2. contexto del turismo de salud en estados unidos y resultados preliminares del estudio de mercado
1. How to Attract American Medical
Tourists to Colombia:
Some Strategic Recommendations
Dr. David G. Vequist IV
Founder/Director
Center for Medical Tourism Research (CMTR)
University of the Incarnate Word (UIW)
San Antonio, Texas, USA
2. Agenda
Describe the CMTR
The Healthcare Situation in the U.S.
Some Findings from Our Research
Analysis of the Trends
How Colombia Can Benefit from
Medical Tourism
ROI defined
Recommendations
3. About Us
Center for Medical Tourism Research
◦ First and leading academic-based
research center in this industry
(Medical & Retirement Tourism/Travel)
◦ Non-profit
◦ Focused on the truth
◦ Motivated to spread the word and
influence key stakeholders
◦ Key members have years of healthcare
and international business experience
4. Model for Understanding the
Drivers of Medical Tourism
Globalization Technology
Medical Tourism
Consumerism
10. How Healthcare Reform
(PPACA) Affects Medical
Tourism- more
The increase of the number of insured, the removal
of lifetime/annual caps, the reduction of the pre-
existing conditions, and patients increasing paying
with government „low margin‟ programs will result
in greater patient volumes at U.S. facilities and
lower profits.
Currently, the U.S. overall healthcare capacity (due
to increased volumes, lack of human capital, and
increased utilization by an aging population) will
not be able to handle the increased load (this is the
surprisingly under-researched and under-debated
issue in the reform debate) thus resulting in longer
wait times, reduced quality, „rationing‟ of care, and
ultimately the increased need to „outsource‟ extra
11. How Healthcare Reform
(PPACA) Affects Medical Tourism
Many of the procedures currently very common in
medical tourism will not be significantly affected by
health care reform (such as dental, cosmetic, and
alternative therapies) and some surgeries (such as
ortho, oncology, cardio, and neuro) may be
affected by extended wait times.
In addition (and probably most importantly),
employers will still be faced with increasing
healthcare costs, additional pressures on lowering
premiums, and required to cover more employees.
This is the least served of the stakeholders in the
U.S. and therefore one of the most important for
medical tourism providers.
14. Summary of Healthcare Situation
in the U.S.
Not enough future capacity
Not enough call for changes
Not enough „political will‟ to change
the system
Is outsourcing of capacity going to be a
necessity for the U.S. healthcare
system?
15. Medical Tourism Growth
According to Frost & Sullivan (2010):
◦ The medical tourism industry is currently a
$78.5bn industry [end-2010], catering to over
three million patients who travel around the globe
for medical care.
◦ The sector is growing at a whopping 20-30%
annually and is bound to continue its growth
pattern in the years to come.
◦ It is expected to be a $100bn industry by 2012.
JCI Accreditation (300+ facilities)
Growing without traditional advertising
(35% CAGR)- Deloitte
16. Evidence of Medical Tourism
Gallup reports that 4% of Europeans received
medical treatment in another EU Member State
over the past 12 months
UCLA forecasted that just under 500k Californians
traveled to Mexico for health services
Dept. of Commerce reports that over 200k traveled
to international destinations for health services
Based on a survey of 1,800 Americans- the CMTR
forecasts that, in 2009, perhaps1 million citizens
went abroad for health services
Texas Medical Center receives over 18,000
international patients in 2009
25. Consumerism
Information more readily available
Driven by the internet
◦ Yelp/Angie‟s List models springing up
everywhere in healthcare
Employers/Governments are seeing
some of the benefits of free market
economics in healthcare (retail
clinics?)
Porter‟s Five Factors Lesson-
◦ Consumer Choice can bend the price
27. Social Media Usage
60% of e-patients, or one-third of
adults, access social media related to
health.
◦ In sum, 60% of e-patients, or 37% of U.S.
adults, have done at least one of these
eleven social media activities related to
health and health care.
As health economist Jane Sarasohn-Kahn
writes, health-related social technologies
capture “the exchange of health information
and personal stories in a way that transcends
both medical textbooks and chatting with a Source:
friend on the phone – yet offers some of thePew,
benefits of both.” 2009
42. Colombia‟s Strengths &
Weaknesses
Strengths
Close proximity to a $2.5 trillion USD market
Increasing perception in U.S. of quality
Low cost infrastructure (personnel, legal, etc.)
Positive cosmetic surgery perception (Mrs.
Universe & Super Models)
Weaknesses
Infrastructure issues and perceptions of these
issues (violence, poverty, disease, views on
business, etc.)
Waiting for the Government to act
Difficulties in coordinating stakeholders
44. Medical Tourism Country
Investments (Potential)
Investments in High Tech and
Higher Commercial Research (e.g., Pharma, Energy, etc.) Higher Higher
Investments in HC & Medical/Retirement Tourism
Investments in Technology Manufacturing/
High-end Consumer/Commercial Products
Intensity of
Investments in Service Outsourcing the Intensity of
the Current
ROI Regulatory
Competitive
Investments in Basic Changes Environment
Required
Tourism Activities
Investments in Low-end
Consumer/Commercial
Products
Lower Lower Lower
Estimates based on the CMTR
45. Colombia: ROI and
Investments
ROI described:
◦ Job growth (great jobs too!)
◦ Brings opportunities for new direct (and indirect)
revenue streams
◦ Fills a community need
Ask yourselves, based on the economic and
environmental factors-
“Will there be a time in the next 20-30 years
when great healthcare will not be in demand?”
46. My Humble
Recommendations
Government-
◦ Create a good business environment!
Tax incentives, tax holidays, prioritize infrastructure and
regulatory improvements
Private Industry-
◦ Prioritize investments in this area and invest!
Healthcare facilities and particularly retirement tourism-
aligned developments
And, new technologies/procedures/treatments in
healthcare
Education-
◦ Get involved (and private industry- get them
involved!)
47. Finally!
Carpe Diem
◦ Don‟t wait for the U.S. stakeholders
Physicians
Hospitals
Government
◦ Don‟t wait for the Colombian Government
◦ Research, decide, and invest!
◦ And don‟t forget the „Gray Gold‟ trend!
48. Good News!
The CMTR and Stackpole & Associates are
working with ProExport Colombia to
conduct specific research on possible
medical tourism from the U.S. so as to
develop specific strategies for Colombian
facilities
◦ In some previous work for the country of Korea,
the CMTR helped to develop strategies that
increased American medical tourism by 52% and
led to a total of $23 million in medical tourism
revenues
49. Don‟t Believe Me?
IFC is:
• the private sector arm of the World Bank
• invests in private sector projects in developing countries
• world‟s largest multilateral investor in the private health sector
50. Questions
Thank you!
Contact me at vequist@uiwtx.edu