Doctor on Demand, a telemedicine startup which is seeking to bolster its customer base among retail pharmacies and employers, has raised a hefty $50 million Series B to support that move, according to a company statement. It plans to use some of that funding to add at least 50 non physician staff across technology, operations and marketing support roles, CEO Adam Jackson told MedCity News in a phone interview.
Tenaya Capital led the Series B round. Other new investors included Qualcomm Ventures, Dignity Health, and Anne Wojcicki — co-founder and CEO of 23andMe. Some other growth stage firms also took part. Existing investors Venrock, Shasta Ventures, and Sir Richard Branson also participated, according to the statement. To date, Doctor On Demand has raised more than $74 million.
But even as Doctor on Demand and its competitors vie for pharmacy retail customers, consolidation among a handful of these big box retailers could make competition with other telemedicine businesses going after this market could become even keener. A few national payers are also in acquisition talks.
When Investment Rhymes with Canada
Canada has a proud history of achievement in the areas of science and technology, and the field of biomanufacturing and life sciences is no exception.
“It’s really been a fascinating week newswise for our business,” Jackson said.
Although critics view telemedicine providers like Doctor on Demand as worsening the long wait times for in-person office visits with the primary care physician their services provide access to, Jackson disagreed. He said most of the physicians it uses are moving or have moved out of the medical profession. They’re winding down their private practice or want to work from home.
Asked if it would be using some of the funding to expand its services, Jackson said:
“We’re taking a closer look at medical technology companies producing otoscopes, wireless thermometers, blood glucose meters, and blood pressure monitors. We can really expand the scope of clinical services for chronic disease management.”
Earlier this month Doctor on Demand started a pilot with four Wegman’s stores in New York state along with Allentown, Pennsylvania and Fairfax, Virginia.
