Weekly Business Insights from Top Ten Business Magazines | Week 301 | Entrepreneurship Section | 1

Extractive summaries and key takeaways from the articles curated from TOP TEN BUSINESS MAGAZINES to promote informed business decision-making | Week 301 | June 16-22, 2023.

Meet Ness, The Company That Rewards You For Being Healthy

By Clara Ludmir | Forbes Magazine | June 21, 2023

Listen to the Extractive Summary of the Article

Feeling good has become a market, one that is estimated to be worth more than $1.5 trillion. With individuals placing more attention to their mental and physical health than ever before, the self-care industry is expanding by the minute. And while new wellness businesses launch as fitness, meditation, or supplements brands, to name a few, Derek Flanzraich decided he would approach health and wellness from a different angle.

In March, the founder of Greatist, a successful health media startup that he later sold to Healthline in 2019, officially launched Ness, the first health-focused credit card company. Inspiration came to him during covid, when no one was traveling and individuals’ physical and mental health was being negatively impacted by lockdowns. The first card, issued by the Bank of Missouri and powered by MastercardM launched as a public beta version in March with an annual fee of $349. Cardmembers receive 5x points when spending with healthy merchants, a $200 credit in wellness spend, up to 20,000 points on healthy activity like working out, sleeping and mindfulness, and credits with selected brand partners. The app now includes 30,000 merchants that are selected based on certain criteria and categories fitting under the four pillars of health defined by Ness: eat, move, care and restore. This extensive range of partners captures very well the holistic vision of health that Flanzraich defends. 

Now, the company is focused on expanding its customer base and working towards making health more affordable. The question Flanzraich asks himself is: “how can we get a Ness Card in everyone’s wallet?” With the release of a no annual fee credit card in the coming months, the barriers to card adoption will decrease: its affordability should convince individuals prioritizing their well-being to sign up for it no matter their budget. And while customers first join Ness for the health and wellness incentives, they end up using it as a primary card, receiving 2x points on every transaction and enjoying the app for discovery of new products, experiences and services.  Partnerships with health insurance providers are also on the way.

3 key takeaways from the article

1. Feeling good has become a market, one that is estimated to be worth more than $1.5 trillion. With individuals placing more attention to their mental and physical health than ever before, the self-care industry is expanding by the minute. 
2. In March, Derek Flanzraich the founder of Greatist, a successful health media startup that he later sold to Healthline in 2019, officially launched Ness, the first health-focused credit card company.
3. The first card, issued by the Bank of Missouri and powered by Mastercard launched as a public beta version in March with an annual fee of $349. Cardmembers receive 5x points when spending with healthy merchants selected based on certain criteria and categories fitting under the four pillars of health defined by Ness: eat, move, care and restore.  Now, the company is focused on expanding its customer base and working towards making health more affordable.

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Topics:  Startups, Entrepreneurship, Technology, Health