Gen Zs willing to invest more in health care than older cohorts
More than fear, the COVID-19 pandemic has instilled a sense of urgency among the youth in the Asia-Pacific region, with more Gen Zs willing to spend for health care, according to Bain & Co.
The management consulting firm found in its Asia-Pacific Front Line of Health Care 2024 report that 58 percent of surveyed Gen Zs, or those born from 1997 to 2012, plan to spend more on health care in exchange for “better health outcomes, better experiences and greater efficiency.”
Bain further explained in its report, which had surveyed 2,300 consumers across nine countries, that this age group wanted to invest more on preventive products and services, noting a surge in demand for nutrition products like vitamins and supplements.
“Gen Z exhibits more active involvement in their health care compared to other age cohorts, with higher health-care spending,” it said.
Pharmacies are also seeing an increase in Gen Z interest, especially after many consumers received COVID-19 testing and vaccines in their facilities.
By last year, 74 percent of Gen Zs used pharmacies as a primary point of care.
This supports the finding that consumers now preferred more flexible health-care offerings, not just traditional hospital treatment.
This led to more accessible options, mainly through digital means, with preference for telemedicine use persisting postpandemic, as it offered more convenience compared with offline consultations.
In the Philippines, Bain said 48 percent of respondents have used telemedicine services in the past 12 months.
“The benefit of telehealth is evident, especially in lowering healthcare costs,” Bain said.
Consumer-driven health monitoring has likewise increased in the region, largely due to the emergence of affordable smartwatches that track a variety of health-related data, such as sleep cycles and heart rates.
In India, for example, some companies now offer smartwatches for as low as $10, democratizing wearable access.
Bain also highlighted the need for health-care institutions to “reinvent customer experience,” and recommended that companies digitize their processes to meet changing patient needs.
This would help strike a balance between customers who still preferred face-to-face consultations and those who also want online options.
“Health-care players should stay attuned to evolving consumer needs, including increasing demands for well-mapped, easy-to-navigate customer health journeys,” Bain said.
