What You Should Know: 

– Amwell and Leidos have been awarded a “next-generation contract” by the U.S. Defense Health Agency (DHA) to deliver a hybrid care platform to power the DHA’s Digital First transformation. This initial 22-month contract is valued at up to $180M; the project will start at five initial sites followed by a phased enterprise-wide rollout.  

– While this task order is for the first phase of the program, the DHA Digital First program will support the entire MHS community of users, which includes 9.6 million active-duty service members, family members, retirees, and health professionals across the continuum of care.  

DHA Digital First Inititiave

Under this task order, the Leidos Partnership for Defense Health (LPDH) will deliver Amwell ConvergeTM, a comprehensive hybrid care enablement platform designed to power the full continuum of care using digital, virtual and automated modalities, and replace the Military Health System (MHS) Video Connect solution. It will start at five initial sites followed by a phased enterprise roll-out. Also included in the contract are a broad spectrum of Amwell automated care programs that have a proven track record of helping deliver better health outcomes, including multiple behavioral health and integrated core telehealth solutions.

The DHA’s Digital First initiative brings new capabilities and enablement to MHS GENESIS, an advanced electronic health record (EHR) and healthcare system solution that supports military and Veteran healthcare initiatives. The Converge platform has deep integration assets and a simple yet powerful user experience that enables efficient and quality hybrid care delivery. The platform is already embedded into existing clinical workflows that care teams rely on, including those within the core EHR that powers MHS GENESIS. Together, Amwell and LPDH will enable the DHA to leverage the benefits of hybrid care, improve access to primary and behavioral health care, and ultimately improve outcomes for the MHS community.

The DHA supports national security and ensures our nation’s military teams are ready to deploy. Seeking to leverage innovation and best practices from the commercial sector, the DHA conducted a thorough evaluation of the Amwell solution.

“Digital First addresses DHA’s goal of better outcomes, new processes, innovation and increased standardization based on evidence,” said Jason McCarthy, Leidos senior vice president, Military and Veterans Health Solutions. “As part of our overall MHS GENESIS effort to enhance patient experience, we, along with Amwell, are looking forward to providing near real-time, self-service support and hybrid care options for our customer and those whom they serve.”

What You Should Know: 

– Avidex, a provider of audiovisual and interactive patient care solutions, and Artisight, an AI-powered smart hospital platform announced a strategic partnership.

– Avidex and Artisight will harness the strengths of both companies to provide a turnkey virtual care solution. Avidex will take on the role of the in-room technology integrator, leveraging its expertise to install and support the solution’s essential AV equipment and platform integration of its proprietary TigrPX interactive patient engagement system, enabling the Artisight smart hospital platform to leverage the in-room television for virtual care delivery.

Artisight Smart Hospital Platform

Artisight’s smart hospital platform, built on advanced AI technology, enhances patient care by streamlining end-to-end processes through high-quality video and audio processing, computer vision, voice recognition, and best-in-class indoor positioning systems. Prioritizing enterprise-grade stability and seamless interoperability, the Artisight platform combines intelligent sensors, deep learning technology, and contemporary integrations, resulting in significant enhancement of clinical care. This HIPAA-compliant platform also automates remote patient monitoring, improving operating efficiency while ensuring timely notifications to clinicians when attention is needed. The hardware- and EHR-agnostic platform reduces clinician burnout and improves nurse and patient satisfaction.

“We believe that the synergy between Avidex and Artisight will create a transformative impact on patient care and healthcare delivery,” said Andrew Gostine, MD, MBA, CEO and co-founder of Artisight. “By combining Avidex’s audiovisual expertise and its TigrPX patient engagement solution with Artisight’s advanced AI-driven smart hospital platform, we are poised to offer healthcare facilities a comprehensive virtual patient care solution that significantly improves patient care, satisfaction, and hospital efficiency.”

What You Should Know: 

– Inpatient telehealth innovator Vitalchat announced today an integration partnership with Samsung healthcare TV displays. 

