Indian Aesthetic (Cosmetic Surgery) Industry: A Primer

Indian Aesthetic (Cosmetic Surgery) Industry: A Primer

Cosmetic surgery has been practiced in India for a long time but this branch of plastic surgery gained considerable importance and popularity in the last 10-12 years. There has been a notable surge in the Indian cosmetic or aesthetic surgery during the past five years mainly because of the increasing demand for aesthetic procedures from people in the urban cities of Mumbai, Delhi, Kolkata, Chennai, Bangalore, Pune and Chandigarh.

Cosmetic surgeries were associated with celebrities and people of the affluent class at a point of time, but today these surgeries are increasingly being taken by the burgeoning middle class whose demand for them is based on their needs. At present, more and more men and women from the upper middle class group are opting for cosmetic procedures to get attractive looks in order to grab lucrative jobs, best possible marriage partner and mainly get rid of any deformity that they feel impacts their self-confidence and self-esteem. Two of the major growth drivers of the Indian cosmetic industry among others are its affordability, which comes from the growing disposable income, and the consumer awareness resulting from the active efforts of the media - especially the print media.

This growing demand has had a positive impact on the Indian aesthetic or cosmetic surgery industry (that includes both invasive and non-invasive procedures), which registered a compound annual growth rate (CAGR) of 34% in terms of revenue generation in the period 2005-2007. The estimated size of the overall cosmetic surgery industry is worth US$110 million (approximately Rs. 460 crore) with the maximum revenue is contributed by invasive or surgical procedures as their costs are comparatively higher than the non-invasive procedures. However, the rate of growth and the overall number of non-invasive procedures done in a year remain higher when compared to invasive procedures.

The Indian aesthetic industry is still in its infancy and with the help of the active institutions in the same field, it needs to build on its image in order to attract more patients for cosmetic surgery. It is the individuals or the cosmetic surgeons who have over time worked persistently to create a name for themselves. An association of these surgeons with different institutions helps in positioning these institutions in the world of aesthetic surgery. Meanwhile, some of these cosmetic surgeons even operate their own independent clinics and provide aesthetic surgical facilities.

The top five surgeons in India in terms of their experience, expertise, and association with cosmetic surgery are Dr. Ashok Gupta, Dr. Lokesh Kumar, Dr. Rakesh Kalra, Dr. Manoj Khanna and Dr. Lakshyajeet Dhami. All of them have earned reputation for providing effective surgical operations, trainings and establishing aesthetic surgery departments in reputed hospitals or operating their own clinics.

Research Methodology

A study of the overall Indian aesthetic (cosmetic surgery) industry was conducted by consulting and interviewing aesthetic or cosmetic surgeons, the actual consumers who had received some sort of cosmetic surgical procedures and lastly the potential consumers, which include the people living in the urban cities who can afford the cost of cosmetic surgery.

To estimate the figures of different kinds of invasive and non-invasive procedures, aesthetic surgeons who are associated with the Indian Association of Aesthetic Plastic Surgeons (IAAPS) were consulted. In addition, the costs of different procedures were also estimated by taking an average cost of various cosmetic surgeries charged by different surgeons.

To study consumer behavior, the study conducted face-to-face interviews on a sample size of 100 patients who had actually undergone some kind of invasive or non-invasive cosmetic procedure. These patients had received treatment in cosmetic surgery clinics, hospitals and specialty clinics in four metropolitan cities – Mumbai, Delhi, Kolkata and Chennai and three urban cities – Pune, Bangalore and Chandigarh. Patients were selected randomly selected across the age and income group.

To estimate the potential of the industry, a telephonic survey was conducted for a sample size of 400 people across four metropolitan cities – Mumbai, Delhi, Kolkata, Chennai and three urban cities – Pune, Bangalore and Chandigarh. The sample consisted of males and females, people working in different industries, in different professions and belonging to different age and income groups. Advanced statistical tools like SPSS was used to analyze the data gathered through primary research.

