Parsley Health
Originally published 10/10/2019
Locations: New York, San Francisco and Los Angeles, with an additional location in West Hollywood announced. Additional locations planned in Florida and Texas.
09/08/2021 Update: The San Francisco location has been closed.
Scope of Practice: Parsley is a primary care office, (no acute/urgent care), that incorporates integrative and functional medicine. Sells private labelled supplements online through Parsley Health Store. Parsley does not accept insurance.
Practice Focus: Wellness achieved through longer appointments, few prescriptions, advanced testing, nutrition and lifestyle. Promotes treatment of autoimmune & inflammation, gastrointestinal issues, hormone health & fertility, mental health, men’s health, metabolism and weight management.
Public Information: Parsley Health started in 2016. An additional $10 million in funding was announced in 2018, with this funding being “more than triple the funding Parsley had raised to-date” (article #2 below). In October 2019, Parsley announced an additional $26 million in funding, bringing total funding to approximately $40 million (article below). New funding will be used in part to support the Online Visit program utilizing telemedicine.
09/08/2021 Update: Vator (article below) reports that Parsley has $100 million in venture capital funding.
Pricing: Parsley’s initial price was $149 per month, (discounted if paid annually), and included 5 office visits, virtual visits, unlimited health coaching, unlimited “quick” email questions and vitamin injections. Additional office visits were $250 per 30 minutes.
Parsley’s current prices eliminate the unlimited health coaching. They currently offer three packages:
- Parsley Assessment ($500). Three months of care, 7-part health plan, basic biomarker testing, one 75 minute doctor visit, one health coach visit and access to the Parsley community.
- Complete Care ($150 per month). Twelve months of care including 7-part health plan, health plan updates, advanced biomarker testing, five doctor office visits, five health coach visits, unlimited messaging and access to the Parsley community.
- Comprehensive Hormone Care (starting at $299) Advanced hormone testing, doctor-designed health plan, health plan updates, monthly online health coach visits, unlimited messaging and access to the Parsley community.
09/08/2021 Update: Parsley’s monthly subscription has been increased to $175 per month.
05/12/2022 Updated: Parsley has entered into an agreement to be in-network with Aetna New York.*
Parsley’s Online Visit program will cost $150 a month and includes 12 months of care, a 7-part health plan, health plan updates, advanced biomarker testing, 5 video doctor visits, 5 video health coach visits, unlimited messaging and access to the Parsley community, per Parsley’s website.
Outlook: There is no doubt that Parsley has created a powerful brand, with locations in hip metropolitan areas, a professional website and an active marketing campaign. Parsley has invested in qualified physicians and seems to be well-funded for expansion and growth, including additional brick-and-mortar locations, telemedicine and technology. Parsley has represented that its services are in demand with patients.
Questions still surround Parsley’s ability to improve the margins of healthcare enough not only to be a viable practice offering, but also to be a sustainable concern, (especially with $40 million in debt). Patient care alone would seem to be insufficient to accomplish these goals, as Parsley’s time-intensive visits reduce the physician’s patient volume. Depending on whether or not the five annual health coach visits are factored in with the five annual physician visits, Parsley’s fees result in a payment-per-visit of $180 to $360. Supplement sales and add-ons would increase this revenue, but it is uncertain if this revenue, (which is probably two or three times traditional payment-per-visit), is enough of a bump to cover the expensive markets, physicians, support staff, offices and amenities, (such as kombucha on tap), that increase Parsley’s costs. When the additional time that Parsley’s physicians spend with patients is considered, Parsley’s payment-per-visit may not be higher than traditional medicine.
Parsley compares itself to traditional medicine and not comparable I&FM offerings, which is misleading. Parsley touts that it sees patients five times a year compared with the traditional average of one visit a year. Parsley compares its reduction in prescription medicine to traditional practices. Parsley champions the positive outcomes of focusing on lifestyle and nutrition that traditional medicine often neglects. It is unclear if Parsley’s represented advantages would be advantages compared to other I&FM practices.
Parsley positions itself as a “replacement” for patients’ primary care, but the extent that Parsley can replace traditional primary care while also implementing functional medicine in five physician visits a year is a concern. Parsley’s patients still need insurance, as well as access to acute care. It remains to be seen if patients paying a premium for care will be satisfied long-term with a plan that provides five visits a year with their physician and considers contact with health coaches and other staff as significant. There is also the concern that as an out-of-network provider, insurance plans may restrict Parsley’s ability to order labs, imaging, etc., which would increase costs and reduce their value to the patient.
Parsley promotes “unlimited access,” but this “access” is somewhat different than the traditional access patients might expect, as Parsley includes the entire “health care team” and all messaging as “access.” Additional physician visits are most likely available at an additional cost, which may cause patients to question if the plans really provide “unlimited access.” These additional visits would increase the cost of care with Parsley to be exponentially greater than the package costs. Patients may feel that this “unlimited” package approach is misleading.
Parsley’s target patient seems to be those in the “sweet spot” of I&FM care. The patient needs to be dissatisfied with traditional medicine. They most likely have symptoms that traditional medicine has not effectively addressed. These symptoms need to be resolved with Parsley’s focus on lifestyle and nutrition and care delivered in five physician visits supported by the care team. Patients with more severe symptoms that could be treated with more intensive I&FM care may not find this approach effective.
Parsley may be looking to improve margins with their offering to employers, but the outcomes of employee wellness plans–especially the cost savings–are not as clear cut as Parsley represents. Employer groups will also be challenging because most will represent the general population, which is reluctant to make lifestyle and nutrition changes. Applying I&FM to a traditional patient population will be a challenging endeavor.
Ultimately, Parsley’s end game is most likely a public offering or sale. These are the only two foreseeable options that would justify the expenses outlaid and provide sufficient return investment.
Articles
- “With New Book, Parsley Health Founder Dr. Robin Berzin Wants To Bring Holistic Health To All,” Gabby Shacknai. ForbesWoman, January 27, 2022 (CLICK HERE)
- “How does Parsley Health make money?,” Steven Loeb. Vator, September 8, 2021 (CLICK HERE)
- “Parsley Health nabs $26 million Series B to launch telemedicine products,” Jordan Crook. Tech Crunch, October 10, 2019 (CLICK HERE)
- “Parsley Health’s Care Is Beyond Impersonal Doctors And Pills,” Apekshita Varshney. Techweek, July 17, 2018 (CLICK HERE)
- “Parsley Health Announces $10M Series A Funding – And A Plan To Heal Healthcare,” Macaela MacKenzie. Forbes, April 24, 2018 (CLICK HERE)
- “This doctor’s office charges $150 a month and doesn’t take insurance — and it could be the future of medicine,” Melia Robinson. Business Insider, May 11, 2017 (CLICK HERE)
- “Boutique Medical Practice ‘Parsley Health’ To Open First SF Location This Month,” Elaine Gavin. hoodline, November 1, 2016 (CLICK HERE)