– The Vitalchat app, which offers immediate access to the company’s patented telehealth solutionsis now integrated with Samsung’s healthcare displays to deliver a more informed, comfortable and personalized patient care ecosystem.

Enable up to 100 rooms to be monitored simultaneously.

Engineered for the unique needs of patients in healthcare environments, Samsung’s HCU7030 and HCF800 Crystal Hospital 4K TVs and Vitalchat’s AI-enabled E-Sitter and Virtual Visit solutions provide a robust, best-in-class solution for clinicians. The Vitalchat app leverages the Tizen platform within the Samsung healthcare TV, which enables hospitals and other clinical environments to use a lower-cost camera and still generate the same, high-quality audio and video without bogging down the network.

Healthcare organizations have the potential to reap a near-immediate ROI with Vitalchat telehealth solutions, as they are designed to free up caregiver time and improve care delivery. With Samsung healthcare TVs, hospitals can also be fully set up with the telehealth technology within minutes versus days, negating patient room downtime.

“Our partnership with Vitalchat illustrates our commitment to driving better healthcare by connecting patients and families with their care team,” explains Chris Mertens, Vice President of U.S. Sales, B2B Displays, Samsung Electronics America. “The pairing of Samsung healthcare grade displays and Vitalchat’s SmartView and MultiView software ensures patients are being monitored 24/7, as an exemplified safeguard for patient safety and quickly attending to patient’s needs.”

What You Should Know: 

– Walmart announced it is expanding virtual primary care, building on the traditional telehealth service for occasional sick visits for Walmart associates and their families. 

– As part of this expansion, virtual care options for digestive health and physical therapy will also be available, including some basic at-home lab work early next year. Most virtual health care benefits are available at no cost to associates and their families ($0 co-pay).  

What You Should Know: 

– Amwell forms a strategic partnership with Discovery Health, a health insurance administrator, which will introduce the first-ever digital therapeutic benefits funded by a health insurer in South Africa. 

– As part of the collaboration, clinicians are now able to prescribe SilverCloud by Amwell, a clinically validated, evidence-based and affordable digital mental healthcare platform, to Discovery Health members.

Benefit Offering Expands Access to Digital Cognitive Behaviour Therapies

This partnership comes at a critical time as Discovery Health’s data from member claims reveal that the prevalence of mental health conditions has steadily increased in recent years. Aligned to global statistics, including the World Health Organization’s measure of a 25% rise in the prevalence of depression since 2018, Discovery Health demonstrates a 19% increase in the prevalence of depression since the pre-pandemic period. Adding to the strain, South Africa’s healthcare industry has also been impacted by the global workforce shortage trend. Rising prevalence with lower supply of essential service underscores Discovery Health’s need to leverage technology to broaden access to treatment via innovative, effective, and affordable digital therapies.

What You Should Know: 

– Cedars-Sinai announced the expansion of virtual healthcare for patients in California through a new mobile app that allows individuals to quickly and easily access Cedars-Sinai experts for sick, chronic, and preventive care.

– Through the new virtual healthcare option Cedars-Sinai Connect, healthcare professionals are available 24/7 for urgent issues, and same-day appointments are accessible for primary care—reducing wait times for those seeking medical attention.

– Cedars-Sinai Connect accepts all forms of insurance that Cedars-Sinai takes, including employer-provided plans.

Cedars-Sinai Connect, Powered by K Health

The new mobile app developed by K Health  and Cedars-Sinai was developed Cedars-Sinai Connect through a new joint venture, empowering physicians by reducing the burdens of clinical intake and data entry, allowing doctors to focus more on patient care. K Health helps patients manage their acute, chronic and preventive care needs through a platform that harnesses medical knowledge and real patient experiences.

The app’s chat feature gathers health details and symptoms from patients to help assess their medical concerns and presents that information to a clinician for review. This streamlines the intake process so providers can focus more on patient care. After the guided intake, patients can choose to connect with a clinician for an appointment via video call.

