How to Turn Your Health Tech Innovation into Revenue
Imagine this: you’ve got a groundbreaking idea, a working prototype, and a solid business concept. But something’s holding you back from reaching that next level—generating revenue.
If you’re in this situation, you might be wondering, “Where do I start?”
The Road to Revenue
Begin by asking yourself two crucial questions to assess your current position:
- What do you want to achieve?
- What are you willing to go to get there?
From here, you can determine your priorities and outline a strategic plan. This plan should go beyond merely setting goals — it’s about creating actionable steps within a realistic timeline. Then, you execute that plan.
Staying focused, disciplined, and maintaining a steady pace while managing uncertainty is essential for successful execution. Trying to respond to all the noise around you can be distracting and will only slow you down.
Build Your First Market Ready Product
The foundation of your journey starts with defining and building the first marketable product. Focus on these core elements:
- Market-Ready Product: You’ve developed a solution that’s close to commercial readiness, and you’ve received market feedback that there is a demand for it.
- Networking and Awareness: You’ve been networking, talking to interested parties, and testing your value proposition within target markets.
- Validated Value Proposition: You’ve confirmed the value proposition for all stakeholders—the buyer, the user, and the person receiving the benefit
Identify and Mitigate Early Obstacles
Early in the process, identify potential roadblocks and create strategies to overcome them. Key areas to focus include:
- Intellectual Property Strategy: Secure your IP to protect your innovation.
- Regulatory Pathways: Understand the necessary regulatory approvals, including FDA requirements.
- Design and Manufacturing: Ensure your design, quality engineering, and manufacturing processes are in place.
- Financial Planning: Develop a robust financial plan and secure funding.
In health tech, it’s crucial to demonstrate that your product not only works but also provides clinical value. Engage users and buyers early, collect data on efficacy, safety, and effectiveness, and establish a solid data strategy.
Know Your Market Inside Out
The healthcare market is unique, and acceptance is critical. If you’re selling to physicians, clinicians, or providers, they’ll need proof that:
- Your product works (quality of care and outcomes)
- They will be compensated (payer acceptance)
- They won’t be held liable (risk covered by insurance)
- It fits into their practice (workflow, staff, and cost considerations)
Additionally, you will also need to know these fundamental market factors:
- Market size and characteristics
- Early adopters and market entry points
- Your customer’s customer
- Your competition
- Potential barriers
- Key champions
You will also need a plan to address the Killer C’s:
- Cost
- Complexity
- Change
By tackling these issues early in the development process, you can avoid the pitfalls of wasted motion and delayed market entry. Stick to your plan—getting sidetracked by non-essential tasks will cost you in the long run because time is your most valuable resource. The longer you wait, the faster your tech advantage fades, and money dries up.
Choose Your Advisors Wisely
Lastly, and perhaps more importantly, remember that the number of opinions you will get about your product, your funding or your plan is even greater than the number of people you ask.
Ensure that the advice you follow comes from someone who truly understands the intricacies of the health tech market.
Green Room has decades of experience helping med tech companies successfully enter the healthcare market and navigate the Road to Revenue.
Let Green Room be your Guide
Contact us today to start your journey toward success!
