Subscription-based software-as-a-service (SaaS) is almost ubiquitous in the computer sector. Healthcare-as-a-subscription may become the norm in the future.
Companies that drive the post-pandemic economy, according to the American Hospital Association, will move beyond transactional, episodic connections with patients and may instead rely on subscription-based products.
Patients are demanding that things change. According to the PYMNTS and CareCredit report “ConnectedEconomyTM: Omnichannel Healthcare Takes Center Stage,” U.S. consumers began utilizing digital channels to communicate with their healthcare providers, and they have continued to use patient portals, telemedicine technology, and mobile applications to do so. To access healthcare services, 46 percent of them — a projected 119 million — now use a combination of traditional in-person and digital options.
And the subscription business model has the ability to provide such alternatives at a reasonable cost. As new participants continue to enter the healthcare sector, anticipate them to arrange and offer services using the subscription business model. They may engage with customers in ways that are so simple that we have yet to envision them. They will also employ the subscription model to cultivate a loyal consumer base and a consistent cash flow.
Not a Revolution, but an Evolution
Payers, especially those in the public sector, want a solution that streamlines healthcare delivery and financing while enabling ubiquitous but inexpensive access. And the pattern has been building for years.
The subscription model evolved from Kaiser Permanente’s health maintenance organization (HMO) idea in the 1970s and 1980s. The approach gained popularity among businesses seeking steady, predictable employee healthcare expenditures. However, employees objected to the restricted number of physicians, therapies, and treatments available, and the model evolved into the Preferred Provider Organization (PPO) idea, which enables patients to pick providers outside of their plan’s network, although at a higher out-of-pocket expense.
Concierge care is a relatively new approach to primary care. Patients pay a monthly, quarterly, or yearly fee for unrestricted access to a primary care physician under this approach. This usually involves rather unrestricted telehealth access. Employee benefits packages have yet to adopt this concept.
Big Technology
Healthcare, which accounts for about 20% of US GDP, is the reward for technology. Amazon, for example, looks to be stepping up its efforts in healthcare. The eCommerce behemoth recently revealed plans to buy primary care provider One Medical.
The seven elements listed above will help you get started thinking about starting a new business. With a little investigation, you’ll discover that there are several factors to consider, which is why you shouldn’t hurry into beginning your firm.
