Everyone wants to talk about telehealth. Few talks about what happens when that growth breaks continuity, trust, and patient loyalty. Inside this episode, I sat down with Michael Dilton, founder and CEO of Ovation, a virtual first care company built by health systems like the Medical University of South Carolina and MetroHealth to unpack how leaders can expand access the right way without losing the relationship that actually drive outcomes. Healthcare entrepreneurs, are you ready to rewrite the rules for your business so you can have more time off, a great team, and more income while creating a positive social impact? Then you are in the right place. Welcome to the provider's edge. I'm your host, Sabrina Rombach. I'm a provider, an international peak performance keynote speaker, and a best-selling author. Let's open the gateway to profitability for you today. My guests and I help healthcare entrepreneurs and startup founders like you break through barriers so you can control your business, control your life, and control your future. This is your defining moment to be a disruptor in healthcare. We are at health every year. There are so many innovation, health system, leaders, clinicians, all joined together to figure out what can we do collaboratively to solve some of the bigger health questions. And sometimes it doesn't have to be always encompassing. It just needed to mean something that we're passionate about, that we found a solution, we can get to the result that we want. And interdisciplinary areas like what you guys have created, it is part of that conversation. It's how do you get people connected to that family urgent care and mental health, all of these things. Sometimes, depending on where the services are, it's hard to find. So I'm so excited for you to join. What really truly brought you to health, and what is something that you really want to get out of it? So I'm Michael Dalton. I'm the CEO of Ovation. What brought me to health was, I think, the opportunity to be able to partner with other innovators, be able to hear what they're seeing. One of the things that I've talked about is I've been coming to health now since 2022. I've seen, I think, a maturation when it comes to the digital health space. We're definitely in a position where customers, patients, my customers, I mean, it can be health systems, health plans. They're expecting outcomes. So we've talked a lot about virtual care, digital health, and there's an expectation that if we're going to be able to continue to create value, that we need to be able to demonstrate how are we keeping that patient connected within their health journey? We're not creating something outside of that patient. And so we're keeping them connected to the health system. So for me, one of the things that I've been paying a lot of attention to is for our patient population at Ovation, about 75% of them are women. We have not marketed it in that way, but what we've created is a very easy, convenient, high-quality experience for patients that maybe have a relationship with our customers who are health systems, but maybe they've had trouble being able to access that. And that could be because of work, care of care reasons, you name it. But what we want to be able to do is keep that patient connected. We provided them with extended hours, 7 a.m. to 7 p.m. We integrate that with behavioral health services. No matter what their needs might be, we're able to support them. So what I think about, there's been a lot of focus around women's health here. Of course, weight management. 50% of our patients who are coming to us for primary care, they're actually seeking support around weight management. They're looking for access to be able to connect to a health system and they don't know where to start necessarily. But oftentimes they have that trusted relationship within the community with their healthcare provider, that health system. And so they then start with Ovation and we help them guide them along in that journey. So, you know, it's been, there's been a lot of focus on that. Of course, AI has been a ton of talk about that. But what I've heard is less about like AI as a platform and more about AI within applied solutions. And that's what I think is going to be required to be successful. Right. All the tools are still require people to think about what's the practical cases to use those tools. Because we know if you put in a bunch of bad data, you're going to get bad results. So it's all about going back to the core of how do we take care of patients? What's that clinical journey looks like for the patient, for the caregivers, for the clinician to all be involved in that journey. And then let's add to the technology, the virtual care, the various modality to facilitate more seamlessly. So it doesn't, like you mentioned, if we're outside the existing realm of workflow, people are going to feel like it's a burden. It's an extra thing they have to do instead of help. So having the health system, the clinician, the caregiver, all in that initial phase of creation is very important. And I believe the right company always do really well, right? When people come to us, I'm always like, what's your minimum sellable product? Don't just give me a minimum viable product. Because there are a lot of things that can be viable, but not a lot of things that create enough social backing, and what we call that social capital, to truly get into adoption for people to see the value of what can be. And so as you guys were building this, tapping into, I believe you guys in the Carolinas? In South Carolina, yes. In South Carolina and then in Ohio. So those are our two markets. And that's the one thing that we really focus on is I always say I'd rather be in five states serving 500,000 patients than in 50 states because we want to be able to have a deep relationship with the patient. All health care is local. So in being a virtual care provider, we need to be able to still understand what the health system, what those patients, what those communities are. We need to be an extension of that relationship. You can't feel as if, hey, I went to my primary care provider in person and they know me really well. And then I have a virtual visit and they don't really know my community. They don't know who I am. They don't know how to connect me to the resources that I need as part of my patient journey. So absolutely. Right. Because we already seen that. A lot of times people say, oh, I went to my cardiologist's office. I've never seen the same doctor. They bounce me from one doctor to another PA to another MP to everybody. Right. So then people