Employee morale is low and turnover at a company providing virtual care directly to consumers is high Ro, as the company struggles to extend its success beyond erectile dysfunction drugs, according to a report from TechCrunch.
TechCrunchs Anonymous interviews with 10 current and former Ro employees describe the brain drain in different departments and the rapid pace of launching or acquiring new products that then struggle or fail, such as COVID-19 tests at home, a mail order pharmacy or a dermatology service.
“Everything we brought to market [in 2020] was a complete failure, ”said a former employee TechCrunch. “When they started these rounds of funding, you’d burn yourself out for a month, you started it, and it wouldn’t do anything because there was a fancy item and a complete failure.”
Ro-CEO Zachariah Reitano responded to the article with an article on Medium, arguing that programs outside of their men’s health line were growing novel, such as weight management and dermatology offerings. He also wrote that the employees surveyed are only a small fraction of the people who work or have worked at Ro, and the company’s employee engagement surveys are positive.
“Although it was frustrating to read this article at first, of course, I finally know it will do good. If this conversation helps us to articulate more clearly who we are as an organization, we are better off for it, ”wrote Reitano.
“If this helps some people realize that this is not the place for them and others that there is no better place for them, then we are better off. And above all, if this helps Ro’ers to give us even more feedback on how we can improve, we are better off. “
Ro is a huge player in digital health and virtual care with Its most recent round of funding raised a whopping $ 500 million. When that Series D round was announced in March, Reitano told Bloomberg the company had reached a valuation of $ 5 billion. In January there were rumors that Ro was planning to go public through a merger with a special purpose vehicle.
Following this Series D investment, Ro acquired a reproductive health company Modern Fertility in May, announcing that the diagnostic company will buy home kit less than two months later.
At the end of July, the company launched a mental health platform called Ro Mind, which initially focused on treating anxiety and depression. It also began home visits in March to distribute COVID-19 vaccines to the elderly and people with disabilities in New York.
Ro also had a busy 2020. It started as Health information website called Health Guide, an allergy service and skin care line. Ro also raked in $ 200 million in Series C funding in July 2020 and moved into the home healthcare space with the December acquisition of Workpath.