Key Takeaways
- Market Growth:
- The digital health market will hit $550 billion by 2027, growing at a 16.5% CAGR.
- Telemedicine holds 43.12% of revenue share, and AI will save $150 billion in healthcare costs by 2026.
- Opportunities:
- Remote patient monitoring is growing fast.
- Demand for personalized and preventive care is increasing.
- AI and machine learning are revolutionizing healthcare.
- Digital Health Businesses:
- Key areas include telemedicine, digital diagnostics, and patient monitoring.
- Services hold a 37.8% market share, driving innovation.
- Entrepreneur Tips:
- Pick the right model: SaaS, platform-based, or payvider.
- Build secure, HIPAA-compliant platforms with strong encryption.
- Focus on simple, personalized patient engagement.
- Growth Tactics:
- Use content marketing, webinars, and programmatic ads.
- Partner with complementary businesses for faster growth.
- Bask Health’s Role:
- Bask Health supports entrepreneurs with secure telehealth solutions that improve care and meet market needs.
The digital health market will reach $550 billion by 2027, creating exceptional opportunities for online healthcare entrepreneurs to invent and reshape patient care delivery. With a 16.5% CAGR, investment in health-tech startups surged to $29.1 billion in 2021.
Our team at Bask Health provides secure telehealth solutions and has seen firsthand how technology reshapes healthcare delivery. The telemedicine industry is currently growing at 35% annually and AI-driven solutions are projected to save the industry $150 billion by 2026. The market's potential continues to expand, with 97 health-tech unicorns valued at $229 billion worldwide.
This complete guide will help you:
- Pick the right healthcare business model
- Build a secure, HIPAA-compliant platform
- Create patient value and engagement strategies
- Scale your venture effectively
Understanding the Digital Health Landscape
Bask Health has witnessed the digital world of healthcare grow remarkably, with the global market hitting $240.9 billion in 2023. This growth is a reflection of the evolving needs of the patients and how healthcare delivery adjusts accordingly.
The current state of online healthcare
The healthcare sector is going through an unprecedented digital transformation. We accelerated this change during recent global events. Western countries now show over 90% mobile phone ownership for people under 65, which builds a resilient foundation for digital health solutions. The app stores now offer over 100,000 health applications testimenting the rapid growth of the sector.
Key market opportunities
The digital health market will grow at a CAGR of 21.9% from 2024 to 2030. The tele-healthcare segment takes the largest revenue share of 43.12%, which opens up major opportunities for online healthcare entrepreneurs. Several factors stimulate this market's growth:
- Remote patient monitoring adoption is rising
- People need individual-specific healthcare solutions
- Prevention-focused care is becoming important
- Healthcare services now use AI and machine learning
Types of digital health businesses
At Bask Health, we recognize eight core segments in digital health entrepreneurship:
- Digital diagnostics
- AI-powered health analytics
The services sector leads with a 37.8% market share, offering entrepreneurs ample opportunities in software-driven healthcare solutions.
Choosing Your Healthcare Business Model
The right business model is the lifeblood of success in the digital health space. Bask Health has witnessed consumer adoption of telehealth jump from 11% to 46%. This creates a great chance for healthcare entrepreneurs.
Telemedicine platforms
The telemedicine sector has grown beyond basic video consultations. It can now virtualize up to $250 billion of current US healthcare spend. We found three business models that work well:
- B2B2C Model: Partners with employers and payers to reach consumers
- Platform Model: Creates a marketplace connecting providers and patients
- Payvider Model: Combines payer and provider services for budget-friendly care
These models excel at involving digital members and providers. They can save 5 to 10% in costs through AI integration.
Health tech software solutions
The Software as a Service (SaaS) model leads the health tech sector. It focuses on electronic health records and telemedicine platforms. Our work at Bask Health shows that successful SaaS in healthcare needs constant value delivery through regular updates and reliable customer support.
