PILOT Health Tech NYC is new program which provides funding of up to $100,000 each to 10 innovative pilot projects to take place in New York City. Winner AdhereTech has created a pill bottle that texts you to remind you to take your meds. CEO Josh Stein shares his thoughts with us today.
Tell us about your product.
AdhereTech has created patented smart pill bottles that improve medication adherence. These bottles automatically measure the number of pills in the bottle in real-time, and wirelessly transmit this HIPAA-compliant data to the cloud. If a patient hasn’t taken his/her medication, our service reminds them via phone call or text message. The system also solicits feedback to determine the root causes of non-adherence. Additionally, AdhereTech is built with an open API, which facilitates partnerships and fosters integration with other adherence solutions.
What market are you attacking and how big is it?
Because AdhereTech has created a product that increases medication adherence, our solution creates value for every party in healthcare. However, AdhereTech believes that it can capture the most value from initially working with specialty drug manufacturers to distribute selected high-cost specialty drugs in our bottles to increase adherence. The specialty pharmaceutical market is enormous, at approximately $40 billion, and is growing at about 15% each year. Down the line, AdhereTech plans to expand into additional business models and revenue streams.
What is the business model?
Drug manufacturers will see a significant increase in drug consumption and a corresponding increase in revenue with our solution. AdhereTech will charge drug manufacturers to distribute certain high cost drugs in AdhereTech bottles, which will be marketed as a full-service adherence-increasing system.
As mentioned earlier, AdhereTech adds value to essentially all parties in healthcare and has the potential to tap into additional revenue-generating opportunities. The parties that benefit from our service typically fall into one of three arenas: cost savers, revenue generators, and product improvers.
Tell us what it means to be matched up to a large healthcare institution.
It’s imperative for a startup to gather data, especially in healthcare, in order to work with the right partners. When gathering said data, it’s important to do it with reputable, established organizations. Our pilot with Weill Cornell is the best pilot that I could ever have imagined, and it’s only possible because of the PILOT Health Tech NYC program.
Why did you choose NYC over other locations for your project?
In short, everything is here: Early stage healthcare support (Blueprint Health & StartUp Health); virtually all healthcare companies in the world have some presence in NYC or the surrounding area; governmental support (NYCEDC); and the startup scene has really taken off in recent years.