Croatian Medical Tourism

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Croatian medical tourism – ABOUT US

About medical tourism Economy / Opportunities Medical facilitators Goals Strategy Why with us?

Croatian medical tourism – CONTENT

Four basic groups benefit the most from medical tourism:

• 50 million U.S citizens without health insurance face staggering medical bills for serious procedures.

• 250 million U.S citizens with limited health Insurance.• 330 Million U.S citizens currently seeking cosmetic or

dental procedures.• 32 Million Canadian or English patients

with chronic pain or disability and remain on waiting list.

Croatian medical tourism – MEDICAL TOURISM FACTS

Medical tourism – world TOP destinations

ASIA: India, Thailand, Singapour, Malesya CENTRAL AMERICA: Mexico, Cuba SOUTH AMERICA: Brasil, Venezuela, Argentina,

Colombia EUROPA: Hungary, Poland, Spain,

Turkey

Croatian medical tourism – MEDICAL TOURISM FACTS

Major outbound markets

USA: high prices, 50 mil. without health insurance; 50 mil. more with basic health insurance

UK: long waiting lists, high prices, limited health insurance coverage

Canada: high prices, long waiting lists EU: high prices

Croatian medical tourism – MEDICAL TOURISM FACTS

About medical tourism – INDUSTRY DRIVERS

• COST

• NEED

• DEMOGRAPHIC FACTORS

• LACK OF HEALTH RESOURCES

40

32

15

94

MARKET DRIVER - QUALITY

Most advanced technology

Better quality care for medically necessary procedures

Quicker access for medically necessary procedures

Lower cost care for medically necessary procedures

Lower cost care for discretionary pro-cedures

100 % = 49.980 patients Number of patients come from providers that participated in research; total market size assumes that participating providers represent 60 – 80 % of market.

Source: McKinsey analysis

About medical tourism – INDUSTRY DRIVERS

5A factors

additional

affordable

availableaccessible

acceptable

About medical tourism – KEY INDUSTRY FACTORS

Year 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Base case

Patients (mil.) 0.75 1.50 3.00 6.00 7.50 9.38 10.78 12.39 13.64 15.00 15.75

Growth rate (%) 100 100 100 25 25 15 15 10 10 5

Lower bound

Patients (mil.) 0.75 1.50 3.00 5.25 6.56 7.55 8.68 9.55 10.02 10.32 10.43

Growth rate (%) 100 100 75 25 15 15 10 5 3 1

Upper bound

Patients (mil.) 0.75 1.69 3.38 6.75 10.13 12.66 15.19 17.47 20.09 22.09 23.20

Growth rate (%) 125 100 100 50 25 20 15 15 10 5

Patient Demand, Outbound Tourism

ASSUMPTIONS In 2007, aprox. 750.000 Americans traveled outbound for medical care. That number will increase to 6 mil by 2010. After 2010, the growth rate will begin to fall due to supply capacity constraints in foreign countries Upper / Lower bound estimates assume the growth rate is higher / lower than the base case estimate Source: Deloitte Center for Health Solutions

Medical tourism – ECONOMY / OPPORTUNITIES

Year spend 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Base care

bill’s of US

$2.1 4.4 9.0 13.9 21.4 27.6 34.1 40.4 45.7 49.5

Lower bound

bill’s of US

$2.1 4.4 7.9 12.1 15.6 19.3 22.9 25.9 28.0 30.3

Upper bound

bill’s of US

$2.4 4.9 10.1 15.6 24.1 37.2 47.9 59.2 70.2 79.5

Year lost 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Base care

bill’s of US

$15.9 32.8 67.7 104.5 161.5 207.9 257.0 304.4 344.9 373.0

Lower bound

bill’s of US

$15.9 32.8 59.2 91.5 117.8 145.5 172.4 195.3 211.2 228.5

Upper bound

bill’s of US

$17.9 36.9 76.1 117.6 181.7 280.7 361.4 446.7 529.1 599.5

Projection of: Spent overseas for care / Lost revenue for US health care providers

Medical tourism – ECONOMY / OPPORTUNITIES

Source: Deloitte Center for Health Solutions

Medical procedure USA Mexico Costa Rica India UK Korea

Angioplasty Up to $ 57.000 $ 17.100 $ 14.000 $ 10.000 $ 20.000 $ 21.600

Heart bypass Up to $ 144.000 $ 21.100 $ 26.000 $ 10.000 $ 35.000 $ 26.000

Heart valve replacement Up to $ 170.000 $ 31.000 $ 31.000 $ 3.000 $ $ 38.000

Knee replacement Up to $ 50.000 $ 11.500 $ 12.000 $ 9.000 $ 23.300 $ 19.800

Hip replacement Up to $ 43.000 $ 13.800 $ 13.000 $ 10.000 $ 19.600 $ 18.450

Face lift Up to $ 15.000 $ 8.000 $ 6.500 $ 9.000 $ 14.500 $ 5.000

Breast implants Up to $ 10.000 $ 9.000 $ 4.000 $ 6.500 $ 8.900 $ 13.600

Rhino plasty Up to $ 8.000 $ 5.000 $ 6.000 $ 5.500 $ 7.000 $ 6.000

Hysterectomy Up to $ 15.000 $ 7.500 $ 6.000 $ 7.500 $ $ 11.000

Dental implant Up to $2-10.000 $ 1.000 $ 1.100 $ 1.000 $ 4.900 $ 2.000

Medical tourism – COST COMPARATION

Source: www.medicaltourism.com

Prices are for 2009, approximate and include estimated airfare for patient and companion. Prices will vary based upon many factors (hospitals, doctor’s experience, currency rates,...) .

