Yun Health Files IPO Prospectus: Pioneering Market Education Through 'Buy Service, Get Wearable' Model

Cloud Health is an intelligent health management service platform under XYWY.com. Established in 2004 and affiliated with Winkang Group, XYWY.com is currently China’s largest one-stop internet healthcare service platform and one of the earliest platforms to explore and practice internet healthcare services in the country. After more than a decade of dedicated development, XYWY.com has leveraged advanced technologies such as the internet, cloud computing, big data, and smart medical devices to organically integrate patients, doctors, hospitals, and pharmaceutical companies. This has enabled the platform to establish a comprehensive layout and ecosystem for the internet healthcare service industry chain, providing users with one-stop comprehensive internet healthcare services.

Leveraging the robust resources of Haodf.com, Cloud Health has perfected its closed-loop health management system. On one hand, it provides intelligent health management services to users of corporate partners through a B2B2C model; in this regard, Cloud Health has established strategic partnerships with numerous renowned enterprises in the financial insurance, real estate, and elderly care industries. On the other hand, it directly delivers intelligent health management services to end-users via a B2C model.

“It is understood that Cloud Health is piloting a model of bundling free smart hardware with its service subscriptions, providing users with complimentary smart devices upon purchasing Cloud Health products. As the concept of ‘preventive care and health maintenance’ has not yet taken root among the majority of people in China, offering free smart hardware alongside health management services serves as a strategy to educate the market,” Xiao Diwen, General Manager of the Smart Health Division at XYWY.com (Xun Yi Wen Yao), told VCBeat. He added that by attracting users through the provision of smart hardware and then delivering thoughtful, AI-driven health management services combining device data with human support, Cloud Health is confident that users will come to appreciate this product designed to ‘manage’ their health.

The health management market boasts a scale worth hundreds of billions.

Cloud Health’s intelligent health management services are categorized into several areas: preventive health management for healthy individuals, intelligent tracking and intervention reminders for those in a sub-health state, and chronic disease management for patients with chronic conditions.

According to WHO data, chronic diseases have become the leading cause of death globally. Data from the 2011 World Bank report shows that in China, chronic diseases—led by cardiovascular disease and diabetes—account for 85% of all deaths, and their share of the national disease burden exceeds 70%, imposing a substantial economic burden. Between 2010 and 2040, reducing the annual mortality rate from cardiovascular disease by 1% would generate economic value equivalent to 68% of China’s 2010 gross domestic product, amounting to more than $10.7 trillion.

Currently, China has entered a period of high burden from chronic diseases, characterized by "a large number of patients, high medical costs, long disease duration, and substantial demand for services." In addition to chronic disease management, suboptimal health status is gradually becoming the norm among the population.

Over more than two decades of research in the United States, health management has yielded a notable conclusion: the “90% and 10%” rule. Specifically, 90% of individuals and enterprises that adopt health management see their medical costs reduced to 10% of the original levels. Conversely, for the 10% of individuals and enterprises that do not engage in health management, medical costs increase by 90% compared to baseline. This demonstrates that health management is not merely a concept or a method, but a comprehensive and meticulously designed service framework. Its aim is to help both patients and healthy individuals better maintain, restore, and promote health, while minimizing expenses and effectively reducing healthcare expenditures.

Establish health records for users and provide end-to-end health services.

Cloud Health establishes user health records by leveraging intelligent statistical analysis of data as its core, utilizing both smart devices and manual input. Currently, the platform has integrated with various smart hardware devices, including smart blood glucose meters, smart blood pressure monitors, smart thermometers, smart body composition analyzers, and smart scales. Furthermore, through strategic partnerships with third-party enterprises, Cloud Health provides users with testing services such as physical examinations and genetic testing. The resulting data is directly stored in the health records created for users on the Cloud Health platform. Users retain lifelong access to these health records, which encompass comprehensive health information, including personal basic health details, annual physical examination results, outpatient or inpatient records, daily vital signs, and private, confidential health archives.

After the establishment of health records, Cloud Health will provide health management services through a team comprising health managers, nutritionists, and psychologists, offering “nutritional meals + exercise plans + health insights (intelligent tracking + intelligent reminders).”

Specifically, the services of Cloud Health can be categorized into:

1. Health Risk Assessment:By collecting data on clients’ medical history, family history, dietary habits, lifestyle, social behaviors, and psychological factors, and integrating these with clinical data, health risk factors are aggregated and analyzed. This enables clients to gain a comprehensive understanding of their health issues and provides an evidence-based foundation for subsequent health interventions.

2. Regular telephone follow-up:Your dedicated health manager will conduct regular telephone follow-ups twice a month, based on your health status, to monitor and assist you in effectively implementing the health intervention plan, as well as to provide strategies for any unexpected health issues that may arise.

3. Constant reminders:Dedicated health managers remind and track clients’ implementation of health intervention plans via SMS, WeChat, app notifications, and email (selecting the most appropriate method based on individual client needs), and deliver targeted wellness programs during special periods or seasons.

4. Online Consultation Services: Clients can engage in one-on-one online consultations with health managers at any time, ensuring timely resolution of concerns related to diet, wellness, exercise, disease prevention and control, medical care, medication, and rehabilitation.

5. Special Case Alerts:Dedicated health managers continuously monitor and analyze clients' health data. Should any abnormalities arise, they will immediately contact the client via phone or online to assess the situation and promptly implement appropriate interventions.

In addition, health intervention and guidance services are also available, including online physician consultations, referral appointment scheduling, medical accompaniment, family doctor services, and telephone consultations with specialists from Grade 3A hospitals.

Providing users with friend-like care management

“While current health management products on the market can design management plans for users, how to guide patients in implementing these plans remains a challenge under discussion by every company—and this is precisely where our strength lies,” introduced Xiao Diwen. He explained that Cloud Health’s health managers break down users’ health management tasks into smaller components and employ various strategies—such as counseling, reminders, and incentives—to facilitate task completion.

It is understood that Cloud Health’s health management team comprises professionals from various fields, including dietitians, exercise prescription specialists, specialist physicians, and psychiatrists.

“Our services are delivered in the spirit of heartfelt friendship, offering users a sense of ‘care,’” said Xiao Diwen. He noted that many users on the Cloud Health platform have already purchased services for the second or even multiple times. These repeat purchases stem from the combination of artificial intelligence and humanistic care, which meets the needs of both enterprises and individuals and fosters greater trust that intelligent health management services will truly deliver better health outcomes.