Telemedicine and Ancillary Healthcare Services with a Focus on Last-mile Delivery

Doctor with a phone

By National Cancer Institute on Unsplash

Telemedicine and Ancillary Healthcare Services with a Focus on Last-mile Delivery
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Health Care
Health Care Providers
Business Model Description

Invest in B2C Aggregated HealthTech platforms which offer last mile connectivity with licensed doctors / healthcare professionals (via chat, video or voice calls), certified partner pharmacies through medical delivery service and licensed medical laboratory services (offering home-testing and sample collection services). Examples of companies active in this space are:

HaloDoc, founded in 2016, is a B2C HealthTech platform that provides teleconsultation, e-pharmacy and at-home lab services across Indonesia. Halodoc charges USD 2.45 for a 15 minutes session. It has been successful in raising >USD 100 mn, including USD 12 mn in a seed round (Go-Jek) and USD 13 mn in a Series A round (Singapore-based Clermont Group) (15).

PT Sumo Teknologi Solusi, founded in 2014, developed Alodokter offering 5 features: consultation, schedule appointment, doctor/hospital search, health articles, health protection (Alodokter Protection) and e-pharmacy. It raised USD 0.6mn (Seed), USD 2.5mn (Series A), USD 9 mn (Series B) and USD 30 mn (Series C) from Pegasus Tech Venture, Golden Gate, Softbank Ventures Asia and Sequis Life. (16)

Expected Impact

Provide access to quality and affordable health care services to underserved, unserved populations and vulnerable groups by leveraging digital platforms.

