Before we rang in the New Year, dental industry trend analysts from the ADA unveiled[i] what research showed as the top challenges for 2024 and the top trends for the next five years. How does your experience compare?
Top 2024 Dental Industry Challenges
- Staffing Shortages, Recruitment Retention – ADA polls thousands of practitioners every month, and when asked in a 2023 poll what they saw as their greatest challenge, 60% said staffing shortages was their number one concern for 2024. As more practices seek to add staff, the predicted shortage of hygienists and assistants will be compounded[i].
- Rising Overhead Costs – In a 2024 survey[ii] by DE/Levin Group, 64% of practices reported higher overhead. Half of those saw a 10% (or more) increase. Only 11% stated that their overhead was lower. And keep this in mind for perspective – a 1% increase in overhead is the same as a 1% decrease in practice profit. The primary reason for rising overhead? Staffing costs.
- Insurance Issues – According to ADA polls, 42% of respondents said they are going to seriously consider dropping out of some dental insurance networks due to declining reimbursements. And many practices are considering dropping insurance altogether and switching to a fee-for-service business model[iii]. “Are you going to lose some patients? Yes,” says Tim Greaves, a CPA at Cain Watters & Associates. “Will you have more time to deliver quality care at higher profit margins? If implemented strategically, yes.”
Top Dental Industry Trends Expected Over the Next Five Years
- Shifting practice models – Industry analysts from the ADA[v] say to expect a continued acceleration from solo to larger group practices, and more practices considering joining DSOs. The shift is being driven by the belief that larger groups can shoulder the costs of investing in advanced technology to enhance the patient experience, and also to allow for a wider range of services and specialized types of care, again to grow their patient base.
- Shifting patient expectations – Today’s patients especially of the Gen Z and Millennial age, don’t want to make or receive a phone call from their dentist with reminders, updates, etc. They want to connect by text or through an app like the In Hand Dental app. In fact, patients surveyed say that they would switch practices to one that used advanced technology like remote monitoring apps to enhance their experience.
- AI technology revolution – ADA surveys indicate that about one out of five practices intend to invest in some type of new software or equipment to enhance care options, workflows, and the patient experience – with additional benefits that can help with staffing shortages by automating tasks such as dentist notes, data entry, and other time-consuming office tasks[vi].
To discuss how to incorporate the In Hand Dental app into your practice, schedule a free private 30-minute demo today by calling In Hand Dental at (913) 701-7444 or completing the online request form.
Additional Resources
[i] Listen to the full ADA Dental SoundBites podcast
[ii] Read more about staffing challenges and 3 ways the dental industry is fighting back. (should link to my July blog #1)
[iii] Read the full DE/Levin Group survey
[iv] For great tips on switching to fee-for-service, see this article.
[v] Read the full ADA report on evolving business models
[vi] Read more about how AI is revolutionizing the dental office.