What You Should Know: 

– Teladoc Health announced new strategic partnerships with musculoskeletal (MSK) care providers Sword Health & Hinge Health to offer employers access to a full suite of digital physical therapy solutions for joint and muscle pain relief. 

– MSK conditions are a top cost driver for 76% of employers in the U.S. (second only to cancer), costing an estimated $213B in annual treatment, care and lost wages. The move helps Teladoc Health clients offer a broader range of virtual care services to their employees through simplified contracting and management.

What You Should Know:

• Telehealth has undergone a transition from pandemic era lifeline to convenient outlet for routine follow-ups, treatment of minor illnesses and mental health service.
• Along the way, according to the J.D. Power 2023 U.S. Telehealth Satisfaction Study,SM released today, a stark generation gap has emerged between Millennials1 and Boomers, with younger patients driving the highest overall satisfaction scores and older patients experiencing significantly lower levels of satisfaction.

Analysing the Stark Generation Gap Emerging in Tele-healthcare 

“Telehealth is here to stay,” said Christopher Lis, managing director of global healthcare intelligence at J.D. Power. “As overall utilization volumes normalized following the pandemic, we continue to see a clear trend toward telehealth adoption for routine care and ongoing mental health visits. Moreover, overall satisfaction is associated with telehealth mobile app utilization compared with other channels. At the same time, we are seeing some significant barriers to adoption in some populations, particularly among older patients and underserved populations who are struggling with digital channels and having challenges with access and ease of use.”

Here are key findings from the 2023 study:

1. Telehealth satisfaction varies by generation: Overall satisfaction is 698, but Gen Y and Gen Z have higher scores (714), while Boomers and Pre-Boomers score lower (671). The satisfaction gap is most pronounced in digital channels and appointment scheduling, suggesting older users face usability issues.

2. Trust is a concern: Satisfaction is highest for healthcare personnel and meeting patient needs but drops significantly in terms of overall trust.

3. Speed and convenience drive telehealth usage: Patients choose telehealth primarily for convenience (28%) and quicker access to care (17%).

4. Providers should simplify access: Given that convenience and time-saving are key motivators for telehealth use, providers must ensure easy access. Satisfaction is 172 points higher when digital channels are deemed “very easy” to use compared to “not very easy.”

What You Should Know: 

– Wheel, an Austin, TX-based virtual care platform empowering companies to deliver consumer-centric care, announced the next generation of its virtual care platform to help enterprise organizations build seamless care experiences. 

– Wheel enables enterprise organizations looking to grow their virtual care offering, drive engagement and loyalty, and deliver high-quality virtual care at scale. In just three years, the company has delivered care to over four million people, built a customer portfolio of leading digital health brands such as GoodRx, and is powering large enterprises and Fortune 50 companies in retail, health plan, and pharmaceutical and life science industries, including as a third-party provider for Amazon Clinic. 

Wheel’s Virtual Care Platform Features

Wheel’s platform incorporates configurable virtual care programs, a seamless consumer experience, and a nationwide clinician network — providing organizations with everything they need to deliver:

• Convenient virtual care: With Wheel’s patented smart routing and marketplace technology, consumers will be matched with the right clinicians when and where they feel most comfortable receiving care across chat, phone, and video visits. Wheel’s virtual care platform supports 24/7 virtual visits across all 50 states with industry-leading response times, connecting clinicians with consumers in minutes. 

• Personalized virtual care: From the first intake to follow-up, Wheel provides a virtual care experience that meets consumers’ needs and expectations. Clinicians are also set up for success with clinical tools built from the ground up to support simple, personalized workflows including requesting lab orders, ordering prescriptions and diagnostics, sharing education materials, requesting follow-up appointments, recommending referrals to specialists, and more. Accordingly, an industry-high 93% of Wheel clinicians report high satisfaction with delivering care via Wheel’s EMR.

• Comprehensive virtual care: Launch integrated virtual care experiences that can be easily configured, deployed, and optimized with Wheel’s library of proven care programs across Urgent Care, Primary Care, Convenience Care, and Condition Management. Wheel also ensures a connected care experience for consumers through the seamless integration of customers’ existing partners as well as Wheel’s pre-integrated ecosystem partners.