Healthcare Analytics and Business Intelligence solutions help organizations make data-driven decisions that boost patient care and efficiency. These solutions go beyond technology. They combine medical and pharmaceutical care in convenient settings through live monitoring and interventions.
Digital health marketplaces
Digital marketplaces have changed how healthcare stakeholders interact. They offer a curated portfolio of solutions for clinical, operational, and financial functions. In fact, these platforms provide various deployment options, from local installations to secure cloud connections. They also offer flexible payment models including one-time payments, pay-per-use, or subscriptions.
Bask Health has seen digital marketplaces make vendor selection easier. Healthcare providers can use collective experiences to make better decisions. The marketplace model needs strong security measures but offers major benefits through efficient deployment options and complete support chains.
Building Your Healthcare Platform
Building a reliable healthcare platform needs careful attention to technical infrastructure and security protocols. Our work at Bask Health shows that healthcare platforms must excel in both functionality and compliance.
Technical requirements
Healthcare platforms need a complete software development lifecycle. We focused on reliable software development processes that deliver high-quality, secure applications. Our teams use Agile and Test-Driven Development methodologies to maintain quality standards and regulatory compliance.
The system architecture supports smooth data integration from multiple sources. At Bask Health, Continuous Delivery tools and DevOps practices make shared collaboration possible between development teams and clinicians. This integration optimizes data-sharing protocols between healthcare providers of all sizes.
Security and Compliance
Security is the lifeblood of healthcare platform development. Our platform includes these critical security measures:
- End-to-end data encryption for both stored and transmitted information
- Multi-factor authentication to boost access control
- Automated logging systems to monitor user activity
- Regular security assessments and updates
- Secure backup protocols with encryption
HIPAA compliance remains non-negotiable for healthcare platforms. Role-based access control and complete audit trails ensure strict adherence to privacy regulations. The platform logs off users automatically after periods of inactivity to maintain security during idle sessions.
Data protection goes beyond simple security measures. Sophisticated user authentication routines prevent unauthorized access. Quick detection of suspicious activities happens through detailed log files of every authorization attempt.
Bask Health's experience shows that HIPAA compliance needs constant monitoring and updates. Self-inspections help catch potential security vulnerabilities early. Regular security assessments ensure our platform meets evolving regulatory requirements.
Creating Value for Patients
Patient-centered design forms the base of successful digital healthcare platforms. Bask Health knows that patient value comes from focusing deeply on user experience, involvement, and service optimization.
User experience design
Quality UX design in healthcare affects patient outcomes and satisfaction levels directly. We focus on designing interfaces that promote better health habits without being intrusive. Our experience shows that healthcare UX personalization helps create experiences that match each patient's needs, making every interaction easier and more effective.
We make our designs accessible and inclusive, especially when you have many users with health conditions that limit their digital platform use. Our straightforward, easy-to-use interfaces help users quickly learn how to monitor vital signs, record medication dosage, or track medication schedules.
Patient engagement strategies
Digital patient engagement has become vital as telehealth's total annual revenues grew 83% in 2021 compared to 2019. Bask Health uses these proven engagement strategies:
- Personalized patient dashboards displaying relevant health metrics and reminders
- Secure messaging systems for provider communication
- Integration with wearable devices for live health tracking
- AI-powered chatbots for medication and treatment plan guidance
Our data shows that good healthcare UX/UI design improves care quality and prevents provider burnout. We've noticed that tracking appointment demands helps us line up our supply with patient priorities.
Service delivery optimization
Our platform optimizes service delivery by using a team-based care approach that has been shown to reduce physician burnout and increase patient access to care. We help patients get comfortable with technology through pre-visit technical support and practice visits.
Our backup plans for technology failures and live technical support ensure smooth service delivery. Healthcare providers can schedule virtual and in-person visits in the same time block through our platform, which ends up improving patient satisfaction and involvement.
AI and machine learning integration work exceptionally well, as studies show telemedicine interventions lead to better patient health outcomes and cost savings. Regular virtual consultations and continuous monitoring have boosted chronic condition management and overall health outcomes.
