Epidemic Promotes Digital Transformation of Medical Industry

As the new coronavirus (COVID-19) pneumonia epidemic fermented, the medical industry ushered in a series of changes. On the one hand, some routine diagnosis and treatment services have been suspended, and on the other hand, many companies have launched Internet + diagnosis and treatment services, giving the industry another imagination. Many industry analysts believe that after this epidemic, the policy orientation, industry trends, and consumer habits of the Chinese medical industry will usher in profound changes. The epidemic situation may profoundly promote the digital transformation of the medical industry.

Informatization means highlights the advantages of anti-coronavirus pandemic
Recently, many hospitals have suspended or suspended some routine diagnosis and treatment services. Some ordinary patients also choose to go to the hospital less or as little as possible to avoid risks. As a result, the demand for routine diagnosis and treatment services has declined. Earlier, Ning Yi, a professor at the School of Public Health at Peking University, said that for a long period of time in the future, the prevention and treatment of chronic diseases and mild dentistry, cardiovascular and heart disease will decline significantly. "If the epidemic can basically end in March this year, the related demand in the second quarter may slowly recover."

At the same time, the report released by Bain Consulting pointed out that the epidemic also led to the interruption of the normal business activities of many companies. For example, the Chinese Medical Association notified the extension of all academic conferences before April. For most medical companies whose main business is not directly related to the epidemic, revenues in the first quarter of this year will face tremendous pressure.

Under the pressure of the epidemic situation, the advantages of informatization means are prominent. Recently, the National Health and Health Commission issued the "Notice on Doing a Good Job of Internet Diagnosis and Treatment Consulting Services in the Prevention and Control of Epidemic Situation", emphasizing the role of Internet diagnosis and treatment consulting services in the prevention and control of epidemic situations. At the same time, the relevant departments are also actively encouraging the development of online consultations and online consultations for the the new coronavirus (COVID-19) pneumonia epidemic , with a view to alleviating the pressure of offline clinics, while emphasizing the unique advantages of Internet hospitals and encouraging the development of some common and chronic diseases Re-examination and medical distribution services reduce the risk of cross-infection in other patients' offline consultations.

It is understood that the number of new users increased by about 900% month-on-month in January 2020, while the number of online consultations of Lilac Garden increased by about 135% over the same period, and the number of active users increased by about 215% year-on-year.

According to the Changjiang Securities Research Report, during the Spring Festival, Wei Ning Health launched a product that has supported 153 hospitals in only one week; Donghua Software has completed 8 hospitals in the Internet medical business 2B end business since the festival, and nearly 50 in the 2B2C end Hospitals, it is expected that the 2B business will complete the launch of 20 hospitals in the next week to two weeks.

The medical industry needs to promote digital transformation

Based on this, many industry insiders believe that " Internet + medical" will usher in strong growth momentum in China.

Zhongtai Securities analyst Wen Xuechen believes that the reason for the slow development of Internet medical treatment in the past is mainly the lack of an effective business model. Now, after early exploration and development, various types of profit models have gradually landed, such as online consultation, telemedicine, prescription sharing platforms, online payment rebates, etc., and the commercial value of the industry has gradually emerged. In addition, after more than 20 years of development, the current Internet medical industry policy is gradually complete, and now China has promulgated an Internet medical policy system covering Internet hospital management, online prescription drug sales, and online medical insurance payment.

Bain's global partner and chairman of Greater China's healthcare business Zhang Xianyi believes that the outbreak may become a "digital and consumer" turning point in the medical industry. He said that although China's consumer products field is the world's leading digital, but China's medical industry has long maintained a more conservative attitude towards digitalization. Although the country has put forward macro-guidance to increase the construction of medical digitalization, it is still possible to see "information islands" with hospitals as units. The epidemic also exposed the urgent problems to be solved, such as poor medical information and low resource allocation efficiency.

In addition, for a long time, the service model of China's medical industry is that patients go to offline medical institutions to see a doctor. This outbreak has promoted consumers / patients' awareness and acceptance of emerging digital medicine to a certain extent, as well as their diagnosis and treatment. , Medical products and other decision-making behaviors in various links. The increased importance of consumers' own decision-making will also bring many potential innovation opportunities for the medical industry.