What You Should Know:

– Cartwheel, a platform helping schools tackle the student mental health crisis by delivering affordable, evidence-based telehealth services with no waitlist raises $20M in Series A funding led by Menlo Ventures. Reach Capital joined the round, as did earlier investors General Catalyst, BoxGroup and Able Partners.

– The funding will allow Cartwheel to expand mental health services to hundreds of thousands of new students in current service areas, as well as school districts in new states.

Evidence-Based Mental Health Support

Founded in 2022, Cartwheel has quickly become a trusted mental health partner to schools. The founding team, which includes Chief Medical Officer, Juliana Chen, MD, a board-certified child, adolescent, and adult psychiatrist, had collectively spent decades working in schools and community mental health clinics and felt the need for stronger school-community partnership to improve accessibility, quality, and financial sustainability of mental health care.

Today, when a school district partners with Cartwheel, school counselors can refer students for clinical mental health services with no waitlists. Cartwheel’s in-house team of licensed clinicians delivers evidence-based telehealth services, including 1-1 therapy, group therapy, parent guidance, and medication support – all as an in-network benefit covered by the family’s insurance. Operating year-round, Cartwheel allows students to see a licensed clinician at home or at school and during evenings, weekends, school breaks, and summers.

“By combining funding from school districts and health insurers, we’ve helped superintendents ensure the long-term financial sustainability of these services,” added Daniel Tartakovsky, Co-Founder and COO of Cartwheel and previously a mental health policy advisor to the U.S. Surgeon General. “We believe our model will become a blueprint for districts across the country on how to build a long-term school-community partnership, especially as school budgets tighten with the expiration of federal COVID relief dollars.”

Throughout care, Cartwheel works hand-in-hand with school staff and families to ensure the student is appropriately supported. A clinically licensed Program Manager supports school administrators on student cases, parent engagement, and staff training throughout the year; and bilingual Care Coordinators help families with scheduling, insurance, and referrals for additional services. Parents can also schedule weekly guidance sessions with a licensed clinician to discuss ways to support their child, even if their child isn’t interested in therapy themselves. Parents can also join educational workshops on timely mental health topics, ranging from school avoidance to social media use.

What You Should Know:

• In new research released by Teladoc Health, the global leader in whole-person virtual care, U.S. employers with 2,500 or more employees reported a 21% increase in the implementation of additional virtual care offerings over the past 18 months, with 77% stating they plan to increase their investment in virtual care over the next three years.  
• The findings are part of the company’s second annual Virtual Care Transformation Index, a survey of more than 300 human resource decision makers that highlights the perception, adoption and advancement of whole-person virtual healthcare in benefits programs. 

Key Insights into Virtual Care Offerings and Impacts on Virtual Healthcare

“For employers, the stakes are high when it comes to making sure quality healthcare is always within reach,” said Kelly Bliss, Teladoc Health US Group Health President. “When we first initiated this study, employers were only starting to realize the value and potential of a whole-person virtual care strategy. Amidst continued workforce pressures and economic uncertainty, employers expect to build integrated, high value benefits strategies that fit the diverse needs of their entire population. The study found notable growth in the percentage of employers offering a broader suite of virtual care services and reinforced employers’ desire to manage a minimal number of vendors who can offer comprehensive services. Compared to last year, today’semployers are expected to build innovative, high-value benefits strategies within the context of even more challenging market trends.”

1. Employers are increasingly incorporating virtual care services into their benefits programs, with a 40% rise in full integration over the past 18 months. Furthermore, nearly half of employers see virtual care as a central component of their benefits strategy.
2. Employers are prioritizing diversity, equity, and inclusion in their benefit plans and communication. They measure the success of virtual care programs based on their ability to equitably meet the healthcare needs of all employees.
3. Employers are using virtual care to address diabetes care and weight management, driven by employee demand. About 83% believe virtual care programs can effectively manage these concerns through integrated approaches.
4. Mental health and primary care services are prominent in employers’ virtual benefits strategies. Approximately 40% of employers plan to expand virtual mental health services, with a focus on enhancing support for adolescents, children, and caregivers.
5. Employers highly value integrated, whole-person virtual care strategies, with nearly 90% considering them “very” or “extremely” important. Currently, 55% have implemented such programs, marking a 20% increase since 2021.