feel very disconnected for what they see medicine used to be is your family doctor who knows everything about you. Anytime you see other doctor, they already know there's a connection. There's a backfield of closing the loop, which we often don't see that. And when we can see yeah nowadays people travel a lot but they still have a home base whether that healthcare or connecting to virtual Yes we get them the ability to see someone but we still want to close the loop of how well you know that person So I love that because every month I look at the top referrals within our overall practice. So that's across urgent care, primary care, behavioral health. And always within our top 10 referrals is actually a referral to virtual primary care. And who's making that is our urgent care team. So what we try to do is we often have patients that they're younger. Maybe they don't understand the value of primary care. And you know what? They could be within their 20s. They could be in their mid-40s. They maybe have not established that primary care relationship. So they come, and what's unique about Ovation is they do have an opportunity to select. They can get in line. I hate that term, but it's an epic functionality called getting in line, and they wait for the next available provider. Or they have the ability to select the time in the provider for an urgent care visit. once we've seen that patient maybe two or three times we start talking to them we thought about establishing a relationship building a relationship with a pcp i'm sure this is working out you know this is working out really well we're able to help you but let's think about what we could do if we had somebody that was established and had that relationship and to your point you know there are health systems there are you know practices that will hand the patient off more often than not yes the value of being able to be on a medical record see that continuous care journey that's helpful. But what most patients want, we see in their patient satisfaction survey and their comments, they do want to be connected to a provider that knows them, that understands them, that they build a relationship with. And they sometimes have, oftentimes we see it from coming from patients is they truly feel like they've never had a better relationship with their PCP in this way because they feel connected. They feel that they're on an equal status as well. There's minimizing some of that white coat syndrome of being able to say, you know what, I'm in the comfort of my home or I'm at work and I'm able to have a conversation. I feel maybe a little bit less stressed and I'm just talking to my provider, you know, across that video screen and it goes really, really well. Yeah. And then we definitely see that disconnect and then the people could do really well in that. Right. I remember even when I was going through training in primary care, we have the old lady who dress up to go to your doctor's office. Right. And then it's the moment it's like, wow, like look at what they're new had, right? And then you're having a whole conversation with you while you're taking the vitals and taking their history. And versus things kind of shift in a few years due to, yes, the pandemic and all that. We start looking at how do we get care in the best way, but can we still have that continuation of I still know you? Whether it's through a computer screen or versus that you're actually in there with a person. So telemedicine becomes a lot more and we can reduce the everybody keep using urgent care as their primary care, which, yes, if you think about the clinician practice, they are definitely always by shifts, right? People cannot be following you versus what the primary care can't do. Well, I think that the one thing, though, about I'm sure many of your listeners have heard this, but I think the value of being able to have that virtual and being on video. So I would say 99.7% of our visits, they're done via video. The only reason that we went in is we did have like, we had an outage today and there was one patient who wasn't able to be seen. So we did an audit, we flipped audio. But in general, we're able to pick up on so many of those other cues and build a relationship to actually see the home, see the setting that the patient's in. Maybe it's the pet, you know, whatever that is in that visit. And that helps build that relationship and that connection as well. So you can still get dressed up when you're on camera, and you can still do so and be in the comfort of your home to be able to do that. And I think that's the one thing that we've seen. So many of the patients who maybe haven't seen a primary care provider in 5, 7, 10 years, they're getting in. And because that virtual care has reduced the barriers and they don't have to leave work or that we've had those extended hours, they are able to really be the co-captain of their health care journey with their PCP and their care team. And so if they need to be seen once a month, and maybe there's a number of things that they're tackling together with their PCP, it's a lot easier to do that when you're not having to take away two hours a day to be able to go to that brick-and-mortar practice. What I love about this first part of our conversation with Michael is that he reminded us patients are no longer looking for more health care options. They are looking for outcomes and connection. We talked about why convenience alone is not enough. If your solution helps people access care, stay connected to trusted providers, and removes friction from their daily life, that's where real adoption begins. Now before we jump into the second two-third of today's conversation, let's take a quick pause and share something that you will be able to benefit from. If you are a founder beyond Series A or you have been leading a well-established organization in the health system, physician organization, a venture capital firm, we would love to speak with you and feature you as one of our speakers on our Top 100 Ranked podcast. Go to theprovidersedge.com to apply. Correct. and as you guys are start looking into the next year where does that vision looks like what's what's the next year will be ultimately so one of the unique things about ovation is that we do have as i mentioned integrated behavioral health so whether that patient isn't coming in through urgent care or primary care we have the ability to provide a warm handoff to behavioral health provider at ovation in real time and what we really are trying to now embed is that within In some of our specific conditions, yes, we're going to make that patient available