sweetch Secures $20M to Personalize Health Engagement

The Power of Personalized Digital Reminders for Health Improvement

Consider a scenario: you're enjoying dinner when your wearable device prompts you to increase your daily step count. It’s likely you’ll dismiss the notification. The team at Sweetch, an Israeli firm pioneering an AI-powered behavior change application, believes a different delivery method could yield more positive results.

AI and Emotional Intelligence in Action

Yossi Bahagon, Sweetch’s founder, characterizes the company’s approach as a fusion of artificial intelligence and emotional intelligence. The application leverages AI to analyze “lifeprint” data gathered via a smartphone.

Subsequently, it delivers messages at optimal times for responsiveness and employs a “tone of voice” designed to foster adherence.

Respecting Individual Schedules and Needs

For example, if a user has scheduled meetings from noon to 3 PM on Mondays but still desires to incorporate exercise, Sweetch will refrain from suggesting a workout during those hours. It also avoids any implication of guilt for prioritizing a meeting over physical activity.

“The core principle is continuous, highly personalized engagement, maximizing the probability of the patient following through with necessary actions,” explains Bahagon.

Recent Funding and Investment

Sweetch recently announced a $20 million Series A funding round, spearheaded by Entreé Capital. Additional investors include Tal Capital, Noaber, Kortex Ventures, Insurtech VC, Fin TLV Ventures, alongside existing backers Philips, OurCrowd, and Qure Ventures.

A Physician-Led Innovation

Bahagon’s background is in family medicine, though he has primarily focused on the digital health sector throughout his career. He established the digital health division of Clalit Health Services in 2008, which currently serves 60% of the Israeli population.

His previous venture, Luminox Health, was acquired by OurCrowd in 2016, and Bahagon subsequently led the fund’s digital health initiatives.

Sweetch's Evolution and Recognition

Founded in 2013, Sweetch represents another digital health undertaking for Bahagon, specifically targeting improved patient compliance. The app gained recognition as one of five selected from over 400 applicants for the Bayer G4A program, a pharmaceutical industry accelerator.

Currently, Sweetch boasts “tens of thousands of users,” according to CEO Yoni Nevo, though a precise figure hasn’t been disclosed.

Addressing a Range of Health Conditions

The application is currently utilized by patients managing cardiovascular diseases, diabetes, obesity, hypertension, rheumatoid arthritis, inflammatory bowel disease, and even breast cancer treatment.

A Strategic Partnership Approach

Sweetch isn’t intended for direct download from app stores; access requires a code. The company’s strategy centers on collaborations with healthcare organizations, pharmaceutical companies, payers, and providers. These partners may then prescribe Sweetch alongside conventional treatments to encourage adherence.

The Challenge of Patient Non-Compliance

Studies demonstrate that patients don’t consistently follow medical advice, particularly concerning chronic conditions. A 2017 CDC report revealed that one in five prescriptions in the U.S. goes unfilled, and up to 50% of medications are taken incorrectly.

Solutions to Improve Adherence

However, enhancing patient compliance is complex. The CDC report suggests solutions including reducing financial barriers to medication, promoting team-based healthcare, and improving access to care.

The report also acknowledges the potential of health information technology, specifically mentioning e-prescribing software.

User Retention as a Key Metric

To avoid mirroring the problem it aims to solve, Sweetch emphasizes user retention. Bahagon reports that approximately 45% of initial users continue utilizing the app after 24 months.

Validating Effectiveness Through Clinical Trials

While user retention is positive, its correlation with improved health outcomes isn’t always clear. Therefore, Sweetch conducted a trial at two Johns Hopkins Clinical Research Network sites.

The trial involved 55 adults with prediabetes, with 47 completing the study. Participants increased their physical activity by an average of 2.8 MET-hours and experienced an average weight loss of 1.6 kilograms.

Positive Impacts on Blood Sugar Levels

Furthermore, participants lowered their A1c levels, a crucial indicator of average blood sugar. Those with prediabetes, typically having an A1c between 5.7 and 6.5 percent, reduced their levels by approximately 0.1%, considered “clinically meaningful.”

Future Research and Expansion

While this study didn’t compare Sweetch to other interventions, a comparative study is planned. Bahagon mentioned in 2020 that Sweetch received a grant from the National Institutes of Health to evaluate its effectiveness against “gold standard” diabetes interventions.

Nevo and Bahagon indicated that updates regarding the NIH funding and upcoming randomized controlled trials may be announced soon.

The Series A funding will facilitate expansion into the U.S. and Brazil, user base growth, and platform enhancements to deliver more specific recommendations for a wider range of conditions.