August 30, 2023

Weekly Business Insights 08/30/2023

Amazon tiers healthcare prices. Healthcare’s Digital Transformation. A new Survey reveals top challenges and opportunities.


Amazon tiers healthcare prices

Amazon's most recent healthcare initiative is focused on price transparency and tiers pricing for healthcare services based on convenience and quality, according to Forbes. Since launching late last year, Amazon Clinic has contracted with four digital health startups to provide video visits and virtual messaging services across the U.S. The company offers cash-pay telehealth for around 30 medical conditions at multiple price points based on location, wait times and quality.

Amazon also acquired One Medical last year, which is a virtual and in-person care network. One Medical offers subscriptions for $199 per year. Nick Rogers, vice president, head of revenue cycle at One Medical, told Becker's he is excited to continue developing AI-assisted solutions for revenue cycle operations.

"Between clinical documentation and coding, there is a burgeoning opportunity to transform the mid-cycle in healthcare providers of all sizes. Together with Amazon, One Medical aims to make the healthcare experience easier, faster, more personal, and more convenient for everyone.

Nworah Ayogu, MD, chief medical officer and general manager of Amazon Clinic told Forbes he was "surprised by the amount of consumer demand" Amazon Clinic commanded after its initial roll-out last year. The interest pushed Amazon to expand nationally with its unique model for virtual care.

Amazon Clinic facilitates cash-pay virtual services through video visits and online messaging with clinicians. Patients have access to services for around 30 medical conditions and tiered pricing based on location, quality and convenience.

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Amazon Clinic CMO 'surprised' by high consumer demand (

Healthcare’s Digital Transformation.  A new Survey reveals top challenges and opportunities

From declining reimbursements and rising costs to pervasive staff shortages and the rise of consumerism, today’s hospitals and health systems face a host of difficulties. While there is no single solution to these interconnected challenges, it’s become clear that advancing digital transformation is essential for hospitals to survive today and thrive tomorrow. However, integrating new digital technology comes with its own set of challenges. Becker’s Healthcare and AWS Marketplace recently conducted a survey of 115 healthcare leaders to better understand the current state of digital transformation and what the future holds. The profile of survey respondents included the following characteristics:

Senior leaders: Over half (52percent) were CEOs or strategy leaders, CMOs/CNOs or clinical leaders or CIOs or IT leaders. Other functional areas represented included CFOs/finance leaders(9 percent) and COOs/ operational leaders (5 percent).

Large and small facilities: The size of hospitals represented in the survey ranged from smaller facilities with fewer than 500 beds to sizable flagship hospitals with more than 2,500 beds.

Integrated, critical access hospitals: More than half (57 percent) of respondents were from IDNs/ health systems, academic hospitals or critical access hospitals. The other respondents represented short-term acute care hospitals (10 percent), group practices (7percent) and other types of healthcare organizations. Despite the desire to engage in digital transformation, many organizations aren’t making the progress they’d hoped for, often due to budget constraints and lack of staff.


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