Hi there,

Digital transformation is complicated, especially within the healthcare system.

This got our healthcare analysts thinking. If somebody without healthcare experience was hired to lead digital transformation in a hospital system, which 3 areas would we suggest they get up to speed on? Read on to find out what we decided — and let me know if you agree or would pick something else.
 

First up…follow the money.
 

Revenue cycle management

Cash cycle management is already a complex topic, but when you mix in all the healthcare parties (insurers, the government, employers, etc.) you get next-level complexity. You also get a cooler-sounding name: revenue cycle management or RCM. And Covid-19 has made enhancing it more important than ever.

Changes in reimbursement structure, new appointment volume and utilization management challenges, and the shift toward ambulatory and home care are requiring that healthcare providers adopt a new toolkit to manage their revenue cycle. 

We identified 158 RCM companies addressing a range of tech priorities that healthcare providers face, from chargemaster management to patient scheduling.  Download it here.

Trying to decide which RCM tech market to prioritize right now? We got you covered in  this report (hint: don’t overlook digital patient payments). 

Next up…it's all about the patients. 

Digital front door

Thanks in part to Big Tech creating seamless experiences for consumers, patients are starting to demand a similar experience in healthcare.

What does this mean? Healthcare leaders are shifting more of their R&D budgets toward digital front door technologies that can boost patient engagement, help patients navigate care needs, and improve the quality and cost of care. 

We identified 112 digital front door companies addressing a range of tech priorities, from patient-directed scheduling to remote monitoring.  Download the market map here.

Looking to determine which digital front door tech to go after first? We got you covered  in this report (hint: it might be too early for engagement & education). 

Our last area of choice is related to provider burnout and staffing shortages.

Clinical workflow tech

In an effort to streamline clinician workflows and respond to Covid-19-induced challenges — such as provider burnout and staffing shortages — hospitals and health systems are doubling down on clinical workflow solutions. The urgency is palpable. According to the Association of American Medical Colleges, the US faces a shortage of up to 124,000 physicians by 2034.

We identified 118 clinical workflow tech companies addressing a range of tech priorities, from virtual assistants to secure clinical communication solutions. Clients can  click here to download the market map.

What clinical workflow tools should you prioritize? Find out  in this report.

Free research

Next month, we are publishing our annual Big Tech in Healthcare report. The report will explore how tech giants such as Google and Amazon are targeting healthcare —  and it will be for CB Insights clients only.

Our 2021 Big Tech in Healthcare report, however, is available to all for free right now. Download it here.

Are you in?
 

Every week, hundreds of CB Insights customers are connecting with vendors on our platform. A recent example: A digital health & advisory network is conducting exploratory diligence on lab solutions to help accelerate a client's transformation.

If you’re building technology that can assist, submit an Analyst Briefing here.

Stay healthy,

Marc Albanese

P.S. Thank you to Anjalika and Scott for help compiling the newsletter this week! 

P.P.S. If you are passionate about emerging trends in the digital health space, then we have the role for you. We are hiring a senior healthcare analyst. Apply here. 

The Future of Clinical Trials: How technology is making drug trials more efficient, cost-effective, and inclusive We dive into the evolution of clinical trials and where the space is going next, from AI to improve recruitment to in silico trials with simulated patients. Read it for free here. 
 

 220 companies helping healthcare payers improve member engagement and health With per-member spending for healthcare services rising, this Tech Market Map looks at the companies helping healthcare payers offer innovative services to reduce costs and support long-term member health. Read it here.

 Analyzing Optum’s growth strategy: How the health services giant is expanding its reach We mined Optum's acquisitions, investments, and partnerships to discern the company's strategic priorities. Read it here.
 

 Unbundling Women’s Health: How femtech is disrupting traditional women’s health & wellness services From fertility to menopause, we take a look at the femtech startups disrupting women's health. Read it here.

Amazon’s secret virtual care venture? In addition to shutting down Amazon Care and acquiring One Medical, Amazon is testing a new digital health venture (Katara) with employees. This venture targets direct-to-consumer care by combining AI chatbots and clinicians to treat common ailments such hair loss and acne.

Business Insider
 

Walmart x UnitedHealth. Walmart and UnitedHealth Group established a 10-year deal to offer value-based care (VBC) services. Deal terms include the companies operating a co-branded Medicare Advantage plan in Georgia starting in 2023. 

Healthcare Dive

DEALS

Feeling like a billion bucks. Verily Life Sciences raised $1B in capital from investors including its parent company, Alphabet. The capital will be used to support strategic partnerships, global business development, and potential acquisitions. The company is specifically interested in expanding its precision health business.
 

CVS to acquire Signify Health. Signify Health, a Dallas-based healthcare platform, is set to be acquired by CVS for $8B.The acquisition will add both home care services and a value-based care platform to CVS’ healthcare portfolio. 
 

PERSPECTIVES
 

Retail health strategy. This article reviews how retail pharmacy chains like Walgreens and Walmart as well as big tech companies like Amazon are investing in the healthcare market to become omnichannel healthcare providers.

MedCity News
 

Where value-based care change starts. This opinion piece discusses the importance of value-based care and the changes that need to occur to enhance care delivery for patients. 

Modern Healthcare