The pandemic served as a crucial validation of telemedicine’s immense utility. Having reached its zenith during the global crisis, its utilization has now settled at approximately 38 times greater. The telehealth market has been growing steadily since 2019 and is projected to reach $459.8 billion by 2030. Unsurprisingly, many tech businesses and healthcare organizations try to capitalize on the growing popularity of telehealth. In this context, the telemedicine software cost became a critical concern to most. After all, many businesses do not even consider undertaking such complex projects because it seems financially taxing to them.
The cost of telehealth software can be considerable, but you can also reduce it by partnering with a software development company that respects your budget. In today’s article, we will discuss telemedicine software costs, the factors that shape your project budget, and the areas where you can save money.
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“Telehealth software development is an essential investment in your organization’s future, but we understand the concerns around its cost. At SPsoft, we believe that a reliable partnership is the key to optimizing these expenses. By collaborating closely with our clients, understanding their unique needs, and employing efficient development processes, we strive to deliver cost-effective telehealth solutions that meet regulatory standards and empower healthcare providers to deliver exceptional care to patients worldwide.”
Mike Lazor
CEO, SPSoft
“I strongly believe that the telemedicine software cost development can be managed effectively through strategic technology choices. By leveraging the right tools, frameworks, and methodologies, we optimize the development process, reduce time-to-market, and ultimately cut costs.”
Romaniya Mykyta
Head of Product Management, SPSoft
Why Off-the-Shelf Solutions Do Not Cut It?
If you search, you will discover numerous off-the-shelf telemedicine solutions available in the market, varying in price range. Some may even offer telemedicine software cost of $5 per visit. However, pre-made solutions for a medical organization present more disadvantages than benefits. Let’s see how off-the-shelf solutions limit your organization and drain your budget.
- HIPAA compliance. Healthcare providers dealing with patient health information of US citizens must ensure their IT systems comply with HIPAA regulations. Most off-the-shelf medical software solutions do not offer HIPAA compliance, potentially subjecting hospitals or clinics to fines of up to $1.9 million per year if they use such solutions.
- Scalability. Telehealth implementation starts with a single system, but patient expectations constantly evolve. As time passes, a medical organization may require a more robust telemedicine infrastructure with advanced functionalities. Off-the-shelf telehealth software often comes with limitations on scalability, restricted by what the vendor offers. In contrast, custom development provides the freedom to build and expand the system as needed.
- Hidden costs. Purchasing a ready-made solution involves considering hidden telemedicine software costs. The price of off-the-shelf software may include fees for functionalities that your hospital or clinic may not require. Also, since pre-made systems cater to various organizations with diverse processes, the learning curve might be extended, necessitating substantial resources for staff training.
So, how does telemedicine software cost reduce general costs in the long run? While bespoke telemedicine development may involve higher initial investments, it is a more cost-effective option in the long run. Custom solutions offer tailored compliance, scalability, and the ability to avoid unnecessary expenses, making them a preferred choice for medical organizations.
A reliable partner will define the needs of your specific healthcare software and develop it accordingly to your budget. Get in touch with trusted developers!
What Factors Influence the Telemedicine Startup Costs?
The telemedicine software cost varies as each project is unique. However, there are common factors IT outsourcing teams often consider when estimating relevant costs.
Functionality
The complexity of the system significantly impacts telemedicine software costs. Development teams assess requirements and analyze the number and nature of features as they affect the project’s time and effort. More sophisticated telemedicine software with advanced features will generally cost more. However, this approach helps prevent healthcare providers from building overly complicated systems with unnecessary features.
Platforms and Technology Stack
The choice of platform for the telemedicine solution affects the cost, too. Deciding between a web-based solution or separate mobile applications for medical personnel and patients can lead to different cost estimates.
Experienced tech partners can recommend the most optimal tech stack for the project. While proven technologies may have higher costs, they are often more reliable. Some may opt for cross-platform app development to reduce expenses, leveraging techs like Flutter or Xamarin to share code across multiple platforms. Here at SPsoft, we often work with Flutter, as it is a cross-platform kit that allows you to use a single codebase across different platforms, saving time and resources.