and aware that we have these behavioral health services. But we really are trying to de-stigmatize the opportunity to be able to connect with the behavioral health provider. So if they're part of that weight loss journey, we will assign them. You can call them a care advocate. It's a licensed clinical social worker. They're going to be part of their care team and start introducing that so there's not that stigma that comes with it. And that they're just helping them to be able to be successful. GLP-1s or weight management drugs, incredibly helpful. But there's an overall lifestyle change that's going to need to happen. Your PCP can help facilitate that, but it is going to take that larger team-based effort. And some of that coordination across the health system, across your community. So that's one area. We also probably more than double the number of visits that we have And we will continue to build out some of the virtual to in relationships that are needed some of the handoffs that maintain trust and also what we looking to be able to do for our health system customers The value that they see is that that patient starts virtual, but then they're connected with other ancillary services. So we want to create some of that additional adoption and closed loops for both referrals to the health system, as well as maybe some of the resources that are in the community. So in my mind, we are looking to build and take on a couple of other health system customers, but we have a tremendous opportunity to continue to be able to scale our services for MetroHealth and Medical University of South Carolina. Yeah, so it seems like now you guys are decent traction, hospital connection. Now it's about what's bigger, what's next, right? What additional services to help you to scale up this community-based solutions and add on to things people already are looking for, right? Well, one thing that I think about that is one thing that we really focus on as well for our health system customers is helping them connect with employers and their employees. So they're already very large employers. For our respective customers combined, they have about 40,000 employees. That's a large number. What we want to be able to do, though, then, as they're going to other employers, is to be able to offer Ovation as a service that can support employers and employees, keep them connected to the health system. But also, as I think about it, there's one use case. There's a university. They have students that are coming in, and you think about establishing a relationship. Those students oftentimes will be gone in four years. What we don't want them to have is then, you know, they've got to go find another PCP. They're breaking that relationship. Or if they go home for the holidays, or a professor that's, you know, they may be teaching virtually. They never have access to that on-site clinic. So, but virtual creates an amazing ability. And also they don't have to come to the campus. We can provide those service extended hours as well as provide those services to their family members. So that's something that we're trying to help translate that into value for our health system customers to say, here's an opportunity to sell to employers, keep them connected and helping reduce their overall cost of care. Yes, it's about expansion of what other entities can do through the services you already have. Absolutely. And it just makes a natural sense. Instead of feeling like, oh, we're creating a completely separate solution, this is already existing. This is an easy conversation for them to benefit from more patients staying in the health system, as well as supporting these additional businesses in the community who can help better retention, less of having to take off work because their family needed to go to a doctor's office for any appointment, where they have to take time off work, sick days to do all these exception services. As we wrap up, I always like to ask more of a fun question. So if we give you a magic wand and grant you three wishes, and that three wishes can help you in really speed up all the goals and the additional things that you really aspire to do with the company, how would you use the three wishes? Ooh, I love that question. Three wishes. So if you have a CEO and a founder on your podcast that is not talking about money, capital, I could use more capital. So yes, that would help in terms of growth. So I think we're looking at, and that's something for us, we're in a good position right now. But being able to have that additional funds would help us grow with additional health systems, be able to grow our services. Right now, today, we have a virtual patient center medical home. We want to build out a multi-specialty practice. So we think about cardiology, endocrinology. Those patients who are engaging today for virtual primary care, they can do so for other specialty services as well and stay connected to the health system. Another wish would be, in my mind, telehealth and the waiver that's currently in place that we have permanent coverage. That permanency, to be able to have this kind of like waiting game that happens every six, nine months, that would be phenomenal. And then also, if I could wave my wand, I would love for Ovation, maybe some of those who are watching and listening, there's a lot of funds right now around rural health transformation grant about being able to bring virtual care or services to communities that are rural. And so I would love for Ovation and other virtual care companies to be able to have that opportunity to bring their services and keep patients who are sometimes disconnected as part of their health or have to travel long distances. Virtual care and Ovation are a perfect opportunity for that. I'd love to be able to offer our services to them. Awesome. And then clarify on the funding, what stage of funding you guys look for to help that extra help, right? Because expansion always take a little bit of extra capital. Yeah, we're unique in that we're a nonprofit. So we've received phenomenal funding from our original investors, MetroHealth and the Medical University of South Carolina. So interestingly, we're looking for other health systems that want to be part of that consortium or others who see the value in that play. But they're really looking for, I would say, more of a consortium or opportunity to invest in how they build out. And they have a similar vision for building out a virtual practice that's connected to their health system. Yeah, I definitely see the alignment more of finding those ventures on the health system side, more medical