A PULSE ON THE MARKET
Kester Search Group, in collaboration with Michael Butler, our Managing Director of Executive Search, is proud to introduce the inaugural edition of The Dental Executive Digest a resource tailored for dental industry leaders.
Key Themes from 2024:
DSO Market Stabilization: After a turbulent 2023, DSOs are showing steady progress.
Growth in Dental Tech: Innovation and adoption in the dental technology sector continue to accelerate.
Challenges for Manufacturers and Dealers: Market headwinds led to significant reductions in force among commercial teams at longstanding industry leaders.
Private Equity and VC Resilience: Private equity-backed and venturefunded groups have regained stability after a challenging 2023.
Looking Ahead to 2025:
Industry sentiment is increasingly positive. Our recent survey of 400 dental professionals revealed 80% of respondents have renewed optimism about the economy, driven in part by expectations surrounding the presidential election.
We look forward to providing you with the insights you need to navigate this evolving landscape.
©Kester Search Group® 2024
THE HIT LIST
Is this Heartland Dental’s secret sauce?
Top 9 Dental Industry Trends
Has the DSO market hit the apex of the consolidation curve?
The most interesting market report I’ve read this quarter. Key takeaways:
The average wait time for New Patients is up from 6 days pre-COVID to 16.8.
Practice revenues have increased 3.6% in the last decade while expenses have increased 6 7%
Server-based practice management systems are losing more customers than they are gaining.
Sleep Apnea Oral Appliances market is projected to grow from $400M in ‘23 to $900M in 2028.
According to Pitchbook, “perhaps no healthcare subsector is hotter right now than revenue cycle management (RCM).”
Google searches for “Dentists Near Me” are down dramatically after peaking in 2021 while searches for “Clear Aligners” is up.
“I think the legacy is now nepotism, lawsuits and losses, that’s kind of their story.” Check out this nice recap of the rise & fall of SmileDirectClub and with some insightful takeaways
ALL THINGS AI
Mark Zuckerberg’s father, Y Combinator & Pacific Dental backing a very interesting AI platform with $30M in funding.
Pearl nabs $58M Series B.
Archy Raises $15M Series A for Dental Practice Automation.
Podcast - AI Leadership (listen to the use-case 8 minutes in!) on the Dental Economist Show.
VideaHealth lands Canada’s largest DSO.
Judge Rules Against Overjet’s Attempt to Block VideaHealth’s Marketing and Sales.
Pearl Launches Groundbreaking AI-Powered Dental Insurance Verification.
How Liberty Dental Plan rolled out AI to service it’s 7 million members.
Comprehensive overview of AI in dentistry from Dental Economics.
Zentist launches a Payment Posting Automation, a significant advancement in dental RCM technology.
INDUSTRY & PRODUCT UPDATES
First DSO’s, now Patterson Companies, Private Equity continues to target the dental industry.
ADA releases first ever standard for clear aligners.
Interview with the founders of one of the hottest startups in dentistry.
DSO leaders dish on their must-have technologies for 2025.
Dental industry has first-ever showcase pavilion at the most influential health-tech conference, HLTH 2024.
OrthoPulse launches in the U.S. using light energy to facilitate efficient tooth movement.
According to CNN, Ameritas has the best dental insurance plan in America
Korean dental implant manufacturer, MegaGen, acquires Biolase for $20M.
No more water fluoridation may boost dental business.
HuFriedy expanded product portfolio through acquisition of SS White.
Henry Schein launches online marketplace with TDSC
LightForce Orthodontics ranked #47 on the Deloitte Technology Fast 500.
FUNDING
Oral Surgery Partners Announces $400M Credit Expansion.
The Smilist Secures $285 Million Debt Facility.
Gen4 Dental Partners closes on $315M credit facility
MB2 recap hauls in $525M.
Sunbit Secures a $355 Million Debt facility.
Progressive Dental Marketing raises $100M.
Carestream Dental raises more than $525 million of new capital.
LightForce secures another $50M in funding.
PE & VC Outlook - A path to sustainable growth, favorable cash flow dynamics and a greater line of sight to profitability are the attributes venture capital firms seek out in today’s market.
Michael Butler and Lee Kester, Founder/CEO of Kester Search Group, bring a combined 34 years of experience delivering concierge-level executive search services to the dental and DSO industry.
At KSG, we specialize in:
Executive Search: Placing top-tier leadership talent to drive strategic growth
Professional Search: Identifying rising leaders for middle and upper management roles to support operational excellence.
Commercial Expansions: Delivering talent to scale your team to in an effort to drive sales and marketing success.
Whether you’re looking to build your leadership team or explore the next step in your career, we’re here to assist. Let’s connect to discuss how KSG can help you achieve your goals.
Butler