TLDR:
At the ViVE conference, investors and health system executives shared the common mistakes that digital health startups make when seeking funding or customers. Some of the key elements include:
- Overselling and focusing more on making a sale than solving a problem
- Weak plans for IT integration
- Inability to stand out from competitors
- Lack of cybersecurity considerations
- Not enough focus on clinical value
- Lack of good utilization and engagement metrics
The article highlights the importance of startups demonstrating clinical value, addressing cybersecurity concerns, and providing clear differentiation from competitors to improve their chances of success.
Full Article:
Last week’s ViVE conference brought together numerous digital health startups seeking funding or partnerships with health systems and investors. At the event, leaders shared six common mistakes that these startups make, which can hinder their success:
Overselling is a major issue, with startups focusing more on making a sale than on solving a problem. This approach can turn off potential investors and health system executives looking for meaningful solutions.
Weaker plans for IT integration also pose challenges for startups, as they often underestimate the complexity and resources needed to integrate their products into a hospital’s IT systems.
Standing out from competitors is crucial in a saturated market, yet many startups struggle to differentiate themselves effectively. Health system executives are looking for startups that can clearly articulate what sets them apart.
Cybersecurity considerations are often overlooked by digital health startups, despite the increasing prevalence of cyberattacks in the healthcare industry. Failure to address security concerns can hinder partnerships with health systems.
Focusing on clinical value is essential, as startups need to demonstrate how their products can improve patient outcomes and lower costs. Investors and executives are interested in solutions that align with the triple aim of healthcare.
Utilization and engagement metrics are also critical, with investors and health systems looking for data on how effectively startups’ products are being used. Demonstrating consistent usage and value to clinicians is crucial for long-term success.
