MOBILE HEALTH
Consumer “Truths” Requiring Consideration
Leigh Ann Ruggles
Director, Strategy & Business Development
Verizon Mobile Health Solutions
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
What won’t YOU leave home without?
Keys
Wallet
Smartphone
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
2
. . . would you reconsider?
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
3
Truth #1: Addicted to Mobile
of people say they
couldn’t go a single day without
their mobile device in hand.
Source: http://www.nydailynews.com/life-style/addicted-phones-84-worldwide-couldnsingle-day-mobile-device-hand-article-1.1137811#ixzz2k3lzd8cu
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
4
People are Accessing Technology in a
Different Way
2005
2006
Source: Kleiner Perkins Caufield Byers
2007
2008
2009
2010
2011
2012
2013E
Desktop PCs
Notebook PCs
Smartphones
Tablets
2014E
2015E
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
5
People and Providers Are Using This
Technology
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
6
Mode of Use Matters
Source: Pew Internet & American Life Project SmartPhone Ownership Update September 2012
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
7
Truth #2: The Quantified Self
Seven in ten (69%) U.S. adults
track a health indicator for
themselves or a loved one.
Source: http://mobihealthnews.com/20040/pew-most-us-adultstrack-health-data-but-few-use-digital-tools/>#sthash.L3CCQnhj.dpuf
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
8
Engagement Beyond Wellness Apps
Onavo AppRank™ Top iPhone Apps: Top 50 iPhone Apps for Health
https://insights.onavo.com/top-apps/Health%20&%20Fitness
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
9
Truth #3: More than Carrots and Sticks
Social Networking
Contests
Instant Win
Sweepstakes
QR codes
Geotargeting
Gamification
Congrats! You
have unlocked a
new superfood!
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
10
mHealth Market is Entering a New Phase
of Growth
We’re entering the
Commercialization Phase
Approximately 100,000 mHealth
apps are listed in 62 app stores with
the majority being general health
and fitness trackers. About 85% of the
Trial Phase
First solutions; pilots and
proof of concepts
apps target consumers.
Top 10 mHealth apps include 4
million free and 300,000 paid
downloads per day.
In five years, mHealth apps will be
on 1.7 billion smartphones and
tablets.
The main revenue will come not
from app purchases but from
additional hardware (sensors) and
services.
NOW
Commercialization Phase
More solutions; new
business models; focus on
health-interested people
and companies
Integrated Phase
Integrated with treatment
plans; insurance
reimbursement
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
11
Truth #4: Consumer Trust is Required
SECURITY IS JOB #1
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
12
Truth #5: Omnichannel Expectations
Hospital
Wellness
Tracking
Rx
Drug Store
Remote
Monitoring
SmartPhone
App
Video Consult
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
13
Summary: What Consumers Need to Truly
Unlock the Magic of Digital Health
• Mobile must be the center of any strategy
• If the right tools are offered, consumers will engage
 Apps, sensors, wellness devices are proof
• Need more than carrots and sticks
 Must be rewarding and entertaining
• Security is a top priority
 Trust will not come easy
• Must deliver seamless, consistent experience
 Omnichannel interaction is the expectation
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
14
APPENDIX
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
15
The Perfect Storm
Promise of delivering healthcare cost-effectively via Mobile fuels
opportunities
1
Macro Forces Influencing Healthcare
Increasing Acceptance of Mobility
Growing Affordability Crisis
Consumers
Exploding Healthcare Costs per Capita
Cost shift to consumers
1
5,000+ Health and Wellness smartphone apps today
(for end users and caregivers)
56% smartphone penetration by 2014.
Government Reforms & Role of IT
2
Health IT mandates to drive lower costs.
Shift from volume to value
Providers
2
80%+ physicians use a smartphone.
Need for collaboration and coordinated care delivery
Health Plans
Consumerism of Healthcare
3
3
Apps as tools for efficiency, patient engagement
Demand for greater access to health information
Increased emphasis on wellness,
personalization, and engagement
Investors
4
$850M+ in mHealth VC funding in 2012
Investments and innovation from large medical device
companies, telcos, and startups
Increased Utilization & Access Challenges
4
Payment for telemedicine.
Aging population &rise of chronic diseases
Shortage of physicians/nurses
Government
4
Initiated National Broadband Plan/ incentives for HIT adoption
FCC will act on recommendations of mHealth Task Force
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
16
Pot Holes Along the Way
Despite promising benefits, mHealth faces obstacles to becoming mainstream
• Coming to grips with ambiguous funding source – provider, payer, consumer
Undefined
Business Model
Clinical / Admin
& Legal Issues
• Finding benefits that more than offset the additional networking and service costs
• Financial justification and incentives — most healthcare systems do not reward
clinicians for keeping patients well (or less sick), only for treating them when they
become sick
• The requirement for new models of staffing, scheduling and care coordination,
especially for services that involve remote monitoring
• Legal liability, licensing and accreditation, especially when services are delivered
across jurisdictional boundaries
• FDA Guidelines
• Moving beyond early adapter consumers to mainstream
Market
Readiness
• Medical device companies becoming more proficient in networking technology
• Standards slowly converging to enable “plug and play”
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
17
Demographics
Source: Pew Hispanic Center http://www.pewhispanic.org/2013/03/07/closing-the-digitaldivide-latinos-and-technology-adoption/
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
18
SmartPhones: Not Just for Gen Y
anymore…
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
19
Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.
20