Aikang Wushi Files IPO Prospectus After Amassing Nearly One Million Users and Pioneering Business Model in Oncology-focused Digital Health

On March 26, 2016, the “First New Forum on Cancer-Fighting Collaboration and Launch Event of Kang’ai Weishi Medical Services,” jointly hosted by Kang’ai Weishi and the Chinese Association for Psychological Intervention, was held in Beijing. Themed “Fighting Cancer, Safeguarding Life,” the conference invited renowned experts and industry leaders from both China and abroad to engage in in-depth discussions and exchanges on precision medicine, diversified collaboration in cancer care, and the Kang’ai Guanjia (Cancer Care Steward) service.

In fact, this also marks the official beginning of the exploration of the business model for Kangai Weishi.

Kang Ai Wei Shi is an internet healthcare product centered on sharing and mutual assistance, designed for cancer patients, their families, and physicians. Its product positioning is “a platform for sharing and mutual assistance among cancer patients, their families, and physicians.” Two years after its launch, Kang Ai Wei Shi has accumulated nearly 1 million registered users, with approximately 70% being family members of cancer patients. Furthermore, Kang Ai Wei Shi aims to increase its user base to 2.5 million in 2016. Jiang Zuochen, Founder and CEO of Kang Ai Wei Shi, stated, “Users on our platform have established a solid foundation of trust.”

Under this premise, Kang'ai Weishi decided to begin exploring its own business model.

Opting to enter the oncology vertical through a patient-community approach was the decision Jiang Zuochen made when he founded the company in 2014. It was precisely this decision that enabled him to build a base of loyal users.

Functionally, the “Cancer Care Guardian” app offers comprehensive information and knowledge resources. It features popular science columns covering diagnosis, nursing care, and medications, as well as curated recommendations for hospitals and specialists in the field of oncology. In contrast, “Cancer Care Town” encompasses a variety of online community formats. “Mood Notes” serves as a personal homepage similar to Weibo; “Cancer Care Plaza” is a topic-based forum categorized by cancer type; and “Ask the Doctor” is a physician-centered Q&A community. Additional sections, such as “Renowned Experts’ Lectures,” “Event Center,” and “Contribution Points Mall,” provide access to professional information and online mini-games.

The information provided to users mainly falls into two categories: one focuses on psychological issues, aiming to foster emotional connection and warmth among users; the other offers professional information related to oncology. Jiang Zuochen stated that the platform currently hosts 50,000 articles, half of which are original content.

Jiang Zuochen said, “This is the foundation for our exploration of business models.”

The business model of Cancer Guardian explores a path to provide cancer patients with a comprehensive solution, including: pre-diagnosis stages such as early screening and diagnosis; during-diagnosis stages such as genetic testing and overseas medical services; and post-diagnosis stages such as rehabilitation and follow-up care. Additionally, lifestyle aspects, such as psychological support and nutritional guidance, are also part of its offerings.

“These services are not provided by us directly, but by third-party institutions.” In Jiang Zuochen’s vision, the solution offered by Anti-Cancer Guardian uses its app as a connecting platform to link B-side products with C-side users. “B-side partners incur costs to acquire users. Since Anti-Cancer Guardian has already earned users’ trust, we will impose strict vetting on B-side partners to safeguard that trust.”

Traffic redirection to third-party institutions is the monetization model of Kang’ai Weishi. Jiang Zuochen told VCBeat that Kang’ai Weishi has currently signed contracts with more than 100 institutions, including Annoroad Gene Technology, Cedars-Sinai, Nestlé, Pien Tze Huang, and the Psychological Association, while negotiations are underway with over 100 additional institutions.

Furthermore, Kangai Weishi is also exploring big data applications. Currently, seven team members are dedicated to big data initiatives, and a dedicated big data department has been established.

Currently, Kang’ai Weishi has launched its Series B financing round. Jiang Zuochen stated that this round of funding is intended to better support the exploration and development of its business model. It is understood that in late 2014, Kang’ai Weishi secured a $2 million Series A investment from SBCVC, and in November 2015, it raised tens of millions of RMB in a Series A+ round from Caijin Capital. The current Series B financing round targets an amount between RMB 80 million and RMB 100 million.

As implied by the company’s name, “Beijing Make Miracle Science and Technology Co., Ltd.,” Jiang Zuochen may well aim to provide users with an opportunity to encounter a “miracle.”