PHILIPPINES: New report proposes Philippines focus on niche treatment

The Philippines needs to focus on niche treatment and on expanding its markets to capture a greater share of the medical tourism market, a new report from think tank, Philippine Institute for Development Studies (PIDS), says. According to "Health-enhancing holidays: challenges in expanding medical tourism in the Philippines’ the country is cheaper than many Asian competitors in surgical procedures but it continues to get a small share of the market. The study used 30 key findings from medical-tourism benchmarking research gathered by Mercury Advisory Group to assess the domestic industry relative to its counterparts in leading countries. It found that although the Philippines meets most of the competitive yardsticks, the country’s market niching is weak. The Philippines appears to have cast its net as widely as possible. The country has too wide a definition of target market niches of elective surgery, stem-cell therapy, cosmetic surgery, and dental care and wellness treatment. The country should break into untapped markets, particularly the large non-balikbayan market in the United States and Europe. Balikbayan refers to any overseas Filipino returning to the Philippines. Service providers have been dulled by the captive market of overseas Filipino workers and balikbayan, resulting in less attention to other untapped markets. The country’s cover all the bases approach to medical and wellness tourism needs to be narrowed more strategically, with a clearer message, and based on the country’s natural endowments and cost advantage. There is a need for the Philippines to strengthen its marketing campaigns, whether national, joint or corporate. The lack of a sustained Philippine marketing campaign abroad has been pointed as a major shortcoming of medical tourism in the country. Service quality and care needs to be improved, -there are few internationally accredited health facilities although their number is increasing. The report suggests commissioning an international consulting firm, with local counterparts, to conduct a comprehensive study on the medical-tourism industry covering its global competitive advantage and market niches, the binding constraints, its future prospects and needed policy thrusts.