medical tourism company business plan

Bon Voyage Co.

Bon Voyage Co. For Medical Tourism

Done by:

Haitham Mohamed Ibrahim.

Yasmin Yahia Abdelkader

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Bon Voyage Co.

Bon Voyage Co. For medical tourism

Executive Summary:

Medical tourism, as it stands today, is an emerging phenomenon wherein citizens, in most cases of industrialized nations, bypass services offered in their own communities and travel to other destinations (many of which are less developed countries) seeking high quality medical care at affordable prices.

Medical tourism is a multi- billion dollars industry that has benefited from the international patients with a wider spectrum which include travel and tourism, commercial sector, government relationships and international accreditation sector, while on the other hand, has had both positive and negative impacts on the global healthcare and on the host nation.

Due to the growth of technology, economy, and other global relations, medical tourism plays a significant role in shaping the future of medical care globally, while at the same time it is integrated in to Hospitality industry, medical travel facilitators and travel agencies to find reliable providers and ensuring trouble-free travel arrangements.

To achieve competitive advantage, marketers use different techniques such as low cost advantage, the use of new technology and more to secure high market share in this developing industry.

The Company

General business overview:

Key Drivers in the Growth of Medical Tourism

Medical tourism is a direct result of globalization of health care. This health care

sector is emerging up in vigorous speed. But this rapid development is the result of

interplay of several factors which are not clearly known. There are several questions

tagged along with this rapid development, such as – Why do patients travel abroad

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Bon Voyage Co.

for medical care? What are the key factors responsible for the development of

this industry?

The major drivers of medical tourism demand:

1) High cost in home country

2) Long wait in public health care countries

3) Unapproved procedures

4) Tourism aspect

5) Favorable Exchange Rates

Wellness Tourism worldwide Map:

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Bon Voyage Co.

Partners:

Daman Health:

The National Health Insurance Company – Daman is the region’s leading specialized health insurer, providing comprehensive health insurance solutions to more than 2.4 million members in the UAE.

Over the years, the company has been the partner of choice for a number of the country’s most prominent organizations and multinational companies in various industries including oil and gas, aerospace, energy, construction, investments and media.

Thomas Cook:

Thomas Cook began his international travel company in 1841, with a successful one-day rail excursion at a shilling a head from Leicester to Loughborough on 5 July. From these humble beginnings Thomas Cook launched a whole new kind of company – devoted to helping Britons see the world.

Company Location:

Company will be located in Egypt-Cairo.

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Bon Voyage Co.

Company Structure:

Vision:We provide the highest quality of products and services to medical tourism industry in the Middle East to serve the patients worldwide, enabling them to maximize their potential in operations and enhance reimbursement. We providespecific industrial knowledge, well trained human resources, leadership, software tools and quality practices governed by international standards. Our solutions exemplify dedication and teamwork by consistently exceeding our customer expectations. We are leaders as we depend on the experience of highly trained professionals and on our commitment to the standard of excellence.

Mission:We strive to become the benchmark for Medical tourism Industry in the Middle East.

Values: Desire to become leaders in our industry. Empowerment of our employees and our clients to achieve long lasting

health. Respect of and appreciation for the diversity of our clients and employees. Mental, emotional, spiritual, & physical reinforcement is an integrated part in

our medical vision of health. Responsibility and reliability are cornerstones in our quest for the goodwill of

our clients. Rational organization that is our spinal cord.

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Bon Voyage Co.

Continuous learning and innovation are the main drivers behind continual improvement

PAINTES SERVICE

Our staff has a great accumulated experience and tremendous success in different national and international healthcare companies , this experience has encouraged us to take the leap towards a bigger challenge; shifting from being only serving the national patients, to a company providing total solutions , controlling the entire value chain thus creating our own healthcare ecosystem.

Tourism in Egypt is an exceptional experience. With something to watch in every city; Egypt has been always the cynosure of the tourists all over the world since hundreds of years for who choose to enjoy the weather while getting in touch with history, civilization, entertainment and even natural wellness locations.

We believe in the fair rights of every person to find his/her medical assistance disregarding borders and spaces. We understand the special needs of our patients who seek cure abroad and hence; we save no effort to provide our customers and patients the full care and support through a comprehensive package of integrated services that guarantee for the patient – since the moment of choosing to enjoy our services - an overwhelming experience of medical care and hospitality on equal terms.

Wellness Program

Egypt has always been a curing cynosure since ancient times thanks for its sunny and dry climate. Hundreds of water springs and sand baths (in Siwa, Safaga…etc.) are ideal for treatment of many medical needs; e.g. arthritis and rheumatic pains. Egypt has rich therapeutic environments that attract people from around the world to enjoy its sand, climate, natural mineral water and sulphuric springs that cure numerous bone, muscle, kidney, skin and stomach diseases.With Bon Voyage Co.; Plan your trip around your needs to enjoy a mix of high standard medical treatment mixed with a pleasant tourism experiences.

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Bon Voyage Co.

