A Multi-Million Dollar Boost
Nurx recently had a major boost to the company following an injection of funding for the amount of $22.5 million. Accompanied with a steadily increasing annual run rate that could bring the company to a total annual revenue of $150 million, Nurx is blasting forward as the largest digital practice for women’s health.
When asked for the reason behind the boost in funding, Varsha Rao, Nurx chief executive, replied with a simple statement highlighting the high demand for their services: “We saw this tremendous surge in need for our contraception and sensitive health services.”
It is safe to say that this increased funding has not been received without controversy. Some of the more recent high-profile criticism comes from a New York Times article highlighting corner-cutting at Nurx (while simultaneously boasting Chelsea Clinton as an investor and advisor).
On the other hand, Nurx recorded a 20% growth in new patients month over month. The largest concentration of new patients is in the southern states, where over 40% of Nurx’s patients live.
Nurx’s Business Booms
Rao confirmed that the company is providing care to more than 300,000 patients on a monthly basis. On top of that, Nurx adds new investors like Comcast Ventures, Trustbridge and Wittington Ventures (an investor branch for one of the largest pharmacy chains in Canada — Shoppers Drug Mart).
It is important to note that this $22.5 million is in addition to a previous $32 million in funding. Consequently, it comes as no surprise that Nurx is expected to reach profitability by 2021.
Offering New Treatments
Birth control and contraception remain Nurx’s top-selling services, but the company is aiming to expand its offerings. This extends to testing for sexually transmitted infections such as HPV and herpes. On top of this, Nurx is investigating new areas of treatment for migraines.
Focusing on Sexual Health
Nurx prides itself on its focus and dedication to sexual health. In addition to this, the company confirms that it is equally dedicated to what they call “sensitive health” (such as HIV prevention medication). As the chief executive expressed, “Our real focus right now is on our core demographic who are women between the ages of 20 and 40 and really focusing on their needs.”
Rao paid a particular focus on Nurx’s new treatments for migraines by adding some hopeful words for long-time sufferers: “That’s why migraines make a lot of sense. It’s not exclusively hormone-related, but it often is… One-in-four women experience migraines and they’re largely from hormonal changes…This is a condition we’re well-positioned to address.”
Moreover, with this increase in funding, Nurx continues its mission of bettering the lives of women who have previously been let down by traditional health care systems when it comes to their sexual health. Varsha Rao went on to say, "The typical healthcare experience is slow, confusing, and expensive and doesn't leave people feeling empowered to make decisions about their health." Nurx has set its sights on making this experience a thing of the past.
How does Nurx Compare to Its Competitors?
Nurx’s competitors are predominantly Hims and Ro. These companies are also major players in the industry when it comes to providing services for women’s health needs as well as contraceptive prescriptions. Therefore, one would be accurate in saying that where Nurx comes on top is in its ability to take insurance.
“It’s actually pretty challenging to build the system to actually offer insurance,” says Varsha Rao. She further highlighted the importance of the industry accepting insurance, “And yet, we don’t think you can be a true healthcare company if you don’t accept insurance.”
Promoting Women in Leadership
Varsha Rao may be a familiar name to some. She brings her expertise from time spent in her roles as COO of Clover Health as well as Head of Global Operations at Airbnb. As previously mentioned, Nurx welcomed public health leader Chelsea Clinton and Former US Surgeon General Regina Benjamin, MD, MBA to the company’s board of directors.