How many subscription memberships do you have? With very little thought, many come to mind—Netflix, HBO, Hello Fresh, Amazon Prime, Kindle Direct, and Consumer Reports to name a few. And the subscription market is expanding—bacon, clothing, shoes, beauty products, wine, and more. The subscription e-commerce market has grown by more than 100% a year over the past five years, with the largest players reaching $2.6 billion in sales (see The State Of The Subscription Economy, 2018).
Now, consider subscription health care, where consumers can pay a weekly, quarterly, or yearly fee to receive some type of health care services. These models give consumers a way to budget for specific health care costs and gives provider organizations a consistent, reoccurring stream of revenue. Subscription health care can take on many different forms to cover a variety of different services, including software, medical devices, pharmaceuticals, concierge care, and direct primary care (see Subscription Medicine: On-Demand Healthcare For Everyone and Digital Healthcare In A Subscription-Based Economy).
Let’s think more about direct primary care (DPC) models. These models provide consumers with access to primary care services for a flat fee—or as the American Academy of Family Physicians defines it, “a meaningful alternative to fee-for-service insurance billing, typically by charging patients a monthly, quarterly, or annual fee … [that] covers all or most primary care services including clinical and laboratory services, consultative services, care coordination, and comprehensive care management” (see The Direct Primary Care Model: How It Works).