Executive Summary

Section I: India Snapshot

1. Indian Economy: GDP Growth
Table 1: Indian economy vis-à-vis the global economy
Figure 1: India: GDP Growth in Percentage terms (2002 – 2007)

2. Per Capita Income and Consumption
Figure 2: India: Per Capital Income and Growth (2002 – 2007)
Figure 3: India: Per Capital Consumption and Growth (2002 – 2007)

3. Population and Disposable Income
Figure 4: Global Population (Percentage break-up)
Table 2: Indian States: Population and Per Capita Income
Table 3: India: Top 15 cities by population

4. Number of Millionaires
Figure 5: India: Number of Millionaires

5. Tourist Arrivals
Figure 6: India: Receipts from international tourists (2002-2007)
Figure 7: India: International tourist arrivals (2002-2007)

Section II: Aesthetic Industry: Definition and Segmentation

1. Plastic Surgery
2. Cosmetic Surgery
2.1 Invasive Aesthetic Procedures
2.2 Non-Invasive Aesthetic Procedures

Section III: Global Aesthetic Industry: Size and Growth

1. Global Aesthetic Industry: Market Size and Growth
Figure 1: Size of aesthetic industry – Leading countries: 2006
Figure 2: Global sales of Botox (cosmetic usage): 2003-2010

2. US Aesthetic Industry

2.1 Market Size and Growth
Figure 3: US Cosmetic Surgery: Market Size (Value): 2003-2007
Figure 4: US Cosmetic Surgery: Number of procedures: 2003-2007
Figure 5: US Cosmetic Surgery: Surgical vs Non-Surgical: 2007
Figure 6: US Cosmetic Surgery Market - Leading Cosmetic Surgeries: 2007
Figure 7: US Cosmetic Surgical Procedures – Most popular: 2003 vs 2007
Figure 8: US Cosmetic Surgery Market – Leading Non-Invasive Procedures: 2007
Figure 9: US Cosmetic Surgery Market: Leading Invasive Procedures – Women: 2007
Figure 10: US Cosmetic Surgery Market – Leading Invasive Procedures for Men: 2007
Figure 11: US Cosmetic Surgery –Average cost of invasive aesthetic surgery: 2007
Figure 12: US Cosmetic Surgery – Average cost of non-invasive aesthetic surgery: 2007

2.2 Growth Drivers
Demand from aging baby boomer population
Figure 13: Figure: US population greater than 45 years old (% terms)
Growing consumer awareness with reality shows
Easy financing options
Reduction in costs and physicians’ inclination for ancillary source of income
High growth of anti-aging market

2.3 Market Trends
Non-invasive growing faster than invasive procedures
Increased entry of physicians in non-surgical cosmetic procedures
Teenagers and mid-age people hold more potential
Growth in aesthetic procedures spurs medical device market
Conversion from saline to silicone technology in breast aesthetics market
Figure 14: Proportion of silicon and saline implants: 2005-2010
Consolidation in the aesthetics procedure market

2.4 Market Potential

3. UK Aesthetic Industry

3.1 Market Size and Growth
Figure 15: UK Cosmetic Surgery: Market Size (Value): 2003-2007
Figure 16: UK Cosmetic Surgery – Number of procedures: 2003-2007
Figure 17: UK Cosmetic Surgery: Break-up of surgical vs Non-Surgical Procedures: 2007
Figure 18: UK Cosmetic Surgery Market - Leading Invasive Cosmetic Surgeries: 2007
Figure 19: UK Cosmetic Surgical Procedures – Most popular: 2004 vs 2007
Figure 20: UK Cosmetic Surgery Market –Average cost of invasive aesthetic surgery: 2007
Figure 21: UK Cosmetic Surgery Market: Top 5 surgical procedures for women – 2007
Figure 22: UK Cosmetic Surgery Market: Top 5 surgical procedures for Men – 2007

3.2 Market Potential

Section IV: Indian Aesthetic (cosmetic Surgery) Industry: Structure, Function, Size and Growth

1. Structure of the Indian Aesthetic Industry
Figure 1: Structure of the Indian Aesthetic Industry

2. Functional Structure of Aesthetic Surgeons in India

3. Penetration: Increasing entry of Plastic Surgeons
Figure 2: Comparative Penetration of Cosmetic Surgery (Invasive and Non-Invasive): 2007

4. Indian Aesthetic Industry: Size and Growth
Figure 3: Percentage break-up of invasive and non-invasive procedures (Volume): 2007
Figure 4: Percentage break-up of invasive and non-invasive procedures (Value): 2007
Figure 5: Indian Aesthetic Industry: Growth in Revenues: 2005-2007

