Lab testing company Function Health raised a $298 million oversubscribed Series B funding round, bringing the company’s valuation to $2.5 billion. Consumer adoption of cash-pay wellness services is surging, though offerings exceeding $1,000 all-in may see constrained demand. Companies entering D2C lab testing should avoid overpromising the value of testing hundreds of biomarkers, ground their claims in solid science, and be transparent about pricing—including add-on costs.

GoodRx is launching a weight loss telehealth membership plan and discounting the cash-pay price for low doses of Novo Nordisk’s Ozempic and Wegovy to $199 per month. GoodRx is newer to telehealth, but already making waves and forging closer relationships with drugmakers.

Telehealth provider Hims & Hers is adding direct-to-consumer lab testing services in a new partnership with Quest Diagnostics. While the ability to self-order lab tests through platforms like Hims offers convenience and new insight into potential health risks, it also puts more responsibility on consumers.

Hims & Hers said on its recent earnings call that it’s in active talks with Novo Nordisk to make Wegovy available on Hims’ platforms. Hims and Novo both have an incentive to reignite their partnership. Hims’ pricing edge in the GLP-1 market is fading, while Novo could use GLP-1 sales from Hims’ sticky customer base to make up some of the market share it has recently lost to Lilly.

Hims & Hers is offering prescription microdoses of compounded GLP-1 semaglutide, joining other telehealth companies touting mini doses with lower costs and fewer side effects. As patients and providers move to try lower-cost doses with fewer side effects, some demand may shift from full-strength prescriptions. That puts pressure on Novo and Lilly to engage physicians around maintenance dosing and longer term patient retention strategies.

As healthcare and pharma ad spend shifts to digital, discover the CTV, social, and search trends redefining media strategy in our latest forecast.

Hims & Hers and GoodRx each moved into new categories of prescription drug sales. Hims and Hers is now offering care for menopause and perimenopause under its Hers brand, while GoodRx launched a subscription for men’s hair loss treatment. GoodRx is a new player in an expanding market of companies selling prescription drugs, but we think the company has staying power. GoodRx’s vast user base offers a cheaper, more efficient path to converting consumers into subscription members than other D2C healthcare competitors.

Telehealth company LifeMD is partnering with Novo Nordisk to offer diabetes patients Ozempic for $499 per month. GLP-1 price wars are taking place between drugmakers and online healthcare companies still selling compounded weight loss medications. Novo’s and Lilly’s branded drugs have the stamp of FDA approval in their favor, but many cost-conscious consumers paying out of pocket will still opt for the cheaper compounded GLP-1s (~$200 per month) through telehealth platforms like Hims & Hers.

The FDA claims Hims & Hers’ compounded GLP-1 offering is being falsely marketed on its website, and its Super Bowl weight loss drug ad is under scrutiny for omitting side effect and risk information. Telehealth players in the copycat GLP-1 space can easily change marketing language online, and likely don’t have to worry about adhering to drug advertising laws that apply to pharma manufacturers—yet.

Hims & Hers is expanding into a new men's health category by offering treatments for low testosterone. But it will need to navigate strict FDA oversight. The FDA has previously warned companies against exaggerated claims, stating that these treatments are only approved for men with low testosterone caused by specific medical conditions—not for general symptoms like fatigue from normal aging. Marketers must educate consumers on the FDA-approved status of their products, make it clear that a blood test will determine eligibility for a subscription, and avoid generalized messaging about the treatments' benefits for low energy or tiredness.

Novo Nordisk is cutting 9,000 jobs—11% of its workforce—as it aims to regain its lead in obesity drug sales against Eli Lilly and telehealth companies. The layoffs mark another shift for Novo in a turbulent year. CEO Mike Doustdar is only about a month into the role after the previous CEO stepped down amid plummeting stock prices and sales. Though Novo lost the GLP-1 market lead to Lilly, it can regain ground if its weight loss drug pill gains approval ahead of Lilly’s oral option and executes a strong launch. It should focus on reinvesting layoff savings into commercial efforts for what will be the first GLP-1 pill for weight loss.

WeightWatchers launched a new menopause program with Queen Latifah as its spokesperson. This move is part of a larger strategy to expand into the clinical healthcare and prescription medication markets. To succeed against rivals like Hims & Hers and Noom, WeightWatchers needs to offer competitive pricing and secure more partnerships with major pharmaceutical companies to help raise awareness of its new focus in the growing wellness sector.

The trend: Nearly one-quarter of patients (24%) who are pleased with the quality of their recent medical care may still change doctors in the next 6 months, according to a new survey from Huron Consulting Group. Our take: People used to have limited options for healthcare and just went with whatever was in their insurance network. But things are changing, and providers can no longer bet on this. To compete with new tech-savvy healthcare companies, traditional clinics and health systems need to adapt. While they may not be able to match them completely, they should at least adopt some of the features that patients want.

The news: Novo Nordisk’s stock plunged over 20% on Tuesday after it cut full-year guidance, citing lower-than-expected sales growth for Wegovy, its blockbuster weight loss drug. Our take: Despite the recent slump, we think Novo is well positioned to rebound. It remains one of two dominant players in the weight loss drug space and is still posting profit growth, albeit below Wall Street expectations. With the US adult obesity rate expected to hit 50% by 2030, the market opportunity is huge. Meanwhile, regulators are likely going to make it more difficult for compounded drugs to be sold as long as brand-name forms stay off the FDA’s drug shortage list.

Our midyear report revisits the top trends we named in early 2025 to see what’s shaping the market, evolving fast, or fading in the rearview mirror.

The news: Rush University System for Health in Chicago is launching a subscription health model for patients seeking virtual urgent care. Our take: Legacy health systems are playing catch-up to D2C healthcare companies, and likely can’t offer a better customer experience. Telehealth is now a commodity, and success in the subscription healthcare space could come down to factors such as easy access to in-demand drug categories (e.g., GLP-1s, sexual health meds) and spending on digital channels such as social media to create brand awareness and more effectively reach younger customers.

The news: Hims & Hers will soon expand its business to Canada, where it plans to sell generic semaglutide. The bottom line: Novo just gave a massive gift to healthcare companies that are in the weight loss drug market but can no longer sell compounded GLP-1s now that the brand-name versions are available again. We’ll likely see more players in this space that primarily operate in the US expanding north of the border, while others could take advantage of President Trump’s executive order that calls for the FDA to authorize more states to import lower-cost drugs from Canada.

The news: Novo Nordisk is terminating its short-lived partnership with Hims & Hers. The drugmaker is accusing Hims of illegally selling knockoff versions of Wegovy, while deceptively marketing its compounded GLP-1 products. Our take: Hims will likely regret its refusal to cooperate with Novo and Eli Lilly, who have taken control of the D2C weight loss drug market.

The news: Eli Lilly said it won’t partner with telehealth companies that sell compounded weight loss drugs. Our take: Lilly’s demand may signal that it’s in a better position in the weight loss drug market than Novo to play hardball with industry partners such as Hims & Hers.

The news: GoodRx is rolling out a subscription service for erectile dysfunction (ED) treatment. Our take: GoodRx is in a great position to compete with the top D2C telehealth players since consumers are already on the site or app searching for prescription drug discounts—it has over 6 million active monthly consumers who use a coupon code. GoodRx might also be more trusted than pure-play telehealth companies in the eyes of consumers since its services help people save money on their healthcare.