SITUATION

Standing up a new company can be a challenging proposition no matter the industry. For HealthTech startups wanting to break into artificial intelligence (AI) applications, the market competition is particularly daunting. Rock Health Capital estimates venture capital investments at 62% of total digital health funding, signaling a post-pandemic boom. 

In this case study, we’ll discuss how fractional leadership helped a promising startup develop a compelling go-to-market (GTM) strategy, ultimately gaining its footing to rise above the pack. 

CHALLENGE

A technical leader had the opportunity to launch a new HealthTech company, spinning out a novel AI solution originally developed at a large organization. The AI-based advanced utilization management (UM) platform reduced the time, cost and delays of traditional utilization management.

However, despite the potential, the new venture faced critical challenges with only one legacy client, no sales pipeline, limited marketing materials, and investors questioning the market potential.

APPROACH

The process of arriving at a winning strategy began with deep market research, interviewing UM leaders and analyzing adoption barriers. Insight from the market intelligence was clear: while UM executives recognized the technology’s value, they also saw it as a threat to their control and staffing models—and they lacked true purchasing authority. To unlock growth required:

• Repositioning the buyer audience from UM leaders to CFOs, highlighting ROI and cost savings

• Refining the value proposition around member experience (instant approvals) and physician experience (reduced paperwork and delays)

• Expanding the narrative to emphasize payer–provider collaboration and broader applicability across risk-bearing organizations

• Building a GTM strategy based on newly crafted messaging across a range of marketing materials (collateral, website, etc.) to generate sales pipeline activity

• Supporting fundraising efforts through meetings with potential investors and prospects

• Reorganizing the sales function, creating a profile and description for the company’s first full-time sales executive

RESULTS

Within months, the company secured $1M+ in new investment capital, launched a compelling GTM plan, and began building a sustainable sales pipeline. Resulting growth enabled the CEO to hire a dedicated sales leader, shifting the company from a product-focused startup to a credible, market-ready business.