Product launch
Luma Therapeutics, a US digital health company, must plan the launch of its FDA-cleared prescription digital therapeutic (PDT) for chronic insomnia.
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Luma Therapeutics is a Denver-based digital health company founded in 2018. It has developed "Luma," an FDA-cleared prescription digital therapeutic that delivers cognitive behavioral therapy for insomnia (CBT-I) as a structured 9-week smartphone program with optional human coaching. Like all prescription digital therapeutics, each patient requires clinician authorization, which in the direct-to-consumer channel is provided through an integrated telehealth onboarding visit. Luma is cleared for adults 22 and over with chronic insomnia, and its published trial results show insomnia severity reductions comparable to in-person CBT-I.
The company has $42 million of cash, a burn rate of roughly $2.8 million a month (about 15 months of runway), and must now choose its go-to-market channel ahead of commercial launch in six months. There are three options on the table:
- **Direct-to-consumer (D2C):** self-pay at $149 for the 9-week program, acquired largely through paid social media. - **Payer / B2B2C:** contracts with commercial insurers and large employers who offer Luma as a covered digital benefit on a per-completion fee basis. - **Clinician prescription:** e-prescribing through sleep clinics and primary care, integrated with electronic health records.
The leadership team is split. The CMO points to strong 2023 D2C results and insists the consumer channel is the only path with enough volume and cash to matter. The CFO worries that paid-social acquisition costs are inflating and wants anchor payer contracts. The head of clinical science insists that program completion rate is the linchpin: it drives clinical outcomes (and therefore the evidence payers demand) and, under per-completion contracts, it also drives revenue. The board has asked you to recommend which channel should anchor the launch, and how to sequence the others.
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