Many of us have a perception that if we pay more, we are bound to get better quality. While this is true in some cases, in many cases life is not quite so simple.
Healthcare in India is filled with multiple examples where you can pay less and get better quality. There are reasons for this. A couple of reasons are mentioned below:
- Specialisation and volumes: If a company specialises in a particular field, it will get more customers due to its expertise. More customers mean fixed costs are spread over a larger number of people. Also, the company is able to negotiate with its suppliers to get volume discounts. Let me explain by taking the example of PET Scan. This is a test which is done for cancer detection and management. There are many hosptial that charge from ₹22,000 to ₹32,000 for this test. However, there is a lab that specialises in this test. They do better testing because PET Scan is all that they do and charge only ₹9,999 for this test.
- Corrupt practices: There are people in the healthcare ecosystem who use the current structure of the market to distort prices and make a killing. Rumour has it that there is a famous neuro-surgeon in Delhi who has made this money by charging 60% of the cost of MRI tests from labs that he has tied up with. He forces his patients to go the labs that are in his “network”. If you remove people like him, end customer can save upto 60% on the price of MRI scans without any deterioration in quality.
At LabsAdvisor.com, we are trying to help the end customer by providing the right information and working to eliminate the malpractices in the industry. It is not an easy fight. But we believe that there are people who will join us in the fight.