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Is Corporate Dentistry Ruining Private Practice? The Truth You’re Missing.
Is corporate dentistry the boogeyman of our profession? Ask most dentists, and you’ll likely get a resounding “yes.” But I don’t think that’s the whole truth.
The rise of corporate dentistry isn’t a sign that private practice is doomed. It’s a symptom. It exists and thrives because it’s effectively serving a huge portion of the market that many private practices have chosen to ignore.
The fear is that corporate giants will eventually take over. But as long as dentistry remains separate from medicine, I believe the future of private practice is incredibly bright—if we are willing to understand the market, leverage our unique advantages, and stop leaving massive opportunities on the table.
Why Corporate Dentistry Isn’t the Enemy You Think It Is
To understand why corporate dentistry exists, you have to understand the dental consumer. The market isn’t a monolith. It’s roughly divided into three groups:
- The Uninsured Patient: This is nearly half the population. They are often less proactive, experience more emergencies, and have larger treatment plans. They treat dentistry like a retail experience: they have a problem, they want a convenient solution, and they value simplicity and quick access.
- The Low-Paying Insurance Patient: For those on state health plans, DMOs, or HMOs, cost is the primary driver. They are less concerned with a specific provider and more focused on finding a dental home that accepts their plan.
- The PPO Patient: This is the traditional focus of most private practices. They are more proactive, consistent, and tend to value a long-term relationship with their dental team.
When you look at it this way, corporate dentistry’s strategy becomes clear. They have a massive advantage with the low-paying insurance group, a market most private practices can’t afford to serve. In many ways, they provide a valuable service to this population.
Where they have also excelled is with the uninsured patient. Why? Because corporate groups understand that this patient values convenience and marketing more than anything else. And this is a market that most private practices can, and absolutely should, be competing for.
Watch the full, in-depth conversation on how to compete and win.
Your Secret Weapon: The Marketing-Driven Private Practice
The personal, long-term doctor-patient relationship is the one huge advantage private practice has that corporate dentistry can never replicate. But a great relationship isn’t enough if potential patients can’t find you or don’t know why they should choose you.
This leads to the biggest problem for private practice: most are not very marketable.
Ask yourself this brutally honest question: Why would a new patient choose your practice over the dozen others in your area?
If you can’t immediately list several clear, compelling reasons, you have a marketability problem. Corporate groups have this figured out. They know exactly why they stand out. For private practice to thrive, we must stop operating solely for the PPO patient and adopt a more marketing-driven mindset.
This doesn’t mean you need a multi-million dollar ad budget. It means creating and clearly communicating your unique differentiators.
The PPO Paradox: Why “Safe” Isn’t Always Profitable
Many of us focus on the traditional PPO, hygiene-driven model because it feels safe and stable. But from a business perspective, it’s often the model with the lowest profit margins.
Think of it this way: if you owned a butcher shop, would you only target health-conscious people who rarely eat meat, or would you target people who grill every night?
We are often fighting over a patient group that, by its nature, requires less significant treatment. Meanwhile, corporate dentistry is successfully targeting the massive market of patients without insurance who often have more substantial dental needs.
The growth of corporate dentistry isn’t a threat to be feared; it’s a market signal to be understood. They are expanding into the void that private practice has created. If we want to limit their growth and secure our own future, the path is clear: build marketable practices, leverage our relational advantage, and start competing for the huge segment of the population that we’ve been ignoring for far too long.
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