Before digital health entrepreneurs start a company, they have to decide two important things: who will use their product, device, or app and who will pay for it? To help weigh the merits and challenges of these business models, a report from Rock Health provides some common sense and some surprising realities about investment trends for each. So before you decide whether you want to build the next ZocDoc or Practice Fusion, have a look at some of the findings of Rock Health’s report on Business Models in Digital health.
B2B Seventy-seven percent of digital health venture funding went to business-to-business models. The average amount of venture funding B2B companies received was $11 million compared with $9 million business-to-consumer companies received. The downside of business-to-business models is there is usually a longer sales cycle and it requires “gatekeeper approval” or systems integration.
To read the full, original article click on this link: B2B or B2C? That is the question for digital health entrepreneurs
