HealthTech: Finding Your Addressable Market and Ideal Customer Profile

Strategic HealthTech marketing and sales start with knowing your market and ideal customer. These elements are the prescription for the perfect strategy—no WebMD diagnosis required.

Why HealthTech is Booming

The U.S. HealthTech sector isn’t just growing—it’s practically on a treadmill set to max speed. The market is evolving fast thanks to digital health innovations, the rise of telehealth, and a focus on improving patient outcomes.

But how big is the opportunity?

The road to understanding how much potential revenue is up for grabs in this exploding industry starts with the TAM (Total Addressable Market).

Total Addressable U.S. HealthTech Market

Before we start discussing billion-dollar valuations (yes, I hope you get there!), let's break down some numbers. Caution: what you're about to read may cause increases in heart rate, blood pressure, and daydreaming.

• With an annual growth rate of 6+%, the digital health market is expected to reach $70.01BN by 2029.
• It's not just start-ups. The healthcare IT market was valued at over $96M Million in 2020 and is projected to reach $344MM+ by 2030.
• Even the back end is cashing in. The healthcare technology management sector grew to $7.3BN in 2022 and is forecasted to grow to $17.3BN by 2028.

Numbers like this show a TAM for HealthTech companies in the U.S. in the multi-millions and billions. This is for the U.S. alone. Stretching your TAM to enter Europe or Asia will drastically increase potential revenue.

TAM Tip

U.S. HealthTech companies can conduct further analysis to target specific state populations. For example, they may want to leverage marketing campaign budgets for healthier states or have a high incident rate of a specific medical condition. We can help dig into the numbers further.

Defining your Ideal Customer Profile (ICP)

Jumping into any marketing or sales motion in HealthTech without a well-defined Ideal Customer Profile may produce some results if you've recently launched your product. However, as your product matures and the product team begins to learn more about their user persona, the sales and marketing strategy needs to align with these users.

Steps for Developing Your HealthTech ICP

While these are not all the steps to defining a true HealthTech ICP, they will get you started in the right direction on a strategy that produces ROI. If you would like a more in-depth example of a HealthTech ICP, download our ICP template example at the bottom of the page.

• Start at a high level and identify your ideal customer's firmographic, behavioral, and demographic attributes that you can use for targeting digital ads, events, or email campaigns..
• For B2B, consider the healthcare segment, company size, budget, location, and technology adoption (e.g., are you displacing a competitor, or is this a new purchase).
• For B2C, consider technology adoption, location, annual income, and age/sex/race.
• Engaging stakeholders across the business will be crucial to refining your ICP further. Sales, marketing, product, customer success, and support will have valuable data to provide and must be aligned with the target profile. Consider speaking to users directly through focused sessions or surveys to obtain more data.
• An often overlooked but wealthy source of ICP data is win/loss data. Leveraging AI, analytics, CRM insights, and intent data will help you hone in on the right strategy to target the ICPs you know have a higher win rate than others.

Your Next Steps in HealthTech

The Health Tech market in the U.S. is prime for massive growth in the coming year. The Health Tech companies that learn how to navigate the market and identify their ideal customers will emerge with the cleanest bills of health.

Whether you’re developing a telehealth app, an AI-driven diagnostics tool, or a next-gen EHR platform, defining your HealthTech ICP and segmenting the market effectively is your prescription for success.

If you're ready to solve problems and disrupt the health tech space but don't know where to start, booking a needs analysis appointment with us is a good first step.

The HealthTech market isn’t waiting. Let's Sync Up for Success!