Over the past five years, dentists have faced changes and challenges. The pandemic caused a notable drop in revenue as monthly dental visits fell. However, as restrictions eased, the industry rebounded in 2021, with visit volumes and expenditures returning to pre-pandemic levels. This recovery happened amid persistent cost pressures because of rising prices for supplies and equipment, worsened by supply chain disruptions. Also, labor shortages forced dental practices to offer higher wages to attract and retain staff, squeezing profit. Despite these economic pressures, industry-wide revenue expanded at a CAGR of 3.9% to an estimated $190.4 billion in 2025, with a projected growth of 2.9% in 2025 alone.
Trends and Insights
- A complex operating landscape is changing how dentists deliver care. Cost and operational pressures have paved the way for an uptick in consolidation and dental service organizations.
- Major dental procedures generate the most revenue for dental practices. The increased costs of these treatments, combined with a growing elderly population, make major dental procedures the most profitable area for dental offices.
- Patients find more dental provider options in major metro areas. Densely populated areas are also where dental practices can access larger pools of potential patients and employees.
- Dental providers don’t face any threats from substitutes. Only dentists can perform the necessary routine dental care people need to stay healthy, limiting the threat of other services.
Industry Statistics and Trends
Market size and recent performance (2015-2030)
Industry revenue has grown at a CAGR of 3.9 % over the past five years, to reach an estimated $190.4bn in 2025.
Trends and Insights
Demand and cost volatility impact practices differently according to size
- Demand and cost volatility impact dental practices differently based on their size. During the pandemic, revenue significantly declined, but compensatory growth quickly followed as dentists addressed pent-up demand. According to the HHS Agency for Healthcare Research and Quality’s Medical Expenditure Panel Survey (MEPS), monthly dental visits decreased by 19.0% in 2020 and returned to pre-pandemic levels in 2021. In 2021, average annual dental expenditures also returned to pre-pandemic levels for most demographic groups.
Industry outlook (2025-2030)
Market size is projected to grow over the next five years.
Trends and Insights
Dentistry is neither recession proof or recession sensitive, but some factors will promote stability
- Dental revenue bounced back post-pandemic but cannot be considered recession-proof. Unlike other healthcare services, dental services’ payment structures are different. The industry comprises dentists who specialize and some who provide general services, and each will respond to economic changes. Some market segments, like cosmetic dentistry, will be more sensitive to economic changes. Cosmetic dental procedures, often considered elective and not medically necessary, are usually paid for out-of-pocket and can be postponed or foregone during economic downturns. As a result, demand for these services can fluctuate significantly with consumers’ disposable income and financial confidence.
Source Dentists in the US – Market Research Report (2015-2030)
