1、 2023 Boston Consulting Group1Women in the US are in search of a better health care experience,one that meets their unique needsduring the different stages of their lives.And as the rapidly growing number of startups indicates,companies are racing to address this demand.Leveraging advancements in te

2、lemedicine and artificialintelligence,these players are developing innovative suites of services to provide women withcomprehensive,personalized care from puberty through the postmenopausal stage.Investing in the Next Generation ofWomens HealthJULY 19,2023 By Supriya Jain,Mrunalini Parvataneni,MD,an

3、d Christina HoREADING TIME:8 MIN 2023 Boston Consulting Group2This promising opportunity has not gone unnoticed by private equity firms either.Investment inwomens health care companies in the US surged to an all-time high of$3.3 billion in 2022.(SeeExhibit 1.)We believe that this is just the beginni

4、ng of what is likely to be a major buildout of womens health careservices.For private equity firms that already own a business in womens health or are contemplatingan investment in this sector,three critical care episodes should be front and center:fertility,pregnancy,and menopause.The Current State

5、 of the Womens Health CareEcosystemFor many women in the US,the health care experience is less than optimal.Compared with even ageneration ago,women today have many more life paths to choose fromand therefore a wider andmore varied array of needsbut the delivery of health care has not kept up.Becaus

6、e the traditionalmedical system is focused on solving specific problems,it can be a frustrating system to navigate forproviders and patients who favor a more comprehensive approach.In addition,a holistic solution isnot easy to provide because many doctors lack the time,training,and access to the req

7、uiredinfrastructure and resources.As a result,women looking for more-integrated care are forced to cobble together services from manyproviders.This challenge holds true regardless of whether the care in question is for a general medical1 2023 Boston Consulting Group3condition such as heart disease o

8、r for a more female-specific condition.To take just one example:during pregnancy,women must frequently identify a number of providers to obtain the birth,lactation,postpartum,and mental health services they need.Already burdened with responsibilities at home andat work,many women do not have the ban

9、dwidth to navigate this maze on their own.Over the past few years,womens health care providers have slowly begun expandingtheir offerings to provide the suites of services their patients are seeking.Over the past few years,womens health care providers have slowly begun expanding their offerings topr

10、ovide the suites of services their patients are seeking.So far,much of the investment activity behindthese provider companies has focused on two segments,obstetrics/gynecology(OB/GYN)platformsand fertility services.OB/GYN PlatformsRising demand for a one-stop ecosystem of carecombined with a highly

11、fragmented OB/GYNmarkethas set the stage for the development of digitally enabled OB/GYN platforms that disrupt thestatus quo and provide primary care and OB/GYN services under one umbrella.Investors have put significant money into OB/GYN platforms and multispecialty services,with morethan 190 deals

12、 in just five years.Recipients include:These players are growing quickly,acquiring companies in areas that include maternity analytics,parenting,pediatric care,and menopause services to advance their aim of providing a more holisticexperience.Companies such Unified Womens Healthcare(UWH),one of the

13、largest national physicianpractice management organizations dedicated to womens healthTech-enabled firms like Tia,whose comprehensive primary care platform provides women withonline and in-person gynecological,mental health,and wellness servicesMaven Clinic,an employer benefits provider and holistic

14、 virtual womens and family healthplatform 2023 Boston Consulting Group4Fertility ServicesWith many women delaying motherhood,the rising number of gay marriages,and the development oftechnology and legislation related to egg freezing,the demand for fertility services has increaseddramatically in rece

15、nt years.Numerous companies are striving to meet this demand.The pace of investment has followed suit.Investment in the fertility services segment is the fastest-growing by deal size.The US fertility services market,which reached$3.6 billion in 2022,will rise at aCAGR of more than 9%through 2026.Cor

16、e fertility services such as egg freezing,intrauterineinsemination(IUI),and in vitro fertilization(IVF)will drive revenue,while ancillary services such aslong-term egg donation and storage,genetic testing,and surrogacy will unlock additional revenue.Innovative companies are already focusing on creat

