You all must have heard about Practo, right? For those who don’t know, it’s a leading health-tech platform in India, operates with a multi-faceted revenue model designed to bridge the gap between healthcare providers and patients. But its revenue model is so talked about. Want to know why? If yes, then you are at the correct place.

Below is a detailed breakdown of Practo’s revenue streams, services, and how it achieves profitability while maintaining its mission of making healthcare accessible and efficient.

What are the key revenue streams of Practo?

Practo’s monetization strategy revolves around offering valuable services to both patients and healthcare providers. Here’s how it earns revenue:

a. Practice Management Software (Practo Ray)

Practo Ray revolutionizes clinic operations, providing a centralized system for:

• Appointment scheduling: Automates bookings, reducing manual errors and saving time for staff.
• Billing management: Offers customizable invoices, tracks payments, and simplifies financial record-keeping.
• Patient record organization: Stores medical histories digitally, ensuring quick access and better patient care.
• Analytics: Provides detailed reports on clinic performance, helping doctors make data-driven decisions.

This tool is ideal for independent practitioners and small-to-medium clinics seeking to boost productivity and reduce administrative workloads.

b. Premium Listings (Practo Profile)

Premium listings allow doctors and clinics to:

• Stand out in search results: Higher visibility increases the likelihood of attracting new patients.
• Showcase expertise: Enhanced profiles display credentials, reviews, and photographs, building trust.
• Expand patient reach: Premium profiles are highlighted, leading to a significant rise in appointment bookings.

For healthcare providers, this service acts as a marketing tool, bridging the gap between patients and specialists.

c. Online Consultations

Telemedicine has gained significant attention due to its convenience and accessibility. Practo’s online consultations:

• Remove geographical barriers: Patients can consult with doctors anywhere in the country.
• Offer multiple modes: Options include video, audio, and chat consultations.
• Save time: Reduces travel for patients and ensures quicker access to medical advice.

Practo charges a commission per consultation, making this feature profitable while benefiting both patients and providers.

d. Practo Prime

Practo Prime is an elite offering designed for:

• Hospitals and clinics: These gain visibility and efficiency through prioritized listings.
• Patients: Features like shorter wait times and priority appointments improve the user experience.
• Enhanced online presence: Partnering clinics enjoy better branding and patient engagement.

This program attracts healthcare providers willing to invest in premium visibility and benefits.

e. Diagnostics and Medicine Delivery

Practo simplifies diagnostic testing and medication delivery through its collaborations with labs and pharmacies:

• Lab tests: Patients can book diagnostic services with trusted labs, often including home sample collection.
• Pharmacy tie-ups: Enables users to order medicines online with doorstep delivery.
• Easy integration: Patients can schedule tests or fill prescriptions directly from their consultations.

Practo earns a commission from partner labs and pharmacies, further diversifying its revenue streams.

f. Advertising (Practo Reach)

Practo Reach allows healthcare and wellness brands to:

• Target specific audiences: Ads are displayed to users searching for relevant healthcare services.
• Boost visibility: Clinics, hospitals, and product manufacturers can run ad campaigns specific to their audience.
• Flexible ad formats: Options include banners, pop-ups, and in-app ads, catering to different budgets and goals.

Revenue is generated based on the duration, placement, and size of ads, making advertising a quite attractive addition to Practo’s portfolio.

What are Practo’s core features and services?

But why would people want to invest in Practo’s various services? You read about it short above, let’s explore all of those services in detail here. Practo’s revenue model excels because of its comprehensive services, which include:

1. Doctor Discovery and Appointment Booking

• Simplifying doctor search: Practo lets users search for healthcare providers based on parameters like specialization, location, availability, and patient reviews.
• Free appointment booking: Users can book appointments without additional charges directly through the app or website.
• Enhanced trust: Verified profiles and patient ratings ensure transparency and informed decision-making.

2. Telemedicine (Online Consultations)

• Remote access to healthcare: Patients can consult with doctors through video, audio, or chat.
• Time-saving: Quick access to doctors reduces waiting times for both patients and healthcare providers.
• Pandemic-friendly service: Telemedicine gained immense popularity during COVID-19, making healthcare accessible during lockdowns.

3. Electronic Health Records (EHR)

• Data storage: Practo allows users to securely store their medical records, prescriptions, and reports in one place.
• Easy sharing: Patients can share their medical history with doctors digitally, ensuring faster and more accurate diagnosis.
• Time efficiency: No need to carry physical files—everything is available with just a few clicks.

