Maximizing Growth with Subscription Business Models in Healthcare
The healthcare industry is on the brink of transformation, and the catalyst isn’t groundbreaking surgery or the latest AI diagnostic—it’s subscriptions. In a sector where patient outcomes and operational efficiency have long been at odds, subscription business models offer a rare and lucrative opportunity to achieve both. But here’s the truth: healthcare has been slow to adopt this model, and that delay is leaving money and impact on the table.
Subscriptions Are Not Just for Netflix
When most people think of subscriptions, they picture streaming services or curated snack boxes. But in healthcare, the stakes are higher, and the rewards are immense. A well-designed subscription model can provide predictable revenue, enhance patient care, and streamline operations. Yet many healthcare leaders hesitate, fearing complexity or assuming patients won’t embrace the model. Spoiler alert: they already have.
Take One Medical as an example. Their annual membership fee grants patients same-day appointments, 24/7 virtual care, and a seamless digital experience. This isn’t just healthcare—it’s healthcare reimagined as a service. Patients are willing to pay for convenience and quality, and providers gain steady income and reduced administrative strain. One Medical
Why Healthcare Needs Subscriptions
Healthcare is traditionally transactional: a patient sees a doctor, a bill is sent, and the relationship ends until the next crisis. Subscriptions shift the focus to relationships. They allow providers to offer ongoing value while fostering patient loyalty. For hospitals, clinics, and private practices, subscriptions mean less reliance on unpredictable insurance reimbursements and more control over cash flow.
Imagine a world where patients subscribe to preventative care packages: routine check-ups, diagnostics, wellness coaching, and virtual consultations bundled into a monthly fee. The emphasis moves from reactive care to proactive health management—a win for both patients and providers.
Breaking the Myth of Patient Resistance
One of the biggest myths in healthcare is that patients won’t pay for subscription services. The reality? They’re already doing it. From gym memberships to mental health apps, people are investing in their well-being every day. The key is to design subscriptions that meet their needs, deliver consistent value, and justify the price.
For example, Care/of offers personalized vitamin subscriptions based on individual health goals. Subscribers receive monthly deliveries tailored to their needs, along with guidance to optimize results. While not a traditional healthcare provider, Care/of taps into the same principles: proactive care, personalization, and convenience. Care/of
The Power of Predictable Revenue
For healthcare businesses, one of the most compelling reasons to adopt a subscription model is predictable revenue. Hospitals and clinics often grapple with fluctuating cash flows, driven by unpredictable patient visits and insurance reimbursements. Subscriptions change that dynamic.
Consider Concierge Medicine, where patients pay a monthly or annual fee for direct access to their physician. This model ensures steady income for the provider while giving patients premium, personalized care. It’s not just a financial win—it’s a relationship win. Patients feel valued, and providers can focus on care rather than administrative headaches.
Scaling Impact with Technology
Technology is the unsung hero of subscription-based healthcare. Platforms like telehealth apps, wearable devices, and data-driven diagnostics make it easier than ever to deliver ongoing care remotely. Subscriptions powered by technology create a seamless experience for patients while reducing overhead for providers.
Take Omada Health, a digital therapeutics company that offers subscription-based programs for chronic disease management. Patients receive connected devices, tailored care plans, and virtual coaching. The result? Improved outcomes and lower healthcare costs—a testament to the power of subscriptions done right. Omada Health
Designing a Subscription Model That Works
The beauty of healthcare subscriptions is their adaptability. Whether you’re a solo practitioner, a specialty clinic, or a large hospital network, there’s a model that fits. Here are a few ways to get started:
Preventative Care Plans: Bundle annual check-ups, lab work, and wellness coaching into a monthly fee.
Specialized Memberships: Offer niche packages, such as diabetes management or post-surgical recovery, tailored to specific patient needs.
Family Subscriptions: Create family-friendly plans that cover multiple members for routine care and urgent consultations.
The key to success lies in understanding your audience and building a model that aligns with their priorities. Are they looking for convenience? Cost savings? Personalized attention? Design your subscription with these motivations in mind.
The Future of Healthcare Subscriptions
As healthcare continues to evolve, subscriptions will play an increasingly central role. They’re not just a trend—they’re a fundamental shift in how care is delivered, paid for, and experienced. Providers who embrace this model now will not only future-proof their businesses but also redefine what patient care looks like.
It’s time to stop viewing healthcare as a series of disconnected transactions and start building relationships that last. Subscriptions offer the roadmap to get there.
Ready to revolutionize your healthcare business with a subscription model? Join my 2-day virtual subscription business model workshop to learn how to design offerings that deliver value, create loyalty, and drive sustainable growth. Learn More
