Posts Tagged ‘china’

Take a deep breath. I am going to share with you the TRUTH about the big ugly (Supposedly) Gorilla in the room…OUTSOURCING! We will discuss the truth regarding where the need arises from, what is the truth about the work itself, why Dental laboratories do it and why YOU maybe should. I will finally share HOW YOU can exploit this trend safely and ethically.

Where did this need come from? The TRUTH is that a portion of our business (restorative) is driven by insurance. Most insurance (including Medicaid) simply will not accept claims for anything other than a PFM NP or in some cases full cast NP only (Bi-cuspid back). FACT… implants and all-ceramic solutions are off the table. From a removable aspect some only cover flippers and cast partials. Some will cover a full denture however, the Dentist or clinic had better show good reason for pulling “good” teeth. Furthermore, the reimbursements are LOW! For example most insurance companies will pay about $5-$600.00 for a NP PFM. Most will pay even less for removable restorations. In many cases, it pays the dental practice better to simply PULL or fill. With that said, the dental practice MUST find safe, clinically sound restorations at drastically reduced fees. Without it…they are simply NOT profitable and able to serve the under-served.

So, why should a Dentist or clinic be involved you may ask? They are needed and they are BUSY! It is simply supply & demand. The clinical (low-fee) side of Dentistry is growing and is insulated against ALL economic impact. Down economy or a thriving economy this side of the business remains steady.

The bottom line is this: There is a continuously growing need for this type Dentistry. The patient and insurance is driving the business AND the low reimbursement forces Dentists’ and clinical directors to seek low cost solutions. It is a matter of economics.


Have YOU viewed the work? If so, from how many offshore laboratories? I can tell you first hand there ism horrific work coming from offshore labs. I can also tell you there is BEAUTIFUL, consistent, safe and clinically sound work coming from offshore as well. It is NO DIFFERENT than domestic labs. You can get a work of art and you can get JUNK. You have to do your research. What if what I say is true (it is). If a Doctor or clinic can get a perfectly fine, consistent, CLINICALLY sound NP PFM for $59.00-m $79.00 why wouldn’t they to fit their business model. They have to. the TRUTH is that Doctors and labs that refuse to play in this sandbox are doing so for one or two reasons. 1. Political viewpoint. 2. Ignorance. If the Doctor or lab chooses to NOT provide these type restorations for their political viewpoint or beliefs… I respect that tremendously. If they are NOT involved due to ignorance…you must do your research. You can easily uncover FDA approved, ISO9000, U.S. registered labs over seas. You can verify where they buy materials, how employees are compensated and treated AND you can look at the work by simply sending a case. I think you will be pleasantly surprised AND possible terrified of where our industry may go!


In my opinion, the black & white answer yes, YOU must. The low-fee market is growing at an alarming rate and your competitors are profiting from it. The low-fee market is steady and insulated against economic impact. Remember 2008? nimble, smart, prepared dental laboratories road the back of their low-fee solutions. If they did NOT have these options in place they struggled to find and keep accounts, while they struggled to maintain their current pricing. MANY of them failed and no longer exist. The question is how can we serve the under-served without becoming under-served? How can we offer high quality, consistent work that is safe & clinically sound AND will meet the requirements of the patient, the Dentist and their BOTTOM LINE? We can. Some feel the answer is in technology. RIGHT NOW…it is NOT! Low-fee insurance driven patients will NOT be approved for anything all-ceramic. Can we build a domestic PFM NP crown and offer to the Dentist or clinic for $59.00? In most cases, absolutely not. This leaves the lab to outsource it or walk away from the business. With that said, the answer is YES…you should offer a low-fee solution However, you MUST do it correctly to avoid a complete train wreck. Lucky for you…I CAN HELP YOU!


Keep in mind you MUST adjust your business model to meet these changing markets. Also keep in mind, be aware of AND learn from other industries that do this on a regular basis. How many folks know that Audi is a Volkswagen and that Lexus is a Toyota AND that Infinity is a Nissan! The reason is that the automobile industry realizes there are two very different markets that must be met by the SAME automaker. However, you can NOT buy an Audi at the VW dealership! Dental is not any different. Here are a few CRTICIAL factors to consider. At the bottom, fill out my brief questionnaire and I will help you add this to your current business model.

  • Understand the market you are in.
  • Know that it is NOT free and it will take time to build.
  • Research your offshore partner BEFORE you offer anything.
  • Keep it separate. NEW DBA, separate books AND NEVER cross your domestic work with your low-fee restorations.
  • Be honest and be prepared to share FACTS  and remain transparent with perspective accounts. ALWAYS Keep your domestic work domestic.
  • Prepare your sales & marketing efforts strategically. it is NOT the same game.
  • Prepare internally.
  • Determine WHERE profits will be redistributed!