition

• This segment represents a potentially much larger segment of the population

Where are Wellness Tourists Going?

• Scottsdale. Arizona• Paris, France• Puerto Vallarta, Mexico• Croatia

EVERYWHERE…

What is Medical Tourism?

• Patients Traveling • Domestically• Internationally• For Healthcare Services

• Driving Factors: Either Affordability, Accessibility, or Availability

What Services do they Seek?

•Hips, Knees, Back and Spine

Orthopedics•D

iagnostics, Cyberknife, Stem Cell

Cancer Treatment

•Angioplasty, Bypasses, Valve Replacements, Stem Cell

Heart Procedures

•Liver, Kidney, Lung

Transplants

•Implants, Veneers, Crowns

Dental Treatment

•Lap Band, Gastric Bypass, Gastric Sleeve

Bariatric Surgery

•Acupuncture, Preventative, Homeopathy, Indigenous

Alternative

•Alzheimer's, ALS, Parkinson's, Paralysis, Heart

Stem Cell Treatments

•Face Lifts, Breast Implants, Corrective

Cosmetic Surgery

•IVF, Fertility, Hormonal Disorders

Infertility Treatments

•Acute and Chronic Conditions, Geriatric Care

Rehabilitation & Geriatric

How Big Is Medical Tourism?

• 50,000-60 million medical tourists? OECD (Organisation for Economic Co-operation and Development)

• Top Priority of Most Governments – Ministry Tourism, Health and Economic Development

• Positive Impact on Local Economy• Medical Tourism is Global – Both Developed and

Developing Countries Have Medical Tourism as national priorities

Medical Tourism as Revenue Source

• 1 billion tourists travelled internationally in 2012. Source: World Tourism Organization (UNWTO)

• Medical tourists spend 5-10 times more than a traditional tourist. Countries around the world have reported these figures which correspond to longer stays of medical tourists at destinations as well as participation in tourism activities.

• More than 80 percent of medical tourists who have traveled overseas brought a companion. 2011 MTA Patient Survey.

• 60 percetn of medical tourists indicated staying in their destination countries for more than 10 nights. 2013 MTA Patient Survey

Is Medical Tourism Safe?• Travel Agents -- Main

Concern• Quality• Liability

Medical Tourism Accreditation

• There are many organizations which grade hospitals based on a standard. These organizations then grant accreditation if these standards are met. These organizations are:• Joint Commission International (JCI)• Other International Accreditations

Legal Concerns for Medical Tourists

• Complication as a part of Medical Care

• Proper Waivers• Proper Insurance • Choosing Quality Hospital• Choosing Quality Doctor• Choosing Right Facilitator

Medical Tourism Facilitators

Options for Travel Agents

• Work Directly With Hospital• Work With a Facilitator• Become a Facilitator

Dental Tourism• Large Savings• Significantly Less Issues with Regards to Liability and

Quality• One of Biggest Growth Areas in the Future• Can Combine Vacation + Dental Treatment• Consumers in Developed Countries Traveling to Less

Developed Ones• Example: Western Europe to Eastern Europe, North

America to Latin America, etc.

Corporate Wellness and Travel

& Incentives• A popular trend globally and one of biggest healthcare growth segments – Billion-Dollar and growing industry

• The idea is similar to that of wellness tourism, but with employers paying for their employees to become healthier

• The employer sponsors this because if the employee is healthy, they are more productive, and healthcare costs are reduced

• Employers offer incentives for employees to get healthy and participate in wellness programs

• Incentive = Travel and Hotel

Ethnic Wellness/Medical

Tourist• 54.1 percent of Hispanics and 56.8 percent of

Asian-Americans living in the United States said they would consider traveling overseas for medical care.

• This statistic may remain consistent with other ethnic groups, such as those from the Middle East and European-Americans.

