Healthcare – The Ultimate Vertical Market (Part 2)
In Part II of our Healthcare series, Christian Kurth and Brendan Keeler expand on two defining characteristics that make healthcare the ultimate vertical market and explain why deep specialization will define the next generation of healthcare SaaS winners.
In Part I of this series, we looked at how Epic became the most successful vertical SaaS company in healthcare. It owns the hospital. It’s the control point for nearly half of the large health systems in the U.S., with deep integrations across clinical, operational, and financial workflows. With near-zero churn, it’s a case study in long-term product depth and execution and a textbook example of the Vertical SaaS Knowledge Project (VSKP) framework in action.
But Epic is just the beginning. In Part I, we introduced four defining characteristics that make healthcare the ultimate vertical market:
In this installment, we’ll focus on the first two — how specialization becomes a moat, and how data gravity locks in systems and creates powerful expansion dynamics. We’ll explore the remaining two themes — regulation and multi-stakeholder complexity — in Part III. Let’s jump in!
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