An excerpt from a recent study conducted by Research and Markets (www.researchandmarkets.com) has found that about 130,000 dental offices and clinics operate in the U.S., generating annual revenue of about $100 billion. No major companies dominate the industry, which is highly fragmented. The 50 largest offices generate about five percent of revenue. The industry includes offices of dentists who practice general dentistry as well as those who specialize in fields such as oral pathology, oral surgery, orthodontics, pediatric dentistry and periodontics. Demand for dental services is driven largely by demographics. Youths 5 to 19 and adults over 55 tend to need the most dental work. Large practices have advantages in marketing as well as being able to offer a wider range of services. Small practices can compete successfully by providing superior service or focusing on an underserved region. The industry is labor-intensive; annual revenue per employee is about $120,000.
