For HealthTech startups it is not very straightforward who their customers really are. There are patients, doctors, insurance companies, hospital procurement and medical technology department. Often the argumentation for new medical devices is that they diagnose more accurately, are less invasive, more accessible or safer for the patient - but all the points individually are not enough to lead someone to a purchasing decision and adaptation of your innovation in the market.
To find a clear value proposition it is necessary to understand the benefits your innovation is bringing to those different stakeholders. While I was a Global Product Manager I have developed the PURSE model:
These stakeholders all have different and partially conflicting interests, depending on which KPI’s they are measured against. For you it is important to understand all of them and identify the key benefits they seek. Be aware, benefits are not features like an AI automated diagnosis report, but measurable results. The three most important categories for all stakeholders are money, time and risk.
To use the PURSE model, you will look at those categories per stakeholder. Initially you will create assumptions about what they like and which benefits your solutions bring to them. The tricky part is actually validating those points, which is going to take years but with a clear plan you can do it more efficiently.
Here are a few example questions that may help you to find and validate the most relevant benefits:
|
Money |
Time |
Risk |
|
|
Patients |
Does the solution reduce out-of-pocket expenses for patients? Are there any cost savings associated with reduced hospital visits or medication needs? |
How much time do patients save in recovery or treatment? Do patients need fewer follow-up appointments? |
How much earlier can a disease be detected? By how much does the solution minimize the risk of complications or adverse effects for patients? |
|
User (HCP) |
How much more can a doctor earn with this innovation? How much can be saved per treatment? |
How much time is saved in clinical workflows and on administrative tasks? How much faster and more accurate can the patient diagnosis and treatment be? |
By how much does the solution reduce the likelihood of medical errors or misdiagnoses? |
|
Reimbursement (Payer) |
What are the socio economic benefits? How much lower can the overall healthcare costs be? |
Can the technology reduce the time spent on managing patient claims and authorizations? |
What clinical evidence supports the cost- and health effectiveness of the solution? |
|
Sales Reps (Distributors) |
How does the solution enhance sales opportunities and increase revenue for distributors? |
How does the solution reduce the time required for sales cycles and closing deals? Can the technology improve the efficiency of product demonstrations and customer interactions? |
How does the solution minimize the risk of product returns or customer dissatisfaction? What support is available to address potential challenges in the sales process? |
|
Economic Buyer (Decision Maker) |
Are there measurable cost savings or ROI associated with implementing the technology? How does the solution align with the organization's financial goals and budget constraints? |
Can the technology accelerate the implementation of organizational initiatives? Can the solution provide objective and KPI relevant insights that are otherwise not possible? |
How does the solution mitigate risks related to compliance, regulation, or market competition? What contingency plans are in place to address potential disruptions or failures? |
Understanding who your real customer is in the HealthTech industry requires a nuanced analysis of various stakeholders and their unique needs. The PURSE model provides a structured approach to identifying and validating the benefits your innovation brings to each group. By focusing on measurable outcomes across money, time, and risk, you can tailor your value proposition to resonate with each stakeholder's priorities. This strategic clarity not only enhances your market entry efforts but also strengthens your startup's competitive advantage. As you embark on this journey, remember that the key to success lies in continuous engagement and validation with your stakeholders. Comment below or reach out to me if you seek further insights and hands-on support.