Abstract
BackgroundOn-demand telemedicine is increasingly adopted by health organizations to meet patient demand for convenient, accessible, and affordable services. Little guidance is currently available to new entrant organizations as they consider viable business models and strategies to harness the disruptive potential of on-demand telemedicine services (in particular, virtual urgent care clinics [VCCs] as a predominant and catalyst form of on-demand telemedicine).ObjectiveWe recognized on-demand telemedicine as a disruptive technology to explore the experiences of early adopter organizations as they launch on-demand telemedicine services and deploy business models and strategies. Focusing on VCC service lines, this study addressed the following research questions: (1) what is the emerging business model being deployed for on-demand telemedicine?; (2) what are the core components of the emerging business model for on-demand telemedicine?; and (3) what are the disruptive business strategies employed by early adopter organizations as they launch on-demand telemedicine services?MethodsThis qualitative study gathered data from 32 semistructured phone interviews with key informants from 19 VCC early adopter organizations across the United States. Interview protocols were developed based on noted dissemination and implementation science frameworks. We used the constant comparison method to transform study data into stable dimensions that revealed emerging business models, core business model components (value proposition, key resources, key processes, and profit formula), and accompanying business strategies.ResultsEarly adopters are deploying business models that most closely align with a value-adding process model archetype. By and large, we found that this general model appropriately matches resources, processes, and profit formulas to support the disruptive potential of on-demand telemedicine. In total, 4 business strategy areas were discovered to particularly contribute to business model success for on-demand disruption among early adopters: fundamental disruptions to the model of care delivery; outsourcing support for on-demand services; disruptive market strategies to target potential users; and new and unexpected organizational partnerships to increase return on investment.ConclusionsOn-demand telemedicine is a potentially disruptive innovation currently in the early adopter stage of technology adoption and diffusion. On-demand telemedicine must cross into the early majority stage to truly be a positive disruption that will increase accessibility and affordability for health care consumers. Our findings provide guidance for adopter organizations as they seek to deploy viable business models and successful strategies to smooth the transition to early majority status. We present important insights for both early adopters and potential early majority organizations to better harness the disruptive potential of on-demand telemedicine.
Highlights
IntroductionBackgroundHealth care organizations in the United States are operating in a time of high volatility [1,2,3,4,5,6]
BackgroundHealth care organizations in the United States are operating in a time of high volatility [1,2,3,4,5,6]
We found that this general model appropriately matches resources, processes, and profit formulas to support the disruptive potential of on-demand telemedicine
Summary
BackgroundHealth care organizations in the United States are operating in a time of high volatility [1,2,3,4,5,6]. Disruptive technologies are innovations that disrupt and displace established market leaders by offering products and services that are cheaper, simpler, and more convenient than what is currently available [10] Those that assert telemedicine as a disruptive technology view it as a disruptive model of care delivery that challenges the status quo (ie, facility-based, in-person services) to create greater access and affordability in health care [11]; those in opposition view it as an innovation that improves, but sustains the performance trajectory of traditional market leaders in care delivery [12]. On-demand telemedicine is increasingly adopted by health organizations to meet patient demand for convenient, accessible, and affordable services. Little guidance is currently available to new entrant organizations as they consider viable business models and strategies to harness the disruptive potential of on-demand telemedicine services (in particular, virtual urgent care clinics [VCCs] as a predominant and catalyst form of on-demand telemedicine)
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