In recent years, terms like wellness tech and the health and wellness market have gained prominence, highlighting the rise of startups dedicated to mental health and well-being.

This trend reflects a societal shift towards recognising the crucial significance of nurturing our mental health with the same diligence as our physical well-being.

Delving deeper into this evolving landscape, one might wonder questions such as: What does this growing mental health and wellness market look like? What startups are actively shaping the sector? And is there still a growing market for mental health and wellness startups?

A recent area of focus for VCs are wellness technology startups, which saw a 178% rise in funding in 2021. In 2020, there was roughly $11.4 billion invested in wellness tech startups, a number that grew to a $31.7 billion in 2021, according to Nfluence Partners.

For founders of digital health and wellness apps, the current economic environment presents both an enormous challenge and an even greater opportunity.

Wellness ( building a healthy life on a physical, mental and spiritual level)

is not a luxury — it’s a necessity. According to a December report from the Global Wellness Institute (GWI), the wellness industry is forecast to grow at an average rate of 9.9% per year,

2022 was a great year for the mental health space, and digital health in general: companies brought in $5.5 billion globally across 324 deals, making for a 139% increase from the previous year.

Intrepid investors started dabbling in mental healthcare over the past few years as part of a broader digital health funding boom, but many remained wary. It was the Covid-19 pandemic and collective psychological fallout that finally mainstreamed mental health.  

The employee experience is intrinsically linked to the customer experience. Happy employees are more likely to have positive interactions with customers and be more invested in positive outcomes.

There has been an explosion in the health and wellness space over the last few years as more consumers demonstrate a willingness to invest in trending categories such as fitness wearables.

Calm, a leading, has been valued at $2bn (£1.5bn) following a $75m fund raise.

In today’s economy, employee retention is a topic at the forefront of many businesses. With rises in employee turnover, business leaders can take action to improve retention through benefits that will support employees’ lives both inside and outside of work.

Making work additive to employees’ lives, by providing a sense of usefulness, progress, collaboration, and fulfillment increases the effect of those ‘traditional’ talent strategies exponentially.

Tripp has raised $11.2 million in funding to help it continue to create meditation apps that power the “mindful metaverse.” Tripp reports that it will use the funding to help meet the growing global demand for mental wellbeing.

Over the past few years, the women's health and wellness sector has grown substantially. Female investors and founders are proving that there is a significant return on investment).