Current State of the Dental Market

Despite a worldwide pandemic, high inflation, and threats of a recession, the dental industry has stood firm through it all. Though the sector suffered significant losses during 2020, market analysis estimates the demand for dental care treatment will increase significantly in the coming decade. The growing prevalence of oral care for adults and children is expected to fuel this future market growth.

Dental Market Demand

The rise in dental disease brought on by an aging population significantly impacts the market for oral care. As the number of senior Americans grows, so does the need for dental implants and other cosmetic dental procedures. Dental health often deteriorates and requires more upkeep as people age. By 2030, when the last of the baby boomer generation ages into older adulthood, it is projected that there will be more than 73.1 million older adults, according to American Health Rankings.

Tooth decay has increased as a result of poor oral hygiene practices and bad eating habits. The World Health Organization (WHO) stated over 530 million children suffer from tooth decay, a significant contributor to the sector’s rise in demand. Additionally, according to the American College of Prosthodontists, 36 million people in the United States are edentulous (don’t have teeth), and 120 million are missing at least one tooth. As a result, sales of oral care products are increasing.

Declining oral health is not the only reason the dental market is seeing such a rise in revenue. A growing awareness of cosmetic dental treatments is a significant factor driving the demand for oral care products and the sector as a whole. This significant demand for treatment means more care with better services and facilities will be needed, providing opportunities for the private sector.

Market Analysis

According to Health Policy Institute, national dental expenditures increased by 11 percent from $146 billion in 2020 to $162 billion in 2021, proving the sector’s resiliency and ability to bounce back after rough times.

The U.S. oral care market was valued at USD 9.33 billion in 2022 and is projected to hit around USD 12.9 billion by 2030, poised to grow at a CAGR of 4.13% from 2022 to 2030.

How COVID-19 Affected the Sector

COVID-19 resulted in the closure and reduction of hours for dental practices across the nation, which led to limited routine care and prevention. Dental practices are now working to find their footing again. In early 2021, visits to the dental clinic actually exceeded the number of pre-pandemic appointments, particularly because patients were swiftly booking up appointments to make up for all the lost time during COVID-19.

In the last year, labor shortages, inflation, and supply chain disruptions brought a myriad of challenges to dental offices. Other economic factors, such as GDP growth and disposable income, can directly impact patients’ purchasing power and directly or indirectly affect a practice. Earlier in the year, a survey by the ADA Health Policy Institute stated that 35 percent of dentists identified inflation and staffing as the biggest challenges facing practices.

Major Players in the Dental Market

According to Grand View Research, Heartland Dental is the largest Dental Support Organization (DSO) in the country, with over 1,000 connected facilities.

Key market players continuously concentrate on developing technology-enabled dental care solutions and new products, mergers and acquisitions, and expansionary developments. Some of the most prominent players in the U.S. Dentist industry:

• Aspen Dental Management Inc.
• Heartland Dental
• Smile Brands
• Dental Care Alliance
• Affordable Care, LLC
• American Dental Partners Inc.
• Coast Dental and Orthodontics
• Great Expressions Dental Centers
• Western Dental