— why we invested in Vamstar
Since its inception in early 2020, Vamstar is on the mission to improve market access for new products and services in healthcare while helping buyers save costs. To do so the company is building a SaaS-enabled healthcare marketplace for businesses connecting suppliers, such as pharmaceutical and medical device companies, with public and private buyers, such as hospitals, health insurances or Group Purchasing Organisations.
Having known the company since its very early days, we were able to witness the impressive and rapid development of Vamstar over the last few months.
Here is why we are excited about healthcare procurement and Vamstar in particular:
🚀 Favourable market trends accelerating growth
An increasing need for competitive, diversified and transparent sourcing approaches and the manifestation of value-based procurement create the foundation for a future infrastructure platform in health care procurement. In fact, RFP/RFQ processes are often mandatory requirements for both public and private institutions. In alignment with this competitive market environment, the market is increasingly developing towards a loss of exclusivity for branded medicines and increasing competition for medical devices in developed markets. This opens up further opportunities for competitive sourcing and an integrated marketplace.
🎯 Vertically focussed procurement solution
As of today, the current tender and contracting process is outdated and does not reflect the current state of the art in technology. In view of the uniqueness and high complexity of health care procurement, we deem a vertically focussed sourcing and procurement solution to be superior compared to existing industry-agnostic solutions.
🦶🏼🌏 Smart go-to-market approach
Moreover, we think that Vamstar’s go-to-market strategy — targeting suppliers first through a product with a notable and easily quantifiable value proposition (namely see more, win more) — enables the company to eventually develop towards an end-to-end marketplace. Early traction doesn’t prove them wrong.
Vamstar’s business model comes with a strong “data advantage” which results from the company continuously collecting and storing any available tendering and contracting data (both tenders, direct contracts, and awards). Consequently, customization of insights and recommendations for both suppliers and purchasers will increase (in quality) over time.
👨🏽💻🩺 Complementary team with domain expertise
Vamstar is founded by three very complementary founders, combining relevant domain expertise in the fields of healthcare commercialization, natural language processing and software development. With a track record of 15+ years in relevant working experience each, we are convinced that the team possesses the required skill set to bring innovation in healthcare.
We firmly believe that it is the right timing to disrupt the complex world of healthcare sourcing and procurement and that the digital revolution within healthcare is only getting started. We are excited to ride this wave together with Praful, Vishesh and Richard!! 🤝
For more info about Vamstar: check out their website https://vamstar.io/
To all healthcare supplier and buyer professionals: Feel free to reach out if you want to learn more about Vamstar — We are happy to tell you more and connect you with the right person within the organization!
To all fellow investors and entrepreneurs: Feel free to reach out to us ([email protected] and [email protected]) if you are interested to learn more about our view on the market or if you would like to get in touch with the founders.