Pelago, a trailblazer in virtual substance use management, has recently announced the appointment of Frank Jennings as its new president. With an impressive background in healthcare and digital sales leadership, Jennings takes over from Pelago co-founder Dr. Sarim Siddiqui, who stepped down from his role in September. Despite stepping down as president, Dr. Siddiqui continues to play a vital role in the company’s strategic direction. Jennings’ appointment marks a significant moment in Pelago’s growth as a key player in the virtual healthcare space for substance use disorders (SUD), signaling the company’s ongoing commitment to expanding its reach and impact.
Jennings brings over a decade of leadership experience to Pelago. Prior to joining the company, he was the chief sales officer at Castlight Health, where he led the organization’s sales strategies. He also served as the chief commercial officer at Covera Health and held the position of senior vice president of sales at Doctor on Demand. With a proven track record of leading successful business growth strategies, Jennings’ experience positions him well to lead Pelago into its next phase of expansion.
In a statement regarding his new role, Jennings emphasized Pelago’s mission to transform substance use care. “Pelago’s clinically validated approach, powerful cost-saving metrics, and nationwide reach are changing the face of substance use care,” he said. His belief in Pelago’s unique value proposition is a testament to the company’s innovative approach to addressing substance use disorders through digital substance use treatment and telehealth services.
Pelago’s Growth in Digital Substance Use Treatment
Pelago, originally founded in 2015 as Quit Genius, has spent the last several years establishing itself as a leader in the field of digital substance use treatment for SUDs, including alcohol use disorder, opioid use disorder, and tobacco use. The company’s platform offers a scalable solution for employers, health systems, and health plans, enabling them to provide comprehensive substance use treatment through digital platforms. This model has made Pelago’s services accessible across the country, providing a much-needed solution to those affected by substance use issues, particularly in areas where traditional in-person care might be limited.
The company’s growth has been propelled by its ability to partner with high-profile clients such as AT&T, Phillips, and GE Appliances. These partnerships have not only expanded Pelago’s reach but also allowed the company to refine its approach to providing evidence-based, clinically validated care on a large scale. Pelago’s platform enables employers to offer digital services and telehealth solutions to employees, supporting the growing demand for accessible and flexible substance use care options.
Performance-Based Model and Expansion
What sets Pelago apart from many other companies in the space is its performance-based business model. In 2022, Pelago made waves when it announced that it would tie all its revenue from business-to-business contracts to meeting agreed-upon performance goals. This innovative model ensures that Pelago delivers tangible results to its partners. As CEO Sherwani explained in a 2022 interview, “If we don’t hit those goals, we’re going to lose some of our fees, all the way to 100% if we miss all of our goals.” This commitment to measurable outcomes is a reflection of Pelago’s dedication to ensuring that its services are not just effective but also cost-efficient for its clients.
Pelago’s focus on results has been key in building trust and credibility within the healthcare and corporate sectors, as companies continue to recognize the growing need for robust substance use management programs that are both effective and affordable. The company’s emphasis on outcomes-driven care has attracted significant investment, allowing Pelago to further expand its reach. In April, Pelago raised $58 million in a Series C financing round, bringing its total funding to over $150 million from outside investors. This financial backing is expected to further fuel the company’s growth and enable it to continue enhancing its platform and services.
Expanding Services to Teenagers with SUDs
In recent years, Pelago has also expanded its offerings to a new demographic: teenagers dealing with substance use disorders. This move represents a significant step toward providing age-appropriate care to individuals in need, further broadening the company’s reach and impact. As Pelago continues to evolve, it remains focused on expanding access to substance use care, particularly through digital substance use treatment that offers flexibility, privacy, and convenience for those who need it most.
Shaping the Future of Digital Substance Use Treatment
As Pelago enters this new chapter under the leadership of Frank Jennings, the company is poised to continue making waves in the virtual healthcare space. With its commitment to clinically validated care, performance-based pricing, and expansion into new markets, Pelago is shaping the future of digital substance use treatment and providing a much-needed resource to individuals struggling with substance use disorders. As the company continues to grow, it remains at the forefront of a transformative shift in how healthcare providers approach the treatment and management of substance use, making effective care more accessible and impactful than ever before.
Conclusion
In conclusion, Pelago’s appointment of Frank Jennings as president highlights the company’s commitment to evolving its leadership to drive innovation and growth. With its strong foundation in digital substance use treatment, focus on performance-based outcomes, and substantial investment backing, Pelago is set to continue revolutionizing the way substance use disorders are treated and managed in the digital age.
