Beyond the hype: Crafting a value proposition that opens doors in healthcare

In the dynamic and often crowded healthcare market, the innovation itself is just the starting point. You could invent or develop the most revolutionary health technology, a ground-breaking medical device, or a life-changing therapeutic. However, if you cannot effectively communicate its value to the diverse stakeholders in a health system who influence adoption and reimbursement, its potential may remain largely untapped. Moving beyond the initial hype and crafting a truly compelling value proposition is a significant challenge for many companies.

The difficulty lies in the fact that "value" is not a universal concept in healthcare; it's perceived differently by different audiences.

• For patients, value often means achieving best possible health outcomes considering their quality of life or access to treatment.

• A clinician will likely focus on clinical efficacy, safety, and how easily the new solution integrates into the clinical pathway, their practice, workflows, and the ability to make a meaningful difference in patients’ lives.

• Hospital administrators are often concerned with cost-effectiveness, hospital budget constraints, operational efficiency, and potential impact on patient flow.

• Payers (government, insurance) are focused on demonstrating value for money by achieving improved population health outcomes or health benefits relative to financial costs, often requiring robust evidence of both clinical benefits and (health) economic impact.

• Industry (Pharma, MedTech, HealthTech) often frame value around demonstrating that their products or services provide clear clinical benefits and improve patient outcomes in a way that justifies their cost to payers and providers by aiming to align the benefits of their innovations with the needs and priorities of patients, providers, and payers to ensure adoption and commercial success.

• From a societal perspective, value in healthcare is broader, considering health and well-being of the population, contribution to social participation, productivity gains or the impact on caregivers.

This multifaceted view of value means that a single, generic message won't suffice.

So, how should companies approach crafting a value proposition that truly resonates and opens doors?

Firstly, it requires a deep, almost granular understanding of your target stakeholders. Who are they, what are their daily challenges, what metrics are they measured on, and what are their priorities? This goes beyond simple demographics. It involves understanding their motivations and the specific pain points your solution can solve. For example, in digital health, understanding the "digital savviness" of clinicians can help tailor engagement strategies. Creating detailed stakeholder personas can be a valuable exercise in this process.

Secondly, you need to clearly articulate the benefits your solution provides, not just its features. The features are YOUR perceived benefits, but what is the view of the stakeholders and users: How does it improve patient outcomes? How does it save healthcare systems money? How does it make a clinician's job easier? These benefits must be tangible and clearly linked to the stakeholder's priorities. Defining "must-win moments" along the care pathway where your solution can create a differentiated experience for a stakeholder can help sharpen your messaging.

Thirdly, and perhaps most importantly in healthcare, you must back up your claims with robust evidence. This includes data from clinical trials demonstrating safety and efficacy. Increasingly, however, real-world evidence is critical to showcase the long-term benefits and how your solution performs in everyday practice, outside of controlled environments. Health Technology Assessments (or HTAs) and economic models are also vital to demonstrate the value proposition to payers. Generating targeted data that addresses the specific indication and application of your device or therapy is essential. This evidence needs to be presented in a clear, concise, and visually appealing manner.

In summary

Crafting a powerful value proposition in healthcare is an iterative process that requires continuous engagement with stakeholders and a willingness to refine your messaging based on their feedback. It's about building a compelling narrative that highlights the unique value your innovation brings to the entire healthcare ecosystem. Mastering this skill is not just about marketing; it's fundamental to achieving market access and setting the stage for successful adoption and growth.

The next blog is looking at how to build a path to go-to-market for healthcare innovation.

Read the first article 'Navigating the healthcare system: A compass for growth' here.

How Buoyancy Health Strategy can help you right now:

A compelling value proposition is key to unlocking opportunities in healthcare, and Buoyancy Health Strategy specialises in helping companies craft messages that resonate. We support strategic positioning by defining how your product or service addresses unmet needs and crafting messages that resonate with payers, commissioners, providers, and key stakeholders. This involves clearly articulating the value of your solution to diverse audiences. Our assistance in this area can be provided through various engagement models, including project-based consulting for tailored strategies, advisory retainers for ongoing strategic support, or even workshops and training sessions designed to equip your team with the tools and knowledge to excel in communicating your value. The benefit for clients is a sharper, more impactful message that effectively communicates their unique value proposition and builds stronger connections with critical stakeholders.