4. Health Content

• Informative articles: Practo’s platform features health-related blogs, expert written articles, and FAQs to help users make informed decisions.
• Q&A forums: Users can ask questions and get answers from certified medical professionals, enhancing engagement and trust.
• Educational focus: From disease prevention tips to wellness advice, the content empowers users to take control of their health.

5. Medicine Delivery

• Easy ordering: Practo connects patients with local pharmacies to deliver medicines directly to their doorstep.
• Prescription uploads: Users can upload prescriptions for easy ordering, reducing manual errors.
• Time-saving solution: Medicines reach users in time, ensuring no disruption in ongoing treatments.

What is Practo’s business model?

B2B (Business-to-Business)

• Target audience: Doctors, clinics, hospitals, diagnostic labs, and pharmacies.
• Key services in this model:
  • Practo Ray: A practice management software helping healthcare providers simplify operations like scheduling, billing, and maintaining electronic health records.
  • Practo Prime: Enhances the clinic’s visibility and offers features like priority scheduling for patients, attracting more footfall.
  • Premium Listings: Paid service allowing providers to rank higher in search results, giving them an edge in acquiring new patients.
  • Corporate Health Programs: Partnerships with businesses to offer employee wellness packages.

B2C (Business-to-Consumer)

• Target audience: Patients seeking medical services and health management tools.
• Key services in this model:
  • Free services:
    • Doctor discovery and appointment booking.
    • Access to expert-curated health content like articles and FAQs.
  • Paid services:
    • Teleconsultations: Convenient online consultations available via video, audio, or chat.
    • Practo Plus: Subscription-based service offering benefits like unlimited online consultations, discounts on lab tests, and exclusive health management tools.
  • Diagnostics and Medicine Delivery: Patients can book lab tests or order medicines, often with the added convenience of home delivery.

This dual approach ensures revenue while creating immense value for both providers and consumers.

Challenges and Opportunities

Practo has seen impressive success, but it isn’t without challenges. The company faces tough competition in the area of digital health solutions, making it important to stay ahead with unique offerings. Additionally, data privacy is a significant concern due to the sensitive nature of health information. Practo also needs to keep innovating to meet the changing needs of users and maintain its edge.

However, there are exciting opportunities too. Practo can expand its reach to more countries, tapping into global markets where digital health solutions are still growing. It can also explore offering more preventive digital health solutions, like wellness programs or tools for early detection, which are in high demand today. With the right strategies, Practo can continue to lead in the health tech industry.

What Businesses Can Learn from Practo?

Above we gave you a perfect insight of how Practo’s revenue model works. It is incredible and that’s why various researches are conducted on it. Practo’s model offers key takeaways for companies looking to succeed in digital marketplaces:

• Customer-Centric Approach: Practo focuses on user needs, offering smooth experiences for both patients and providers.
• Diverse Revenue Streams: Multiple monetization channels reduce dependency on a single source.
• Scalability: Cloud-based infrastructure ensures the platform can handle growing demand.

How Raindrops Infotech Can Help Businesses Build Platforms Like Practo?

Want to build an app like Practo? But don’t know where to start? Don’t worry- Raindrops Infotechgot your back! It specializes in creating scalable, secure, and user-friendly applications. Businesses aspiring to replicate Practo’s success can make use of Raindrops’ expertise in:

• Custom Platform Development: Raindrops designs platforms that are user-centric ensuring they align with your business’s unique goals and audience needs.
• Integration of Advanced Features: Whether you need telemedicine, appointment scheduling, or electronic health records, Raindrops integrates trending and advanced functionalities to match the healthcare industry’s evolving demands.
• Scalability for Growth: The solutions are built to grow with your business, handling increasing user demands without compromising performance.
• Innovative User Experiences: With a focus on design and usability, Raindrops Infotech delivers platforms that enhance engagement and retention.

Partnering with Raindrops Infotech gives you access to a team of experts who transform ideas into secure and scalable platforms. Whether you’re building a healthcare app, an e-commerce solution, or a custom SaaS product, Raindrops empowers you to bring your innovative ideas to life and stay ahead of the competition.

Interested in building a platform like Practo? Contact Raindrops Infotech today for a free consultation!