Transportation info

Egypt has a wide network of transportation means including domestic flights, trains, trams, variety of taxi types, microbuses, buses…etc.

The best and most peaceful option is to book a limousine from the airport (official offices only).If you don’t prefer that option; pick a taxi (white ones) and insist on activating the fare.Inside Cairo; it’s preferred (but not so cheap) to use white taxis or pre-booked taxi caps where the fare is activated and known. For very long tours; metro is the best option. With 1 LE ticket you will go wherever you want in Egypt. But be sure to get strictly right directions before riding.

Legal Concern:

It's limited company.

Bon Voyage Marketing Strategy:

SEGMENTATION STRATEGIES:

Geographic: middle East and Africa. Demographic: males or females over 40 years old Psychographics: with high social class in their counties and able to travel to Egypt for

medical and/or wellness treatments

TARGET MARKET SELECTION STRATEGIES:

o Product specialization: we will concentrate our efforts in one service (medical tourism service) in an integrated way to cover all the customer needs during his journey. We will support our medical services with some paramedical services like the wellness treatment, proactive treatment, Tour in different locations in Egypt , transportations and accommodation services.

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Bon Voyage Co.

DIFFERENTIATION STRATEGIES:

o Product itself: product will be unique with our edge in the market which is the ability to invite an international expert to do the medical treatment in Egypt.

o Services: the online services and the post-operative services which will maintain the relations with the end user or the individual customer

POSITIONING STRATEGIES

Competitor positioning: we have different competitive advantages than our competitors;

1. We are more near to our client than our competitor specially the African customer

2. The affordable life cost in Egypt 3. The power of bringing the international experts all over the world to serve

our customers4. We provide a complete solution for our customers5. We cover the paramedical services that may be needed for the patients.

Quality/price positioning: we provide high quality of treatment for our customers with affordable price in comparison with all our competitors outside Egypt.

MARKETING MIX STRATEGIES

Product

New product development: we will develop new packages containing the medical and paramedical services requested by the client. The package is tailored to each individual customer as the customer will create his program by himself to plan his visit by:a. Arrange the flight trip

b. Arrange pick-up service

c. Arrange hotel booking for himself and his family

d. Would like to add a touristic tour to the medical trip

e. Planning to visit another country afterwards

f. Any special requirements

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Bon Voyage Co.

Brand: We will brand Bon Voyage as the best medical tourism company in Egypt serving all the medical and paramedical services.

Pricing

Product mix pricing: our pricing strategy is depending on the service mix needed or requested by the customer, for both the medical and paramedical services.

Promoting

Advertising: Mainly the online and mobile advertising will be our main focus as it reached the segments easily and in a lower price that the traditional marketing tools

Public relations: we will attend the main Three medical tourism conferences in the middle east Area:

a. WHTC: world health tourism congress in Dubai – UAE b. Medical Tourism Conference in Riyadh – KSAc. Medical Tourism Workshop in Amman – Jordan

consumer profile:

Age: 40 and above.

Gender: M/F.

There are two types of customers:

Seasonal trends; the high season will be at the summer as Egypt is a summer resident for the nearby countries so we'll make an advantage of this period especially for wellness

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Bon Voyage Co.

Different type of customers will affect the value proposition, the next chart shown why people will travel for medical care:

Value Proposition:

Cost effective-unique service.

Competition:

The medical tourism market is extending beyond the needs of early adopters market to the mainstream market, which requires special attention and focus to gain a competitive edge. As little as five years ago, medical tourism offered opportunities, though such opportunities offered often incomplete solutions to medical travelers. Today, the medical tourism market is changing. Healthcare consumers are becoming more educated.

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Bon Voyage Co.

SWOT Analysis:

Strengths

• Past experience with international insurance companies

• Management focus on development & renewal of services provided.

• Quality of services• Complete integrated information system

for patients registration & follow-up• International partners to provide

complete solutions and services• Wellness and proactive treatment

programs• Applying the E-business and smart

phone application services.

Weaknesses

• New company so we still don’t have good reputation.

• Marketing budget is not enough to join all the international events and conferences related to the business scope.

Opportunities

• Conduct the visiting doctors program..• Competition is not high in Egypt right

now as no competitors are yet present in the market and none in Alexandria.

• Egypt has a solid reputation as a touristic country.

• New Cosmetic and dental direction in Egypt with

• The low cost of life in Egypt will assist us to prepare affordable travel packages.

Threats

• Most of the hospitals staff in Egypt not too ready to react & respond with foreigners (language barrier)

• Egypt still unstable politically• Lack of the international experts in Egypt• Little number of high esteem hospitals in

Egypt• Egypt is not well identified as a

professional medical providing country• Egyptian quarantine regulations for

medical travellers• Epidemic diseases (Ebola)• Presence of qualified competitor in the

middle East as ( Dubai).

Competitors:

Competitor Strength weaknessEgypt Med. International

Contracting with large no of hospitals.Large market share

Poor information about the operated doctors

Karnak Medical Travel Huge network connections with insurance companies

Directing the patients to only one hospital "Egypt Air Hospital"

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Bon Voyage Co.

