Self pay: A new opportunity for weight loss
We live in an increasingly obesogenic environment, making it harder for individuals to avoid unhealthy lifestyle choices. Defined as having a BMI (Body Mass Index) greater than 30, obesity is considered one of the greatest public health challenges of the 21st century. In the year 2020, 62.8% of adults were overweight or obese. (Source: Gov.uk).
The prevalence of obesity has tripled in many countries since the 1980s. You’d think that something would have been done by now to reduce this considerable cost on society, right? However, the economic costs of obesity are astounding, costing £27 billion to the wider society. In 2015, the NHS reported spending an estimated £6.1 billion on obesity related ill-health, this is more than funding spent on police, fire service and judicial system combined.
Self pay has become an increasingly large part of the private healthcare market. 1 in 10 (10%) of those with a BMI of 30+ would consider getting treatment through an online private consultation with a doctor. This is a similar proportion of those who would consider getting a private consultation in person (13%). 51% of this cohort would consider seeing a doctor through the NHS.
Is this an opportunity for private providers?
We conducted research into weight loss and found that a significant number of people feel uncomfortable with their weight. Whilst 23% claim they are happy with their weight, 42% claim they are uncomfortable. This increases amongst those with a BMI over 30, where 67% claim they feel uncomfortable or very uncomfortable with their weight.
Source: Rare Consulting. UK adults 18+ years old. Data collected 18th - 28th June 2021 (N=819). Q5 - How do you feel about your weight currently? (N=819).
Source: Rare Consulting. UK adults 18+ years old. Data collected 18th - 28th June 2021 (N=819). Q5 - How do you feel about your weight currently? Those uncomfortable with their weight (N=261).
We conducted a recent patient consultation poll that found 10% of those with a BMI of 30+ would consider getting treatment through an online private consultation with a doctor. This is a similar proportion of those who would consider getting a private consultation in person (13%). 51% of this cohort would consider seeing a doctor through the NHS. In the wake of the Covid-19 pandemic, private healthcare providers have found a new opportunity to attract business interest from digital services, such as online GP services. These providers are making private care more accessible to people who may have never considered it before through initial online consultations.
Our research into self pay healthcare and obesity found that there is an opportunity for self pay, 40% of consumers would consider self-pay either as a one off payment (18%), or in instalments (22%) to a private company/individual. Financing options allows patients to spread the cost of treatment rather than paying a lump sum, this can increase the likelihood of becoming a repeat customer due to flexibility.
Demand from insured patients is expected to remain slow for the foreseeable future. Professionals within the industry believe self-pay is on the rise, it has been found that 52% of people expect the self-pay market to grow by 10-15% in the next three years despite economic uncertainty created by Covid-19 and Brexit.
What is driving self pay in weight loss?
What if you've just found out you're ill and don't have a healthcare policy - why go private? Traditionally, avoiding the NHS waiting list appears to be the top reason for going private. If a patient is referred for a physical health condition, they have the legal right to start non-urgent consultant-led treatment or be seen by a specialist within maximum waiting times. The NHS target is currently 18 weeks between referral and treatment but has recently increased due to the Covid-19 pandemic.
NHS vs Private
The NHS faces challenges in restarting elective treatment after the market normalises post-pandemic.
Private healthcare wait times will reduce further once the NHS fully resumes elective treatment.
Providers reported annual growth of 15% to 25% in the number of patients without health insurance who are using loan finance to fund private operations.
The coronavirus pandemic has created few opportunities to spend on discretionary items such as holidays and leisure, patients are discovering that paying for treatment is now affordable and accessible.
Private care is becoming more accessible to people through digital services such as online GP consultations.
Treatments need to be functional on the NHS and not cosmetic or for aesthetic purposes.
Rare: investigated consumers who recognised the multifaceted nature of weight loss. The majority of people see a role for diet (55%) and exercise (60%) as a means to achieve weight loss, if required. 12% would consider getting medicated weight loss, if they were to require it. This is highest amongst those with BMI over 30, where 1 in 5 (19%) would consider this as a course of action. Popular private healthcare providers in the UK such as Spire Healthcare and Transform offer a range of obesity surgery procedures including gastric banding, gastric bypass and gastric balloon insertion. These weight loss treatments help patients put weight loss procedures within reach with flexible payment options.
Final Thoughts
Although self pay is becoming increasingly popular as a means to access treatment for obesity and weight loss, there are other options available, these include; private healthcare insurance, NHS, holistic treatments looking at diet and exercise such as through personal training, as well as through medical aesthetics. With experience in the healthcare market from medical aesthetics to chronic health conditions, investigating Key Opinion Leaders and private healthcare practices, Rare: Consulting can apply a tailored approach to research in this market.