school, those type of academic side, mission-driven side. So then you understand what the bigger population has at play. Absolutely. And for us, we are more of a physician-led organization because we believe in having patients and clinicians in the forefront of the conversation. And that's why the podcast is there. That's why we interview other innovators is to see how can we do this better together? Having the right conversation, then the physician become your champion through the ACL's health system or individual private practices. And then they sometimes can be investors or board members because they truly believe in the change instead of not everyone should create their own company. right? There's a lot of work and time and money that you have to throw in it. So instead of having to create your own brand new thing, if you're really passionate and truly have existing companies that are connected to your own mission, then invest, advise. That has a lot more gain, actually, and then less headache. So for anybody out there who are thinking about investment or your hospital side of venture. Think about population health solutions as ovarian and start looking, start engaging, start having those conversations because we all have to collaboratively come together in order for these solutions to expand. And for sure virtual primary care telehealth it a solution that has been popping up in the past few years have been successful in many of them and giving us a virtual second opinion versus virtual primary care versus the psychological side that memory could not do, and the virtual critical care, right? A lot of hospitals really need those calls. So we have all these solutions. It's just a matter of coming together. Absolutely. What Michael shared here is a smart reminder for every founder. Scaling is easier when you expand from what already works. We talk about integrating behavior health, serving employees and universities and creating smoother handoff between virtual and in-person care. The real opportunity is not building disconnected products. It's building ecosystem that keeps patients supported, loyal, and engaged. Now, many of you are also in earlier stage of your creative journey. Whether you're a clinician, a scientist, building a solution, seeing a gap in this space, then come to pitch to yes so you can practice your pitch in front of investors and operators who can help you to get to the next milestone. Go to pitchtoyas.com and see you at our next virtual diagnostic lab. So as we conclude, how would people find you to continue these conversations? What's the best way to contact with you? So we're on our website, probation.com. You can also connect with me through LinkedIn and my profile, Michael Dalton is on LinkedIn. We also have an Ovation LinkedIn. We're super active. We have about 10,000 followers there and we'd love for you to be able to reach out and we can share more about Ovation and how we're creating value for you. Awesome. Love that. So for everybody who are listening, watching, if you have been involved in any work in population health, comment below. What is something that you already been working on? you'll be involved in virtual primary care, urgent care work, and this continuum of collaboration, expansion of this care for rural communities even. And then message Michael to have a conversation with him, whether it's for support, investment, or just simply learn more about what they can do. And I appreciate everyone for joining us. Thank you. As we wrapped up today's conversation, I want to bring this full circle because Michael shared something that many founders and healthcare leaders need to hear right now. Growth in healthcare is not about building the loudest solution. It is about creating trust solution that fits naturally into how patients, clinicians, and health system already live and work. Today's episode, we explore how virtual care can expand access, strengthen relationship, open new revenue channel, and scale in a way that actually improves outcome instead of adding more noises. Here are the key takeaway. Number one, if your product lives outside existing workflow, growth gets expensive. Many founders think better feature wins, so they put more money, more energy, more funding into just product development, not in healthcare. Michael made it clear. If patients or clinicians feel like your solution is one more thing to manage, then adoption slows down. Winning founders don't just build products. They remove friction for what already exists. So the question for you as founders are, are you creating a tool or adding another burden? This will be a good question for all the healthcare administrator out there to think about as well. Number two, convenience is not the product. Trust is. Ovation offers extended hours, virtual care, behavioral health, PCP continuity. But the real product is this. Patient feels known. That's what drives retention. Too many startups chase convenience alone. Convenience attracts users. Trust keeps them. Number three, narrow geography can be national expansion. Michael said he'd rather serve few states deeply than all 50 shallowly. This is founder wisdom. Many early stage companies over-expand before they over-perform. Depth create proof. Proof create scale. Now the other way around. Number four, the next wave of AI winners will be applied, not theoretically. Michael says something many founders need to hear. The conversation is shifting from AI as a platform toward AI in practical use cases. Translation, investors and buyers are tired of AI buzzwords. They want measurable outcomes. Number five, integrated behavioral health is a revenue plus outcome opportunity. Most founders separate physical health and behavioral health. That creates gap. Ovation builds warm handoff in real time. That means higher patient engagement, better outcome, more retention revenue inside health ecosystem, and stronger total care value story. Founders who integrate win faster than founders who silo. Number six, expansion is easier when it extends existing assets. The employer strategy was smart. Instead of investing a new business line, they repurposed current infrastructure for employers, universities, remote workers, and family members. This is a founder's goal. Before launching new product, ask what current engines can sell into a second market. So let me ask you this, if you could fix one broken handoff in healthcare today, primary care, mental health specialists, employee care, what would create the biggest ROI. want to hear from you. Visit sabrinaronbach.com forward slash connect and send me a direct message. Talk soon!