Integrations
The number of integrations required can also increase the telemedicine software costs. However, integrating systems can lead to improved efficiency and returns. For example, connecting a telehealth app to a clinic’s EHR system or hospital management solution creates a complex IT ecosystem that streamlines core workflows and enhances the patient experience.
Development Team
The size and seniority levels of the development team impact the telemedicine software cost. Reliable IT outsourcing companies help assemble the right team based on project needs. The geographical location of engineers also influences costs, with rates varying across regions. Eastern Europe, mainly Ukraine, is often perfect for an optimal price/quality ratio.
Thus, estimating the telemedicine software cost involves exploring some key factors that play a significant role in determining the overall expense of the custom telehealth solution.
Keep reading to gain insights into the pros and cons of different types of telemedicine solutions from SPsoft!
Telemedicine Software Cost for Startups or Small Healthcare Providers
Before diving into the development process, conducting market research and a telehealth business analysis is essential. The telemedicine market demands attention to detail. Missing important aspects that your competitors have could lead to failure. Meanwhile, understanding what factors can encourage patients to switch to telemedicine solutions is also critical.
To facilitate this process, SPsoft experts recommend starting with a discovery phase and only then launching the development. Additionally, we can develop a proof of concept for your product. That will help you test your ideas and introduce your product to the audiences at a fraction of the telemedicine software costs.
Discovery Stage
During this phase, our business analysts, technical experts, and UI/UX designers will assess whether your solution aligns with the telehealth market. So, they will:
- Conduct the workshops on business/strategy goals;
- Conduct a thorough competitor analysis to identify successful solutions and their functionality;
- Define the key features of your future telemedicine software;
- Plan the product roadmap, timeline, and team structure and provide project implementation estimates.
The discovery stage typically spans four to six weeks, and its outcome includes:
- Detailed product decomposition;
- Technical architecture (cloud, software, data);
- Product structure;
- User classes, roles, permissions, flow;
- High-end backlog (epics and stories structure);
- UX Concept Prototyping (Figma wireframes covering development backlog for at least an initial month);
- Validated roadmap against resources and timeline constraints;
- Sprint planning (first four sprints);
- Draft team structure validation/update for the initial three months.
Learn how to start your telemedicine software development journey the right way. Explore expert insights on this challenging but exciting process!
Proof of Concept
We can design a basic solution to collect feedback from healthcare employees, institutional partners, and potential customers in this optional stage. This stage provides valuable insights and can help reduce the telemedicine software cost. The proof of concept (POC) generally takes two to three weeks, and the cost might vary depending on its complexity. In most cases, POC is the clickable prototype that works on both iOS and Android with dummy data and no backend.
What is The Baseline of Telemedicine Software Cost?
The cost of developing a basic telemedicine app depends on critical factors, like the type of app, the complexity and number of features, team composition, technical expertise, and project deadlines. Besides, creating a telemedicine application requires thorough analysis and a deep understanding of your requirements. You must consider having a solution that works seamlessly across web and mobile platforms and builds multiple databases.
The development begins with prioritizing the most essential features of the future app. In our practice at SPsoft, we often start by building an MVP that contains the most critical aspects of the application’s functionality. That allows our clients to launch an MVP and give their users a functional product version that would then be enriched with additional features. So, the more you understand your needs, challenges, and gaps, the quicker and more accurate the evaluation process of telemedicine software cost will be.
What is the Real Telemedicine Software Cost?
If you intend to incorporate extra functionality or develop a more complex telemedicine app, you should be prepared to allocate a higher budget. Telemedicine app development costs can range dramatically. Your specific needs influence the final telemedicine software cost, the scale of the project, its desired capabilities, and the expertise of your development partner.
