Upload
alex-fair
View
1.174
Download
4
Tags:
Embed Size (px)
DESCRIPTION
Alex Fair of MedStartr's talk at Stanford's MedicineX conference 2013
Citation preview
Healthcare Revolutionby Alex Fair, CEO MedStartr, Inc.
09.28.2013MedicineX
MedStartr.com | MedFundr.com @alexbfair | @MedStartr
#MEDX
Geekto
Freak to
Hero
#Geek2Freak2Hero#MEDX
We are not just any GeeksWe are patients, engineers, scientists, doctors, policy experts,
hospital leaders. We are Health Geeks.
Hey Alex, I’m also a Fashionista!
Indeed you are Jen, the only person I know who reads books on string
theory and vogue in same plane trip.
@endogoddess
@LewCardia
And we don’t control anything
Not the PayPal Mafia
We do our jobs and see problems
And Imagine Solutions
But we also get ideas, Ideas we want to make
happen to fix the problems we see in healthcare.
Healthcare Innovation is more difficult due to regulations and aversion to adoption
…and predicting Success in Healthcare is difficult…
THE PROBLEM WE SOLVE
which constrains capital, which limits innovation, which makes healthcare less effective
And our Ideas aren’t usually a widget, something simple to buy
@alexbfair#MEDX
It doesn’t usually get sold to consumers (patients)
@MedStartr#MEDX
…and you generally need an expert to install it
Image courtesy of Policymed.com
…aAnd no one, especially the patient thinks they should pay very much for it
…and it costs like a billion dollars to do anything of value
There is funding, but as consumers and doctors, Healthcare leaders, and the general public, we generally have No Say in what gets funded.
NIH Grants, $30.9
Pharma R&D Investment, $49.5
Foundations / SBIR, $3.0
Venture Capital, $8.5
Approximately $100B is Invested to fund Healthcare Innovation in U.S. Annually
Sources of Funding For Healthcare Innovation – 2011 ($B)
Venture Capital
Of the $8.5B invested in 2011, 19% ($1.6 billion) was invested in first or seed round investments and 81% ($6.9 billion) was invested in later stage projects
Of the $8.5B invested in 2011, 14% ($1.2 billion) was invested in healthcare IT investments and 86% ($7.3 billion) was invested in life sciences
Excludes: Angel investments, No detailed backup to foundation capital invested in early stage projects.
Foundations
A variety of foundations offer funding for early stage healthcare innovation, mostly focused around disease groups
In 2011, Susan G Komen For The Cure, one of the larger research funding not-for-profits had 2011 revenue of $358 million, but after fundraising expenses and administrative expenses only spent $283M million on programs (79% margin)
NIH Grants
Largest institutes are the National Cancer Institute which consumes 16% of NIH funding ($5.1 billion) and National Heart, Lung, and Blood Disease which consumes 10% of the NIH funding ($3.0 billion)
NIH budget expected to contract due to government debt pressures and expected decline in national spending
Excludes angel investment; approximates foundations
But we MUST try, because people will continue to be unhealthy and even die for preventable reasons
if we don’t.
So we continue, fueled by the desire to help others with our mad
geek skills.
@alexbfair#MEDX
Can we get a new definition for “Mad Scientist” please?
And we are not powerless
Alameda Health system is funding their community teaching program on www.MedStartr.com – go check them out!
When People Stand UpRevolutions Happen
When citizens get involved and activated, massive change is enabled. Crowdsourcing innovation and Crowdfunding their ideas is changing the world.
What Happens When You Engage Crowds that Care
• Funding – Investors look for traction among KOLs and constituent institutions and patients
• Partners – Where Corporate Innovation Officers shop• Publicity – weekly News Stories and three television
interviews in our first six months• Community – Feedback, Clinical Centers, Trials,
Support, Beta Testers, Distributors, and more
…but this is just the beginning
Rev.1. How to Code a Revolution in Healthcare
(the @FredTrotter / DocGraph story)
@alexbfair#MEDX
1: Get a Crazy Idea
…that just might work
@fredtotter
#MEDX
2. Run it by some friends(designers, doctors, programmers, nurses, artists, investors…)
…until you prove it does
3. Ask a crowd that cares to back it
…and they ask a crowd,
…and so on,
…and so on,
…and so on,
And then…
You may actually get a hospital to sign up
But who cares?
Ok, that’s a little harsh and unfair of me, I should really avoid comments like that. I let it stand and said it in the first place because we have seen so many innovators and early
adopters step forward and adopt new ideas but very rarely do we see hospitals. We can’t help them get better if they are not willing to be helped and it gets a little frustrating. We invite all Hospital leaders into the conversation though, please comments below, or email
Because you already have:
Customers
Partners
and Funding
And who wants a
term sheet?
When you can have a bill of sale?
Again, I am being a bit harsh, this time on Angels and VCs. Sorry about that, it’s just that after
dozens of bad experiences, it seems like this is an industry that needs help being more efficient
about finding the best companies and getting the right match of investor to idea could use an
upgrade. This is why we are building MedFundr.com, Request access to the alpha at
MedFundr.com
Fred Trotter/ NotOnlyForDev
Results:• Eight Weeks• $45,011 Raised• 113 Patients, Doctors,
Nurses or Health Care Pros
• 24 Partners• New de facto standard
in health data• and a new approach…
Serial Crowdfunding
of Entrepreneurshi
p!