17、ing an accessible continuum of care.For example,Progyny provides comprehensive fertility and family-building benefits coverage.Broadening themindset around fertility as more than a singular event in a womans journey will be important to setthe stage for Womens Health 2.0.Womens Health 2.0:Whats Next

18、?We are at an inflection point where women are ready and asking for more-integrated and holisticsolutions for care.BCG predicts that over the next 25 years,the winners in womens health care willoffer patient journeys that are increasingly coordinated,digitally enabled,and personalized.Theseexperienc

19、es will be based on two premises:first,every woman has unique health care needsdetermined by factors such as lifestyle choices,age,and medical history;and second,these needs willchange over the course of her life.To make this level of health care a reality,winning players need to start by building o

20、ut their services inone or more of three critical life episodes:pregnancy,which offers the greatest investmentopportunities,followed by fertility and menopause.(See Exhibit 2.)2023 Boston Consulting Group5Pregnancy Services 2.0Many women who choose to have biological children find the pregnancy jour

21、ney difficult andfrustrating to navigate.And the burden of vetting and coordinating services more oen than not fallson the woman.The winners in the pregnancy care space will offer a more streamlined experience,onethat the patient and the provider codesign.The winners in the pregnancy care space will

22、 offer a more streamlined experience,one that the patientand the provider codesign.Aer a woman decides to try to conceive,she will go to her OB/GYNplatform for guidance on the prenatal journey.Once she is pregnant,the platform will facilitate regularcheckups as well as nutritional guidance,mental he

23、alth care,community support,and prebirthclasses.In addition,the platform will provide referrals and continued care for maternal-fetal medicine,2023 Boston Consulting Group6genetics,and more.During and aer the birthing process,the platform will direct the woman todoulas,midwives,postpartum physical t

24、herapy,lactation services,and more.Companies can realize this vision by creating an integrated set of offerings and developing a moredigital and user-friendly patient interface by improving one focused service option at a time.SimpliFed,for example,offers virtual one-to-one breastfeeding consulting,

25、while Origin provides virtual and in-clinic postpartum pelvic floor therapy.Mae connects Black expectant mothers to doulas,birth-planningtools,and other resources.And Partum Healths platform features a seamless pregnancy experiencewith virtual and in-person fertility,pregnancy,and postpartum service

26、s.Fertility Services 2.0Typically,people dont start thinking about fertility until aer they have begun trying to conceive,sotheir family-planning choices oen are limited.Fertility services can be challenging,especially IVFtreatments,because they are not only mentally and physically taxing but also e

27、xpensive given thetypical lack of insurance coverage and number of cycles it takes to get pregnant.Compounding thesedifficulties,when individuals need to use third-party reproduction support solutions like sperm banks,egg donor programs,and surrogacy-matching agencies,they frequently must navigate t

28、he archaic andcumbersome process on their own.The winners in fertility services will address these challenges head-on.Acting as both educators andproviders of fertility diagnostic services,companies will proactively inform patients about the fertilityservices available to them and provide the necess

29、ary diagnostic tests so that individuals can learnabout their fertility status long before they start planning to conceive.Moreover,insurers will offercoverage of such services to make them more affordable and accessible.Larger,established platformsas well as newer IVF clinics will use AI technology

30、 to increase efficiency and pick the most viable andhealthy embryo,in turn reducing the number of attempts needed for a woman to get pregnant.Many fertility services providers are beginning to build Fertility Services 2.0.Some companies,like RosModern Fertility unit,supply at-home testing kits for m

31、easuring hormones and tracking fertility.Others,such as Univfy and Life Whisperer,are exploring the potential of AI to increase the fertility success rate.The company Just a Baby has developed an app that matches intended parents with potential donors,while Nodals platform provides donors and intend

32、ed parents with guidance throughout the surrogacyjourney.Menopause Care 1.0Traditionally,menopause care has been neglected.Treatment has been limited to hormonal therapyfor hot flashes and other acute symptomsfor the relatively few women who were aware that suchsolutions existed.Today,there is growi

