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Published on: Nov 06, 2021
2 minute read
By: Second Medic Expert

What Is Value-based Care?

Value-based care is a payment system that incentivizes quality and cost outcomes, rather than merely rewarding procedures or volume of care. Value-based care emphasizes patient health outcomes over speed and quantity of services, with incentives to improve both the value and the economics of healthcare delivery.

Value-Based Care (VBC) is an American healthcare payment model in which hospitals, doctors, and other providers are paid based on patient care quality metrics. Value-based care has five core components to create successful systems that serve patients better at a lower cost. First, it includes increasing accessibility of information about the costs and quality of treatment options through an easy-to-navigate "medical marketplace." Second, providers are reimbursed for wellness work critical for detecting disease earlier in its course when treatment often works best -- so long as they accept shared accountability in achieving outcomes. Value-based care shifts incentives on payment from volume to value. Value is the metric on which you are graded, not volume.

Value-based care is "an approach to health care that emphasizes measurable outcomes, coordinated care, and shared accountability." The idea is that the cost of healthcare should reflect the value it provides.

Value-based care includes incentivizing patients via alternative payment models (APMs) to influence behaviors that lead to patient outcomes. The incentives are not provided directly for the desired behavior but instead are designed to promote the best possible outcomes, which then drives financial savings for all parties involved.

Value-based care or “shared risk” arrangements between healthcare providers have been shown to be much more cost-effective than traditional fee-for-service approaches because they shift some of the financial risks onto providers and away from consumers. Many providers are now seeing value in adopting these new contracts as many stakeholders prefer its approach of shared responsibility for addressing higher costs before passing on the burden along with a downline supplier chain. Value-based care is a method that fuses health care with economics to optimize measurable clinical and economic outcomes while supporting the patient's goals.

Value-based healthcare generates increased value while decreasing costs, an updated approach using a broader set of quality and cost metrics to manage health care decisions. Physicians are compensated not just for providing or ordering a service, but rather on providing improved health outcomes.

Value-based care is the new science behind healthcare. It's about measuring outcomes, not procedures. And it's more than just following guidelines or cutting costs-it means substantially improving quality and lowering cost for about 30% of the population who are both out of control on cost, and “out of care” because they're high risk (the disabled, sick young adults). VBC requires systematic redefinition of patients' goals for care; broader use of cheaper treatments; using results to do what has never been done before--measurement; looking at four major objectives; reducing cost without reducing quality (e.g., by prevention); streamlining delivery through primary rather than specialized providers; making prevention one objective.

Value-Based Care is a strategy that incentivizes healthcare providers to provide the best care possible while reducing unnecessary and costly treatments. Under traditional fee-for-service models, providers get paid for each test they perform and every procedure they perform -- so their incentives are not focused on delivering the most appropriate treatment at the right time. Under value-based care, providers get paid if their patients' health improves - no matter whether hospitals, doctors' offices, or other settings where patients receive care.

Value-Based Care has been proven to reduce readmissions and eliminate unnecessary hospitalizations by 15%. It also reduces costs by 20?cause it's all about targeting what really matters -- service delivery with measurable outcomes for consumers of healthcare services.

Value-based care is a model of healthcare payment in which a clinician does not get paid for the number or type of procedures performed, but rather based on how well they manage a patients' disease. The goal is to incentivize excellent, high-value care by rewarding quality and eliminating insurers' financial incentives to encourage overtesting and overtreatment.

Value-based care is a new term that can be seen as a version of population health management. Value-based care aims to align the incentives of providers and payers with those who bear the most cost from healthcare, which traditionally have been patients. In other words, value-based care is designed for high-level profit by encouraging preventive practices and sharing resources with community members. The goal is to make a profit off a healthy person rather than unhealthy people seeking treatment for medical emergencies.

It's very much related to prevention and seeks not to reward investments in unnecessary treatments but instead reward solid preventative health practices like diet, exercise, etc.

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Digital Pharmacy Platforms India: How SecondMedic Is Transforming Medicine Access Through Technology

India’s healthcare system is rapidly digitizing, and one of the most impactful innovations is the rise of digital pharmacy platforms. These platforms make it easier for people to order medicines online, manage prescriptions, and access healthcare services without visiting a physical store.

As chronic diseases, online consultations, and digital health records become more common, digital pharmacy solutions are now a vital part of India's healthcare infrastructure. SecondMedic plays a key role in this evolution by providing secure, fast, and integrated digital pharmacy services.

What Are Digital Pharmacy Platforms?

Digital pharmacy platforms are online systems that allow users to:

Order prescription medicines
Upload or sync digital prescriptions
Schedule refills
Purchase OTC products
Track orders
Access pharmacist support

Instead of visiting a traditional pharmacy, users can manage medication needs from anywhere in India.

