Business models in digital health: challenges and success factors of business models in digital health

Abstract

In recent decades, the number of players in the digital health services sector has exploded, spreading digitalization across all fields. This phenomenon is often referred to as digital transformation, an unavoidable shift. Technological advancements have opened new doors in how healthcare services can be offered, managed, and innovated. Business models in digital healthcare represent the forefront of these changes, enabling and challenging industry players. Digital healthcare is not merely a technological trend but a complex amalgamation of technological innovations, business strategy, patient needs, regulation, and ethics. Therefore, studying digital health sector business models is essential and justified. This thesis aims to investigate the challenges and success factors digital health companies face in their business models, seeking a deeper understanding of these models in the industry. The research was conducted as a narrative literature review. The research questions were: What unique challenges do digital health companies face in their business models? What are the success factors of digital health business models? Literature searches were carried out in databases such as PubMed, Science Direct, and Google Scholar, supplemented by manual searches. Using strict inclusion and exclusion criteria, the search process yielded 17 studies. The data was analyzed through thematic analysis, employing an inductive approach. The results reveal that digital health companies face various unique challenges, including legitimacy, financing and investment, cybersecurity, and assessment challenges. Success factors identified include scalability, collaboration, clinical value, business expertise, the importance of assessment, and disruptive technologies. Based on the results, further research might be necessary, particularly concerning small and medium-sized digital health companies.