33、ng awareness of the connection between menopause andeveryday symptoms such as insomnia,fatigue,brain fog,and weight gain.Le untreated,thesesymptoms can lead to metabolic changes that make menopausal women more susceptible toconditions like osteoporosis,diabetes,and heart disease,which can have a cos

34、tly impact on the health 2023 Boston Consulting Group7care system.Yet these symptoms are not getting the attention they deserve.Given that the averagewoman spends more than a third of her life in the peri-to postmenopausal stage,the gap in care isappalling.The winners in this space will offer treatm

35、ent for the hormonal and nonhormonal symptoms ofmenopause,to prevent the negative health effects before they occur.Companies will take an integratedapproach,addressing symptoms with proactive customized dietary and lifestyle changes incombination with hormone therapy and regular screening for metabo

36、lic health issues.Menopausalwomen will also have digital access to a community of women and professionals for education andsupport.Menopause impacts many women who have or are about to assume senior leadershippositions while raising children and caring for aging parents.So it is imperative for provi

37、ders todevelop solutions that tackle the problem head-on.A growing number of companies are already addressing the need for targeted menopausal care.Gennev,a virtual clinic recently acquired by UWH,provides integrated menopause management,withaccess to OB/GYNs,dieticians,and more.Elektra Health,a dig

38、ital platform,offers education,telemedicine,one-on-one support,and access to a community of other menopausal women.And appssuch as MenoLabss MenoLife and Chorus Healths Caria help women manage menopausalsymptoms.Seizing the Womens Health Care OpportunityClearly,the womens health care industry is und

39、ergoing a massive shi.Personalized,one-stopshopping,digital-forward platforms for specific health episodes will emerge as the winning model.Making the most of these opportunities calls for a change of mindset,one that puts the voice of thecustomer front and center.The focus,therefore,should be on de

40、veloping holistic platforms thatprovide an array of choices that are tailored to a particular episode and are easy and intuitive tonavigate.Services are just one piece of this opportunity.The rest of the womens health care value chain also hastremendous potentialfrom advancements in pharmaceuticals,

41、to significant development of early-diagnostic tools and devices,to new delivery models through Medicaid.With all these exciting developments,the future of womens health care is full of promise.And the timeto act on M&A opportunities is now.Investors that move quickly and strategically can positiont

42、hemselves at the forefront of a rapidly growing industry that can make a real difference in womenslives.2023 Boston Consulting Group8Note:The companies that appear in this article are just a sampling of the many players developinginnovative services in the womens health care space.We thank our colle

43、agues Alex Friedman,Natasha Taylor,Derek Matus,Andrea Linares,Hanna Bendjador,andErica Dalla for their contributions to this article.Special acknowledgment goes to Anula Jayasuriya,MD.AuthorsSupriya JainMANAGING DIRECTOR&PARTNERSan Francisco-Bay AreaMrunalini Parvataneni,MDSENIOR ADVISORSan Francisc

44、o-Bay AreaChristina HoPROJECT LEADERSan Francisco-Bay Area ABOUT BOSTON CONSULTING GROUPBoston Consulting Group partners with leaders in business and society to tackle their most importantchallenges and capture their greatest opportunities.BCG was the pioneer in business strategy when it wasfounded

45、in 1963.Today,we work closely with clients to embrace a transformational approach aimed atbenefiting all stakeholdersempowering organizations to grow,build sustainable competitive advantage,and drive positive societal impact.Our diverse,global teams bring deep industry and functional expertise and a

46、 range of perspectives thatquestion the status quo and spark change.BCG delivers solutions through leading-edge managementconsulting,technology and design,and corporate and digital ventures.We work in a uniquely collaborativemodel across the firm and throughout all levels of the client organization,

47、fueled by the goal of helping ourclients thrive and enabling them to make the world a better place.1Based on data from PitchBook.2023 Boston Consulting Group9 Boston Consulting Group 2023.All rights reserved.For information or permission to reprint,please contact BCG at .To find the latestBCG content and register to receive e-alerts on this topic or others,please visit .Follow BostonConsulting Group on Facebook and Twitter.