Quit Genius, a personalized digital therapeutic for addictions, raised $11 million in Series A funding.
The round was led by Octopus Ventures, a European early-stage investor, with participation from Y Combinator, Startup Health, Triple Point Ventures, Serena Ventures, and Venus Williams.
The company plans to use the new funds to expand its therapeutic programs beyond cigarette and vaping addiction to include alcohol and substance abuse, as well as increase its presence in the US, which is currently experiencing an opioid ‘epidemic.’
The Quit Genius digital therapeutic replaces conventional low-intensity telephonic cessation support with a personalized digital program that includes cognitive behavioral therapy, expert coaching, a connected breath sensor, and easy access to medication. The company’s initial focus has been tobacco and vaping use, where its evidence-based program has delivered a 53% quit rate for its users. This is almost triple the 15% quit rate achieved by traditional telephonic intervention, and just 3% when going cold-turkey.
At present, Quit Genius works with self-insured employers and health plans to help lower healthcare costs, while improving employee satisfaction. It operates with a ‘fees-at-risk’ model with a performance guarantee, where clients are typically ‘paid back’ in the first four months. The company already reaches over 700,000 enrolled participants globally, working with enterprise clients across the US, Canada, and the UK.
Yusuf Sherwani, CEO and Co-founder of Quit Genius, said: “Employers are tired of the broken incentives that exist in a traditional “fee-for-service” model. By delivering value-based pricing, we are fast becoming the #1 digital therapeutic program for addictions in the employer space.”
Image Credit: Quit Genius