Our competitive edges:

Low prices. Visiting Doctor Program: that provides the customer with the opportunity of

doing their surgeries with well-known Global doctors. Personal contact with the operating doctor through skype for further

reassurance. E-business and smart phone application services.

Channels:

Although tourists travel for a wide range of treatments, there are certain areas of

specialization which mostly motivate the travel decision for medical tourism as:

a) Heart Surgery.

b) Plastic surgery.

c) Dentistry.

d) Eye care

e) Orthopedic surgery (such as knee/hip replacement)

f) Dialysis (support service) (IMC, 2008).

Marketing channels:

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Marketing Channels

Online

Social Media

FaceBook

LinkedInOnline Ads

in Medical Websites

Webiste

Offline

Newspaper Ads

Sales Deals

Brokers

Bon Voyage Co.

One of the most important tools is the sale persons who will be responsible on travelling to the targeted countries to make deals with Medical Association, International Human Aid and external hospitals that don’t provide the service that we do - with 1% commission for each case.

Customer Relation:

We'll depend on "International Communication Specialist", low number of client and the selling cycle involving many steps.

Funding:Investors will participate with 30000 LE and the rest amount 55500 will be divided into two owners.

Price per procedure:

Procedure PriceAngioplasty 11000 $Heart Bypass 14000 $Heart Valve Replacement 9500 $Hip Replacement 9000 $Knee Replacement 8500 $Gastric Bypass 11000 $Liposuction 4000 $Spinal Fusion 5500 $Mastectomy 7500 $Face Lift 4400 $Dental Veneers 7000 $

Expected Revenue:

Month Procedure QYT Price Total

January

Gastric Bypass 1 11000Liposuction 1 4000Face Lift 1 4400Dental Veneers 1 7000

26400

February

Gastric Bypass 3 33000Liposuction 4 16000Face Lift 5 22000Dental Veneers 3 21000Hip Replacement 1 9000

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Bon Voyage Co.

Knee Replacement 2 17000

Spinal Fusion 2 11000Mastectomy 1 7500

136500

March

Gastric Bypass 5 1100 5500

Liposuction 6 4000 24000

Face Lift 10 4400 44000

Dental Veneers 6 7000 42000

Hip Replacement 2 9000 18000

Knee Replacement 4 8500 34000

Spinal Fusion 4 5500 22000

Mastectomy 3 7500 22500

Angioplasty 1 11000 11000

Heart Bypass 1 14000 14000

Heart Valve Replacement 1 9500 9500

294000

April

Gastric Bypass 6 1100 6600Liposuction 7 4000 28000Face Lift 11 4400 48400Dental Veneers 6 7000 42000Hip Replacement 3 9000 27000Knee Replacement 5 8500 42500

Spinal Fusion 4 5500 22000Mastectomy 3 7500 22500Angioplasty 2 11000 22000Heart Bypass 2 14000 28000Heart Valve Replacement 1 9500 9500

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Bon Voyage Co.

298500

May



308000

June



323500

July



350400

AugustGastric Bypass 7 1100 7700Liposuction 10 4000 40000Face Lift 13 4400 57200

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Bon Voyage Co.

Dental Veneers 7 7000 49000Hip Replacement 4 9000 36000Knee Replacement 6 8500 51000


354400

September



361400

October



370400

November


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Bon Voyage Co.


378900

December


Spinal Fusion 5 5500 27500Mastectomy 5 7500 37500Angioplasty 2 11000 22000Heart Bypass 2 14000 28000

Heart Valve Replacement 2 9500 19000

400500 is 3602900.

Fixed Cost Structure:

Fixed Cost Structure (1st year) Budget (L.E) Budget ($)Advertising And Promotion For Opening 20,000 2,857Architectural Design 8,000 1,143

Cash 200,000 28,571

Decorating 50,000 7,143Equipment 15,000 2,143Installation Of Equipment 3,000 429Insurance 30,000 4,286Legal Costs 5,000 714Licenses And Permits 12,000 1,714Office Supplies 1,000 143Print Design 10,000 1,429Printing 20,000 2,857Rent 36,000 5,143

Salaries 420,000 60,000

Signs 10,000 1,429Software 5,000 714Web site 10,000 1,429

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Bon Voyage Co.

Total Costs 855,000

122,143

Variable Cost per each case:

Variable Cost Structure (Average per unit) Budget (L.E) Budget ($)Accommodations 8,000 1,143Cash Back 1,000 143Operation 20,000 2,857Sales Bonus 1,000 143Ticket 5,000 714Transportation 1,000 143

Total Costs 36,000

5,143

Break even Analysis:

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Bon Voyage Co.

1 5 9 13 17 21 25 29 33 37 41 45 49 53 57 61 650

100000

200000

300000

400000

500000

600000

Fixed CostVariable/ UnitAVG Revenue/Unit

We'll reach the break-even point after 51 patients.

THANK YOU

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medical tourism company business plan

Leadership & Management