Venus Concept, a leading organization which have been providing global services in almost 60 countries from many years since its inception. Not only with its’ global presence but through its innovative ideas and a dedicated customer support service it has made a name for itself in the medical aesthetic technology. The transparency of the organization with the customers along-with the clients have been helpful in creating a momento of trust within the organization as well as in the highly-competitive market. Boasting of various highly experienced team members on the board have been helpful in creating a long-term vision of the company which have been clearly reflected in its’ revenues as well as the various programmes covered under the CSR (Corporate Social Responsibility) programmes.
In an exclusive interaction with The Policy Times, Managing Director Dr. Joy Shah talks about the various misconceptions, reforms, current effect of GST on the particular Medical Aesthetics Industry. Q. What is the size of aesthetic medical technology market and consumer base in India?
Ans:- As per report by Kenresearch and Marketsandmarket, the global Medical Aesthetic industry for non invasive devices is currently around US$10Billion plus and it’s growing at the rate of CAGR 10.8% , this means It’s expected to be US$13.6 Billion by year 2021.
Currently India is just in an infancy stage for the Medical Aesthetic Industry market with share of under 3% of the global market but it’s one of the most emerging market. Until 2014 the Indian Medical Aesthetic market was dominated by the Chinese and Korean makes and today with the revolutionary turnaround the Market for leading brands is increasing in India. It is expected that Indian Medical Aesthetic industry will grow at the rate of CAGR of 16 to 18% between in comparison of global CAGR of 10.8%. The unique subscription program of Venus Concept India, Direct presence of many of the brands in India, Economic revolution in India and infrastructural development of tire 2 Cities and rural areas will make very strong contribution to this revolutionary growth.
Q. What is growth potential you see for Venus Concept in India? Ans:-Venus Concept Started it operations in India in 2013 through its distribution network with sales of $0.0.5Million per year and in 2015 Venus India is established and in two years it has have achieved $2.5Million. Currently we are dominating in anti ageing and scar revision market and with the entry of our new product line. In the recent year for the Laser Hair Reduction our recent launch of Feminine Health and our near future launch for hair and obesity market will make us the quickest growing company not only in India but also in global markets. We are now also investing in infrastructure to cater even tire 3 and rural markets in india through our regional offices and our price strategy is consumer friendly, our services are unbeatable and we have succeeded to keep all our systems 100% efficiently working. All this factors will allow us to grow at growth rate of around 22 to 24% per year and we are expecting to touch double figures turnover by year 2022. Q. Do you see any competition or immediate other challenges to position and expand in India?
Ans:- I am leading Venus India to a sustainable development and we appreciate competition as it helps us to be always on toes. We have to be very focussed and alert as our competitors are also growing at a competitive rate and this is mainly due to the industrial revolution spurt which Indian Medical Aesthetic Industry is Expected it have in coming years. We have long term strategy and that very clear vision and we have infrastructure and competency to beat the competition.
Q. How do you see the recent macroeconomic reforms or changes of the current government will impact Venus business in India?
Ans.:- There are other challenges and especially the healthcare industry has misalignment which government needs to fix. Medical practice is out of the scope of GST and Medical Aesthetics are within the scope of GST. This raises a big time demand by medical professionals to companies
for absorbing GST. Also cosmetic surgeries and Medical aesthetic treatments are treated by government as Luxury and in reality 40% of the treatments are catering to middle class and needy patients from lower socio economical class of patients. We cannot classify them as luxury, rather they are as much essential as food and oxygen to us.
Second challenge is that Indian end consumers are yet not accustomed to digital payments for this type of treatments, specially the house wives and non working women in tire one and two cities. The last challenge which industry is facing today is that unlike beauty treatment, medical aesthetic treatment demands much more privacy and confidentiality and our current policy directly affects the respect of the individual. (For example, an invoice for a treatment like Venus Fiore treatment, exposes the privacy of an Indian women to auditing systems). Beauty is confidence and irrespective of socio-economical segregation, every one should have equal right to look beautiful and handsome.
Q. What policy reforms you would like to see in India for your industry?
Ans:- India needs core growth centric policy. Our measures to counter corruptions are yet not enough. If our national policy is 5% tax on every stage of business and no credits will lead to much higher acceptance by nation then the current system. The import duties on Medical Aesthetic devices is over 24% which needs to be brought down to 5%. This rate of 24.6% is a reason for poor services and non affordability of parts to physicians and distributors. Q.What reforms or policy changes you would like to suggest in Indian healthcare system especially when a large section of people do not have access to basic health care facilities?
Ans:- Simple Healthcare policy and Simple one tax structure. I think after contribution of 18% of GST, none of the other taxes are required. If the rate is brought down for healthcare and food to 5%, each and every one will pay this tax and it will be also affordable to lower socioeconomic people. Currently India is one of the Most expensive countries in the world.
Q.What is your plan to expand in India?
Ans:- We will be catering each state as one region for our operations and services. We are inviting healthcare partners to be strategic partners to Venus India and support our mission to reach up to the rural healthcare with equal efficiency and affordability as in metro and tire two cities. We are also coming up with our Corporate Social Responsibility drive to support Women Welfare in developing and tribal areas of India with initiation of vocational trainings in Medical Aesthetics.