Zocdoc

ABOUT COMPANY

Zocdoc is an online platform where you can find the right doctor, make an appointment and get a video consultation. The company was founded in 2007 and is headquartered in New York.

The platform led the online medical appointments market, and during the pandemic, Zocdoc partnered with Twilio to enter the fast-growing telemedicine market. The company launched the Zocdoc Video Service (ZVS), which allows patients to securely communicate with doctors, receive consultations and track the progress of treatment online. Zocdoc has become one of the few digital healthcare platforms that supports both face-to-face appointments and online consultations with doctors.

The company has already held more than a million online patient appointments with ten thousand specialists in one hundred areas. In May 2020, Zocdoc founder and CEO Oliver Harraz told Engadget that video consultations now account for between 30% and 40% of all appointments, compared to "virtually zero in early March."

COMPANY PROSPECTS

The global telemedicine market is expected to grow by 15% per year and reach $155.1 billion by 2027. The number of chronic diseases is increasing, the demand for self-medication medicines and remote consultations is growing.

Thanks to the pandemic, funding for digital medicine has reached record levels. In 2020, the amount of funds invested in digital health, including venture investments, public and debt markets, reached $21.6 billion. This is 103% higher than $10.6 billion in 2019, according to a report by research firm Mercom Capital Group.

RISKS

Growing competition. More companies and health care providers are entering this market.

Potentially limited growth. Since Zocdoc already operates in most major US metropolitan areas, further expansion in the Americas may be limited.

FINANCE AND VALUATION

Zocdoc reported being profitable. Before the pandemic, the company managed to achieve annual revenue growth of 35%, and in the near future, despite the crisis due to COVID-19, Zocdoc plans to break its earnings records.

In November 2021, the company raised $150 million from Francisco Partners in an undisclosed investment round. In February 2021, it was about $2.63 billion.

As of November 2021, Zocdoc has completed ten financial rounds and raised $375 million. Investors include Goldman Sachs (invested in Alibaba, Spotify, Pinterest), Peter Thiel's Founders Found (invested in Airbnb, SpaceX, Lyft), Yuri Milner's DST fund Global (invested in Facebook, Spotify, Flexport, Robinhood).