The $10B Telemedicine Disconnect

Executive Summary

The brutal truth about telemedicine startups: You're building solutions for a problem that exists primarily in boardrooms, not living rooms.

In 2024, digital health startups raised $10.1B across 497 healthcare-related deals, with telemedicine commanding a significant portion of that investment. Yet our recent study of 700+ young adults—the demographic most likely to embrace digital solutions—reveals a stark reality: 88% use telemedicine for less than half of their doctor visits, and 66% have never even preferred a telemedicine visit over in-person care.

This isn't a temporary adoption lag. This is a fundamental positioning problem that's burning through venture capital while customers vote with their feet—straight to traditional healthcare providers.

The Problem: Investor Hype vs. User Reality

What the Numbers Tell Us

Our social media poll of 700+ digitally-native consumers aged 21-26 across the East Coast and Europe—conducted in real-time on the platforms where healthtech startups spend millions trying to acquire users—revealed:

Telemedicine Usage Patterns:

• 88% use telemedicine for less than half their visits
• 10% use it for around half their visits
• Only 2% use it for more than half their visits

Preference Reality Check:

• 66% have never preferred a telemedicine visit
• Only 34% have ever chosen telemedicine when given the option

The Gender Split That Changes Everything:

• Among the 34% who preferred telemedicine: 67% were male
• Among regular users (50% telemedicine): 75% were female

Why This Data Matters More Than Traditional Surveys

Unlike expensive market research that asks hypothetical questions, this study captured real-time sentiment from your actual target audience while they were actively engaging on social media—the same platforms where you're trying to reach them. These aren't considered responses in a clinical setting; these are gut reactions from people scrolling their feeds.

The methodology matters because it reveals the truth about top-of-mind awareness and genuine preference, not socially desirable answers about embracing healthcare innovation.

The Real Problem: Telemedicine Is a Feature, Not a Benefit

What Customers Actually Want vs. What You're Selling

What startups think they're solving:

• Access to healthcare
• Convenience
• Cost reduction
• Time savings

What customers actually experience:

• Impersonal interactions
• Technical difficulties
• Diagnostic limitations
• Insurance complications
• Trust gaps with remote providers

The fundamental issue isn't that telemedicine doesn't work—it's that it solves problems customers don't prioritize over the problems it creates.

The Positioning Trap Every Healthtech Startup Falls Into

Most telemedicine startups position their solution around operational benefits (faster, cheaper, more convenient) rather than emotional outcomes (peace of mind, personalized care, feeling heard). This creates a value proposition that appeals to investors and healthcare administrators but fails to resonate with the humans who actually need to use the product.

The result: A feature in search of a compelling benefit, funded by investors who understand healthcare inefficiencies but not healthcare emotions.

Why Traditional Healthcare Marketing Fails Digital Natives

The Assumptions That Kill Conversion

Assumption #1: "Digital natives prefer digital everything"
Reality: Our data shows the opposite—even the most tech-savvy generation still prefers in-person healthcare

Assumption #2: "Convenience is the primary driver"
Reality: Trust, thoroughness, and personal connection rank higher than convenience for healthcare decisions

Assumption #3: "Younger users will drive adoption"
Reality: The demographic most likely to embrace new technology is the least likely to choose telemedicine

The Marketing Messages That Don't Work

Most healthtech startups lead with features:

• "24/7 access to board-certified physicians"
• "Skip the waiting room"
• "Healthcare from your couch"

These messages focus on what the product does, not why it matters to someone feeling sick, worried, or vulnerable.

The Strategic Repositioning Framework That Actually Works

From Feature-First to Outcome-First Messaging

Instead of: "Get healthcare anywhere, anytime"
Try: "Get answers when worry strikes—even at 2 AM when your doctor's office is closed"

Instead of: "Skip the waiting room"
Try: "When you can't afford to miss another day of work for a simple prescription refill"

Instead of: "Board-certified physicians on demand"
Try: "Real doctors who remember your medical history and actually listen"

The Gender-Specific Opportunity Hidden in Your Data

Our research revealed distinct usage patterns:

• Men: More likely to prefer telemedicine but less likely to use it regularly
• Women: More likely to use it consistently once they start

This suggests two different positioning strategies:

• For men: Focus on overcoming initial resistance with specific, logical benefits
• For women: Focus on ongoing value and relationship building

The Messaging Hierarchy That Converts

1. Emotional Hook: Address the real fear/frustration/desire
2. Logical Proof: Provide the rational justification
3. Social Proof: Show others like them succeeding
4. Clear Action: Make the next step obvious and easy

Case Study: The Messaging That Actually Drives Adoption

The Problem with Current Positioning

Most telemedicine startups say some variation of: "We're revolutionizing healthcare by making it more accessible and convenient through technology."

This positioning:

• Focuses on the company, not the customer
• Emphasizes features over outcomes
• Assumes convenience is the primary motivator
• Ignores emotional barriers to adoption

The Repositioning That Works

"For the working professional who can't afford to take half a day off for a 10-minute prescription renewal—get the same quality care from the doctor who knows your history, in the time it takes to grab coffee."

