Zócalo Health
Improving healthcare services for the Latino community
Company: Zócalo Health provides a health-tech platform designed to improve the experience of accessing health care services and social benefits for the Latino population. The Company provides a technology-enabled approach paired with in-person services, enabling clients to make accessing healthcare simple.
HQ Location & Year Founded: Seattle, WA, 2021
Founder: Erik Cardenas, Co-founder and CEO, is a healthcare technology strategist with over 20 years of experience in the industry. In August 2021, he founded Zócalo Health to deliver a first-class family medicine experience for the Latino community. Prior to this he served as a Sr. Manager at Amazon Care, where he oversaw several technical teams and programs. In March 2021, he was appointed to the Rogers Behavioral Health Board of Directors. Erik graduated with a BSBA in Marketing & Information Systems from the University of the Incarnate World.
Funds Raised and VC Investors: $10 million from Able Partners, ANIMO Ventures, Great Oaks Venture Capital, Necessary Ventures, VamosVentures, Virtue VC
Where did the idea for Zócalo Health originate?
I was born to Mexican immigrant parents and grew up in inner city Houston where I didn’t have the best access to care or education. I was the first in my family to get into a major university and the first in my family to get kicked out of college (although I later completed college as an adult). After leaving Texas A&M University, I got into the healthcare IT industry, first at Tenet Health and then as one of the first employees of Everywell. Later on, I became the only Latino on the Amazon Care leadership team. When the pandemic started, I was a key contributor to Amazon’s broader COVID response which involved presenting a plan to Jeff Bezos and the rest of the S-Team. I was thriving and at the top of my career. However, the Covid experience really brought to light for me the disparities in healthcare equity that exist in our society. Due to my background, I had a particular eye on the needs of the Latino community. So in August 2021, I resigned from Amazon and the following month I raised $3 million to start Zócalo Health with the mission of making healthcare more accessible and affordable for the US Latino population.
What is the key problem that Zócalo Health intends to solve?
We exist to strengthen the health and wellbeing of the Latino community by eliminating barriers to accessing high-quality healthcare services with transparent pricing. Zócalo Health offers same-day virtual health care appointments and health care navigation assistance for a flat rate monthly membership fee. For greater impact on people’s lives, our care will extend beyond the confines of the physician’s exam room. We will introduce the Latino community to a long overdue, improved experience that is built on trust, community, and a holistic approach that enables members to achieve optimal social, mental, and physical wellbeing. It is a tireless pursuit that will improve the lives of our patients, and will build sustainable, stronger, and healthier communities.
How are you most differentiated as a service?
While new models of care are emerging and telehealth adoption has increased during the pandemic, a gap remains in the market for a trusted brand designed specifically for the Latino population to access convenient and high-quality primary care services. Language-based disparities in telehealth further restrict access for people with limited English proficiency who need care. While many market entrants have introduced virtual services similar to Zócalo Health, we see the main competition as the status quo of using brick-and-mortar services, FQHCs, or the Emergency Room. The lack of targeted telehealth services that seek to establish primary care relationships within population signals a need for Zócalo Health.
What are the company’s key accomplishments to date?
We launched our beta in California in July and so far have enrolled over 100 patients. We launched Texas in September and will add the state of Washington in before the end of the year. In addition, we have put together a winning team and have the infrastructure in place for our go-to-market strategy. In addition, we recently topped up the initial capital that we raised with a further $2 million to enable our market entry across multiple states.
What lies ahead in the plans for Zócalo Health?
Zócalo Health is building a primary care brand and experience for the Latino population in the US. Our approach to scale is broken down into three phases: first, focus on the experience of delivering high-quality Direct-to-Consumer care and patient acquisition; second, build out a Brick & Click (virtual services paired with in-person services) to add additional services for our members, and lastly, offer this community population health and risk management. In order to scale to a fully value-based care company, we must first build the foundation of a strong, trusted brand that delivers culturally relevant care and removes existing barriers to access. Each of our three phases is designed to bring value to customers while helping to scale Zócalo Health into a risk-bearing entity.
Ron’s Take
Disparities in healthcare access, quality and affordability are not a new phenomenon, however the depth of the problems have been illuminated further in recent years in part due to Covid’s impact on underserved communities. The large and fast-growing US Latino community is notable for the lack of attention it has received by the health system in addressing shortcomings. While still very early in its development, Zócalo Health offers a promising platform that marries digital with in-person care, according to the cultural needs of the diverse Latino population across the US. Erik Cardenas brings an impressive Horatio Alger-style back story to his position as an entrepreneur who now hopes to empower more people in his community to obtain the level of healthcare that all humans deserve.