The role of digital connected health in driving long-term growth in Medtech

In the medical device market, sales dominance and pricing advantages may be short-lived as competition intensifies over the features and benefits of the next generation. The coronary stent market is a clear example of how quickly leadership positions can change. However, in this dynamic environment, connected devices are redefining the landscape by enabling Medtech companies to create lasting value and distinctive differentiation through sustainable network effects. 

These devices open new avenues to strengthen and extend patient relationships, allowing companies to not only provide ongoing value but also gather long-term outcome data that traditional tools often fail to capture. Connectivity transforms the role of Medtech from one-time interventions to enabling sustained disease management and long-term health improvement.

Building long-term value in digital health devices requires effort and perseverance

• Clearly define the problem: A common challenge in digital health innovation is the desire to acquire or develop new technologies simply because it is possible, not because there is a well-defined problem to solve. Rarely does any technological capability develop into a viable solution without being carefully shaped according to real-world needs. This shows that unclear problem definition is one of the primary barriers to success in connected healthcare. A solution that seems effective in theory often fails when tested in a real clinical environment.
• Build with the end user in mind: It is essential to collaborate with customers from the very beginning. Many digital health solutions that look innovative on paper fail once introduced in real-world health care settings. Effective solutions must be integrated seamlessly with existing workflows, infrastructure and electronic medical records (EMR). These integrations can't be achieved hypothetically. They require real partnerships and testing with real users. The best results are achieved when developers co-create solutions with their customers.
• Focus on Incremental Value Creation: Achieving long-term impact often requires short-term value creation first. The ultimate benefit of connected health tools is to help improve patient outcomes and long-term decision-making. However, since payers, not physicians, generally focus more on long-term outcomes, initial adoption must often be driven by more immediate value propositions that can also strengthen pharma market access**** positioning.

Medtech companies often overlook or miss the opportunity to form partnerships and most Medtech executives are looking to build or buy as the primary strategy for digital expansion. Partnering can offer a fast track to capabilities that might be expensive to acquire or difficult to build. Additionally, as seen in the tech sector, many win-wins can be found in partnering with the right approach and careful consideration of the structure.