innovation in digital healthcare / mhealth developer ... · the mhealth app developer economics...

Innovation in Digital Healthcare / mHealth Developer Economics 2017Ralf Jahns, Managing Director, Research2Guidance

© HIMSS Europe GmbH2

THE MHEALTH APP DEVELOPER ECONOMICS RESEARCH

PROGRAM FROM R2G

More than 15,000 participants since 2010

Largest research program on digital health

Global reach to 100,000 digital health decisionmakers

Source: research2guidance - mHealth App Developer Economics study 2017 - n = 2,400

R2G‘s mHealth Developer Economics


TODAY: AN APP IS NOT JUST AN APP

Sensors

Track and help to self-manage

Save data Coach and consult

Apps & SDKs

IntegrateAutomate input

• Health plan• EHR• Physician

dashboard

Community

1

4

2

Engaging and beautifulD-Devices

3

5

6

Source: research2guidance - mHealth App Developer Economics study 2017


AGENDA: IMPACT OF DIGITAL HEALTH INNOVATIONS ON

HEALTHCARE: WHAT IS THE CURRENT STATUS

1. STATUS MHEALTH2. IMPACT ON HEALTCARE

1. AI AND COACHING2. THE ROLE OF TRADITIONAL HEALTHCARE3. INNOVATION MANAGEMENT

3. DISCUSSION


FINALLY THE HEALTHCARE INDUSTRY IS SHOWING INTEREST

IN DIGITAL HEALTH INNOVATION

Google searches globally for the keyword “digital health” (2007-2017)

201720132009 20112007 2015

Users from the health industryUsers from the internet/telco industryN

um

ber

of

sear

ches

in G

oo

gle



THE MHEALTH MARKET IS BECOMING CROWDED

MHEALTH APPPUBLISHERS

> 80,000

MHEALTH APPS

> 325,000 >3.5 bn

MHEALTH APP DOWNLOADS



MORE THAN 5BN USD IS INVESTED IN DIGITAL HEALTH START

UPS IN 2016



BUT ONLY 32% OF DIGITAL HEALTH INNOVATIONS ARE COMING

FROM THE INDUSTRY

Pharma 6%

Healthcare60%

Health insurance 6%

Hospital 5%

Telehealth service 3%

Medical Publishers 1%

Sport/ Fitness company 1%

mHealth appcompany 26%

IT/Tech company 13%

Consultancy/ Market research company 5%

App developer/ Agency 4%

Telecommunications 1%

University 4%

Non-profit organization (NGO) 3%

Education/Training company 3%

Government 1%

Investor 1%Other 6%

Medical device 9%

Traditional

Digital health 28%

Non-health-care

23%

Accelerator/Incubator 2%

Independent practitioner 1%

health-care

32%


Traditional healthcare: mHealth publishershare: 32%


OUTSIDERS SHOW HOW DIGITAL HEALTH COULD WORK

Fertility app9.6 M Downloads YTD10 Mio users

Diabetes app485,000 M downloads YTD25,000 members in coaching



MOST OF THE DIGITAL SOLUTIONS FROM TRADITIONAL

HEALTHCARE COMPANIES ARE IN THE LONG TAIL

55%

24%

9%6%

2% 1% 2% 0% 1%

< 5k 5k - 50k 50k - 100k 100k - 250k 250k - 500k 500k - 1M 1M - 5M 5M - 10M > 10M

Number of downloads generated with all mHealth apps last year (2016)


Pharma: 2% out of 1,081 published apps reached more than100,000 downloads (2016)

Health Insurance: 5% of the entire app portfolios reached morethan 100,000 downloads all time (2015)


AI IS SEEN AS THE MOST DISRUPTIVE TECHNOLOGY IN DIGITAL

HEALTH, BUT…

61%

43%34%

30% 27% 22%18%

8% 5%

Most disruptive technologies to the data health sector within the next five years



… IT IS STILL A LONG WAY BEFORE IT WILL HAVE A REAL

IMPACT

Example Sugar.IQ• The app only provides insights

into retrospective events • It links user to educational

resources ➢ Supporting behaviour change



SELF EMPOWERMENT AND COACHING SHOW IMPACT ON COST

REDUCTION AND PATIENT OUTCOMES ALREADY TODAY

Before use After use

6+ months

Consumer app

Glooko

6 months

Livongo’sprogram incl.

coaching

Livongo

Livongo users2

1 month

Consumer appwith coaching

One Drop

One Drop users3

6 months

Consumer app

mySugr

4,0004

Two data uploads within 3+ months

intervals

Self-reported A1c levels ≥ 7.5%

Logged ≥5 days/week for ≥6

months

Participants

Inclusion criterion

Duration

Drop in A1c %

Tool

7,416,98

6

7

88

7

8,1

7,1

8

6,7

2,000(out of 7,250)1

8,9

7,8

3 months

Mobile prescription therapy app

Welldoc

1,036

Prescribed & activated BlueStarapp, used >30 days

-0.43% -1.1% -1.0% -1.0% -1.3%

EXAMPLE DIABETES



AND HEALTH INSURANCE COMPANIES ARE SEEN AS THE DOOR

KEEPER FOR INNOVATORS

0%

10%

20%

30%

40%

50%

60%

70%

2010 2011 2012 2014 2015 2016 2017

Note: Study was not conducted in 2013.

App stores

PhysisiansHospitals

Pharmacies

Healthcare webpages

Health insurers

Distribution channels with best market potential in the next 5 years



A NEW APPROACH TO BRING INNOVATION IN HEALTHCARE HAS

EVOLVED, BUT …ACCELERATORS INVESTING IN HEALTHCATRE

341focusing on

Digital Health

0

200

400

2010 2012 2014 2016

0% 10% 20% 30% 40% 50%

Henry (Nestle)

More Disruption Please…

Wayra (Telefonica)

Barclays Accelerator

AT&T Foundry Health

DAL (Novartis)

Techstars

Grant4Apps (Bayer)

Samsung Next

Merck Accelerator

Microsoft Accelerator


AWARENESS RANKING OF CORPORATE ACCELERATORPROGRAMS IN HEALTHCARE GLOBALLY

…most don‘t attract enough innovators


THANK YOU

Ralf-Gordon Jahns

[email protected]

Mobile: 0172 616 5655Fix: +49 (0)30 609 89 3366

www.research2guidance.com

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