Tourism industryEconomy industryHealth industry

Medical tourism – ECONOMY / OPPORTUNITIES

Austria

Czech Rep.

France Ita

ly

Netherlands

Germany

Poland

Slova

kia UKJapan

CanadaUSA

Australia

Other non-EU co

untries

0

200

400

600

800

1000

1200

1400

1600

814

623

439

1168

297

1546

417299 261

14438

15880 130

Tourist arrivals by country of origin, Croatia 2008 (‘000)

Medical tourism – ECONOMY / OPPORTUNITIES

Medical tourism – MEDICAL TOURISM FACILITATOR

AIRLINES

HOTELS

TRAVEL AGENTS

MEDICAL TOURISM FACILITATOR

- sourcing health provider- sourcing consumers- providing travel &

tourism support

Medical tourism – WHY FACILITATOR

Facilitator

One stop solution

Know how

Negotiate better

Travel & logistic assistance

Representative

Understand needs

Goals

Satisfied medical tourists Promotion Croatia as medical tourism destination Well known industry positioning as facilitator Become major player on domestic market

Croatian Medical tourism – GOALS

Croatian Medical Tourism – STRATEGY

Strategy Identifying target market Promoting as Medical & Tourism Facilitator Understanding patients needs Identifying health care providers Matching patients with providers Expecting unexpected

Strengths• Top doctors • Quality of Service • Creative and focused marketing • Comparative advantages of regions and cities • Independence of the seasonality • Partnerships Abroad • Transparent business (win - win situation) • Experience in tourism & medicine (team members)

Opportunities• Weak competition (setting standards) • Positioning of tourist services • Guests from a cruiser, individuals, group arrivals • Markets of US, GB, Germany, Italy, Austria, Scandinavian countries, Russia,… • Corporate medical examination • Connections with the euro destinations • Revive off-season offer

Weaknesses• The project that requires time • Addiction (initially) of travel agencies • Lack of a single location • Lack of competition (no experience in the domestic market)

Threats• Nontransparent business relationships• Bad price positioning • Disappointed guests • Non-attraction of Croatia as a destination for medical tourism

Croatian Medical Tourism – SWOT ANALYSIS

Marketing

- eMarketing- Social networks- Partnerships- Industry network- Events / fairs / congress- PR - Partners marketing channel

Croatian Medical Tourism – MARKETING

Croatian Medical Tourism – BUSINESS MODEL

CMT facilitator

Patient

Medical provider

Marketing Tourism packages

Travel & accomodation

Charging patients & providers

CROATIA is an extremely competitive health and medical destination for safe and affordable treatments not only for neighboring Europeans, but for travelers from North and South America as well.

CROATIA is recognizing for superlative care, treatments and procedures (rehabilitation and wellness treatment, dental care, cosmeticand plastic surgery, eye treatment, etc.).

CROATIA, with state of the art facilities, equipment and expertise, is building a growing reputation for the best service that still beats medical or health costs from throughout Europe and North America.

Croatian Medical Tourism – WHY CROATIA

The VALUE is EXCEPTIONAL The TREATMENT is WORLD CLASS The COUNTRY is building a growing REPUTATION The MULTILINGUALISM is CRUCIAL for clear

communication The natural BEAUTIES with HISTORY and

CULTURAL heritage, delicious CUISINE with warm and friendly PEOPLE should be DISCOVER

The DESTINATION is CROATIA

Croatian Medical Tourism – BENEFITS

Dental treatments Eye treatments Cosmetic & plastic surgery Orthopedics treatment Sports medicine treatment Gynecological treatment Rehabilitation, spa & wellnes treatments General surgery Corporate treatment

Croatian Medical Tourism – TREATMENTS

Before patient leave home(once patient have completed evaluation form and supplied us with his diagnostic tests, our medical specialist will review his case, and we’ll offer him a choice of travel and accomodation options)

We’ll be waiting at the airport(we’ll be at the airport to greet patient when arrives, help with patient luggage and transfer patient to hotel or convinient city apartment)

Settle in and relax(patient can have as much time as like for relaxation before medical procedure. During that time CMT Patient Co-ordinator is just a phone call away for help and advice)

After the operation/treatment(when patient return from his/her procedure/treatment we’ll provide excellent aftercare and physical therapy to help patient on his road to recovery. In the meantime we’ll be liaising with patient doctor back home to ensure appropriate follow-up care)

Croatian Medical Tourism – CARE FACTOR

Croatian Medical Tourism – CARE FACTOR (basic flow chart)

Source: Deloitte Center for Health Solutions

Medical treatment + Sailing Fishing Bird watching Lace making Wine tasting tour Gastro tour Spa & wellnes Religious tourism,...

Croatian Medical Tourism – PACKAGES

Management & Medical Board

CMT has been formed by professionals from diverse fields who have a combined work experience. Our team consists of professionals in the fields of Medicine, Tourism & Travel, Technology, Marketing & Sales, Insurance, Nursing and healthcare etc.

Croatian Medical Tourism – MENAGEMENT