Value Propositions in Digital Health - Lean Launchpad UCSF Course

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This document discusses value propositions in digital health and outlines key considerations for developing digital health business models. It identifies consumers, employers, providers, insurers/government, and producers as important customer segments in digital health. For each segment, it discusses potential value propositions around cost, quality, and other factors. The document emphasizes testing value propositions through customer interviews and minimum viable products to validate product-market fit within the first few weeks. It concludes by providing contact information for following up.

Business

Value Propositions
Lean Launchpad: Digital Health
UCSF Entrepreneurship Center

October 1, 2013
Abhas Gupta, MD

Mohr DavidowVentures

@abhasguptamd

HC Costs are a BFD
“Healthcare costs will be the preeminent 
social and political issue of the next decade”

What is Digital Health?
Software Healthcare
+/- Consumers
Venture Proﬁle:

Fast to fail, low capital intensity, 
highly scalable, +/- regulatory burden

Why now?
Technology
Adoption
Data Consumer
Reach
Evolving Business Models 
ACOs
Capitation

Business Model Canvas
Product/Market Fit, Customer Growth, 
Revenue and Costs, Partnerships and Operations

Broader Context
Competitive
Landscape
Regulatory
Changes
Industry 
Trends
Become your own expert!

Key Customers
Consumers Employers Providers
Insurers + Government Producers

Learning Loops
Consumers Employers Providers
Insurers + Government Producers
MVP? MVP? MVP?
MVP? MVP?
Hypothesis, Experiment, Data, Insight

Consumers
Convenience Better Quality

(perceived) 
Lower Costs
Other Factors: 
Privacy, social, comfort, delight, 
decision support, outcomes...

Employers
Lower Costs Employee
Satisfaction 
Productivity
Other Factors: 
Lower administrative burden, 
hiring advantages, culture, ...
Work output

Engagement

Absenteeism

Providers
What is their business model?
Fee-for-Service
!
Reimbursement

Productivity

...

Retention

At-Risk
!
Cost Reduction
(Outcomes,Technology)

In-Network

Productivity

Insurers + Government
Core Business
!
Productivity

Provider Offerings

Acquisition/Retention

Risk Analytics
Compliance

!
(Self-Insured) Employers
As Fiscal
Intermediaries: 
Consumers

Producers
Core functions -> Enterprise SaaS opportunities
Pharma, Medical Devices, Cloud-based EMRs
Increase Sales of
Existing Business
Enter New Lines of
Business
Cost & Risk
Reduction

This Week’s BIG IDEA
Strength of 
Value Proposition 
is proportional to
Pricing!
ROI > Outcomes > Access > Convenience

Looking Ahead
This
Week
Next
Week
Product & MVPs:
10-20 interviews with
key customers/users

!
Efﬁciently Sample
Customers:
Start with breadth,
transition to depth

!
In 2 weeks, you should
have Product/Market Fit
down cold!

agupta@mdv.com

@abhasguptamd

linkedin.com/in/abhasguptamd
kyra.davis@ucsf.edu

@kyradavis

linkedin.com/in/kyradavis
Our Contact Information

The document summarizes a presentation on digital health value propositions. It discusses how digital health can help address rising healthcare costs, defines digital health as software combined with healthcare, and notes the venture potential of fast failure, low capital needs, and scalability alongside regulatory challenges. Key customers for digital health include consumers, employers, insurers and government, providers, and medical producers. The presentation emphasizes testing value propositions with minimum viable products and customer interviews to determine product-market fit within 10-20 weeks.

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The latest Heat Pump Manual from Newentide

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𝐔𝐧𝐯𝐞𝐢𝐥 𝐭𝐡𝐞 𝐅𝐮𝐭𝐮𝐫𝐞 𝐨𝐟 𝐄𝐧𝐞𝐫𝐠𝐲 𝐄𝐟𝐟𝐢𝐜𝐢𝐞𝐧𝐜𝐲 𝐰𝐢𝐭𝐡 𝐍𝐄𝐖𝐍𝐓𝐈𝐃𝐄’𝐬 𝐋𝐚𝐭𝐞𝐬𝐭 𝐎𝐟𝐟𝐞𝐫𝐢𝐧𝐠𝐬 Explore the details in our newly released product manual, which showcases NEWNTIDE's advanced heat pump technologies. Delve into our energy-efficient and eco-friendly solutions tailored for diverse global markets.

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Value Propositions in Digital Health - Lean Launchpad UCSF Course

1. Value Propositions Lean Launchpad: Digital Health UCSF Entrepreneurship Center October 1, 2013 Abhas Gupta, MD Mohr DavidowVentures @abhasguptamd 

2. HC Costs are a BFD “Healthcare costs will be the preeminent  social and political issue of the next decade”

3. What is Digital Health? Software Healthcare +/- Consumers Venture Proﬁle: Fast to fail, low capital intensity,  highly scalable, +/- regulatory burden

4. Why now? Technology Adoption Data Consumer Reach Evolving Business Models  ACOs Capitation

5. Business Model Canvas Product/Market Fit, Customer Growth,  Revenue and Costs, Partnerships and Operations

6. Broader Context Competitive Landscape Regulatory Changes Industry  Trends Become your own expert!

7. Value Propositions This Week Next Week

8. Key Customers Consumers Employers Providers Insurers + Government Producers

9. Learning Loops Consumers Employers Providers Insurers + Government Producers MVP? MVP? MVP? MVP? MVP? Hypothesis, Experiment, Data, Insight

10. Consumers Convenience Better Quality (perceived)  Lower Costs Other Factors:  Privacy, social, comfort, delight,  decision support, outcomes...

11. Employers Lower Costs Employee Satisfaction  Productivity Other Factors:  Lower administrative burden,  hiring advantages, culture, ... Work output Engagement Absenteeism 

12. Providers What is their business model? Fee-for-Service ! Reimbursement Productivity ... Retention At-Risk ! Cost Reduction (Outcomes,Technology) In-Network Productivity

13. Insurers + Government Core Business ! Productivity Provider Offerings Acquisition/Retention Risk Analytics Compliance ! (Self-Insured) Employers As Fiscal Intermediaries:  Consumers

14. Producers Core functions -> Enterprise SaaS opportunities Pharma, Medical Devices, Cloud-based EMRs Increase Sales of Existing Business Enter New Lines of Business Cost & Risk Reduction

15. Key Customers Consumers Employers Providers Insurers + Government Producers

16. This Week’s BIG IDEA Strength of  Value Proposition  is proportional to Pricing! ROI > Outcomes > Access > Convenience

17. Looking Ahead This Week Next Week Product & MVPs: 10-20 interviews with key customers/users ! Efﬁciently Sample Customers: Start with breadth, transition to depth ! In 2 weeks, you should have Product/Market Fit down cold!

18. agupta@mdv.com @abhasguptamd linkedin.com/in/abhasguptamd kyra.davis@ucsf.edu @kyradavis linkedin.com/in/kyradavis Our Contact Information

Value Propositions in Digital Health - Lean Launchpad UCSF Course

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