Business Model of an App-like Practo- All You Need to Know

Last Updated on December 17, 2024

In today’s fast-paced digital age, healthcare has transcended the walls of hospitals and clinics, making its way into the palms of people through mobile apps. Among these healthcare solutions, Practo has emerged as a trailblazer, bridging the gap between patients and healthcare providers. Entrepreneurs seeking to develop an app like Practo must first grasp the intricacies of its business model, as it serves as an exemplary blueprint for integrating healthcare services with technology.

Practo, a healthcare app, acts as a one-stop platform connecting patients with doctors, diagnostic centers, pharmacies, and wellness services. Its success is attributed to a user-centric design, comprehensive features, and a revenue model that balances free and premium services. This blog explores Practo’s business model in detail, focusing on its key revenue streams, target audiences, and the competitive advantages it holds in the ever-growing health-tech market.

The Core Business Model of an App-Like Practo

Practo’s success lies in its unique B2B and B2C hybrid business model, which enables it to serve both individual users (patients) and professional entities (healthcare providers). By balancing these two facets, the platform not only caters to diverse needs but also establishes a robust and scalable revenue stream. Below is an in-depth breakdown of its primary components, illustrating how it creates value for all stakeholders involved.

Target Audience

The versatility of Practo’s model is evident in the range of audiences it targets, from individual patients to businesses operating in the healthcare sector.

• Patients: For end-users, Practo is a gateway to healthcare convenience. It provides features like appointment booking, online consultations, diagnostic test bookings, and access to electronic health records (EHR). By making these services easily accessible, Practo empowers individuals to take control of their health.
• Doctors and Clinics: Healthcare professionals benefit from Practo’s ability to enhance their digital presence and streamline operations. Doctors and clinics can attract more patients through listings on the platform, manage schedules efficiently, and improve patient satisfaction using advanced practice management tools.
• Pharmacies and Diagnostic Labs: Businesses such as pharmacies and diagnostic centers leverage Practo to reach a broader audience. The platform facilitates online orders, home delivery of medicines, and bookings for lab tests, creating a seamless experience for patients while driving business growth for these entities.

By targeting these key groups, Practo addresses the needs of various stakeholders, ensuring a holistic approach to healthcare digitization.

Revenue Streams

The hybrid business model of an app like Practo is underpinned by a diversified revenue strategy. In 2024, Practo’s revenue reached $30M, which means it grew 22% from the last quarter. This ensures consistent income from multiple sources, while also providing flexibility to adapt to market demands.

• Doctor Listings and Subscriptions: Healthcare providers pay a fee to be listed on the platform. Premium listing options enhance visibility, making it easier for patients to discover their services. This not only benefits providers but also boosts the app’s revenue.
• Commission-Based Revenue: An app like Practo earns commissions on various services booked through its platform, such as diagnostic tests, pharmacy orders, and wellness packages. This model is a win-win for all parties, as it facilitates transactions while generating income for the app.
• Software-as-a-Service (SaaS): A significant revenue stream for an app like Practo comes from its practice management software. Clinics and doctors use this software to schedule appointments, manage patient records, and automate billing processes, ensuring operational efficiency.
• Sponsored Listings and Advertisements: Pharmacies, diagnostic labs, and wellness centers have the option to pay for promotional slots. Sponsored content appears prominently on the app, increasing visibility for businesses and providing an additional revenue source for Practo.

This multifaceted approach not only ensures financial sustainability but also fosters innovation and continuous improvement in the services offered.

Key Features

The features of an app like Practo are instrumental to its widespread adoption, offering utility and value to all its users.

• Appointment Booking: Patients can book consultations with doctors in just a few clicks, filtering by specialty, location, and availability. This convenience encourages repeat usage and builds trust.
• Teleconsultations: By providing options for video, audio, or chat-based consultations, Practo expands access to healthcare, particularly in underserved areas.
• Electronic Health Records (EHR): The app stores patient medical histories, prescriptions, and test results in a secure and organized manner, streamlining the patient experience.
• Diagnostics and Pharmacy Integration: Practo connects users with diagnostic labs and pharmacies, offering seamless booking and ordering options. Home sample collections and medicine deliveries enhance convenience for patients.
• Practice Management Tools: For healthcare providers, features like automated appointment reminders, billing systems, and patient data management improve workflow efficiency and patient satisfaction.