Growing Your Healthcare Business
Scaling a healthcare business needs a mix of fresh marketing approaches and strong partnerships. Bask Health has seen how marketing and partnership strategies can substantially affect business growth.
Marketing strategies
Inbound marketing proves more affordable than traditional methods, costing 61% less. Our team has found several digital channels that accelerate sustainable growth:
- Content Marketing: Publishing more than 16 blog posts monthly can generate 3.5 times more traffic compared to posting 4 or fewer articles
- Webinar Presentations: Interactive online forums featuring industry experts
- Case Studies: Showcasing concrete results with specific metrics
- Email Nurturing: Automated, individual-specific communication sequences
Healthcare marketing success depends on analytical insights. Companies that use analytics tools to track audience behavior achieve better targeting and higher conversion rates. Programmatic advertising has become the quickest way to reach specific demographics in the healthcare sector.
Partnership development
Strategic collaborations help accelerate growth in the healthcare sector. The original focus stays on finding complementary expertise and resources. To name just one example, a health tech startup working on wearable devices might work together with pharmaceutical companies. This gives them access to patient databases while providing immediate health data.
Joint ventures (JVs) and alliances have become vital to access new capabilities and speed up market entry. These partnerships offer several benefits:
- Access to new capabilities and expertise
- Increased speed to market
- Operational efficiencies
- Capital optimization
- Scale advantages
Bask Health's experience shows that successful partnerships need clear expectations about process changes and performance. Evaluating and structuring these joint efforts takes substantial work, making partnership prioritization vital at the organizational level.
Innovation labs have become powerful partnership vehicles that support internal solutions to high-priority problems. These labs typically include:
- Healthcare administrators
- Project managers
- Informaticians
- Data analysts
Risk management plays a vital role in partnership development. Our team has implemented protection strategies to ensure the partner company's potential failure doesn't block access to beneficial digital health capabilities from other partners. This approach has soared, with partners calling it a "leap of faith" partnership model that builds confidence through transparency and regular communication.
Conclusion
A successful digital healthcare business needs careful planning, resilient infrastructure, and steadfast dedication to patient care. Bask Health's experience shows how technology and patient-centered design work together to create lasting effects in healthcare delivery.
The digital world presents amazing opportunities with the market projected to reach $550 billion by 2027. Healthcare entrepreneurs achieve success by choosing the right business models and implementing secure platforms that deliver real value to patients. Our team's experience proves that prioritizing these elements while following HIPAA compliance helps businesses position themselves for long-term growth.
Mutually beneficial alliances and evidence-based marketing help businesses expand faster in the digital health space. Successful healthcare entrepreneurs don't treat these as isolated efforts but make them part of their complete growth strategy. This integrated approach builds resilient healthcare businesses ready to tackle future challenges.
Strong foundations in compliance, security, and patient involvement are crucial when you start a journey in digital health. These core elements combined with strategic partnerships and effective marketing create paths to green practices in the ever-changing digital health marketplace.
References
- Grand View Research. Digital health market: Industry analysis and trends. Grand View Research. https://www.grandviewresearch.com/industry-analysis/digital-health-market. Accessed January 17, 2025.
- McKinsey & Company. The future of healthcare: Value creation through next-generation business models. McKinsey Insights. https://www.mckinsey.com/industries/healthcare/our-insights/the-future-of-healthcare-value-creation-through-next-generation-business-models. Accessed January 17, 2025.
- American Medical Association (AMA). 10 pearls to optimize telemedicine using team-based care. AMA Digital Practice Management. https://www.ama-assn.org/practice-management/digital/10-pearls-optimize-telemedicine-using-team-based-care. Accessed January 17, 2025.
- Responsify. Telemedicine strategy: How to build a successful approach. Responsify Blog. https://www.responsify.com/telemedicine-strategy. Accessed January 17, 2025.