12655936_10156504008645721_1083158430_oHaving seen more than 2300 digital health startups from across Europe in the past two years, we at XLHEALTH thought it’d be interesting to map out the main categories in the sector based on the data we collected on them. Interestingly, what we found was that digital health solutions (with a B2C component) could be broken down into six categories:

  1. Wellbeing 
  2. Monitoring 
  3. Prevention
  4. Diagnosis 
  5. Patient-Doctor Relationship 
  6. Treatment 


According to XLHEALTH’s deal flow analysis of startups working in the area of Monitoring, Treatment and Wellbeing were the top categories – making up 26%, 22% and 17% respectively of the companies that we saw. This may have to do with the fact that most of them were B2C businesses, which means easier monetization and shorter sales cycles when compared to B2B strategies. Furthermore, I’d argue that starting up in these three categories is easier for the reason that spotting areas where value can be added for the consumer and inefficiencies in a healthcare system are typically less complex than in B2B models.


On the other hand, there were fewest digital health startups in the categories of Prevention and Diagnosis, each made up 11% of the startups we saw. I suspect this is because working in these areas usually means the business model will have to rely on a stakeholder within the healthcare system to some extent. So for example, companies creating diagnosis tools would expect doctors to use or even pay for it, whereas a startup working in prevention might rely on insurance companies for reimbursement. Interestingly, we tracked some companies in these two categories that eventually pivoted into the wellbeing sector, where they continued to iterate the product, found new revenue streams and ended up attracting investors.

As we continue to examine our data, I look forward to sharing more interesting and useful insights on the blog… – MSK

Min-Sung Sean Kim
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Min-Sung Sean Kim

Min-Sung conducts global growth investments for Allianz X, the Venture Capital unit of Allianz Group, that reaches 75m customers in 80 countries worldwide. Prior to Allianz X he was Partner of a Berlin-based venture capital fund that specialized in Digital Health Series A investments.
He has invested in startups including American Well, Neuronation, Mimi, and most notably mySugr – which was recently acquired by Roche. Min-Sung is also a contributing writer for mediums including TechCrunch and Tech.EU and studied Business Economics at Witten/Herdecke, Harvard, St.Gallen, and in Seoul.
Min-Sung Sean Kim
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