[ibimage==26028==Original==none==self==ibimage_align-right]
Welltok, the innovative developer of the Health Optimization Platform that drives consumers to manage their health, is one of IBM’s first app ecosystem partners for Watson, benefitting from IBM’s $100 million venture fund. Welltok seized $22M in Series C funding in an effort to advance cognitive computing technology. The financing is led by New Enterprise Associates to accelerate market expansion and product development.
IBM’s first Watson investment comes as no surprise. IBM openly identified healthcare technology as part of one of its three target verticals for advancement.
Welltok is best known for its development of CaféWell, a Health Optimization Platform aimed at aligning rewards and incentives for consumers actively taking control of their health.
CaféWell is transforming the way population health managers are grappling with challenges of organizing the expanding ecosystems of health and wellness solutions such as apps, condition management programs, tracking devices, etc. It simultaneously aims to deliver an engaging consumer platform that aligns activities with incentives.
IBM’s direct investment will be used to support Welltok’s development of the CaféWell Concierge, a new application fused with Watson’s famous cognitive computing services. The new application will harness Watson’s ability to translate Big Data by uncovering the intricacies of human language, analyzing large amounts of data and within seconds improving app performance. CaféWell Concierge is expected to release in the second half of 2014.
“There are a lot innovative companies making great strides in healthcare information technology, but healthcare plans don’t necessarily want to buy each individual solution,” senior vice president and chief marketing officer Michelle Snyder said. “Welltok works with the best of these innovations and solutions and then provides a platform for healthcare companies to base their plans. We’re leveraging all the great innovation in health IT while offering a dynamic way to do it.”
CaféWell’s solution is to provide an integrative platform and customizable Social Health itineraries based on an individual’s health progress, available benefits/rewards, behavioral characteristics, and numerous other factors.
“A lot of changes are occurring in the healthcare community where consumers are no longer passive actors but active participants in their healthcare plans,” Snyder said. “Historically, consumers did not have a financial stake in the game. ”
Welltok has been especially successful in cultivating a deep understanding of the healthcare industry and ability to align incentives between population managers and consumers.
“As consumers have more choice, they are demanding more from their healthcare plan,” Snyder said. “The health plan will have to become more accommodating and bring value added services.”
In fact, Snyder adds, “in a recent survey of 1,000 users, 75 percent of participants stated that they have a better perception of their health plan because of Café Well.”
The new funding will also support the development of the new CaféWell product line to address consumer questions about their health conditions and activities through personalized dialogue. Watson will employ which health itineraries or rewards are most efficient in helping consumers reach their target goals and adjust accordingly.
Snyder adds that the capital will also be used to advance the CaféWell Connect program which is to include new partners that are creating health-motivated communities, innovative condition management and wellness progress, and tracking devices and applications: “Our greatest goal is to move from a ‘sickcare’ system to truly being a healthcare system.”
As a pioneer in health technology, Welltok has seen tremendous growth with four of the top health plans helping to sponsor consumers. Namely, Centura Health is sponsoring CaféWell.
“We’ve contracted 20 million consumers and are still growing,” Snyder said. “Welltok is unique in that it optimizes health and maximizes reward.”