Indian Diagnostic Services Market Outlook 2020

Published: May, 2016 | Pages: 130 | Publisher: RNCOS
Industry: Healthcare | Report Format: Electronic (PDF)

Diagnosis is the first step to disease management, as without accurate identification there is no possibility for accurate treatment. India is a land full of opportunities for players in the diagnostic service industry. The country has become one of the major destinations for various diagnostic services. Also, India's thriving economy is driving urbanization and developing an expanding middle class, with rising disposable incomes to spend on healthcare.

According to RNCOS' new research report "Indian Diagnostic Services Market Outlook 2020", the diagnostic services market is expected to continue growing at 27.5% for next five years. This growth is likely to be driven by improving healthcare facilities, medical diagnostic and pathological laboratories, private-public projects, and the health insurance sector. Moreover, with the rise in health consciousness in the society and the rising burden of chronic diseases, this market will swell to approximately INR 860 Billion in revenues market by 2020.

Though a major portion of diagnostic business is being managed by the so called unorganized sector, the diagnostic service market is expected to become much more organized and consolidated with a lot of small and independent laboratory players becoming franchisees for the larger players. In order for clients and interested companies to enter this industry, our report provides an in-depth analysis of the cost assessment comparison of most common pathological and radiological tests among Tier I and Tier II cities.

RNCOS' present report provides an overview of the Indian diagnostic lab services market delivering an effective overview of the market size and future forecast. In terms of services, the market is dominated by pathology services, which account for approximately 70% of the market. The report additionally investigates the current market trends and opportunities with their impact on the performance of the sector. Further, the report provides consumer behavior patterns with respect to diagnostic services. Moreover, the report also provides insights regarding the prevalence and incidences of various diseases for which the diagnostic services are widely used.

The report also covers various business models in the Indian diagnostic services market, which generally scale up the level of diagnostic services and facilitate the entry of new market players. The report effectively assesses the implementation of commonly used models, such as PPP model, hub and spoke models, and even analyzes their impact in generating revenue. Moreover, RNCOS' industry experts prudently analyzed the regulatory and accreditation landscape with respect to setting up of diagnostic labs in Indian cities. The report, in this context, investigates into the viability of accrediting such diagnostics labs.

After an exhaustive study of the industry, the report presents a deep dive competitive landscape covering the top players along with business overview, strength-weakness analyses, recent developments, and growth strategies adopted by them to sustain their position in the Indian diagnostic services market.

 Table of Contents

1. Analyst View

2. Research Methodology

3. India: Macro and Demographic Indicators
     3.1 Healthcare Spending
     3.2 Healthcare Infrastructure
     3.3 Huge Population Base

4. Market Dynamics
     4.1 Drivers
            4.1.1 Rising Demand of Preventive Care Diagnostics
            4.1.2 Rising Burden of Chronic Diseases
            4.1.3 Public - Private Partnership Models for Promoting Diagnostic Services
            4.1.4 Increasing Disposable Income
     4.2 Challenges
            4.2.1 Low Adoption of Advanced In-Vitro Diagnostic Technologies
            4.2.2 Lack of Proper Regulatory Framework
     4.3 Opportunities
            4.3.1 Increasing Investment by Foreign Companies
            4.3.2 Rise in Medical Tourism
            4.3.3 Tele-radiology: Prospective Service Facilitator for Remote Areas
            4.3.4 Emerging Tier II and Tier III cities
     4.4 Trends
            4.4.1 Increasing Automation Driving the Indian Diagnostic Services Market
            4.4.2 Inclination of Doctors towards Debt Financing
            4.4.3 Home Care Health Accessibility: Gaining Consumer Acceptance
            4.4.4 E-packages: New Way to Deliver Diagnostic Services
            4.4.5 Gene Based Testing Methods on the Rise

5. Disease Burden
     5.1 Cancer
     5.2 Cardiovascular Diseases
     5.3 Tuberculosis
     5.4 Malaria
     5.5 HIV/AIDS
     5.6 Diabetes Mellitus
     5.7 Dengue

6. Diagnostic Services Market: Current and Future Analysis
     6.1 Pathology Services
            6.1.1 Market Outlook
            6.1.2 Key Segment Analysis
     6.2 Radiology Services
            6.2.1 Market Outlook
            6.2.2 Key Segment Analysis