Section V: Indian Invasive Aesthetic (Cosmetic Surgery) Market

1. Growth of Invasive Aesthetic Market (Volume)
Figure 1: Total number of invasive procedures: 2005-2007
Figure 2: Invasive Surgeries: Percentage Break-up of Procedures by Segment: 2007

2. Growth of Invasive Aesthetic Market (Value)
Figure 3: Total value of invasive procedures: 2005-2007
Figure 4: Invasive Surgeries: Percentage Break-up of Procedures by Segment (Value): 2007
Figure 5: Invasive Aesthetic Procedures: Percentage of Men vs. Women: 2007
Figure 6: Invasive Aesthetic Procedures: Average Cost of Procedures: 2007

3. Invasive Surgeries: Revenue by Channels
Figure 7: Percentage Break-up of Aesthetic Procedures by Set-up: Hospitals and Clinics

4. Invasive Cosmetic Procedures: Segment Analysis
4.1 Liposuction
Figure 8: Number of liposuction procedures: 2005-2007
Figure 9: Value of liposuction procedures: 2005-2007

4.2 Breast Augmentation
Figure 10: Number of breast augmentation procedures: 2005-2007
Figure 11: Value of breast augmentation procedures: 2005-2007

4.3 Rhinoplasty
Figure 12: Number of rhinoplasty procedures: 2005-2007
Figure 13: Value of rhinoplasty procedures: 2005-2007

4.4 Hair Transplantation
Figure 14: Number of hair transplant procedures: 2005-2007
Figure 15: Value of hair transplant procedures: 2005-2007

4.5 Aabdominoplasty (Tummy tuck)
Figure 16: Number of abdominoplasty procedures: 2005-2007
Figure 17: Value of abdominoplasty procedures: 2005-2007

4.6 Gynecomastia
Figure 18: Number of gynecomastia procedures: 2005-2007
Figure 19: Value of gynecomastia procedures: 2005-2007

4.7 Blepharoplasty
Figure 20: Number of blepharoplasty procedures: 2005-2007
Figure 21: Value of blepharoplasty procedures: 2005-2007

4.8 Breast Reduction
Figure 22: Number of breast reduction procedures: 2005-2007
Figure 23: Value of breast reduction procedures: 2005-2007

4.9 Facelift
Figure 24: Number of facelift procedures: 2005-2007
Figure 25: Value of facelift procedures: 2005-2007

Section VI: Indian Non-Invasive Aesthetic (Cosmetic Surgery) Market

1. Structure of Non-Surgical Aesthetic Market
Figure 1: Structure of Indian Non-Invasive Aesthetic Industry

2. Non-Surgical Aesthetic Market: Size and Growth
Figure 2: Non-invasive Cosmetic Industry Growth (Value): 2005 – 2007
Figure 3: Revenue Break-up: Non-invasive Cosmetic Procedures (Value): 2007
Figure 4: Non-invasive Aesthetic Market: Revenue by Procedures: 2007
Figure 5: Non-invasive Aesthetic Market: Number of Procedures: 2007
Figure 6: Non-invasive Aesthetic Procedures: Percentage of Women vs. Men: 2007
Figure 7: Non-invasive Aesthetic Procedures: Average Cost of Procedures: 2007

3. Non-Invasive Surgeries: Revenue by Channels
Figure 8: Indian Non-Invasive Surgical Market – Percentage Revenues by Channels: 2007

4. Non-Invasive Cosmetic Procedures: Segment Analysis

4.1 Botox
Figure 9: Indian Botox Market: Number of Procedures: 2005-2007 Figure 10: Indian Botox Market – Revenues: 2005-2007 4.2. Dermal Fillers
4.2.1 Hyaluronic acid (HA)
4.2.2 Collagen
4.3 Skin Resurfacing
4.3.1 Chemical Peels
4.3.2 Micro-dermabrasion
4.3.3 Laser skin resurfacing

5. Other Non-surgical aesthetic procedures

Section VII: Consumer Behavior: Study of Actual Patients – Survey Findings

Figure 1: Time lag – Realizing the need and opting for the treatment
Figure 2: Reasons for not going ahead with this treatment earlier
Figure 3: Most popular media for cosmetic procedures
Figure 4: Sources of information approached for pre-research
Figure 5: Treatments opted before going for cosmetic procedure
Figure 6: Reasons for opting cosmetic procedure
Figure 7: Reasons for opting any specific clinic/hospital
Figure 8: Who paid for the cosmetic procedure?
Figure 9: Cost of the cosmetic procedure – High, Low or Affordable?
Figure 10: Satisfaction with the cosmetic procedure?
Figure 11: Opting for any other cosmetic procedure?
Figure 12: People who have opted for cosmetic surgery – By age group
Figure 13: People who have opted for cosmetic surgery – By income group

