Thirty Madison has raised $15.3 million in Series A funding.
The health-care company owns Keeps, a direct-to-consumer brand that offers FDA-approved men’s hair loss treatments. The round was led by Maveron and Northzone with a number of other investors, including Wander Beauty cofounder Divya Gugnani and Hubble Contacts cofounder and co-chief executive officer Ben Cogan. This brings the company’s total funding to $22.8 million.
The investment will primarily be used in two ways: continue growing Keeps, which launched in January, and introducing a new direct-to-consumer health-care company, called Cove.
“Thirty Madison is focused on rebuilding the health-care business for the modern world,” said Steven Gutentag, cofounder of Thirty Madison and Keeps. “Our approach is taking one chronic health condition at a time and we’re building brands and an end-to-end experience for someone going through that condition.”
Since its launch, Gutentag stated Keeps has experienced 60 percent month-over-month growth and has seen that about 75 percent of the brand’s customer base is new to using hair loss treatments. The brand was founded to give men an easier way to access two FDA-approved drugs, Minoxidil and Finasteride, at a more affordable cost than through traditional health-care channels. Keeps also pairs its customers with licensed physicians to help them track their progress and learn more about their treatment.
“Our brand is purposely built to be approachable and resonate across the country,” he continued. “We’re reaching guys that don’t have access to specialists with experience in hair loss or never knew there was something they could do. We’re bringing new guys into this category.”
Recently, Keeps has introduced more educational tools on its web site for its customers, like written content around hair loss and videos with Dr. Jerry Shapiro, a dermatologist and hair loss specialist.
With the success of the last nine months, Gutentag plans to continue using a direct-to-consumer model because it’s proven to be more affordable and effective in getting information and treatments to customers. He is adopting this model for Thirty Madison’s newest company, Cove, which will offer migraine treatments.
“The way that consumers are managing their health care has fundamentally changed,” he said. “The days where you have a primary care doctor, who is someone you’ve had a relationship with for 20 years has changed. As a result consumers are treating their health care differently and on one side the relationship has changed, so chronic conditions go under diagnosed.”
Gutentag also stated the rising cost of health care makes this direct-to-consumer method more affordable and can give customers a higher quality experience.