Post-Pandemic, Healthtech Sector Transaction Value Projected to Continue Rising

Health technology, or healthtech, plays a crucial role in the healthcare sector as a pioneer in adopting technology to enhance the value and efficiency of healthcare services. This was revealed in research conducted collaboratively by East Ventures, PwC Indonesia, and the Katadata Insight Center (KIC).

The research team's analysis shows that the projected value of healthtech transactions is growing at a rate of at least 20% year-on-year (YoY). This is higher than the conventional healthcare sector, which grew by 7% (YoY) from 2022 to 2027.

In 2017, the transaction value of healthtech reached Rp6 trillion. This increased to Rp13 trillion in 2022.

The projected transaction values for 2023 and 2027 are Rp16 trillion and Rp34 trillion, respectively.

"Healthtech, as a contributor to the healthcare sector, will continue to grow, supported by increased adoption of BPJS (National Health Insurance), patient visits, and digitalization," the team wrote in their report.

The adoption of healthtech has increased significantly due to the urgent need for services during the Covid-19 pandemic. This is evident in the rise of users of the PeduliLindungi (now Satusehat) application and telemedicine, which were used for monitoring the spread of Covid-19, vaccination, and health consultation services.

The controlled pandemic has not hindered the development and utilization of healthtech in Indonesia.

"For example, PeduliLindungi (Satusehat) is now adding more personalized features, such as medication reminders and vaccination records," the team wrote.

On the other hand, telemedicine or telehealth continues to grow. This technology is not only used for consultation services but also for ordering medication and as an enabler for insurance products.

"Time savings and ease of access are the main factors for customers to use telehealth services," said the research team.

Data was compiled from Euromonitor, Statista, The Business Research Company, Marketline, and PwC analysis. This report is included in the East Ventures-Digital Competitiveness Index (EV-DCI) 2023, themed "Digital Justice for All Indonesian People."

(See also: Types of Telemedicine Services Frequently Used by Indonesian People)