INDUSTRY SPOTLIGHT

Digital Health

Delve into every facet of the digital health industry and learn about its opportunities and challenges to outwit competition and raise funding in a fast-changing domain.

Reshape digital health today, reinvent healthcare tomorrow

Increased demand for remote healthcare services, the ubiquity of smartphones, and tech advancements have turned the digital health industry into a multifaceted and fast-evolving market. The directions for innovation are numerous: telehealth, mHealth, wearable health devices, AI-driven diagnostics, and wellness apps all create limitless opportunities for growth. But…

Carving out a market share gets progressively harder

Changes in the regulatory landscape pose a threat to startups. The new founders need profitable business models and sharp pitches to raise their next funding round. And here comes another concern…

The well of funding is running dry. The post-pandemic marketplace is experiencing significant transformation, causing a 73% drop in money infusions—$6.9 in 2023 compared to a $26.4B fundraising catch during the first half of 2021.

Just a good idea won’t cut it

Having helped startups secure more than $2B in venture capital and craft impactful digital health pitch decks and blueprints that drive business expansion, Waveup is a seasoned player in this arena. And we know how to play hard to win. Let’s check the digital health market research to see what this game is about.

3.6x growth
The digital health industry is growing triple, from $262.63B in 2022 to $939.54B in 2032.

 

>$230B
Is the expected value of the mHealth market segment by 2026.

 

7/10
More than 70% of people use health apps to manage chronic diseases.

Fueled by growing sustainable awareness and personalized recommendations
>46%

Of health-related inquiries are resolved by AI-powered chatbots.

2.5x growth

Telehealth visits surged by 154% during the covid-19 pandemic.

>88B

The estimated market value of the wearables segment by 2026.

VENTURE LANDSCAPE

In 2022, the global digital health venture capital market received $24.6B of funds infusions

 
With major deals covering:

  • Telemedicine and Virtual Care
  • Remote Patient Monitoring
  • Health and Wellness Apps
  • AI-powered Diagnostics
  • Wearable Health Devices

Leading digital health venture capital firms we worked with

Write to us to know more

WAVEUP VIEW

Hurdles digital health startups endure

The global digital health industry is thriving, however, startups in this space must overcome complex challenges to attract venture capital and scale their businesses.

Legislative shift

Multiple federal agencies, such as the FDA, DEA, and Medicare, target enhancing digital regulations. The changes adhere to the service pricing and patient data monitoring, forcing startups to restructure their market strategies and thus causing financial hurdles.

Funding drought

Seeking profitability and revising evaluation benchmarks, investors tighten their funding terms. In contrast to the remarkable influx of almost $27 billion in 2021, the current financial flow is rather dripping than pouring. Thus, new market entrants face a shortage of funding potential to sustain their long-term voyage.

Balancing a dancing desk

Balance ensures viability. Despite the benefits of AI-powered diagnostics and remote patient monitoring, individuals still value direct interactions with healthcare providers. Therefore, startups must master the art of balancing innovations and the human touch.

How we can help

Startups
Fundraising advisory

From diligent industry analysis to storytelling and financial forecasts, we’re helping founders crystallize and structure key business fundamentals and translate them into a compelling investment opportunity framed in a winning digital health pitch deck.

Investors
Due diligence and portfolio support

Evaluating potential investments, conducting due diligence, and supporting portfolio companies on their new fundraising rounds.

Established companies
Growth hacking

Discovering market opportunities in the market and developing execution strategies to build actionable and scalable blueprints for growth.

WHO WE ARE

Unlocking your next stage of growth

Waveup is a leading global advisory empowering companies to fuel growth, attract investments, and secure strategic partnerships.

We turn data into business insights that drive results, helping companies excel in the competitive B2C and B2B spaces across 50+ verticals, discovering and catalizing opportunities for growth.

Our investment consulting services for digital health startups

Market intelligence

Fundraising support

Pitch decks

Financial models

Investor research

Growth consulting

Go-to-market strategies

Marketing/sales materials

Design support

Learn more

FAQ

What makes the industry appealing for digital health financing opportunities?

The large and fast-growing market ($262.63B in 2022), high innovation potential, favorable regulatory environment, and a strong demand for funding—all these aspects make the digital health industry so appealing to investors.

What is the current size of the digital health market, and its potential for future digital health startups?

Our digital health market research showed that in 2022, the market size comprised $262.63B is projected to expand by 13% every year. Due to the surge in chronic illnesses, an aging populance, and rising appetite for personalized healthcare, the digital health industry ensures an abundance of opportunities for startups to capitalize on.

How challenging is it to secure funding for digital health startups nowadays?

Securing funds in digital health is a hard nut to crack because of high research and development costs, regulatory hurdles, and the fierce competitive landscape. But, showcasing the proven value of the products, scalability, and clear patient benefits, coupled with a strong market entry strategy, facilitate fundraising.

How long does it take to create a digital health pitch deck and a financial model for a digital health startup?

We tackle each project individually; that’s why the time is better to discuss face-to-face. However, the average amount of time needed is between two to three weeks but never more than a month.

What are the key mistakes digital health startups make in their pitch decks?

One of the biggest mistakes we have ever come across in digital health pitch decks concerns the lack of investment narration and a catchy introductory story. It’s not enough just to equip your pitch deck with numerous tables, graphs, and data. It may sound boring for the VCs, but your task is to make them excited to give their money to you. Also, some presentations don’t answer the main investors’ concern: Why did the founders choose this market and right now?

What are the main challenges digital health startups face, and how are they tackling them?

Digital health startups have to handle numerous challenges on their way to success, such as regulatory compliance, data security, clinical validation, market adoption, and competition. To address these concerns, the companies are collaborating with healthcare providers, conducting clinical trials, ensuring robust marketing strategies, and partnering with top market players.

How competitive is the digital health market?

With more than 40K startups globally and numerous top dogs such as Apple, Google, and Microsoft, the battle for resources and recognition is really intense.

What services do you provide for investors who are either considering or have already invested in digital health startups?

We help investment funds dig deep into prospective digital health projects through comprehensive due diligence, ensuring they’re not backing the wrong horse. Additionally, we roll out full-fledged fundraising support for our partner fund’s associated companies.

Do you provide digital health M&A support?

Sure thing! Our service package includes scouting digital health M&A opportunities, creating CIMs, and preparing models for buy-side and sell-side transactions.

Do you make intros to digital health VCs?

Absolutely! If your project ticks all the boxes like round size, team, and product, we can put you in touch with top digital health VCs. This service is just the tip of the iceberg of our robust investor relations suite, which not only builds a stream of investors interested in digital health but also gears up founders for the first meetings and ensures the lines of communication stay open post-deal.

Do you provide comprehensive digital health market research on request?

Without a doubt! Our team delves deep into the digital health industry, offering tailored insights encompassing industry reports, competitor breakdowns, and in-depth market studies to pave your way to success. Drawing from trusted data resources, we ensure you get a full grasp of the digital health realm, shedding light on aspects like its scale, variety, and competitive dynamics.

Which digital health startup funding stages do you assist with?

We assist in guiding digital health projects through the Seed to Series B growth stages. This main focus, however, doesn’t limit our services. We also help companies in pre-seed and Series C+ stages and cooperate with well-established industry players and investment funds.

Building a novel solution at digital health? Get in touch with us

Our unique value proposition lies in our constant exposure to new and developing sectors, powered by an unparalleled acumen at the intersection of cutting-edge business models, disruptive growth strategies, and the latest industry trends.

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