The estimated price mentioned above encompasses the development of patient and doctor apps and an administration panel on a single platform. The development process typically spans three to six months. In most cases, companies require different types of applications, including web and mobile versions, which can be further divided into several packages:
- Web application
- Mobile application
- Doctor’s & patient’s apps
- Patient’s app only
- Doctor’s web app & patient’s web and mobile apps
Ultimately, your project’s specific requirements and scope will determine the telemedicine software cost. Considering these factors will help you make an informed decision and determine an appropriate cost of telemedicine implementation. Based on our experience at SPsoft, the cost of developing a telemedicine app may vary. The following table shows a rough estimate of the average telemedicine app development project, either web or mobile:
The Core Features to Include in Your App
The telemedicine software cost ranges for a basic telemedicine solution. That will encompass the following:
Patient Engagement App:
- Patient Onboarding
- Patient Profile
- Questionnaires & medical patient surveys
- Appointments & Encounters
- Video Calls & Chats
- Care Plans & Medications
- Daily tasks based on the treatment plan
- Billing
Provider/Clinician Portal:
- Provider/Clinician dashboards
- Video Calls & Chats
- Provider availability management
- Health plan and treatment plan management
- Integrated and aggregated patient data, including RPM, labs, medications and more
Administrator’s Portal:
- Patient engagement and outcomes analytics
- Questionnaires for capturing patient health data configuration
- Clinicians’ user management
The actual cost can be estimated based on your unique app requirements and the resources needed to bring your telemedicine app to life. However, there’s no way to name the exact telemedicine software cost as no one can predict all the intricacies of the development process upfront. The project scope might change, and you may want to add some additional features, too, so there’s no way to put an exact price tag on your up before it is done.
Additional Costs to Consider for Telemedicine Startups
In addition to the initial telemedicine app development cost, you may encounter several hidden expenses. These are not mandatory, but you must deal with at least some.
Medical Device Integration
Integrating portable medical devices or new features through APIs can incur extra expenses. Examples of integrated devices may include wearable devices, fitness trackers, cardio trackers, glucometers, pressure monitors, and more.
Telehealth Platform License
Obtaining a telehealth platform license might require a one-time fee, but some platforms charge monthly fees. The telemedicine software cost can range significantly based on the complexity and user base of the app. Most third-party providers don’t have a fixed price and charge based on the operations volume. So, depending on the number of monthly users, you might be looking at entirely different price ranges.
Lawyer Fees and Telemedicine Regulatory Compliance
Compliance with telemedicine laws and regulations, such as HL7 and HIPAA, is crucial. Consulting with a local lawyer to understand your state’s telemedicine compliance laws and ensuring adherence to international formatting standards is essential for implementation.
As you see, there are many features and additional costs to consider when building your telemedicine app. That is why putting a precise price tag on the app before it is finished is impossible. Additional features, licenses, support, maintenance, and even the number of users will greatly influence the development price.
That is why you need to first consult with an eligible team of experts who would at least give you an idea of what your app might look like. And after that, they can give you the roughest estimate on the cost, which would naturally change throughout the development process.
Learn how you can start your telemedicine practice in the most efficient way by reading our professional insights. Explore how SPsoft can help you on this exciting journey!
Final Thoughts
Opting for custom telemedicine software development may involve higher initial investments. However, it can be a more cost-effective choice in the long term than purchasing off-the-shelf products. Medical organizations can construct scalable systems that comply with HIPAA regulations and avoid hidden expenses by choosing custom development.
Telemedicine will continue to play a critical role in the healthcare industry in 2023 and beyond. Thus, if you are still considering implementing a telehealth practice, it is essential to recognize that the value of telemedicine software consistently outweighs its initial cost. Its advantages in enhancing patient care, improving efficiency, and expanding healthcare access make telehealth a worthwhile investment for medical organizations in the long run.
Get in touch with a team of experts who have already delivered high-quality and cost-efficient solutions to numerous healthcare organizations!
FAQ
What is the cost of telemedicine software?
For a basic telemedicine app with essential features like video consultations, appointment management, and patient profiles, the cost could start at around $15,000 to $50,000.
How much does telemedicine software cost?
For more comprehensive telemedicine platforms with extra functionalities, medical device integrations, multi-platform support (web, iOS, Android), and advanced features like EMR/EHR integration, AI-powered diagnostics, or remote patient monitoring, the cost can range from $100,000 to $300,000 or even more.