Why Digital Pharmacies Matter in India

India sees high demand for medicines due to:

Rising chronic diseases
Aging population
Urban mobility challenges
Increasing telemedicine adoption
Growing digital health awareness

Digital pharmacies bridge the gap between medical consultation and medication access.

Key Benefits of Digital Pharmacy Platforms

1. Convenience and Accessibility

Patients can order medicines anytime, especially helpful for elderly individuals or those living in remote areas.

2. Time and Cost Savings

Digital ordering eliminates long queues, multiple store visits, and pricing uncertainties.

3. Verified, Authentic Medicines

Reputed platforms ensure drugs come from licensed pharmacies with full batch traceability.

4. E-Prescription Integration

Digital prescriptions reduce manual errors and support seamless ordering.

5. Chronic Disease Medication Management

Automated refill reminders and scheduled deliveries help maintain treatment consistency.

6. Privacy and Discretion

Useful for sensitive medication categories where users may prefer confidential ordering.

The Growing Digital Pharmacy Market in India

According to Statista 2025:

The Indian e-pharmacy market is expected to reach USD 10 billion by 2027.
Nearly 35 percent of urban households now use digital pharmacy services.
Chronic disease patients are the largest user segment.

Government initiatives like ABDM also promote secure and standardized digital prescriptions.

SecondMedic’s Digital Pharmacy Ecosystem

SecondMedic integrates pharmacy services seamlessly within its broader digital health platform.

1. Online Medicine Ordering

Users can order medicines directly through the SecondMedic app or website.

2. E-Prescription Sync

Prescriptions from SecondMedic doctors sync automatically, reducing errors and delays.

3. Verified Inventory

All medicines are sourced from certified pharmacies with temperature-controlled storage and valid expiry cycles.

4. Chronic Care Refill System

For diabetes, hypertension, thyroid disorders, and cardiac conditions, patients can schedule monthly refills.

5. Real-Time Tracking

Users get live updates on order status, dispatch, and delivery.

6. Secure Payment Gateway

Digital payments are supported through encrypted channels, ensuring safety and transparency.

7. Integration with Medical Consultations

After virtual consultations, prescribed medicines can be ordered instantly on the same platform.

How Digital Pharmacy Platforms Support Telemedicine

Telemedicine has become a cornerstone of modern healthcare. Digital pharmacies complement this by:

Enabling immediate access to prescribed medicines
Ensuring continuity of care
Reducing patient dependency on physical pharmacies
Streamlining doctor-to-pharmacy communication

Together, they create an efficient, patient-centered care loop.

Challenges in India’s Pharmacy System and How Digital Platforms Solve Them

1. Fragmented Pharmaceutical Distribution

Digital systems bring transparency and accountability.

2. Prescription Mismanagement

E-prescriptions minimize errors and duplication.

3. Limited Accessibility in Rural Areas

Digital ordering delivers medicines directly to underserved regions.

4. Inconsistent Medicine Availability

Real-time inventory ensures availability and alternatives.

5. Lack of Patient Awareness

Digital platforms offer information on dosage, interactions, and side effects.

Regulatory Framework for Digital Pharmacies in India

To ensure safety and compliance, digital pharmacies follow:

Drugs and Cosmetics Act (1940)
Pharmacy Practice Regulations
ABDM standards for digital prescriptions
DPDP Act for data security
CDSCO guidelines for online pharmacies

SecondMedic maintains full compliance with regulatory requirements.

Future of Digital Pharmacy in India

The sector is expected to grow due to:

AI-based medicine recommendations
Smart refill systems
Blockchain for supply chain verification
Automated pharmacy logistics
Drone-based delivery pilots in some states

SecondMedic is actively building tools to support next-generation pharmacy automation and integrated digital care.

Why Patients Trust SecondMedic’s Pharmacy System

Authentic and verified medicines
Transparent pricing and secure payments
Direct connection with healthcare consultations
Support for chronic care medication
Nationwide delivery capability
User-friendly ordering process
Compliance with all digital health safety standards

SecondMedic brings reliability, convenience, and safety under one unified digital healthcare platform.

Conclusion

Digital pharmacy platforms are redefining how India accesses medicines. They improve convenience, enhance safety, support telemedicine, and empower patients to manage chronic conditions more effectively. SecondMedic’s digital pharmacy provides an integrated solution that combines e-prescriptions, secure ordering, and nationwide delivery to simplify healthcare access.

To order medicines or explore digital pharmacy services, visit www.secondmedic.com

References

Statista – India E-Pharmacy Market Outlook 2025
IMARC Group – Digital Healthcare Market India 2025
NITI Aayog – Digital Health Tech Landscape 2024
ABDM – Digital Prescription Guidelines
FICCI – Healthcare Innovation Report 2024

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