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Paddy Padmanabhan

Why healthcare needs to look at Starbucks

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Monday, November 02, 2020

We head into a week that will be dominated by the U.S. Presidential elections. If you are an American, please vote if you haven’t already done so.

In Q3 of this year, mobile orders accounted for a record 22% of sales for coffee company Starbucks, even as delivery orders tripled from the previous quarter. During the same period, global same-store sales sank by 40%. Starbucks also encouraged its customers to order via its app as a way to promote “contactless” transactions.

Now, replace “same-store” with “in-person visits,” and you have the perfect metaphor for the changes sweeping across healthcare as patient experiences go online. I have been writing about this for a while now. In my latest article in Healthcare IT News, I start looking at how other sectors such as a food service and retailing are beginning to inform the online healthcare experiences of the future. Contactless and low-contact experiences are the new normal.

Telehealth leader Teladoc announced its quarterly results, outperforming its virtual visit projections and validating the momentum towards virtual care. CVS Health CEO Larry Merlo discusses their focus on improved mobile experiences and sees the future of healthcare residing at the intersection of digital and brick-and-mortal assets. If you’re looking for data points on whether all of these investments are generating results, Baptist Health in Florida has this to offer: their investment in conversational AI-based chatbots has increased follow-up visits by 15%.

As we head into winter, COVID-19 cases are surging across the land. In the past few months, I have lost family members to the virus. Maybe some of you have lost near and dear ones. Setting aside all politics, I believe there is overwhelming evidence that masks work to protect us from infections and is the most common defense we have against the spread of the virus. Here is a neat infographic showing how it works.

My latest podcast guest is Anshul Pande, VP and CTO of Stanford Children’s Health. Take a listen. 

P. S. We’re still on the Amazon bestseller list! Due to the surging demand, my book, Healthcare Digital Transformation, is frequently sold out on Amazon. You can obtain signed copies at the link below. I am also accepting speaking engagements for your in-company and user group events on the book themes and our recent research. Drop a line to for more details. 

Stay safe. Wear a mask.

Podcast of the week 

In this episode, Anshul Pande, VP and Chief Technology Officer at Stanford Children’s Health discusses their digital journey and covers digital programs such as remote monitoring, telehealth, and how to make data useful and readily available to the clinicians.

This Week in Digital Health Markets 

We are selectively featuring guest posts in our newsletter from senior leaders in healthcare and technology. Reach out to us if you would like to contribute a blog to one of our upcoming newsletters.

Healthcare gets ready for a Starbucks and BOPIS revolution

Providers face the challenge of delivering a seamless experience combining the digital with the physical – something akin to drive-throughs, or the new trend of “buy online, pickup in store.” Healthcare IT News 

Willis Towers Watson: Employers eye new health delivery approaches

According to Willis Towers Watson survey, done with 397 firms employing 7.1 million people, nearly 3 in 4 employers are planning to roll out new health delivery models in the next three years. Fierce Healthcare 

Microsoft Cloud for Healthcare is transforming the healthcare journey

Big tech gets deeper into healthcare. Microsoft Cloud for Healthcare will deliver automation and efficiency on high-value workflows as well as deep data analysis functionality for both structured and unstructured data. Microsoft Industry Blogs

Teladoc Health outperforms revenue, total visits again in Q3 2020 

Teladoc maintains its momentum through the pandemic and Livongo merger; however, reports higher-than-expected losses during Q3. MobiHealth News

ONC pushes back compliance dates for info-blocking rule

HHS’ Office of the National Coordinator for Health Information Technology releases plans to extend compliance dates for its long-awaited information-blocking rule on account of the COVID-19 pandemic. Modern Healthcare

Baptist Health uses digital technology for improved patient follow-through

Baptist Health in Florida uses conversational BOTs to improve patient engagement and has seen a 15% increase in follow-up appointments. Healthcare Finance News

Chart of the Week

Source: BCG Analysis


Paddy Padmanabhan will be co-presenting at the CHIME20 Digital Recharge – A Virtual Education Forum scheduled on November 10-12, 2020 on ‘Driving Enterprise Digital Transformation: The Geisinger Health Experience.’ Click here for more details.


Paddy Padmanabhan with host Mike Miliard on HIMSSCast discussing his new co-authored book – 'Healthcare Digital Transformation', the lessons therein, and other emerging technology trends in healthcare, including patient engagement and the evolving role of the electronic health record. Listen here.

Damo Consulting Thought Leadership and Research

A mid-year review of the financial and market performance of global technology consulting firms in healthcare.

The WITCH Monthly Monitor - Our monthly update on major global IT consulting and services firms in healthcare provides the latest financial and market performance updates on WITCH companies along with other global IT consulting firms. *WITCH Monthly Monitor is now available as a free 1-year subscription with every purchase of The WITCH Report.

This research paper, based on focus group discussions with CHIME members, discusses the challenges with digital transformation for mid-tier health systems and what CIOs must do to accelerate digital transformation in their organizations.
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Join the digital healthcare revolution. Stay on top of the latest news, trends, and insights with Damo Consulting.