Hearst creates Hearst Health, bets on Health Care Information Services

What: Hearst Corporation is creating Hearst Health, a healthcare information services division that consolidates several Hearst owned Healthcare Information companies. They will now be provided a unified branding message.
Why it matters: Hearst is one of the largest private media companies and owns major newspaper and consumer magazine assets.  By investing in its Health Care Information Services unit, Hearst is betting in a sector that has higher growth rates than most consumer media assets.

hearst-corporation-logo2Hearst Corporation, whose holdings include Cosmopolitan magazine and an ESPN stake, is establishing a healthcare division called Hearst Health.

Hearst Health will be comprehend 5 healthcare-information companies, in addition to an innovation lab and venture fund thought to invest US $75 million in startups in the space first, and another round of US $75 million for the future.

Hearst already holds a majority stake in the division's companies, but used to lack a unified brand until now. According to a press release published by the New York headquartered company, this presented a challenge when trying to explain Hearst's healthcare initiatives to clients and employees.

Hearst Business Media touches more people than also Hearst owned ESPN or Cosmo.

The creation of this new division is Hearst’s latest step into healthcare-related business. Two months ago, the company bought 85% stake in Homecare Home-based, maker of software for hospices and in-home medical care providers. Healthcare information has become a chief revenue source for Hearst through its leading companies: FDB (First Databank), Zynx Health, MCG (formerly Milliman Care Guidelines), Homecare Homebase (85 percent stake, as previously announced) and Map of Medicine (internationally). Each year in the U.S., care guidance from Hearst Health reaches more than 75 percent of patients discharged from hospitals, 20 million patient home visits, more than 133 million insured individuals, 1.8 billion retail pharmacy prescriptions and 3.25 billion prescription claims.

Hearst Health provides services used by doctors and other healthcare practitioners who treat 76% of the patients discharged from hospitals. According to Richard Malloch, president and group head of Hearst Business Media, the division's reach is more widespread than Hearst's other holdings. "They touch more people than ESPN or Cosmo," he added.

The announcement continues Hearst's business media group growth, which includes not only Hearst Health but also the company's 50% stake in Fitch Ratings. The company’s most profitable group is entertainment and syndication, which includes a 20% ownership in ESPN and a 50% ownership of A&E Networks. Business Media is its’ second.


Celeste Martorana @celesmartorana

Celeste joined Portada’s team in 2013. Since then, she has been working as an editor for Portada’s English-language website and compiling information for Portada’s Databases. She moved to Buenos Aires to study Scientific, Technical and Literary Translation in English. She is currently living in the Belgrano neighborhood. Celeste is very outgoing and sociable. She enjoys travelling abroad, especially if she has the opportunity to meet new people and put her English skills into practice.

MORE FROM PORTADA

#Portada16: Are Multicultural Media Buying Agencies Necessary?

#Portada16: Are Multicultural Media Buying Agencies Necessary?

One of the key highlights of the many sessions of #Portada16, co-produced with MediaPost last week, was the panel "Do Multicultural Media Buying Agencies have a Reason to Exist? The panelists argued passionately on a topic that is at the very crux of Multicultural Marketing and Media.


Lionsgate & Univision Launch Spanish-Language Movie Streaming Service 

Lionsgate & Univision Launch Spanish-Language Movie Streaming Service 

Lionsgate, the next generation global content leader, and Univision Communications Inc. are teaming to launch a premium subscription video on demand (SVOD) service for the booming Hispanic movie-going audience in the U.S.The new premium on demand movie service will tap base of more than 50 million hispanic consumers in the U.S.


IPG Mediabrands and Innovid Announce Partnership, New Technology to Improve OTT Video Experience

IPG Mediabrands and Innovid Announce Partnership, New Technology to Improve OTT Video Experience

IPG Mediabrands and Innovid have launched a partnership and set of products that could make waves in the video advertising world.