Section VIII: Indian Aesthetic Industry: Market Trends

Increasing influx of foreign patients
Teenagers – Growing consumers of cosmetic surgery
Hymenoplasty – also getting popular
Training in cosmetic surgery - Need for organized program
Trend of multiple cosmetic surgery procedures low, but growing

Section IX: Indian Aesthetic Industry: SWOT Analysis

Section X: Market Potential: Study of Prospective Consumers – Survey Findings

Figure 1: Awareness about cosmetic surgery
Figure 2: Will cosmetic surgery help boost self confidence?
Figure 3: Cosmetic surgery – Ethical or Unethical
Figure 4: Discussing cosmetic surgery with family & friends – Comfortable or not
Figure 5: Features you would like to change in yourself – Survey findings
Figure 6: Treatment opted for skin related problems – Survey findings
Figure 7: Concerns– cost, side-effects and repeated treatment
Figure 8: Reasons for which people might opt for cosmetic surgery
Figure 9: Preferred location for getting cosmetic surgery treatment
Figure 10: People who might opt for cosmetic surgery – By age group
Figure 11: People who might opt for cosmetic surgery – By income group

Section XI: Indian Aesthetic Industry: Market Forecast

1. India: Economic Growth Forecast
Figure 1: India: GDP Growth Forecast in Percentage terms (2008 – 2009)

2. Favorable demographics and emergence of young working class

3. Growth in medical tourism
Figure 2: India: Medical Tourism Growth Forecast

4. Indian Cosmetic Surgery Market - Growth Forecast
Figure 3: India: Cosmetic Surgery Growth Forecast: 2008-2020

Section XII: Leading Indian Aesthetic Surgery Clinics and Hospitals

1. Leading Indian Non-Invasive Aesthetic Clinics
1.1 Kaya Skin Clinic (Marico Industries)
1.2 Vandana Luthra's Care Centre (VLCC)

2. Leading Indian Invasive Aesthetic Clinics/Hospitals

2.1 Department of Plastic & Cosmetic Surgery (Sir Ganga Ram Hospital)

2.2 Department of Plastic & Reconstructive Surgery (Indraprastha Apollo Hospital)

2.3 Institute Plastic, Aesthetic & Laser Surgery (Dr. Ashok Gupta)
2.3.1 Surgeon profile
2.3.2 Number of invasive aesthetic procedures: 2006 & 2007
2.3.3 Number of non-invasive aesthetic procedures: 2006 & 2007

2.4 Ashirwad Hospital (Dr. Rakesh Kalra)
2.4.1 Surgeon Profile
2.4.2 Number of invasive aesthetic procedures: 2006 & 2007
2.4.3 Number of non-invasive aesthetic procedures: 2006 & 2007

2.5 Delhi Aesthetic Clinic (Dr. Lokesh Kumar)
2.5.1 Surgeon Profile
2.5.2 Number of invasive aesthetic procedures: 2006 & 2007
2.5.3 Number of non-invasive aesthetic procedures: 2006 & 2007

2.6 Cosmetic Surgery Clinic (Dr. Manoj Khanna)
2.6.1 Surgeon Profile
2.6.2 Number of invasive aesthetic procedures: 2006 & 2007
2.6.3 Number of non-invasive aesthetic procedures: 2006 & 2007

2.7 Vasudhan Arjin Cosmetic Laser Centre (Dr. Lakshyajeet Dhami)
2.7.1 Surgeon profile
2.7.2 Number of invasive aesthetic procedures: 2006 & 2007
2.7.3 Number of non-invasive aesthetic procedures: 2006 & 2007

Section XIII: Aesthetic Surgery: Industry Associations

Section XIV: Exclusive Interviews: Leading Surgeons
1. Dr. Rakesh Kalra
2. Dr. Ashok Gupta
3. Dr. Lokesh Kumar
4. Dr. Lakshyajeet Dhami
5. Dr. Manoj Khanna

Section XV: Research Methodology