Introduction

Make or break

The direction of the market and unsettled economic circumstances are changing the dynamics of success in digital health.

On the back of a pandemic-fuelled innovation and fundraising boom, the future outlook is more combative and complex – defined by competition for capital, regulatory scrutiny and fast cross-border expansion. Raising capital on sustainable terms, bringing effective products to market quickly and protecting competitive position are all increasingly critical to success, and increasingly challenging to achieve.

Digital health leaders need a new growth playbook that is built for this moment. This collection of ideas and experiences from digital health leaders and the Taylor Wessing experts who partner them explores how to grow through make or break moments.

Why read this playbook?

Benchmark...

your experiences, challenges and opportunities against 250 other digital health businesses.

Access...

insight from a community of innovators, investors and legal experts – covering capital raising, international expansion, the regulatory environment and more.

Discover...

the key principles of success in an increasingly complex and competitive digital health industry.

The topline

The next era of digital health is beginning. Innovators are responding to market saturation, changing competition and acute healthcare needs by building new, more complex and highly regulated products. But as companies move up the value chain and into unsettled economic conditions, they face new regulatory obstacles to growth and mounting pressure to deliver for investors.

The topline

The next era of digital health is beginning. Innovators are responding to market saturation, changing competition and acute healthcare needs by building new, more complex and highly regulated products. But as companies move up the value chain and into unsettled economic conditions, they face new regulatory obstacles to growth and mounting pressure to deliver for investors.

Next generation digital health

Initial digital health adoption was driven by consumer wellness products – app-based tools often designed to manage nutrition, physical activity and mental health. Today this market is saturated and competition has intensified across the digital health spectrum. As a result, an overwhelming majority of the digital health leaders we interviewed for this playbook see limited long-term growth potential in consumer wellness. But where next?

agree that long-term growth in the industry won't come from new wellness solutions.

say it is increasingly hard to compete with large retail and tech businesses in this space.

Moving up the value chain

We asked innovators what it takes to remain competitive and scale success in a changing market. The answer was clear.

They are moving up the value chain – capitalising on the digitisation of healthcare and new technology to solve bigger problems.

believe that to remain competitive they must develop products to solve more acute medical needs

Testing times

The path forward will test whether existing business models and strategies are ready to scale, particularly at a time when innovators anticipate new regulatory obstacles to growth and are under immense pressure from investors.

see new and changing regulation as a serious threat to their business model and value proposition.

say that investors have extraordinarily high expectations of growth and ROI.

How to break through

Despite the challenges involved with a changing market, opportunities abound for digital health innovators that can break through.

How to break through

Despite the challenges involved with a changing market, opportunities abound for digital health innovators that can break through.

Finance

If you’re preparing for your next funding round, this section is for you. Read about the current fundraising environment, what’s worrying fellow innovators and how to access finance on favourable terms.

Commercialise

If you’re concerned about the impact of regulation on growth, this section is for you. Discover how other innovators feel about regulatory obstacles and how to align your commercial and regulatory strategies.

Scale

If you’re on a mission to scale up, this section is for you. Compare other innovators’ plans and consider how to overcome the obstacles associated with expanding into new markets, building product functionality and value growth.

Meet the contributors

Who are the innovators and experts that have shared their experiences in this playbook?

This playbook is a collection of insights from digital health leaders and the experts who partner them – representing the diversity of the digital health ecosystem.

Digital health leaders

Taylor Wessing clients and contacts who are at the forefront of evolution in digital health.

Taylor Wessing lawyers

Expert Taylor Wessing lawyers who support digital health leaders at the critical milestones of growth – finance, commercialise and scale.

Digital health network

250 digital health enterprises participated in our survey, representing key hubs of innovation, investment and adoption – the UK, US and Germany.

Our capabilities

Our capabilities

Taylor Wessing helps digital health companies grow through make or break moments. We spot legal issues early that could compromise vision or value, support clients to weigh commercial decisions against regulatory limitations and propose simple solutions that overcome inherent industry complexity.

With decades spent advising leading pharmaceutical, biotech and medtech companies and fast growth businesses on a global scale, we understand the interplay of the law and commercial strategy. Bringing a growth mindset and deep sector knowledge to every instruction, Taylor Wessing is the law firm for digital health.

Get in touch to discuss how we can help you

digitalhealth@taylorwessing.com