What You Should Know:

• The American Telemedicine Association (ATA) announced this week that its CEO’s Advisory Group on Using Telehealth to Eliminate Disparities and Inequities is releasing three new tools this week, to inform ways in which telehealth can impact disparities and inequities.
• All three tools were released today, to commemorate the third annual Telehealth Awareness Week. This year’s events will highlight the value telehealth brings to patients and helps to expand access to quality care, how virtual care is addressing many of the challenges faced by healthcare providers, and its role in building a modern, omnichannel care delivery system.

Improving Accessibility to Healthcare Via Telemedicine

“We launched the advisory group in 2021 to address the unique ways telehealth could be used to eliminate health disparities in the U.S. We are confident that the tools we are launching this week will support decision-making related to targeting and funding interventions that improve health in communities,” said Ann Mond Johnson, CEO of the ATA. “Our Advisory Group is comprised of national healthcare leaders uniquely focused on health disparities. Led by co-chairs Kristi Henderson, DNP, Yasmine Winkler and Ron Wyatt, MD, and facilitated by David Smith, CEO of Third Horizon Strategies, their groundbreaking work will further position our community to  leverage telehealth to eliminate healthcare disparities.”

1. The Digital Infrastructure Disparities Score and Map uses a newly created composite measure designed to score a community’s digital infrastructure on a scale of 1-100.
2. The Economic and Social Value-Added Calculator tool is designed to scope the cost of telehealth-based clinical or social interventions, including estimates for the total value of an intervention created in favor of payers, providers, government, and business. The calculator analyzes the capital and operating costs for these interventions, including technology platforms (telehealth solutions) and funding needed to ensure community members have solid, reliable, and contiguous broadband connectivity.
3. The third tool is a toolkit summarizing all resources the group has released to date, including a new roadmap to address inequalities in the delivery of healthcare information and services with a focus on both access and improving outcomes.

The crisis of clinician burnout is worsening.

Clinicians are feeling stressed, overworked and underappreciated. Some are responding by leaving healthcare or cutting back on hours. Nearly 334,000 healthcare providers, including 117,000 physicians left the workforce in 2021, according to a 2022 study. 

And the problem did not end when the public health emergency did. In a recent survey by a financial consulting firm, 40% of clinicians said they were considering leaving their jobs for better pay, work-life balance or to relieve burnout. A 2022 survey found that almost a third of nurse practitioners were considering leaving healthcare. 

The reasons are myriad: workload, personal health and safety, a lack of professional satisfaction, chaotic work conditions and more all contribute. 

The workforce departures are coming at a time when the country is already facing critical clinician shortages. The United States needs more than 17,000 primary care practitioners, 12,000 dental health practitioners and 8,200 mental health practitioners, according to a Health Resources and Services Administration report.

There is, of course, no single solution to this crisis. Many things need to be improved, from compensation to EHRs to flexible scheduling. But the overriding focus must be on making clinicians happier and more satisfied in their jobs, so satisfied that they want to continue to do them.

Why clinicians are interested in telehealth

Making it possible for more clinicians to practice telehealth is one way to improve their job satisfaction.      

In a recent survey, more than 1,700 doctors, nurse practitioners and therapists were asked why they wanted to practice telehealth. They cited the following:

• Flexible schedule (32%)
• Working from home (32%)
• The telehealth experience (29%)   

In general, those who had been in practice the longest and were closest to retiring were the most interested in practicing telehealth. This is critical because nearly 45% of doctors are older than 55, and more than 40% of active physicians will be 65 or older in the next 10 years, according to data from the American Association of Medical Colleges. Keeping these providers in the workforce longer, even on a part-time basis, is crucial to addressing the clinician shortage.