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
20% - 25% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Medium Term (5–10 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
USD 100 million - USD 1 billion
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
> USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Good health and well-being (SDG 3)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Gender Equality (SDG 5) No Poverty (SDG 1) Reduced Inequalities (SDG 10)
Sector Sources
  • (1) Bappenas. 2021. Indonesia's Voluntary National Review 2021. https://sustainabledevelopment.un.org/content/documents/280892021_VNR_Report_Indonesia.pdf. (2) Republic of Indonesia. 2019. Roadmap of SDGs Indonesia Towards 2030. https://www.unicef.org/indonesia/media/1626/file/Roadmap%20of%20SDGs.pdf. (3) SEKRETARIAT NASIONAL SDGS. 2019. Indonesia's SDG National Action Plans-RAN SDGs 2021-2024. https://sdgs.bappenas.go.id/category/dokumen/rencana-aksi-nasional-ran/. (4) MAMPU-AIPEG. 2020. Consequences of Child Marriage in Indonesia. https://melbourneinstitute.unimelb.edu.au/__data/assets/pdf_file/0004/3491923/MAMPU-Child-Marriage-in-Indonesia.pdf (5) BPS. 2018. 2018 Socio-economic National Survey (Susenas). https://www.bps.go.id/publication/2018/11/26/81ede2d56698c07d510f6983/statistik-kesejahteraan-rakyat-2018.html. (6) Healthcare Resource Guide: Indonesia. 2019. The U.S. Department of Commerce’s International Trade Administration. https://2016.export.gov/industry/health/healthcareresourceguide/eg_main_108589.asp. (7) EY Indonesia. 2017. Ripe for investment: the Indonesian health care industry post introduction of universal health coverage. https://persi.or.id/wp-content/uploads/2017/12/ripe-for-investment.pdf. (8) Macrotrends. 2021. Indonesia Healthcare Spending 2000-2022. https://www.macrotrends.net/countries/IDN/indonesia/healthcare-spending. (9) Republic of Indonesia. 2020. Indonesia's 2020-2024 National Medium-Term Development Plan https://katalog.data.go.id/dataset/rpjmn-tahun-2020-2024/resource/23e26880-a84f-4443-a16f-1ddb3b69cfeb. (10) Republic of Indonesia. 2020. The 2021 GOI Work Plan. https://peraturan.bpk.go.id/Home/Details/147612/perpres-no-86-tahun-2020. (11) Ministry of Health. 2021. Aplikasi Telemedicine Berpotensi Merevolusi Pelayanan Kesehatan di Indonesia. https://www.balaibaturaja.litbang.kemkes.go.id/read-aplikasi-telemedicine-berpotensi-merevolusi-pelayanan-kesehatan-di-indonesia. (12) Ministry of Health of the Republic of Indonesia. 2021. The 2020-2024 Minister of Health Strategic Plans. https://farmalkes.kemkes.go.id/2021/03/rencana-strategis-kementerian-kesehatan-tahun-2020-2024/. (13) The Ministry of Communication and Information Technology. 2016. Telemedicine Solusi Untuk Peningkatan Pelayanan Kesehatan Di Daerah Terpencil. https://www.kominfo.go.id/content/detail/7788/telemedicine-solusi-untuk-peningkatan-pelayanan-kesehatan-di-daerah-terpencil/0/sorotan_media. (14) The Ministry of Communication and Information Technology. 2020. Kominfo Perbaharui Aplikasi PeduliLindungi Guna Penguatan Layanan Telemedis di Masa COVID-19. https://www.kominfo.go.id/content/detail/31755/kominfo-perbaharui-aplikasi-pedulilindungi-guna-penguatan-layanan-telemedis-di-masa-covid-19/0/sorotan_media.
IOA Sources
  • (15) Nikkei Asia. 2021. Indonesia's Halodoc closes drug delivery unit as COVID bites. https://asia.nikkei.com/Spotlight/DealStreetAsia/Indonesia-s-Halodoc-closes-drug-delivery-unit-as-COVID-bites (16) Crunchbase. 2021. Alodokter - Funding, Financials, Valuation & Investors. https://www.crunchbase.com/organization/alodokter/company_financials. (17) WilliamBuck. 2021. Indonesia’s digital health boom and the opportunities for Australian healthcare providers. https://williambuck.com/news/gr/health/indonesias-digital-health-boom-and-the-opportunities-for-australian-healthcare-providers/ (18) Statista. 2021. Smartphone penetration rate in Indonesia from 2017 to 2020 with forecasts until 2026. https://www.statista.com/statistics/321485/smartphone-user-penetration-in-indonesia/. (19) Statista. 2021. Internet penetration rate in Indonesia from 2017 to 2020 with forecasts until 2026. https://www.statista.com/statistics/254460/internet-penetration-rate-in-indonesia/ (20) CekIndo. 2021. Indonesia Healthcare Market Goes Digital. https://www.cekindo.com/blog/indonesia-healthcare-digital (21) Healthcare Resource Guide: Indonesia. 2019. The U.S. Department of Commerce’s International Trade Administration. https://2016.export.gov/industry/health/healthcareresourceguide/eg_main_108589.asp. (22) Grand View Research. 2021. South East Asia Telehealth Market Size, Share & Trends Analysis Report By Service Type (Remote Patient Monitoring, Real-time Interactions), By Delivery Mode, By Application, By Type, By End Use, And Segment Forecasts, 2021 - 2028. https://www.grandviewresearch.com/industry-analysis/south-east-asia-telehealth-market (23) Snoswell, C. L., Taylor, M. L., & Caffery, L. J. 2019. The breakeven point for implementing telehealth. https://doi.org/10.1177/1357633X19871403 (24) BUSINESS TIMES. 2021. Healthtech startup stays focused on the mission. https://www.businesstimes.com.sg/hub/green-business/staying-focused-on-the-mission (25) McKinsey. 2021. Telehealth: A quarter-trillion-dollar post-COVID-19 reality?. https://www.mckinsey.com/industries/healthcare-systems-and-services/our-insights/telehealth-a-quarter-trillion-dollar-post-covid-19-reality. (26) Vikram Kapur and Alex Boulton. 2020. Covid-19 Accelerates the Adoption of Telemedicine in Asia-Pacific Countries. https://www.bain.com/insights/covid-19-accelerates-the-adoption-of-telemedicine-in-asia-pacific-countries/ (27) The Jakarta Post. 2021. Potential and challenges of telemedicine in Indonesia - Business. http://www.thejakartapost.com/news/2021/09/07/potential-and-challenges-of-telemedicine-in-indonesia.html (28) Cekindo. 2021. Indonesia Healthcare Market Goes Digital. https://www.cekindo.com/blog/indonesia-healthcare-digital (29) BBC. 2022. "Good enough" simply isn’t good enough. https://www.bbc.com/storyworks/good-enough-will-never-change-the-world/good-enough-simply-is-not-good-enough (30) Republic of Indonesia. 2021. Annexes Indonesia’s Voluntary National Review . https://sdgs.bappenas.go.id/laporan-voluntary-national-review-vnr-indonesia-2021/ (31) MNC Sekuritas. 2021. INITIATE REPORT. https://www.mncsekuritas.id/po-content/po-upload/Research/Company_Update/2021/MNCS_Initiate_Report_-_PRDA_(220721).pdf (32) Deloitte Indonesia. 2019. 21st Century Health Care Challenges: A Connected Health Approach. https://www2.deloitte.com/id/en/pages/life-sciences-and-healthcare/articles/ehealth-publication-Indonesia.html (33) JAKARTA GLOBE. 2021. Please, Stay at Home: Indonesia Turns to Telemedicine as New Cases Rise to 3rd Highest in the World. https://jakartaglobe.id/news/please-stay-at-home-indonesia-turns-to-telemedicine-as-new-cases-rise-to-3rd-highest-in-the-world (34) Pringsewu Regency. 2021. ASISTEN I SETDAKAB PRINGSEWU IKUTI WEBINAR OPTIMALISASI PENGGUNAAN DAK SEBAGAI STRATEGI PENURUNAN AKI, AKB, DAN STUNTING. https://pringsewukab.go.id/detailpost/asisten-i-setdakab-pringsewu-ikuti-webinar-optimalisasi-penggunaan-dak-sebagai-strategi-penurunan-aki-akb-dan-stunting (35) ASOSIASI ASURANSI JIWA INDONESIA. 2021. AAJI Daily News - 16 September 2021. https://aaji.or.id/Berita/aaji-daily-news---16-september-2021#:~:text=Berdasarkan%20data%20Otoritas%20Jasa%20Keuangan,yang%20mencapai%202%2C92%25. (36) PRIMUS DORIMULU. 2019. Health Minister Vows to Fast-Track Private Hospital Permits. https://jakartaglobe.id/business/health-minister-vows-to-fasttrack-private-hospital-permits (37) Ministry of Health. 2017. Layanan Telemedis yang disediakan. https://temenin.kemkes.go.id/layanan_medis/ (38) Republic of Indonesia. 2017. Kepmenkes No. HK.01.07/MENKES/650/2017. http://hukor.kemkes.go.id/uploads/produk_hukum/KMK_No._HK_.01_.07-MENKES-650-2017_ttg_Rumah_Sakit_dan_Puskesmas_Uji_Coba_Program_Telemedicine_.pdf (39) Republic of Indonesia. 2022. APBN 2022. https://www.kemenkeu.go.id/media/18316/advertorial-rapbn-2022.pdf (40) Republic of Indonesia. 2015. Minister of Health Regulation No. 90/2015. https://peraturan.bpk.go.id/Home/Details/116606/permenkes-no-90-tahun-2015 (41) Republic of Indonesia. 2019. Minister of Health Regulation 20/2019. https://peraturan.bpk.go.id/Home/Details/138613/permenkes-no-20-tahun-2019