- Openpay, first BNPL to enter the hospital segment of Healthcare vertical via partnership with St John of God Health Care, one of Australia’s largest Catholic providers of healthcare services
- First mover partnership between Openpay and 1st Group (who owns the MyHealth1st healthcare and PetYeti veterinary platforms) moves from initial roll out into full scale production, ahead of schedule, following excellent early outcomes for merchants and patients
Highly differentiated: these partnerships further demonstrate Openpay’s ability to service specialist requirements for a variety of healthcare partners, including large aggregators and hospitals, delivering higher-value plans to help patients split payments for important needs – like elective surgery – over longer terms.
Openpay enters hospitals via St John of God Health Care partnership
Openpay is the first BNPL to enter into the hospital segment of the Healthcare vertical via a partnership with St John of God Health Care, one of Australia’s largest Catholic providers of healthcare services, with hospitals in Victoria, New South Wales and Western Australia.
A six-month initial launch has now commenced at three St John of God Health Care hospitals, allowing patients to spread their hospital costs for elective surgery procedures across plans ranging from two to 12 months. The hospitals participating in the initial launch are St John of God Murdoch and Mt Lawley Hospitals in Perth and St John of God Berwick Hospital in south-east Melbourne. At the conclusion of the trial, both parties will decide if a full rollout should proceed.
St John of God Health Care’s Chief Operating Officer Hospitals, Bryan Pyne said St John of God Health Care strongly supports and encourages people to invest in private health insurance but recognised there are some that choose not to be covered by insurance and this represented an alternative for these individuals.
“There has always been a portion of patients who choose to self-fund their health care costs. Research conducted with these patients indicated an appetite for greater flexibility and availability of payment options, including the ability to smooth costs,” said Mr Pyne.
“This partnership expands choice for these individuals and will provide a flexible alternative to self-funding procedures while minimising the burden of a lump sum payment for the cohort of patients that elect not to take out private health insurance. It provides these patients with more options to access private health care when they want it, allows them to choose their doctor and hospital, and to avoid long delays in accessing specialist care,” he concluded.
Openpay CEO Michael Eidel further supported this natural extension in healthcare: “This agreement with St John of God Health Care positions Openpay as the first Australian BNPL provider to partner with a major private hospital group – it is a proud moment for us.
We have seen in other areas of healthcare how important it is to provide a flexible budgeting tool to enable patients to access the care they need at the time they need it. This partnership also provides patients the option to pay for elective surgery with the support of Openpay’s flexible plans. It is a natural extension of our work in areas such as optometry, dentistry and audiology, and it demonstrates our growing prominence in the healthcare vertical.”
This partnership expands choice for these individuals and will provide a flexible alternative to self-funding procedures while minimising the burden of a lump sum payment.
Bryan Pyne, St John of God Health Care’s Chief Operating Officer Hospitals
Excellent results from initial rollout with MyHealth1st.com.au drive the relationship to full scale, ahead of schedule
In June 2020, Openpay announced that it had signed a key strategic partnership and revenue share agreement with digital health group, 1st Group (ASX: 1ST). The partnership is built around creating a positive user experience for healthcare practices and their patients across every touchpoint of the patient experience from booking to payment. Together, the two companies help patients to find, book and pay for the care they need today with more time to pay via 1st Group’s MyHealth1st.com.au platform and Openpay.
Following excellent results generated for all parties during an initial launch period, where Openpay plans were made available at more than 60 participating dental and allied health practices, the partnership will now move to full scale, three months ahead of schedule. As part of the next phase, Openpay and 1st Group will offer plans to thousands more healthcare practices across the Openpay and 1st Group networks. In addition, the integration will be extended into 1st Group’s veterinary platform, PetYeti.
Openpay CEO Michael Eidel said: “Having worked with the 1st Group team for many months now, we have built a strong partnership and each party is deeply committed to delivering a positive experience for patients and merchants. We’ve seen excellent results from our initial work – patients have had the opportunity to spread payments across a longer term for important services and procedures, and practices have attracted more patients.
This partnership also highlights a core part of our strategy – the power of working with platform owners and aggregators to drive customer acquisition via a one-to-many approach. While Openpay was already arguably the leading BNPL provider in the Healthcare vertical, this relationship sees us offered at up to thousands more practices frequented by patients daily, now also extending into Veterinary.”
While Openpay was already arguably the leading BNPL provider in the Healthcare vertical, this relationship sees us offered at up to thousands more practices frequented by patients daily, now also extending into Veterinary.
Michael Eidel, Openpay CEO
Given the initial success of the partnership, both businesses will invest in co-marketing activities, aimed at increasing adoption of 1st Group’s services and Openpay plans moving into the next phase of rollout, which is expected to ramp up from Q4 FY21.
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Openpay Group Ltd (ASX: OPY) is a fast-growing and highly differentiated player in the global ‘Buy now pay later’ (BNPL) payment solutions market. The Company’s strong platform enables it to deliver the most flexible plans in the market with durations of 2–24 months and values of up to $20,000.
Openpay focuses on industries where it can make a true difference: Automotive, Healthcare, Home Improvement, Memberships and Education; and its target customers are finance-savvy and of an older demographic who use Openpay plans as a cashflow management tool.
Openpay also has a unique B2B offering, OpyPro (formerly Openpay for Business), a SaaS-based platform that allows companies to manage trade accounts end-to-end, including applications, credit checks, approvals and account management in the one system.
About St John of God Health Care
St John of God Health Care is a leading provider of high-quality health and community services across Australia, New Zealand and the wider Asia-Pacific region.
We are an experienced hospital operator with 14 private hospitals in Western Australia, Victoria and New South Wales. Most of our hospitals are acute and we are particularly well-known for our maternity, oncology and orthopaedic services.
We are one of Australia’s largest Catholic health care providers, employing more than 14,500 people and were established more than 30 years ago by the Sisters of St John of God, who first arrived in Western Australia and commenced caring for the community in 1895.
As a not for profit group, we return all surpluses to the communities we serve by updating and expanding our facilities and technology, developing new services, investing in people and providing our social outreach services to those experiencing disadvantage.
About 1st Group Limited
1st Group is an ASX listed digital health group building Australia’s leading health services marketplace, myhealth1st.com.au, Australia’s online pet service marketplace, PetYeti.com.au and corporate and government solutions platform GoBookings.com. These integrated platforms provide an easy to use online search and appointment booking service and offer a range of value-added apps and services that facilitate digital patient and customer engagement. We improve lives by connecting consumers to a variety of healthcare services and information anytime, anywhere, so they can get well sooner and stay well longer. To find out more visit 1stGrp.com, MyHealth1st.com.au, PetYeti.com.au and GoBookings.com.