7. Diagnostic Services Market: Opportunity Assessment
     7.1 Diagnostics Laboratories: Urban and Rural Split
     7.2 Cost Assessment of Tests: Tier I and Tier II
            7.2.1 Pathological Tests
            7.2.2 Radiological Tests
     7.3 PE Investment Landscape

8. Diagnostic Services: Business Models
     8.1 Public Private Partnership (PPP)
            8.1.1 Understanding of Concept: Indian Scenario
            8.1.2 PPP Model in Healthcare and Diagnostic Services
            8.1.3 Key Healthcare and Diagnostics PPP Projects
            8.1.4 Case Study
     8.2 Single Specialty Model (SSM)
            8.2.1 Understanding the Concept: Indian Scenario
            8.2.2 Model's Key Advantages
            8.2.3 Case Study
     8.3 Hub and Spoke Model
            8.3.1 Understanding of Concept: Indian Scenario
            8.3.2 Model's Key Advantages
            8.3.3 Case Study

9. Consumer Behavior Research in Tier I and II
     9.1 Tier I: Spending Aggressively on Diagnostic Tests
     9.2 Physicians' Referred Labs Given Highest Preference
     9.3 Brand Popularity: Key Determinant for Lab Preference
     9.4 Independent Labs: Popular Among Respondents
     9.5 Private Lab Facilities Dominating Government Owned Centers
     9.6 Medium Scale Labs: Current Choice of the Respondents

10. Regulatory Environment: Accreditation and Quality Assurance
       10.1 Requirements for the Shop and Establishment Act
       10.2 NABL Accreditation Mandates
       10.3 NABL Accreditation Procedure
       10.4 Plausible Impact of the Clinical Establishments Act, 2010

11. Competitive Landscape (Business Overview, and Strength-Weakness Analysis)
       11.1 Super Religare Laboratories
       11.2 Dr. Lal PathLabs
       11.3 Metropolis Healthcare Limited
       11.4 Thyrocare Technologies Limited
       11.5 Quest Diagnostics India Private Limited,
       11.6 PathCare Labs Pvt. Ltd.
       11.7 Oncquest Laboratories Ltd.

List of Tables:

Table 3-1: Population Break-up by Age-Group (Million), 2015-2020
Table 5-1: Prevalence of Cancer (Million), 2013-2015
Table 5-2: Prevalence & Incidences of Tuberculosis (Million), 2013-2015
Table 5-3: Incidence of Malaria (Million), 2013-2015
Table 5-4: Prevalence of HIV/AIDS (Million), 2013-2015
Table 5-5: Prevalence of Diabetes (Million), 2013-2015
Table 5-6: Incidence of Dengue, 2013-2015
Table 7-1: Distribution of Diagnostic Labs in Urban Area (Class I to VI)
Table 7-2: Investigation Cost of Common Biochemical Tests in Tier I and Tier II (INR)
Table 7-3: Investigation Cost of Common Hematology Tests in Tier I and Tier II (INR)
Table 7-4: Investigation Cost of Common Immunology Tests in Tier I and Tier II (INR)
Table 7-5: Investigation Cost of Common Urinology Tests in Tier I and Tier II (INR)
Table 7-6: Investigation Cost of Common Coagulation Tests in Tier I and Tier II (INR)
Table 7-7: Investigation Cost of Common X-Ray Tests in Tier I and Tier II (INR)
Table 7-8: Investigation Cost of Common Ultrasound Tests in Tier I and Tier II (INR)
Table 7-9: Investigation Cost of Common MRI Tests in Tier I and Tier II (INR)
Table 7-10: Investigation Cost of Common CT Tests in Tier I and Tier II (INR)
Table 7-11: Investigation Cost of Common PET-CT Test in Tier I and Tier II (INR)
Table 8-1: Role of Key Stakeholders in Healthcare PPP Model
Table 8-2: Key Healthcare PPP Projects
Table 8-3: Key Diagnostic Services PPP Projects
Table 8-4: Advantages of Single Specialty Model in Diagnostic Services
Table 9-1: Characteristics of Sample Surveyed
Table 11-1: Dr. Lal Path Labs - Key Financials (Million INR), 2013-2015
Table 11-2: Quest Diagnostics - Key G2Financials (Million INR), 2013-2015