BetterHelp is a mental health platform that provides direct online counseling and therapy services via web or phone text communication.[1] BetterHelp was founded in 2013 by Alon Matas and Danny Bragonier, and acquired by Teladoc in 2015, maintaining its service and brand name post-acquisition.
BetterHelp was founded by Alon Matas in 2013.[2] Matas partnered with co-founder Danny Bragonier to develop BetterHelp's web-based counseling portal and therapist directory.[citation needed]
In 2015, BetterHelp was acquired by Teladoc, a telehealth company that has been a telemedicine service provider since 2002. Teladoc acquired BetterHelp for $3.5 million in cash and a $1 million promissory note, with an agreement to make annual payments to the sellers equal to 15% of the total net revenue generated by the BetterHelp business for each of the next three years.[3]
Services
BetterHelp’s counseling staff consists of accredited psychologists, social workers, marriage and family therapists and board-licensed professional counselors, each having a master’s degree or doctorate with at least three years and 1,000 hours of experience. Providers are evaluated by BetterHelp in a process that includes verifying licensure and requiring a case study exam, which is reviewed by a licensed clinician. BetterHelp offers individual therapy only, but its subsidiaries, Regain and Teen Counseling, provide couples counseling and teen therapy, respectively.[4]
After subscribing, BetterHelp assigns users a “room” where they can send private messages, live chat, and schedule video or phone sessions with a counselor.[5] The "room" is open 24/7 and can be accessed from any Internet-connected device.[6] BetterHelp offers four live therapy sessions monthly.[7]
History
As of 2018, BetterHelp reported 33 million therapy sessions with more than 2,000 counselors on its site.[8] In the same year, the company's revenue had reached a projected $60 million.[9]
In 2021, BetterHelp partnered with Ariana Grande, offering $1 million worth of free therapy.[10] According to Behavioral Health Business, the company worked with 2.5 million patients and brought in $700 million in revenue that year.[11]
From 2020 through 2023, BetterHelp was the top purchaser of podcast ads, spending nearly 8 million dollars on podcast ads in December 2023.[12] BetterHelp has sponsored many YouTubers, leading the website Polygon to label it "one of YouTube’s most prominent sponsors".[8]
In November 2023, Alon Matas announced that he was leaving the company after 10 years.[13]
During the Gaza war, BetterHelp offered six months of therapy "at no cost for those affected by the war in Israel". This was first made known via an announcement on the Israeli government's official Twitter account. A spokesperson for BetterHelp's parent company told Snopes that this was "an independent initiative" and that Israel's government was not involved.[14]
In May 2024, BetterHelp partnered with Tom Brady, giving away a month of free services.[15]
FTC settlement regarding customer data
In 2023, BetterHelp was accused of sharing its customers' personal data with third parties, including Facebook and Snapchat.[16][17] In its 2022 privacy policy update, BetterHelp stated: "We may share your information in connection with an asset sale, merger, bankruptcy, or other business transaction."[18] The company has responded to these complaints by saying that the law requires BetterHelp to hold on to health data.[19]
On March 2, 2023, the FTC issued a proposed order banning BetterHelp from sharing consumers' health data with third parties. The order also requires BetterHelp to pay $7.8 million to consumers to settle allegations of revealing consumers' sensitive data.[17] The FTC complaint tied to the proposed order alleges that BetterHelp collected health status and histories, IP addresses, and email addresses from consumers while making repeated promises to keep this information private.[20] BetterHelp agreed to settle the FTC’s allegations, and as of May 2024, have begun issuing refunds to affected customers. The company maintains that this settlement is not an admission of wrongdoing.[21]
Reception
In October 2018, BetterHelp gained attention from media personalities and YouTubers (such as PewDiePie and Boogie2988) after concerns were raised about the alleged use of unfair pricing, poor experiences, paid reviews from actors, and terms of service that allegedly did not correspond with ads promoted by professional YouTubers.[22] Co-founder and then-CEO Alon Matas issued a statement responding to the allegations.[23]
As of 2022, BetterHelp had a 4.06 out of 5 stars customer rating on Better Business Bureau, along with an accredited A-rating, while on Trustpilot, the company had a 4.4 out of 5 stars rating based on more than 5,000 customer reviews.[24][25]
See also
Talkspace– Virtual counseling and therapy service company
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