Digital healthcare platform GoodRx taps former GoDaddy top exec Scott Wagner to serve as interim CEO as co-founders Doug Hirsch and Trevor Bezdek step down from the top leadership position.
Hirsch and Bezdek transitioned into new roles as chief mission officer and chairman, respectively.
In a press release, GoodRx said Wagner will work closely with Hirsch and Bezdek, who remains part of the GoodRx leadership team, to "accelerate product innovation, strengthen the company’s ecosystem of industry partners and grow its customer base."
GoodRx is best known for providing prescription drug price comparison tools and drug discounts. Founded in 2011, the company offers an app that tracks prescription drug prices and offers coupons to get medication discounts. GoodRx expanded its services to provide a telehealth platform, called GoodRx Care, which enables consumers to see a licensed physician for primary care services.
In his new role as chief mission officer, Hirsch is expected to work closely with the healthcare industry, including GoodRx’s network of healthcare providers and pharma partners. As chairman, Bezdek is expected to provide direction on healthcare strategy, foster relationships with strategic industry partners, support the CEO and executive team, and help drive innovation by identifying new product and growth opportunities.
"We had a good start to the year in relation to our overall plan and focus on driving efficiency and margin, and our monthly active consumers count was in the range we expected. I am confident that Scott’s fresh perspective and business acumen will build on our legacy and take us to new heights," Bezdek said in a statement.
During his time at GoDaddy, which ended in 2019, Wagner served in various leadership roles including CEO and president, chief operating officer and chief financial officer and helped to triple the company's revenue to approximately $3 billion by expanding the company’s product suite, growing its customer base, and increasing customer engagement, according to GoodRx's press release.
Wagner also sits on the board of several high-growth tech companies, including GoFundMe, Kajabi, DoubleVerify and BILL.
"Scott has an incredible track record of growing and evolving public companies, and I am eager to support him as we enter the next phase of the company’s growth," Hirsch said in a statement.
"I look forward to helping the company expand its core consumer marketplace to serve more people with a richer, engaging experience for their healthcare needs," Wagner said in a statement. "GoodRx has a number of exciting opportunities to add value across the ecosystem of healthcare professionals, pharmacies, insurers and manufacturers – all in service of getting the consumer the right medication affordably and easily.”
GoodRx, which went public in September 2020, is not yet profitable and posted a net loss of $32.8 million in 2022 compared to a net loss of $25 million in 2021. The company brought in revenue of $766 million last year, up from $745 million in 2021.
Last year, GoodRx picked up vitaCare Prescription Services from TherapeuticsMD for $150 million to beef up its growing pharma manufacturer solutions business.
The company has faced challenges in the past few years including a turbulent market and increasing competition in the prescription drug space, especially from Amazon as it builds out its online pharmacy and added RxPass, a new prescription drug subscription for Prime members.
GoodRx's 2022 revenue took a hit due to an issue with one of its grocery store chain customers that represented a sizable chunk of its grocery prescription business. The loss of that key customer, rumored to be Kroger, impacted its prescription volumes.
During its most recent earnings call, the company said it has been adding partnerships, integrating technologies and taking steps to avoid a repeat of that situation in which the retailer dropped the drug discount provider without notice, Pymnts reported.
In February, the Federal Trade Commission alleged GoodRx shared consumers’ personal health information with third parties including Facebook, Google and Criteo. As part of that enforcement action, the first of its kind under the FTC’s Health Breach Notification Rule, GoodRx agreed to pay a $1.5 million civil penalty. Teh FTC's proposed order also prohibits GoodRx from sharing user health data with applicable third parties.
The company released a statement saying it had admitted to no wrongdoing but agreed to settle in order to “avoid the time and expense of protracted litigation.”