ConduIT's eDoc4u describes rampant growth
By Milt Capps
eDoc4u President Rich Smith says more than 5 million employees may now access online health portals the company has created for more than 700 customers.
In an interview with VNC, Smith said eDoc4u's customer base is "blowing it out, right now" – doubling annually, with 1,400 customers in 48 U.S. states his his estimate by year's-end 2009.
Smith said that a substantial portion of eDoc4u's growth has been driven by hospitals wanting to generate revenue to replace lagging income from elective services. Hospitals that partner with eDoc4u can offer the service to employers in their service areas. Smith cited St. Thomas Health Services as one such institutional partner.
Smith said 11-year-old eDoc4u, which is a division of West End-based ConduIT Corporation, has generated "positive cashflow" the past four consecutive years, but, when asked by VNC, neither he nor ConduIT CEO Ray Capp would disclose eDoc4u revenue or operating profits.
eDoc4u's customers and strategic partners include Blue Cross Blue Shield companies, hospitals, pharmacy-benefit managers and others. Smith spends much of his stime working with strategic partners, while most of the missionary selling to hospitals is performed by Regional Vice President-Sales Doug Doss (at right).
The company's marketing materials explain that eDoc4u generates income through revenue-sharing with private-label partners; through software-licensing fees; and, in what is the biggest source of revenue, through subscription fees earned through eDoc4u-branded software and services provided to customers secured via eDoc4u's strategic business partners.
Those strategic allies include, according to Smith, HCA, Gordian (a division of Blue Cross Blue Shield of Tennessee), Optum (division of United Healthcare), Meharry Health Resources and Services Administration (HRSA), PureSafety and other companies.
ConduIT acquired controlling interest in eDoc4u in 2002 from founder Ryan Bosch, M.D. (at left), who remains the division's chief medical officer. Bosch is director of the division of General Internal Medicine at George Washington University MFA, Washington, D.C. Bosch has been widely published on the topic of health IT and related matters.
ConduIT is an investment and management-services firm that takes ownership positions in startups and early-stage businesses. eDoc4u's Web-delivered service helps users conduct self-assessments of their health, and produces individualized recommendations to prevent diseases or injuries, and to support healthier lifestyles.
Prior to leading eDoc4u, Smith worked independently six years as a technology and business Encore Interactive Solutions, Proline Carriers, Mercury Mobile Media, Cumberland Swan and Dialogic Communications. Earlier, he was CEO of Artios Corporation, a workflow automation provider; chief sales and marketing officer for PDA Engineering, in the materials processing and manufacturing sector, among other employers and ventures.
Smith, 61, is a native Philadelphian who has lived in Nashville 19 years, and who, in 1971, earned his bachelor's in engineering at Vanderbilt University. At VU, he also met his now-wife, Lucy Smith, who is president-elect of the Greater Nashville Association of Realtors and is associated with Fridrich & Clark Realty LLC.
The couple's adult children are Zach, 31, who is operations support engineer for West End-based Informatics Corporation of America (ICA); and Ashley, 28, who is pursuing an MBA in healthcare management at The Wharton School of the University of Pennsylvania. She was previously an analyst and consultant with The Chartis Group, a healthcare advisory and consulting company. ♦