Korea is a market with not only high medical standards but also very high interest in health and acceptance of new technology by global standards. That is why Dexcom, which leads the global continuous glucose monitor (CGM) market, chose Korea as the first country in the Asia-Pacific (APAC) region to unveil a new product.
Jennifer Cho, Dexcom executive vice president in charge of APAC, said on the 16th at the InterContinental Parnas Hotel in Samseong-dong, Seoul, in an interview with this newspaper, We are discussing strategic cooperation with Kakao Healthcare to strengthen our footing and expand the brand in the Korean market, and stated accordingly.
Vice President Cho is a global healthcare expert with 30 years of experience at Korea Novo Nordisk, Johnson & Johnson Medical, and Medtronic. Cho joined Dexcom in Feb. last year and oversees APAC market strategy.
◇ dexcom, which conquered the U.S. and Europe; the next battleground is "APAC"
Founded in 1999 in San Diego, the U.S., Dexcom is the dominant force in CGMs. Last year's revenue rose 16% from the previous year to $4.662 billion (about 6.85 trillion won). Its flagship product, G7, boasts long wear time (15.5 days) and an ultra-small size, and has taken over the U.S. and European markets.
A CGM is a patch with a short needle; when attached to the forearm or abdomen, the needle does not enter a blood vessel but continuously measures glucose in the interstitial fluid of subcutaneous fat.
Developed based on Biosensor technology that can collect and analyze physiological data in real time, it can be linked with a smartphone or smartwatch to check glucose levels and trends in real time. Because blood does not need to be drawn, users can manage glucose and health status conveniently.
Vice President Cho said, Until now we supplied products through partners, but it is time to promote the Dexcom brand directly, and explained, We are positioning Korea, Japan, and Australia—three APAC countries with strong growth potential—as key hubs.
Regarding Korea in particular, Cho noted, Patient understanding of Digital Healthcare is high, making it the market we must focus on most in the next 2 to 3 years, suggesting plans to establish a local office.
◇ joining hands with "Kakao"… value CGM "Stelo" lands in Korea
Dexcom chose Kakao Healthcare as the key to its Korea strategy. The two companies this year signed an exclusive domestic supply contract and began full-fledged cooperation. The strategy is to maximize patient convenience by linking Dexcom's sensor technology with Kakao Healthcare's AI glucose management platform PASTA.
Vice President Cho emphasized, Kakao Healthcare is the optimal partner that can integrate fastest with Korean hospitals' electronic health record (EHR) systems.
The standout is the domestic launch within the year of the value-oriented new product Stelo. Stelo targets U.S. patients with type 2 diabetes who do not use insulin and people with prediabetes, can be purchased without a prescription, and significantly lowers the price barrier.
Vice President Cho said, Stelo's annual expense is about 1.2 million won, about one-third that of existing products, enabling cost-effective glucose management, and noted, We are aiming to launch in Korea at the end of this year.
Diabetes is a representative chronic disease that, if not properly managed, leads to various complications and imposes a huge social expense. The issue lies less in the disease itself than in how consistently glucose is managed.
Vice President Cho emphasized that this is where the role of CGMs is clear. When patients can see glucose changes in real time, they correct their own eating habits and lifestyle patterns, which leads to preventing complications and reducing medical expenses.
Cho said, Glucose management through CGMs positively affects not only individual health but also the fiscal soundness of the national health insurance program, and emphasized, We will continue discussions with the Korean government and regulators while sharing data on cost-effectiveness.