The growing trend of consumerism in healthcare

Retailers are creating a new industry perspective as patient care evolves toward a consumer-driven approach.

Consumers at the heart of healthcare

Healthcare has long aspired to “patient-centricity.” Now, new players vying to enter the healthcare market are finding abundant opportunities to own a piece of the industry. Large scale, customer-focused companies are demonstrating that they have the balance sheets to buy into healthcare in a big way, anything from a payer to a pharmacy benefit manager to a hospital. Rumors are rampant that leading retailers and e-tailers with the scale to unleash operational efficiency and pricing optimization, the reach for customer intimacy, and technical savvy to integrate experience across channels will soon join the party.

Retailers will likely change the industry as we know it

One of the biggest retail mergers in years, Amazon’s 2017 purchase of Whole Foods means it will ultimately be able to tailor food shopping to the individual. The online retailer has yet to tap into the massive pool of data from transactions made in physical stores, but can now leverage the grocers’ customer history to personalize the shopping experience. Buyers with deep pockets and brand recognition are entering the healthcare industry as well, and changing it into a more consumer-centric environment. The market capitalization of the largest consumer and retail giants dwarfs most all healthcare players. As these new entrants threaten to disrupt healthcare, traditional industry participants can’t afford to be complacent.

What will healthcare look like in the next two, five or ten years? Of course, most hope for medical discoveries like a cure for cancer or Alzheimer’s. The future of healthcare from an industry perspective may begin with dramatic changes in how researchers, providers, payers and regulators interact with patients and caregivers.

The major retailers have the scale and technical proficiency to change healthcare as we know it. Leading retailers already know our preferences, favorite colors, clothing sizes and more. Those that employ predictive analytics often know what products we need before we do and innovations in supply chains bring 24 x 7, overnight delivery to the doorstep.

Both health professionals and consumers also say they are ready to embrace similar levels of capability and convenience. Eighty-four percent of healthcare companies that responded to an IBM Institute for Business Value hybrid cloud survey said they are now pursuing cloud initiatives. And 73 percent of healthcare professionals said they will use the cloud to put empowerment tools like self-service wellness apps into the hands of patients so that they can better educate themselves, monitor their health, and virtualize health records.

The doctor won’t see you now (but will if necessary)

An overriding goal for healthcare is to control costs and improve quality of care. One way to achieve this is to keep patients out of the doctor’s office and away from hospitals. It’s more convenient, accessible, and less expensive. A growing focus on preventive care, bringing medical services to more convenient locations for individuals, and greater awareness of wellness supported by more personal ownership is reshaping the industry. This includes retail clinics, online retail, in-home voice assistants, digital doctor referral, and personal wellness tools.

---

Download the reportGet insights via email