What is Engagement-Based Pricing?
Engagement-based pricing is a payment model in which the employer or health plan only pays when their employees utilize the service. At Newtopia that means the employer does not pay unless their employees register and continue to engage with Newtopia on an ongoing basis.
How Does Engagement-Based Pricing Work?
Under the engagement-based pricing model, the ownership and responsibility of the service lie with the company providing it, and the employer only pays a fee when their employees use the service. Our partners prefer this model because they like the idea of paying only for the service’s users. Many competitors use the PMPM (per-member-per-month) pricing model in which organizations are billed for their entire population head count regardless of whether the employees use the services or not.
An Engagement-Based Pricing Model in Practice.
Newtopia works with one of the world’s largest brand-name apparel companies by providing its employees a personalized, whole health platform that helps people create positive lifelong habits, and enhance physical and emotional well-being while reducing healthcare costs.
Based on eligibility, employees are introduced to Newtopia’s clinically proven platform that combines innovative technology with personal health coaches, called Inspirators. More than merely instructors or trainers, Inspirators are 1:1 dedicated, trusted confidants who drive optimal outcomes by motivating participants and encouraging engagement and compliance.
Inspirators are carefully aligned using an 18-point personality algorithm and other tools, so every participant receives the support that’s best suited to their preferences and personality. Then we create a hyper-personalized plan that incorporates everything from behavior genetics to social determinants of health. With the aid of remote participant monitoring data (from activity trackers, digital scales, and other devices), our proprietary mobile app, and motivational one-on-one sessions, we help participants develop positive lifelong habits.
While doing so, we remain accountability partners, assessing participant progress from baseline to goals. In short, partners benefit from a proven, easy-to-implement platform of health habit programs that drive engagement, minimize population risk, improve physical and emotional well-being, and reduce healthcare costs.
The Benefits of an Engagement-Based Pricing Model.
Usage Tracking
The engagement-based pricing model makes it easier for employers to understand whether the Newtopia health benefits options are being utilized by their employees because Newtopia provides quarterly reports to each employer that share how the program is doing and the level of engagement. Knowing levels of engagement, cost reduction statistics, and employee satisfaction with the program helps employers understand the benefits that Newtopia is bringing to their organization.
Risk and Cost Reduction
Newtopia lowers risks and costs for health plans and employers, as well as for employees and plan members. By preventing and mitigating the progression of chronic disease, we help organizations reduce today’s population health costs while preventing many of tomorrow’s. By replacing negative behaviors with lifelong healthy habits, we enable employees and plan members to avoid future medical costs and enjoy healthier, longer lives.
Is Newtopia’s Engagement-Based Pricing Model Right for Your Company?
In order to best understand whether opting for our engagement-based pricing model is right for your company, you’ll need to decide:
- Are your employees currently benefiting from the health benefits programs and incentives you have in place?
- Based on the numbers, have you optimized your benefits investments?
- Does the idea of increasing your employee resilience, reducing burnout, and minimizing costs of lost productivity, absenteeism, and presenteeism seem like a worthwhile investment to you?
In addition to identifying the answers to the questions above, you’ll also want to consider:
- What is the cost of the current health benefits programs your company is investing in?
- Would you consider partnering with a company that offers performance and clinical outcome guarantees (value-based contracting)?
- How would your company’s culture shift if your employees had access to a proven, easy-to-implement platform of healthy habit programs that drive engagement, minimize population risk, improve employees’ physical and emotional well-being, and cut healthcare costs?
Once you answer these questions, you’ll have a better idea of how Newtopia’s habit change platform can benefit your organization.
Want to learn more about how your company can save by decreasing the incidence rate of chronic disease? Reach out and let us know by clicking here.