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October 8th, 2004, 06:52 PM
Makeover TV gives a big boost to cosmetic dentistry labs
By Margie Manning
Tampa Bay Business Journal
Updated: 8:00 p.m. ET Oct. 10, 2004
The increasing popularity of cosmetic dentistry is bringing smiles to executives at two Tampa Bay area dental laboratories.
Both Americus Dental Labs in Clearwater and Knight Dental Group in Oldsmar are seeing double-digit gains in the portion of their business that involves cosmetic dentistry, or elective procedures designed to improve a person's appearance.
"There's been an esthetics revolution in the dental laboratories," said Warren Rogers, president and CEO of Knight Dental.
Dental labs fill prescriptions from dentists for crowns, bridges, dentures, veneers, orthodontic appliances and other dental prosthetics.
Sales growth to chew on
There are nearly 11,000 dental laboratories employing 46,000 technicians nationally, and the industry has grown from $2 billion to $3 billion in sales in the last decade, according to the Tallahassee-based National Association of Dental Labs.
Knight Dental, with about 130 technicians, provides services to nearly 1,000 dentist clients in 20 states and is the 15th largest dental lab in the United States, Rogers said.
The privately held company does not disclose its revenue, but Rogers said esthetics, or cosmetic dentistry, makes up about 20 percent of its business and is growing at double-digit rates, while the rest of the business is growing at a single-digit pace.
Knight provided the materials that were used by Dr. Ken Rawlinson, a Rhode Island dentist whose work was featured on "Extreme Makeover," an ABC-TV show.
Reality TV shows are raising awareness among patients, said Richard Harrell, VP at Americus Dental in Clearwater.
"The patient used to come in and the doctor would tell them what they need. Dentistry was need-based, you had pain or loss of function," Harrell said. "Now the patients are saying, 'This is what I want.'"
Baby boomers with expendable income and active lifestyles are behind the increase in cosmetic dentistry, he said.
At Americus, with $25 million in annual sales and labs in New York and Connecticut as well as Clearwater, cosmetic dentistry is about 30 percent to 35 percent of the total business and has been growing at a 60-percent rate for each of the past two years. There are 75 employees at the Clearwater lab, about an 18-percent increase in the past year, Harrell said.
Cosmetic dentistry generally is a higher-margin service than other services for both dentists and dental labs, said Bennett Napier, executive director of the National Association of Dental Laboratories.
"It probably provides some higher revenue than a procedure under a reimbursement policy," Napier said. "That is true for the dental lab as well."
It also involves significant investment of dental labs, Harrell said. "It requires us to invest in marketing and training," he said.
URL: http://msnbc.msn.com/id/6208622/
By Margie Manning
Tampa Bay Business Journal
Updated: 8:00 p.m. ET Oct. 10, 2004
The increasing popularity of cosmetic dentistry is bringing smiles to executives at two Tampa Bay area dental laboratories.
Both Americus Dental Labs in Clearwater and Knight Dental Group in Oldsmar are seeing double-digit gains in the portion of their business that involves cosmetic dentistry, or elective procedures designed to improve a person's appearance.
"There's been an esthetics revolution in the dental laboratories," said Warren Rogers, president and CEO of Knight Dental.
Dental labs fill prescriptions from dentists for crowns, bridges, dentures, veneers, orthodontic appliances and other dental prosthetics.
Sales growth to chew on
There are nearly 11,000 dental laboratories employing 46,000 technicians nationally, and the industry has grown from $2 billion to $3 billion in sales in the last decade, according to the Tallahassee-based National Association of Dental Labs.
Knight Dental, with about 130 technicians, provides services to nearly 1,000 dentist clients in 20 states and is the 15th largest dental lab in the United States, Rogers said.
The privately held company does not disclose its revenue, but Rogers said esthetics, or cosmetic dentistry, makes up about 20 percent of its business and is growing at double-digit rates, while the rest of the business is growing at a single-digit pace.
Knight provided the materials that were used by Dr. Ken Rawlinson, a Rhode Island dentist whose work was featured on "Extreme Makeover," an ABC-TV show.
Reality TV shows are raising awareness among patients, said Richard Harrell, VP at Americus Dental in Clearwater.
"The patient used to come in and the doctor would tell them what they need. Dentistry was need-based, you had pain or loss of function," Harrell said. "Now the patients are saying, 'This is what I want.'"
Baby boomers with expendable income and active lifestyles are behind the increase in cosmetic dentistry, he said.
At Americus, with $25 million in annual sales and labs in New York and Connecticut as well as Clearwater, cosmetic dentistry is about 30 percent to 35 percent of the total business and has been growing at a 60-percent rate for each of the past two years. There are 75 employees at the Clearwater lab, about an 18-percent increase in the past year, Harrell said.
Cosmetic dentistry generally is a higher-margin service than other services for both dentists and dental labs, said Bennett Napier, executive director of the National Association of Dental Laboratories.
"It probably provides some higher revenue than a procedure under a reimbursement policy," Napier said. "That is true for the dental lab as well."
It also involves significant investment of dental labs, Harrell said. "It requires us to invest in marketing and training," he said.
URL: http://msnbc.msn.com/id/6208622/