How telehealth helps providers

Though not all clinicians want to use telehealth, those that do, even on a part-time basis, can realize numerous benefits, including:

Better work-life balance – Telehealth lets providers work remotely and with flexible schedules, which gives them more freedom to manage their personal and professional responsibilities. Family responsibilities are one of the most common reasons why providers with caregiving responsibilities leave the field and giving them more options would help alleviate that. Some telehealth platforms allow for asynchronous, or “store and forward,” care and hybrid synchronous/asynchronous care which gives providers even more flexibility in their schedules by not requiring real-time appointments.   

Reduced red tape and paperwork – Most providers dislike their EHRs and are frustrated by the time they spend filling out forms and documenting their activities. They would rather spend that time delivering care. Many telehealth platforms integrate EHRs and automate manual, administrative tasks like coding, documentation and scheduling appointments. That frees up providers to focus more time on caregiving and less on administrative burdens, which increases their job satisfaction.  

Increased efficiency and productivity – The inherent efficiencies of telehealth allow providers to deliver more care with fewer non-clinical disruptions, like crowded waiting rooms, a shortage of exam rooms, waiting for patients to complete paperwork, late arrivals etc. Incorporating remote monitoring devices and digital health tools into care allows providers to digitally monitor patients and intervene when appropriate, without the necessity of an in-person visit.  

Support and collaboration – Telehealth allows providers to easily communicate and collaborate with colleagues and specialists to discuss cases, seek second opinions etc. This can reduce feelings of isolation among providers and is particularly helpful for rural clinicians who lack the resources of those in metro settings.

Patient engagement – The ease and accessibility of telehealth makes it easier for patients to seek care in a timely manner, which can improve their health and help them avoid developing advanced and acute conditions. Providers, in turn, gain satisfaction from treating engaged patients and helping them lead healthier lives.

Less commuting – Allowing providers to work from home eliminates commuting to the office or between clinical locations, which saves them time and money, while also erasing the frustrations of rush hour and traffic jams. And, with no time lost commuting, providers have more flexibility in their work schedules.

About Guy Friedman

Guy Friedman is Co-Founder and CEO of SteadyMD, a B2B telehealth infrastructure provider that powers high-quality telehealth patient experiences for leaders and innovators in healthcare in all 50 states.

For most of history, cutting-edge technology and affluence have gone hand-in-hand. The healthcare industry is no exception to the rule. The wealthiest hospitals have the ability to invest in the newest machinery and the best digital infrastructure. Meanwhile, low-income populations ― whose health needs are often the most urgent ― are less likely to be able to access the tools that might mean the difference between life and death.

The dawning era of telehealth represents a welcome exception to this rule. 

Technology is only useful if a service and its interface are user-friendly. Contrary to perception, access to broadband and mobile phones are not the greatest barrier to digital health among Medicaid recipients. They access the internet at the same rates as other insured populations, and in many ways are more engaged with their smartphones because they are disproportionately dependent on them. 

For these groups, remote care is often more user-friendly than seeing a doctor in person. The COVID-19 pandemic flipped the role of telehealth delivery from an afterthought to a primary consideration in many cases. Now, with the entire healthcare system acclimating to remote and hybrid care models, the ability to cater to low-income patients who might never visit a clinic has never been easier. With the infrastructure to deliver remote care already in place, it’s often the most sensible solution for both Medicaid patients and providers.

Mitigating anxiety and a lack of trust

People of color, who form a disproportionately large percentage of Medicaid recipients, have less trust in doctors and hospitals than white patients. They are at greater risk of white coat syndrome: a patient’s blood pressure readings are higher when taken at the doctor’s office compared to other settings, often due to discomfort, fear, or anxiety associated with doctors or the healthcare setting. This is one reason why traditional healthcare solutions might not be as effective among nonwhite groups, and Medicaid recipients are more likely to delay or forego care than patients who receive health insurance through their employer.

