The healthcare sector has emerged as one of the final frontiers in the comprehensive integration of technology. Presently, the landscape of healthcare delivery is undergoing a profound transformation due to digitization and technological advancements. These developments are not only reshaping the operational aspects of healthcare but also influencing the perceptions held by healthcare practitioners regarding the industry.
In the dynamic realm of healthcare technology, Practo stands out as a transformative force, redefining the paradigm through which individuals engage with and encounter healthcare services. Established with a mission to address disparities within the healthcare ecosystem, Practo’s evolutionary trajectory underscores a steadfast dedication to pioneering innovation, operational efficiency, and enhanced accessibility within the healthcare sector.
Practo Overview:
Practo is in a unique position of having a globally respected strong B2B software product (Practo Ray) that is tightly integrated with its much-loved consumer offering (Practo Search) – creating the world’s first and only healthcare hyper loop that is connecting the entire healthcare ecosystem and is helping millions of consumers make better healthcare decisions. By constantly pushing the envelope to innovate and create products and services that are world-class, Practo has the potential to revolutionize the way healthcare is perceived.
Founded in 2008 by Shashank ND and Abhinav Lal, Practo has emerged as a prominent healthcare technology company. With its headquarters situated in Bangalore, India, Practo’s platform provides an extensive array of services, encompassing online doctor consultations, appointment scheduling, health record management, and efficient medicine delivery solutions.
When you aim to redefine an industry the challenges are many but that also helps you in getting better. With Practo, the problem was access to the right information – information about your own health as well as about the practitioner/establishment – whether a doctor, a clinic or a lab test. This is the problem that Practo identified way back in 2008 and that is when they built Practo Ray.
When they started building Practo Ray, the biggest challenge was how to build a hyper responsive product in a market where internet penetration was low and speeds not as good as what we see in many other markets. Apart from their scale, efficiency, technology prowess, one of the most important factors they had was their data quality – the fact that they don’t use third-party data and rigorously verify all the data before it goes up on Practo means consumers can really trust what they see on the Platform.
Practo has been successful in playing a role in bringing that shift by building world-class products like Practo Ray (A ‘Software as a Service’ management software that provides doctors with appointment scheduler and electronic medical record services, prescriptions along with billing, IVR telephony and other healthcare management services) and Practo Search (Search engine to get required information from database) and have proved that doctors can manage millions of patients and healthcare records every month digitally.
Shashank’s Inspirational Journey: Revolutionizing Healthcare with Practo Technologies Pvt. Ltd.
Shashank embarked on a transformative journey that led to the establishment of Practo Technologies Pvt. Ltd., now recognized as one of the fastest-growing healthcare companies globally. The genesis of this venture traces back to 2008 when Shashank faced the critical decision of entrusting his father’s life to a medical professional for a necessary surgery.
Motivated by the need for a comprehensive understanding before making such a crucial decision, Shashank initiated a meticulous process of gathering all relevant medical records, scans, and reports. However, the challenge extended beyond assembling these materials; he found himself navigating a complex search for information on qualified doctors. The absence of a centralized source for accessing such critical details prompted Shashank to envision and create Practo Technologies Pvt. Ltd., a platform that has since become a cornerstone in the global healthcare landscape.
“Revolutionizing Healthcare: Mr. Shashank’s Visionary Leadership Propels Practo to the Pinnacle of Patient-Centric Excellence”
Mr. Shashank, a visionary leader, has spearheaded Practo on a mission dedicated to enhancing human health and longevity. His vision revolves around establishing a patient-centric healthcare ecosystem facilitated by Practo, fostering seamless connectivity between patients and doctors through a secure and effortless flow of health information. His aspiration is to position Practo as the quintessential health app – the singular platform for all healthcare-related activities.
Over the course of several years, Mr. Shashank has diligently shaped Practo into a company that positively impacts millions of lives across various cities and countries each month. The platform has proven instrumental in aiding individuals in making informed healthcare decisions, thereby contributing significantly to the improvement of overall well-being.
Shashank holds a B.Tech degree from the esteemed National Institute of Technology, Surathkal, and stands as a founding member of the iSPIRT, a prominent think tank for the Indian software industry.
Achieving Pinnacle Status as a Premier Healthcare Platform
In its remarkable journey, Practo has emerged as the foremost healthcare platform in Asia, with a strong presence in India, Singapore, Philippines, and Indonesia. The company has experienced an extraordinary sixfold growth, positioning itself among the fastest-growing healthcare platforms globally. The platform has garnered millions of users seeking informed healthcare decisions, and this user base continues to expand at an impressive rate of 30-50% each quarter.
Earlier this year, Practo unveiled its ambitious expansion plan into 35 cities in India, a goal that has already been realized. Currently, Practo stands as the largest healthcare platform in Asia, boasting a network of over 200,000 doctors, 5,000 diagnostic centers, and 10,000 hospitals. Monthly, millions of consumers turn to Practo to efficiently find and book appointments with the most suitable healthcare practitioners. With a strategic presence in Singapore, Philippines, and Indonesia, Practo maintains a competitive advantage, poised for both organic and inorganic growth.
