Creating commercial value out of the consumerization of medical devices

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CREATING COMMERCIAL VALUE OUT OF THE CONSUMERIZATION OF MEDICAL DEVICES KOEN DE LOMBAERT MD MBA CO-FOUNDER YUZU LABS

description

A talk I gave at the MEDevice San Diego conference. Consumer medical devices as beautiful devices connected to smartphones with a focus on wellness instead of disease blurring the line between tracking and diagnosis. Devices that consumers want to buy and use as opposed to their clunky, clinical counterparts. I argue that the consumerization of medical devices is the second wave after consumer medical information such as WebMD and Everyday Health in the empowerment of the “patient”. Let’s see when the term “patient” completely disappears

Transcript of Creating commercial value out of the consumerization of medical devices

Page 1: Creating commercial value out of the consumerization of medical devices

C R E AT I N G C O M M E R C I A L VA L U E O U T O F T H E C O N S U M E R I Z AT I O N O F M E D I C A L D E V I C E S

K O E N D E L O M B A E R T M D M B A C O - F O U N D E R Y U Z U L A B S

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W I K I P E D I A

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C O N S U M E R M E D I C A L D E V I C E M A R K E T

• ~ $ 8 billion market in 2012 expected to grow to $10.5 billion in 2017

• Product types include BP monitors, Blood glucose monitors, hearing aids, fertility and pregnancy tests,…

• Overall mature market, commoditization

Consumer Medical Devices Production Yearbook - IHS 2013

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C O N S U M E R ( M O B I L E ) M E D I C A L D E V I C E S

• Increasing trend to use display of smartphone

• The smartphone as a hub of computing power, connectivity, display of information, and social.

• Mobile versions of ECG, Blood pressure monitor, glucometer and thermometer

http://www.medgadget.com/2014/02/lifescan-releases-bluetooth-enabled-glucose-monitor-interview.html

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K E Y A S P E C T S O F C O N S U M E R M E D I C A L D E V I C E S

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A C T I O N A B L E I N F O R M AT I O NH O W T O M A K E D A TA I N F O R M A T I O N ?

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I N D U S T R I A L D E S I G N & U S E R E X P E R I E N C E

• Appealing

• Frictionless

• Focus on wellness

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E C O S Y S T E M

• Sensor Device

• Additional data from smartphone or other sources: GPS, accelerometer, user input,…

• Display information: color-coded, map, trends

• Sharing with relatives, caregivers and clinicians

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H E A LT H T R A C K I N G

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H E A LT H T R A C K I N G

http://www.pewinternet.org/fact-sheets/health-fact-sheet/

Almost 1 in 2 U.S. adults have a chronic condition.

• 19% of U.S. adults reporting no chronic conditions say they track health indicators or symptoms

• 40% of U.S. adults with 1 condition track

• 62% of U.S. adults with 2+ conditions track

O N LY 1 I N 5 U S E S O M E F O R M O F T E C H N O L O G Y T O T R A C K A H E A LT H I N D I C AT O R

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I M PA C T O F T R A C K I N G

I F 1 0 % O F A D U LT S I N T H E U N I T E D S TAT E S B E G A N A R E G U L A R WA L K I N G P R O G R A M , A N E S T I M AT E D $ 5 . 6 B I L L I O N I N H E A R T D I S E A S E

C O S T S C O U L D B E S AV E D .

JAMA, November 21, 2007—Vol 298, No. 19

http://www.technologyreview.com/news/529031/mobile-healths-growing-pains/

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I M PA C T O F T R A C K I N G

I F 1 0 % O F A D U LT S I N T H E U N I T E D S TAT E S B E G A N A R E G U L A R WA L K I N G P R O G R A M , A N E S T I M AT E D $ 5 . 6 B I L L I O N I N H E A R T D I S E A S E

C O S T S C O U L D B E S AV E D .

JAMA, November 21, 2007—Vol 298, No. 19

T H O U G H O N E I N 1 0 A M E R I C A N S O W N S T H E T Y P E O F T R A C K I N G D E V I C E M A D E B Y N I K E , F I T B I T, A N D J AW B O N E T O M O N I T O R S T E P S TA K E N , Q U A L I T Y O F S L E E P, O R C A L O R I E I N TA K E , M O R E

T H A N H A L F O F T H O S E D E V I C E S A R E N O L O N G E R I N U S E

http://www.technologyreview.com/news/529031/mobile-healths-growing-pains/

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D E R I V I N G C O M M E R C I A L VA L U E

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D E R I V I N G C O M M E R C I A L VA L U E

• Develop a clear use case

• Design for this use case

• Deliver a solution

• Answer to: “what do I do now that I know my numbers?”

5 Health Tech Trends to Watch in 2014 | CL Health Newspwc-mhealth-owning-the-disease.pdf

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B U S I N E S S M O D E L

• Pricing

• Business model

• Device purchase + free app

• Device + app for monthly fee through mobile carrier

• Device + app + premium consults for a fee

• Retail channels

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A T R O V E O F D ATA

“Much more precise medicine is possible. And I for one want it. Because our smartphones are on us 24/7, we can start to do much more.” —Vinod Khosla

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T R A N S L AT I N G W E L L N E S S A N D H E A LT H D ATA

• New field, holds great promise

• More precise diagnosis and care, on the spot decision support and more granular information advancing science

• Diagnostics: Propeller Health, Kinsa

• Disease management: Ginger.io, Welldoc

• Linq (Open mHealth)

• Privacy, liability, interoperability, clinical value of the data

MIT-Technology-Review-Business-Report-Data-Driven-Health-Care.pdf

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U S E C A S E 1 : D I A B E T E S

I N T E G R AT I O N G E N E T I C S , L I F E S T Y L E FA C T O R S A N D I N F E C T I O N

Personal omics profiling reveals dynamic molecular and medical phenotypes.Cell. 2012 Mar 16;148(6):1293-307

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U S E C A S E 2 : H Y P E R T E N S I O N

Sustained

Normotension

White Coat

Hypertension

Masked

hypertension

Sustained

HypertensionNormal BP during office visit and at home

High BP during office visit normal at home

Normal BP during office visit and high BP at home

High BP during office visit and at home

Better metabolic profile

Low disease risk

Worse metabolic profile

High disease risk

High BP at doctor’s officeNormal BP at doctor’s office

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T R A N S L AT I N G H E A LT H A N D W E L L N E S S D ATA

• Everybody his personal Watson?

• Will we finally understand the interplay of behavior, environment and genomics? Nature vs nurture.

T H E Q U A N T I F I E D U S

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T R E N D S

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E M E R G I N G D E V I C E S : N E W F I E L D S , S E N S O R S & T E C H N O L O G I E S

• Urine • Microfluidics • EEG • Voice analysis • Breath analysis • …

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S E N S O R S B E C O M E A B U N D A N T A N D I N V I S I B L E

SMAR T CLOTHES “ INTERNET OF TH INGS”

http://www.fastcodesign.com/3034808/can-ralph-lauren-take-smart-clothes-mainstream

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I N T E G R AT I O N A C R O S S S E N S O R S A N D A P P S

• Apple HealthKit, Google Fit, Misfit

• Qualcomm 2net

• Linq

http://mobihealthnews.com/32476/in-depth-revisiting-topols-top-ten-digital-health-targets/

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M A I M O N I D E S

“Give a man a fish and you feed him for a day; teach a man to fish and you feed him for a lifetime.”

Koen De Lombaert [email protected] @KoenDl