The healthcare industry continues to undergo massive transformation as a result of new data analytics applications and new medical devices. In fact, the pace of innovation is happening at breakneck speed. Wearables are becoming commonplace, delivering intelligence at the edge by tracking people’s vital health statistics and activities. Doctors are then using the information to improve healthcare diagnostics and outcomes.
Data sharing is also on the rise as health organizations make “de-identified” and anonymous patient information available to fuel innovation. One example: Pittsburgh, Pennsylvania-based Highmark, a large health plan provider in the U.S. The company recently opened up its data to digital startups to help speed up idea development by more expansive testing in “real-world” clinical environments.
Next Up: Data Monetization
As data continues to bring about big changes to health care, data monetization is an area where providers and companies have not harnessed the full potential of what’s possible, according to a recent article from consultant firm KPMG. However, the firm believes there is still time and much to gain for healthcare companies that properly implement data monetization strategies. Whether you’re an established player or a startup ready to enter the digital healthcare market with a new product, the article offers sound strategic advice, including:
- Calculate the value of healthcare data: Increasingly, companies in the healthcare industry are investing in data collection and data monetization, according to the KPMG article. This is playing out in the form of “data acquisitions” aimed at delivering new insights to accelerate product development and fuel new revenue streams. KPMG stresses the importance of quantifying the value of these acquisitions, including analyzing the benefits of areas like better prevention, improved diagnostics, and more personalized treatment. In addition, companies stand to achieve efficiency gains from data-enabled self- and remote care.
- Create a single access point: Centralized access to healthcare data is a major challenge—and an inhibitor to innovation—for today’s providers and suppliers. Questions around ownership, privacy, and government regulations all present risks and obstacles to data monetization. KPMG notes that simplifying the procedure for accessing health data and establishing protocols for using data are ways the industry can create a single access point that ensures the right accessibility and protections.
- Get a fair deal for everyone: As data monetization becomes more common, including the practice of companies “buying” data to support the business, it’s important to ensure fairness and ethical business practices for data monetization. According to the KPMG article, “One size won’t fit all, so a range of transparent business models for intellectual property need to be agreed, in the form of data licensing, equity or revenue shares.”
- Demonstrate value to patients: According to the KPMG article, communicating the benefits of healthcare data monetization is a key requirement to help “encourage a positive public mindset.” Helping patients understand the value of providing healthcare data, including improving diagnosis and outcomes, as well as how the users of their data ensure privacy and data anonymity, builds trust and acceptance of these new practices.
If you’d like to learn more about how to implement data monetization in the healthcare industry, read the complete KPMG article.