The company’s founders envision a transformative role for technology in India’s healthcare sector, making the process of locating and consulting with the right doctor more streamlined. Identifying this crucial gap, Practo has successfully empowered consumers to connect with the most suitable healthcare professionals based on factors such as locality, specialty, availability, customer feedback, and cost.
Through these strategic initiatives, Practo has positioned itself as a leader in leveraging technology to enhance accessibility and efficiency within the healthcare landscape.
The Expansion of Practo in the Healthcare Sector
Following the strategic expansion into Tier 2 cities, the Practo team has observed a notable surge, with approximately 20-25% of traffic originating from these regions. This trend underscores the increasing adoption and penetration of technology in India, erasing traditional differentiations between Tier 1 and Tier 2 cities. The overwhelmingly positive response received from these areas substantiates the evident demand for and recognition of the need for accessible and high-quality healthcare services.
Practo : Business Model
The initial imperative for any business is to delineate its key activities and value propositions, constructing a cohesive and operational business model. In the case of Practo, serving as a shared platform for patients and doctors, meticulous attention was devoted to ensuring the delivery of substantive value to both stakeholders.
Envisioning the Future of Practo
In the forthcoming 2-5 years, Practo is poised to revolutionize the global healthcare industry, steadfastly upholding its commitment to being recognized as “Your Health App.” The company is currently experiencing remarkable growth, having already curated an extensive listing comprising 200,000 healthcare practitioners and 5,000 diagnostic centers.
Over the ensuing months, Practo is set to enhance its offerings significantly by introducing additional features, products, and diverse categories. This expansion encompasses the inclusion of hospitals, diagnostic centers, as well as establishments in the domains of spas, salons, wellness, and fitness centers.
Furthermore, Practo is dedicated to augmenting its existing team of 1500 Practeons with top-tier talent. This strategic approach is intended to fortify the company’s position and enable the continual development of cutting-edge products.
Practo : Funding
Practo has successfully secured a cumulative funding amounting to $251 million through a series of 13 funding rounds. The inaugural funding round took place on July 30, 2012, marking the commencement of its financial journey. The most recent funding round, identified as a Series D round, transpired on April 26, 2022, wherein Practo secured an investment of $1.68 million.
In this latest funding endeavor, a total of two investors participated, with the lead investor being the esteemed AIA Group. This financing round further underscores Practo’s ongoing commitment to innovation and growth, positioning the company for continued success in the dynamic landscape of healthcare technology.
Practo’s Revenue Model Overview:
Practo, a trailblazer in the healthcare technology sector, has effectively facilitated the connection between doctors and patients, thereby transforming medical practice. The platform employs a robust revenue model that encompasses various streams, ensuring sustained growth and service enhancement.
Premium Listings through Practo Profile:
Practo’s search functionality serves as a pivotal tool for users seeking medical consultation. Doctors aiming for enhanced online visibility and increased consultations can avail premium listings on Practo Profile. This service incurs a fee, contributing significantly to Practo’s overall revenue.
Ad Spaces via Practo Reach:
Practo offers advertising spaces on its website and application through Practo Reach. Tailored to various sizes, the cost of these ad spaces is determined by multiple factors. Given Practo’s extensive user base, revenue generated from displaying ads on the platform remains substantial.
Practo Ray – Practice Management Software (PMS):
A cornerstone of Practo’s revenue generation is Practo Ray, a Practice Management Software designed to streamline hospital and clinic operations for healthcare professionals. Doctors subscribe to this service on a monthly basis, making it a primary and consistent source of revenue for Practo.
Practo Plus – Subscription-Based Healthcare Plan:
Practo Plus offers patients a subscription-based annual healthcare plan, providing unlimited online doctor consultations. This premium service contributes to Practo’s revenue stream while delivering added value to patients seeking comprehensive healthcare solutions.
Medical Deliveries and Partnerships:
Through strategic alliances with laboratories and pharmacies, Practo engages in medical deliveries, earning commissions on bookings and delivery services. Additionally, Practo facilitates the sale of medicines to drug stores and chemists, creating a diversified revenue source.
Strategic Approach to Attracting Customers:
Practo’s success lies in its strategic approach to customer acquisition. Recognizing the limited appeal of targeting established and renowned doctors, Practo focuses on onboarding new healthcare professionals and clinics seeking to expand their patient base. The company’s established position in the market and limited competition further fortify its standing within the healthcare technology landscape.
Practo: Competitors
| Competitor | Location | Year Founded | Funding Round | Funding Status |
| Modernizing Medicine | Boca Raton | 2010 | Series F | Funded |
| BeatO | Delhi | 2015 | Series B | Funded |
| Mfine | Bengaluru | 2017 | Series C | Funded |
- Total Competitors: 1440
- Practo’s Ranking: 8th
- Funded Competitors: 89
- Exited Competitors: 20
- Total Funding Raised by Practo and Competitors: $3.92B
- Funding Rounds: 317
- Investors Involved: 1789
- Private Unicorns: 3
- Public Companies: 7
- Acquired Companies: 13
Conclusion
In conclusion, Practo has emerged as a revolutionary force in the healthcare sector, leveraging technology to transform the way individuals engage with healthcare services. Founded in 2008 by Shashank ND and Abhinav Lal, Practo has successfully addressed the challenges of information access in the healthcare industry, offering innovative solutions like Practo Ray and Practo Search.