Telehealth can improve quality of care, which strengthens trust in the health system. In-person care is limited by time and resources, especially under current staffing and physician shortages. Supplementing in-person visits with remote patient monitoring (RPM) can improve the patient’s perception of as well as the actual quality of care. With a trigger system structured to catch adverse events, RPM delivers equitable care because the trigger response is not subject to biases of human interpretation.

Unique challenges

Medicaid recipients are at high risk for low health literacy, which complicates delivery of care ― even for something as simple as enrollment, understanding coverage, or knowing where to receive care. Simplifying content, providing content in multiple languages, offering live support to help patients navigate the system, and providing audio and visual supplementary aids can address this barrier.

For many low-income patients, time is just as critical a barrier to care as money. For example, single mothers (also a disproportionately large percentage of Medicaid recipients) are often the sole provider for their family. Finding childcare or taking time off work can be much harder, especially if they are working a low-wage hourly job. Rather than compromising job security, they might choose to miss routine appointments — especially if their financial risk is greater than their pregnancy risk. 

Remote patient monitoring is a critical safety net for these women who might be no-shows at appointments, allowing care providers to monitor for risk and keep mothers adherent to care guidelines and informed about their pregnancy, even if they aren’t able to come into the office. 

Urgent need for remote care delivery

It’s more important than ever for payers and providers to take responsibility for Medicaid populations.

Most states have expanded Medicaid coverage to qualify anyone whose household income is below 133 percent of the federal poverty level. As of November 2022, more than 90 million individuals were enrolled in Medicaid or CHIP (Children’s Health Insurance Programs) ― more than one-quarter of the U.S. population.

While Medicaid eligibility is expanding, in-person patient services are contracting. More than 150 rural hospitals closed between 2005 and 2019, and more than 600 rural hospitals are reportedly at risk of closing in the near future. These are (or were) the closest critical-care facilities for many Medicaid recipients. Even where in-person services are still available, urban hospitals have been admitting more Medicaid patients from rural areas.

Each of these factors has heightened the need for remote care delivery. A majority of U.S. hospitals were using video and other telehealth technologies prior to the pandemic, a trend that has accelerated since. With the legal and logistical pathways cleared to meet Medicaid patients where they are, healthcare providers have never had a better opportunity to serve this critical segment of the population.

About Anish Sebastian

Anish Sebastian is the co-founder and CEO of Babyscripts, an innovative maternal healthcare company focused on reinventing the standard of prenatal and postpartum care through the delivery of digital education and remote patient monitoring experiences.

In the last few years, the healthcare industry has witnessed an explosion in both popularity and profits in a new sector of business. Thanks to the conditions brought about by the pandemic, telemedicine is now an increasingly popular format for diagnosing and treating a variety of conditions. 

Just a few years ago, the telemedicine market had a size of about $42 billion. However, the industry’s growth rate experienced a remarkable surge, and the market size is now projected to reach a whopping $397 billion by 2027. Each year, hundreds of new telemedicine companies enter the market seeking to capitalize on this impressive growth. Today, there are about 1,387 telehealth businesses in the U.S. alone.

This growth makes the telemedicine industry very competitive. Navigating the challenges of building a telemedicine company can seem daunting even for the most experienced healthcare professionals. However, it’s still possible to successfully navigate this fast-paced and challenging industry. As the CEO of a telemedicine company that launched during the surge in 2021, I can share with you some tips and tricks I’ve learned along the way.

Identifying a need

The first – and perhaps the most important – step in building a telemedicine company is identifying your offering. In the first wave of telemedicine, we saw many companies trying to offer everything to everyone. These companies tried to offer an extremely wide range of products, from mental health supplements to erectile dysfunction pills. And many of these companies are no longer with us. 

We are now seeing a shift in telemedicine toward niche product offerings. With so many brands entering the market, competition is fierce and you need to find a way to stand out. And trying to deliver a wide product offering right out of the gate is an easy way to experience early, even immediate, failure.

