Photo Credit: Daria Nipot
The healthcare industry faces challenges in its attempts to meet the needs of patients who value customer service, choice, value, and quality.
The “Amazon Generation,” which represents individuals who have grown up in the era of digital convenience and on-demand services, has and will continue to profoundly impact healthcare in several ways. This generation often values and promotes the principles of consumerism, customer service, choice, value, and quality. Yet do these principles neatly apply to a complicated, nuanced, and sometimes emotionally charged industry such as healthcare?
Healthcare, often considered a service industry, faces challenges and barriers that distinguish it from conventional markets, which can create shifts and tension with the Amazon Generation. Unlike typical service sectors where market pressures and consumerism play pivotal roles, healthcare grapples with unique complexities that stem from the nature of its services, ethical considerations, and the critical importance of patient well-being.
A primary challenge in healthcare lies in the asymmetry of information between physicians and patients. Unlike other service industries where consumers can make informed choices based on readily available information, healthcare often involves intricate medical knowledge beyond the average person’s understanding or requires extensive experiences and understanding of how medical knowledge applies to a specific individual or situation. This lack of knowledge and expertise hinders the ability of individuals to shop around for services and make truly informed decisions about their health.
Furthermore, the urgency and unpredictability of healthcare needs, particularly in emergency settings, limit the application of market pressures. In emergencies, individuals do not have the luxury of time to shop for the best deals or consider alternative options. The critical nature of healthcare services, where timely intervention can be a matter of life and death, diverges from the traditional market dynamics that rely on competitive choices.
Applying Market Principles Must Overcome Complex Barriers
Insurance networks further complicate the application of market principles in healthcare. Many individuals find themselves restricted to narrow networks that limit their choice of healthcare providers. This lack of flexibility can lead to challenges in accessing specialized care or receiving services from preferred providers, thus undermining the consumer-centric model seen in other service industries.
The cost structure of healthcare is often shrouded, which poses another barrier. Unlike markets with pricing transparency, healthcare costs can be hidden, convoluted, and impossible to discern. Patients may face unexpected bills, and the lack of price competition can perpetuate high healthcare expenses. This lack of cost transparency undermines the principles of market-driven consumerism, where individuals are empowered to make choices based on price and quality.
Moreover, the ethical dimensions inherent in healthcare introduce a layer of complexity not encountered in typical service industries. Healthcare providers primarily focus on patient welfare and adherence to ethical standards, which may, at times, conflict with market-driven incentives. The obligation to prioritize the patient’s best interests may diverge from profit-oriented motives that dominate many service sectors.
Finding New Ways to Deliver Care
Many younger individuals now prioritize personalized, patient-centered, user-friendly, streamlined, tech–enabled, convenient care and sometimes with a specific diagnosis and treatment in mind before they interact with the health care system. Many of the complexities of traditional healthcare delivery, articulated above, are at odds with many of the on-demand services expected by the “Amazon Generation.”
That being said, this generation and the rise of consumerism push the healthcare industry to adopt new ways of delivering care. Some of these changes may improve the patchwork and dysfunctional healthcare system in the United States. The demand for information accessibility and health portability forces data exchange services and healthcare systems to collaborate in new ways. Price transparency is getting the attention of many in the health policy world with ongoing work to avoid surprising billing and help patients understand costs before they go to the doctor.
Wearable technology and artificial intelligence(AI) allow doctors to make better data-driven decisions and avoid human error, but it should be noted that AI will not provide the empathetic and personal care that many patients have come to expect. Empowerment and experience may help engage patients in healthcare decisions and improve medication adherence or lifestyle choices that reduce or avoid health problems.
Consumerism has contributed to a shift towards value-based care, which emphasizes delivering high-quality care and positive outcomes. Patients may be more likely to seek doctors who offer value in terms of both effectiveness and patient experience. Doctors and healthcare systems are compelled to enhance the quality of their services, adopt best practices, and differentiate themselves to attract and retain patients in a more competitive environment.
Several aspects of consumerism of the Amazon Generation may create new challenges or problems. Limited understanding of medical information may lead to misinterpretation of treatment options, potential non-compliance, suboptimal health outcomes, and wasted or low-value care.
Drawbacks of Consumer-Driven Care
Individuals with limited financial means or access to resources may face challenges in fully participating in consumer-centric models, widening the gap in healthcare outcomes between different socioeconomic groups. In addition, healthcare systems and doctors may compromise patient care by prioritizing services that generate revenue over those that are evidence-based or medically necessary. While collecting and storing sensitive health information may expose individuals to privacy breaches and unauthorized access.
Consumerism may contribute to the overutilization of healthcare services, driven by patient demand for unnecessary tests, treatments, or interventions. Without proper medical expertise, this can result in misinterpretation of symptoms, delays in seeking appropriate care, and potential health risks. A consumer-centric approach, with multiple points of contact with various care delivery models, may contribute to fragmented care coordination and increase risk.
Perhaps most concerning, increased patient demand, expectations, and emphasis on consumer satisfaction can contribute to stress and burnout among healthcare professionals, resulting in fewer doctors. Managing patient expectations while maintaining clinical excellence creates additional challenges, potentially affecting a physician’s well-being, job satisfaction, and bottom line.
Unlike typical service sectors where market pressures and consumerism play a pivotal role, healthcare grapples with unique complexities that stem from the nature of its services, ethical considerations, and the critical importance of patient and physician well-being. While the Amazon Generation brings positive aspects by empowering patients and fostering competition, it also raises challenges. Striking a balance between consumer empowerment and maintaining the integrity of healthcare delivery remains a key consideration for the evolving healthcare landscape.