These features serve as the foundation of an app like Practo’s model, ensuring a seamless, user-friendly experience that meets the needs of both patients and providers.

Also read: Cost Guide for Developing a Healthcare App Like Practo

Features of Practo: The Backbone of its Success

Creating an app like Practo requires incorporating innovative features that cater to the needs of both patients and healthcare providers. Here are the standout features of Practo, described in detail:

Appointment Booking

An app like Practo simplifies the process of booking appointments by providing a seamless interface for patients. Users can search for doctors based on specialty, location, availability, and patient reviews. Instant booking and rescheduling options further enhance user convenience.

Telemedicine Services

Practo’s telemedicine feature allows patients to consult with doctors via video calls, audio calls, or chats. This functionality has gained significant traction, especially during the COVID-19 pandemic, as it enables users to access medical advice without leaving their homes.

Digital Prescription and Records

The app maintains electronic health records (EHR) for users, ensuring all medical history, prescriptions, and test reports are available in one place. This feature eliminates the hassle of carrying physical documents and promotes data accuracy.

Health and Wellness Content

Practo offers a library of articles and blogs written by healthcare professionals, providing users with valuable insights into health and wellness. This not only educates users but also positions Practo as a trusted source of medical information.

Diagnostics and Lab Test Bookings

Through Practo, users can book diagnostic tests and have samples collected from their homes. The app provides access to various labs, enabling price comparisons and service reviews for informed decision-making.

Pharmacy Integration

Practo integrates pharmacy services, allowing users to order medicines online. The app offers features like prescription uploads and doorstep delivery, making medicine procurement hassle-free.

Practice Management for Doctors

For healthcare providers, app like Practo offers practice management software that includes appointment scheduling, billing, patient communication, and analytics tools. This feature improves operational efficiency and enhances patient satisfaction.

Multilingual Support

Practo caters to a diverse audience by providing multilingual support, ensuring users across different regions feel comfortable using the app.

Ratings and Reviews

Patient reviews and ratings play a significant role in building trust. An app like Practo displays feedback for healthcare providers, helping patients make informed choices while motivating doctors to maintain quality service.

24/7 Customer Support

An app like Practo ensures that users and healthcare providers have access to round-the-clock support for any technical or service-related issues, enhancing the overall user experience.

By integrating these features, Practo not only addresses its users’ pain points but also establishes itself as a leader in the health-tech space.

Also read: Types of Healthcare Apps in 2024 and How They Work

Why Entrepreneurs Should Consider Building an App Like Practo

The health-tech industry is witnessing exponential growth, driven by technological advancements and an increased focus on preventive care. Here’s why developing an app like Practo is a lucrative business opportunity:

1. Growing Demand for Digital Healthcare: As people become more reliant on technology, the demand for accessible and convenient healthcare solutions continues to rise.
2. Scalable Business Model: The hybrid B2B and B2C approach allows entrepreneurs to tap into multiple revenue streams, ensuring scalability.
3. Social Impact: Beyond profitability, an app like Practo improves healthcare access, especially in underserved regions.

Also read: Unpacking Zocdoc Business Model- Everything you need to know

Launch your healthcare app with Oyelabs

Transform your vision into reality with Oyelabs, the trusted partner for developing cutting-edge healthcare apps. From telemedicine solutions to patient management systems, Oyelabs specializes in creating secure, scalable, and user-friendly applications tailored to your needs. With expertise in HIPAA-compliant platforms, AI integration, and advanced analytics, we ensure your app is equipped to revolutionize patient care. Our end-to-end development process, including design, deployment, and support, guarantees a seamless experience for both you and your users. Whether you’re a startup or a healthcare giant, launch your healthcare app with Oyelabs and lead the way in digital health innovation.

Also read: Best Mental Health and Wellness Apps in 2024

Conclusion

Developing an app like Practo is a promising venture for entrepreneurs looking to make their mark in the health-tech industry. By understanding its business model, features, and the challenges involved, you can create a platform that meets the evolving needs of users. With the right mix of innovation, scalability, and user-centric design, your app could become the next big name in digital healthcare.

Invest in thorough market research, collaborate with skilled developers, and prioritize user satisfaction to build a successful healthcare app. After all, in the world of health tech, delivering value to users is the key to long-term success.