Try to identify a more specialized offering. Pick an area of medicine that you specifically want to address and that will allow you to create multiple, customized products for your customer base. You want to think about an area that has low acuity, meaning it’s not life-threatening. For example, you’re not going to want to treat heart attacks online. 

It’s also good to identify a chronic condition because that means there is a recurring opportunity. If you offer a product for a condition that is a one-time treatment, your customer will never return. Try to find a customer base that doesn’t have a lot of treatment options for the long-term effects of their condition. Not only will you keep your customers for the long haul, but you’ll also be improving someone’s quality of life.

Building your team 

Once you have identified your area of expertise, it’s time to build your team. There are three key players that you must carefully consider when building a telemedicine company. 

Healthcare professionals

If you haven’t already done so, you must incorporate healthcare professionals into your team. Although many telemedicine companies are started by healthcare professionals, some are started by business people. If you fall into the latter category, you must find a reliable healthcare professional to have as your right hand as early as possible. 

Dealing with health and medicine requires expert-level knowledge and training. This healthcare professional will likely have years of training and a deep understanding of the healthcare industry that can only be gained through experience. You need someone with this knowledge to help guide your business through the complexities and challenges of the industry. 

Of course, you will also need experts to treat patients and prescribe medication. When sourcing potential doctors and nurses for your telemedicine business, pay close attention to the states they are licensed in.To legally prescribe medicine to patients, the doctor needs to be licensed in the state that your customer is in. Finding doctors with multiple state licenses will help you broaden your customer base without having to hire a different doctor for each state you plan to conduct business

Reliable pharmacy 

Finding a reliable pharmacy is perhaps the most important component of a successful telemedicine company. The pharmacy will be handling the majority of your supply chain needs and be the direct supplier of your medications. 

To find a reliable pharmacy, begin by looking at the pharmacies that are licensed in the market you’re working in. The pharmacy needs to have locations close to where your customers are, and it needs to have the infrastructure to support the level of operations of your company.

Consider the location, size, and scalability of your potential partner pharmacies. These factors will allow you to scale your business without having to change providers. In the early discussions with potential partners, ask about scaling and distribution services. How will the distribution work? Will the pharmacy allow you to use your own packaging and marketing materials?

Software platform 

Every successful telemedicine company needs a solid software platform to handle communications, record keeping, orders, and fulfillment. Essentially, the software platform you choose will be the main form of infrastructure for your telemedicine business. 

You can research options yourself or hire a third-party software specialist to guide you in your search. Make sure the software platform you choose can demonstrate the proper security measures and has a reliable cybersecurity plan in place since you’re dealing with sensitive medical information. 

A crucial aspect to choosing the right software platform is its communication mechanisms. How easy is it for customers to communicate with doctors through the platform? Does it offer live chat services? Where does the platform store communication data? One of the biggest draws of telemedicine is the convenience and ease of access they provide. Easy and reliable communication mechanisms need to be in place for a telemedicine company to succeed. 

Final thoughts 

The telemedicine industry represents an enormous opportunity. There’s still time to take advantage of the continuing boom for those who can stay adaptable and surround themselves with the right expert guidance. Now you can begin to navigate the complexities of the telemedicine industry and build a successful brand.

About Benjamin Katz

Ben Katz is the CEO and co-founder of Happy Head, he graduated from the University of Pennsylvania with a degree in Nursing and then earned an MBA from the Wharton School. Ben is passionate about building digital businesses and simplifying consumer access to traditionally complex industries, such as healthcare. He co-founded Happy Head in 2021 along with two doctors who created their own proprietary prescription topical-hair-growth medicine. Specializing in hair growth only and offering fully customized treatments with every prescription, Happy Head provides more effective results, with fewer side effects, than other treatments on the market.  

Prior to founding Happy Head, Ben built numerous successful online businesses in fintech, consumer products, and telemedicine. He was the founding CEO of Coveroo (provider of customizable phone cases), CARD.com (leading online bank with customizable Visa cards), and Haven Coliving (providing community building and wellness-focused affordable housing for millennials).