Spectrum Equity became Definitive Healthcare’s first institutional investor in 2015, backing founder and CEO Jason Krantz. Jason, who had significant experience building and scaling information services companies, had created a data analytics company to help its customers more effectively sell into hospitals and healthcare facilities nationwide.
At the time of Spectrum’s investment, Definitive had less than $10 million in annual recurring revenue (AAR) and has since scaled significantly through organic product-led growth initiatives. The company has become the leading platform for go-to-market intelligence and analytics on the healthcare market. Definitive serves more than 2,600 customers, including leaders across different industries, from life sciences and healthcare IT companies to commercial real estate firms and financial institutions.
Spectrum assisted the CEO in scaling the management team across all functional areas as the company’s headcount has grown 15x+ since the time of Spectrum’s investment. Key management team and board of director members were recruited from leading companies such as Aetna and Anthem Blue Cross Blue Shield. In addition, Chief Product and Chief Revenue roles continue to be led by early employees at Definitive, who have scaled alongside the business.
Spectrum oversaw the professionalization of the company’s sales organization by implementing a data-driven approach to improve selling strategy, market coverage, product usage and customized specific end-market pricing and packaging initiatives. Definitive’s sales-related headcount has grown by over 9x since Spectrum’s initial investment.
Spectrum played an active role in the identification, diligence and execution of five acquisitions, The Max, Billian’s HealthDATA, HIMSS Analytics, PatientFinder and Monocl, expanding Definitive’s product platform and customer footprint.
The management team pursued over 200 product and data enhancements that significantly expanded customer use cases resulting accelerated renewal rates and larger contract values.
New enhancements include a 5% increase in all-payor medical claims data, new intelligence on behavioral health, and a 50% increase in healthcare executive data.
Read moreIts new chief Robert Musslewhite is looking to expand.
Read moreFounder & CEO Jason Krantz will become Executive Chairman.
Read moreMr. Musslewhite most recently served as chief executive of OptumInsight, the health services business of Optum.
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