This positioning:

• Identifies a specific person with a specific problem
• Addresses both practical and emotional concerns
• Positions telemedicine as maintaining (not replacing) quality
• Creates urgency around a relatable scenario

The Implementation Roadmap

Phase 1: Audience Segmentation (Week 1-2)

Stop trying to serve "everyone who needs healthcare." Identify your highest-value segment:

• Who are the 34% who have preferred telemedicine?
• What specific situations drove that preference?
• What demographic and psychographic patterns emerge?

Phase 2: Message Testing (Week 3-6)

Create 3-5 different positioning angles and test them with small paid campaigns:

• Convenience-focused messaging
• Trust/relationship-focused messaging
• Specific use-case messaging
• Emergency/urgent care messaging
• Ongoing care management messaging

Phase 3: Creative Development (Week 7-10)

Once you identify your winning message, create content that:

• Addresses specific emotional triggers
• Uses customer language, not medical jargon
• Shows real scenarios, not stock photo perfection
• Includes social proof from relatable customers

Phase 4: Channel Optimization (Week 11-12)

Deploy your refined messaging across:

• Paid social campaigns targeting your specific segments
• Organic content that educates rather than sells
• Email sequences that nurture trust over time
• Partner channels that reach customers in relevant contexts

The Metrics That Actually Matter

Stop Measuring Vanity Metrics

• App downloads
• Sign-up rates
• Cost per click

Start Measuring Engagement Metrics

• Repeat usage rates
• Session completion rates
• Customer lifetime value
• Net Promoter Score
• Time to second visit

The One Metric That Predicts Success

Customer Preference Rate: What percentage of your users actively choose your platform when they have other options available?

This metric captures true product-market fit better than any usage statistic because it measures desire, not desperation.

Why Most Healthtech Marketing Fails (And How to Fix It)

The Three Fatal Mistakes

Mistake #1: Technology-First Positioning

You're selling features when customers buy outcomes. Nobody cares about your platform architecture; they care about feeling better faster.

Mistake #2: Rational-Only Messaging

Healthcare decisions are emotional first, rational second. Fear, anxiety, and trust drive behavior more than convenience or cost.

Mistake #3: Generic Targeting

"Anyone who needs healthcare" is not a target market. The 34% who prefer telemedicine are fundamentally different from the 66% who don't—and they need different messages.

The Fix: Emotion-First, Outcome-Focused Positioning

The Opportunity Hidden in Plain Sight

Why Your "Low" Adoption Rates Are Actually Good News

The fact that only 34% of digital natives prefer telemedicine isn't a market failure—it's a market opportunity. Here's why:

Market Size Clarity:

You now know your total addressable market is roughly 1/3 of the general population, not 100%. This allows for more accurate financial modeling and more focused positioning.

Competition Advantage:

Most of your competitors are still chasing the other 66% with generic messaging. You can dominate the 34% while they scatter their efforts.

Higher Intent Audience:

The customers who do prefer telemedicine are more likely to become power users, driving higher lifetime value and better unit economics.

The Gender-Specific Growth Strategy

For Male-Focused Positioning:

• Emphasize efficiency and results
• Use data and logic in messaging
• Focus on specific problems solved
• Minimize emotional language

For Female-Focused Positioning:

• Emphasize relationships and ongoing care
• Use community and social proof
• Focus on holistic health outcomes
• Include emotional validation

The Combined Approach:

Acquire customers with male-focused messaging (preference-driving) but retain them with female-focused messaging (habit-building).

Conclusion: The Path Forward

The telemedicine industry isn't failing—it's maturing. The companies that survive this shakeout will be those that stop chasing the mythical "everyone needs healthcare" market and start serving the real "someone specifically needs this solution" customer.

Your customer data is telling you exactly who that someone is: roughly one-third of your target market, with specific preferences, specific use cases, and specific emotional triggers. The other two-thirds aren't wrong for preferring in-person care—they're just not your customers.

The question isn't whether telemedicine will work. The question is whether you'll position it for the people who actually want it, in the language that actually motivates them, through the channels where they actually spend time.

The companies that figure this out first will capture disproportionate market share. The companies that don't will become case studies in the next "Why 90% of Healthtech Startups Fail" article.

About JANUS

JANUS specializes in helping healthtech startups find their true product-market fit through strategic repositioning and targeted growth campaigns. Founded by Ali, a medical student with deep healthcare insights, we combine medical understanding with marketing expertise to help healthtech companies position themselves as the best solution in their customers' minds—not just another healthcare app.

We don't just create campaigns; we create positioning strategies that turn features into benefits, prospects into customers, and startups into market leaders.

Ready to find your real customers? Let's talk about how we can help you stop chasing everyone and start serving someone.

This report is based on primary research conducted by JANUS in July 2025, combining proprietary survey data with industry analysis and customer behavior insights.