Projects live on MedStartr now!
Partners Stepping UpCompanies that are partnering with crowdfunded projects on
MedStartr.com
Over 100 Partnerships Startd
Rev.2. Partners Driving Innovation
• Challenges• Open Innovation Programs• Grants• Pitch Days
25% of the Robert Wood Johnson Day Pioneer Pitch Day projects in 2013 are MedStartrs (including MedStartr itself!)
-
10,000,000
20,000,000
30,000,000
40,000,000
50,000,000
60,000,000
Inside
GovtRock
Outside
Cost Per Idea Cost Per Solution
Open vs. Closed
– In-House (2012, Fortune 100 Company)
• 50M cost• 2 outside design vendors• 18 Months
– Open Innovation Challenge CMMI/ CMS
• 8,500+ ideas submitted• 900M offered• 3 Months
– Public Open Challenge: Rock Health:
• 800+ ideas submitted• 1.3 M/ 100K offered
– Outside Customer Challenge• 10K offered• 1,000s of submission from
customers
Dol
lars
@alexbfair#MEDX
Crowdsourcing Innovation
This was a challenge we ran that worked out three times better than expected due to massive exposure our methodology drove. Some
great ideas were sourced by this program! See it at www.MedStartr.com/CrowdsCare
Learn more at http://about.medstartr.com/challenges
Tech • Crowdfunding• Challenges• Social Media
Awareness• Strategy• Outreach• Design
Operations• Setup• Management• Support
Experts• Optimization• Mentors• Partners
Engagement• Customers• Communities• Live Events
How Your Crowd Drives Crowdfunding with an Open Innovation Ecosystem
Get Help From: Dr. Howard Luks, Regina Holliday, Sutha Kamal, Kim Whittemore, Eythor Ernstson, Donna Usiskin, Eugene Borukovich, Dr. Jen Dyer, Steve Greene, David Williams RN, Paulo Machado, Dave Chase Fred Trotter, and many more
Mentors get involved, becoming advisors, early adopters, investors, or champions driving our client’s success
Results: Crowds Drive Massive Exposure
Get Help From: Dr. Howard Luks, Regina Holliday, Sutha Kamal, Kim Whittemore, Eythor Ernstson, Donna Usiskin, Eugene Borukovich, Dr. Jen Dyer, Steve Greene, David Williams RN, Paulo Machado, Dave Chase Fred Trotter, and many more
Mentors get involved, becoming advisors, early adopters, investors, or champions driving success
PR
Uber Geeks Get Involved to Power Ideas
Rev.3. Let Patients Lead!
@ReginaHolliday
Regina Holliday is one of our true heros in healthcare. She
dealt with the grief of losing her husband Fred and her anger
at how the healthcare system failed him first by painting a 70xf17 foot mural in DC,
and then by painting the back of
hundreds of suit jackets for people
transforming healthcare. Now she hangs ot with Presidents and is
helping drive change faster and better
than ever. Thanks Regina for all you do and for being on our
Board!
#TheWalkingGallery Film• $13,175 in 4 weeks from Doctors,
patients, Medical School Leaders• Film produced and distributed to increase
awareness of Patient perspectives in all communities
Partnership With Patients• $18,165 in 6 weeks from Doctors, Patients,
and Cerner Sponsored in Kansas City• Created a conference to promote Physician
/ Patient Partnership
Sarah Kucharski
FMDchat 501c(3) formed to help people suffering from a rare disease @FMDChat
Great Example of someone going from Geek to Freak to
Hero by owned her condition and building a
community
Michael Weiss
• Crohn’s Disease Warrior Patrol 501c(3) formed to help people suffering from Crohn’s, Colitis, and Irritable Bowel Disease
@HospitalPatient
Another great example,- Mike built a community of
over 700 Crohn’s, Colitis, & IBD Disease patients in just a few months on MedStartr
John Accardi (Patient) & Frank Lewis (Engineer)
@LewCardia
John and Frank want to revolutionize
Ostomy systems for Ostomates
Everywhere – Fund them on
www.MedStartr.com!
Creating the Wave
• Starts with Patients
• Builds with Doctors
• Peaks with Partners
• And you may even get a Hospital to sign up
If you Do it Right, You all Ride the Wave together
Photo courtesy New York Times
How will you Revolutionize
Medicine?
@alexbfair#MEDX
Get Your Hero On
(if you need a cape, please see Regina Holliday in the back)
Thank you for your support and attention
@alexbfair#MEDX
Crowdfunding Healthcare Innovation
Thank you for your interest.
For more information please contact us at 530.MED.STARtr or [email protected]
Equity Crowdfunding for Healthcare
We would love to be your Alfred.
For Corporations, Associations, Governments, and other Organizations we also help you drive
innovation with our Crowds4Cures Open Innovation Platform
Where Patients, Care Providers, Partners, Payers, and Institutions can collaborate to create the Healthcare
Innovations they care most about