• No Cultural or Language Barriers

By 2030, almost half of all Americans will be age 50 or older (approx. 183 million)

More than six of every 10 “Baby Boomers” will suffer from multiple cronic conditions

By 2030, 10 times more knee replacements to be performed Same rise in elderly population around the world

Silver Tsunami in Future

• Individual patients

• Corporate market which includes patients sent by insurance companies and self-funded employers

Markets

• Individual patients segmented by:

• Medical procedure type

• Geographic location

• Demographics such as age, race, religion, education, income level

• Psychographics, such as values, interests, attitudes, and lifestyle (holistic medicine, wellness tourism)

Markets

Corporate market Individuals

Relationship driven Service driven

Small target market Larger target market

Longer sales process Shorter sales process

Buying decision based on reducing costs and increasing profitability

Buying decision often “price” or “desire” driven

Multiple decision makers One or two decision makers

Meeting face to face with decision makers

Communication by email and phone is enough

Differences

• Coordinating videoconferences between patient and surgeon

• Visas, passports

• Flights, lodging and transportation

• Collecting payment (not all facilitators do this)

• In-country cellphones

• Tours and sightseeing

• Providing a main-point of contact while patient is at hospital and

• Following-up with patients after they return home.

Travel & Medical Services Best-Practices

• Referral fee: Most facilitators generate income by charging medical providers a referral fee for each client they send.

This is usually a commission percentage based on the package price of the procedure, though it can also be a set-fee per patient regardless of the cost of the procedure.

Revenue Models

• Commissions on lodging and tours

Revenue models

1. Set realistic goals

2. Develop action plans and timelines to reach goals

3. Measure results

Implementation guidelines

• For example:

• Have a well-positioned website up by end of year

• Visit five hospitals in next three months

• Contract with 10 hospitals by 2014

• Service 100 customers by end of 2014

• Achieve sales of $200,000 by 2016

• Employ xxx number of people by 20016

A good idea is to list your goals by year. Also make sure that your goals are realistic and achievable.

Set realistic goals

• Becoming a successful travel agent in Wellness & Medical Tourism does not happen in the blink of an eye.

• It is a process that may take months, and success is often dependent on external factors, such as the economy, competition, and the quality of your providers.

Set Expectations

Consumer Experience

• At End of Day all about Positive Consumer Experience

• Big Word-of-Mouth Industry

• Need to over-Deliver and Exceed Expectations

Action Plan• Develop Business Plan• Identify Target Market • Identify Healthcare Consumers Market

“Needs”• Choose Destinations and Partners • Begin Marketing

Platform to Gain Connectionsto Succeed in Medical & Wellness Tourism

Industry

6th World Medical Tourism & Global Healthcare CongressLas Vegas, Nov. 3-6, 2013

Up to 2,000 attendees 100 countries Over 100 expert speakers Thousands of one-on-one networking meetings Executive Summits

Ministerial Summit Medical Director Summit

Event Highlights

Benefits of Certification• Learn Medical Tourism Best-Practices• Enjoy Two (2) years Medical Tourism Association® Membership. • Access to patient leads by being featured in the most relevant B2B and B2C communication channels as a Certified Medical Tourism Specialist®.• Gain access to global network of partners worldwide.

How to Get Certified?

1. Attend 6th World Medical Tourism Congress and get certified! 2. Get comfortably certified online at your pace

Get Certified Today at: www.medicaltourismcongress.com

Certified Medical Tourism Specialist

• Increase Networking Opportunities • Access Patient Leads • List Your Contact Information, Corporate Profile & Logo on main B2B and B2C industry sites• Enjoy 2-for-1 Registration to the World Medical Tourism

Congress• Recieve 20 Percent Discount on Advertising on Medical Tourism Magazine™• Access Market Research, Trends & Analyses• Use Medical Tourism Association™ Logo on Your Website • Get Discounts at Medical Tourism Conferences • Enjoy Educational Webinars

Learn more at: www.MedicalTourismAssociation.com

Benefits of Medical Tourism Membership

Thank youfor your attention

Direct questions: Jon@MedicalTourismAssociation.com

MedicalTourismAssociation.com