Many digital well being leaders are optimistic in regards to the digital well being sector in 2025, however nonetheless anticipate headwinds, a latest survey from Summit Well being Advisors revealed.
Summit Well being Advisors is a healthcare consulting agency. Its Digital Well being Go-to-Market Report was performed in partnership with impartial market analysis supplier PureSpectrum. It obtained responses from 103 digital well being senior leaders.
Listed below are 5 key findings:
1. Optimistic outlook: Greater than 50% of leaders have a “very optimistic” outlook on the digital well being financial panorama in 2025, whereas 31% are cautiously optimistic. One other 19% are uncertain or have a unfavorable outlook, citing buyer budgets, financial uncertainty and competitors.
2. Funding panorama: About 79% of digital well being leaders stated their firms are pursuing new funding capital within the subsequent yr. When requested about their largest boundaries to elevating capital, 42% stated they’re apprehensive they received’t get their desired phrases (valuation, rate of interest), 38% stated they’re involved they received’t increase their goal quantity and 36% anticipate challenges find new traders.
“Whereas we suspected many digital well being firms can be searching for funding round this time, roughly three or 4 years because the record-setting investments of 2020 and 2021, the flood of firms planning to boost is staggering,” stated Seth Joseph, founder and managing director of Summit Well being Advisors, in an e mail. “And contemplating over 41% of digital well being firms are apprehensive about making payroll and 35% are struggling to amass new prospects, the scenario might be dire. 2025 can be a vital inflection level in digital well being.”
3. Go-to-market challenges: The largest go-to-market challenges for digital well being firms are rising market crowdedness, rising competitors, and the “incapacity to successfully place towards these aggressive threats,” in keeping with the report. To take care of competitors, 67% are planning to develop internationally, citing U.S. market saturation and unmet income expectations domestically.
“Competitors from massive incumbents and new entrants was probably the most prevalent exterior problem digital well being firms are going through at this time,” Joseph stated. “On high of this, the most typical inside challenges firms are fighting is successfully differentiating their merchandise and growing compelling worth props. Understanding the aggressive panorama, market wants and your organization’s distinctive worth can be vital to heading off the competitors.”
4. Polarized on telehealth: About 50% of respondents stated telehealth is the digital well being subsector with the best development potential over the subsequent yr, whereas 27.7% stated it has the least development potential. As well as, 44% of executives stated telehealth is the place they predict probably the most M&A exercise over the subsequent yr.
AI can also be high of thoughts for digital well being execs, with 43% saying there’s house for development in AI purposes and 41% saying it has proven robust ROI potential. Nonetheless, 25% stated AI is overhyped.
5. Companions for go-to-market efforts: About 31% of digital well being leaders imagine their groups want to reinforce their understanding of their markets and competitors. Of this group, 94% view bettering this understanding as a high organizational precedence. Practically all respondents (99%) depend on exterior companions to assist develop and implement their go-to-market methods, with 71% reporting that the majority or all of their initiatives are supported by these exterior companions.
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