How Small Practices Thrive in Any Economy

Welcome to the Perfect Place to Put a Practice podcast, hosted by Mike Green from Doctor Demographics. Today, we’re diving into how practices of all sizes can not only survive but flourish, regardless of economic ups and downs like inflation, recessions, or booms. Some practices consistently beat the odds, and we’ll unpack their strategies with real-world examples to inspire actionable ideas for your own practice.

Navigating Economic Challenges

Economic conditions can be a rollercoaster—challenging in one year, thriving in the next, and unpredictable across regions. Whether you're in a booming market or a slow one, the key is focusing on what you can control. With over 30 years of experience, we’ve seen certain practices thrive consistently, even during tough times like the COVID-19 pandemic, when many others struggled. For instance, a 2023 dental economic survey noted a 25% jump in dental practice overheads in 2022 due to labor and supply costs, yet some practices remained profitable. How? By building resilience through value-based care, operational efficiency, and patient loyalty.

This post is for both current and aspiring practice owners. We’ll explore strategies through four small to mid-sized practices—two veterinary and two dental—that have excelled despite economic challenges.

Case Study: Bright Smiles Dental, Boise, Idaho

Bright Smiles Dental, a single-dentist practice led by Dr. Sarah in Boise, has thrived since the 2008 recession through 2024, navigating economic uncertainty in a region with fluctuating growth. During the 2008 downturn, Dr. Sarah grew her patient base by 10% with an in-house discount plan for uninsured patients, offering cleanings and exams. In 2024, facing inflation, she maintained 35% profit margins—above the industry average of 33%. Her strategies included investing in cloud-based software like Dentrix to streamline scheduling and billing, cutting admin costs by 15%, and hosting community events like free dental screenings at local fairs to build loyalty and attract new patients. By understanding her market’s demographics, she tailored affordable care while optimizing internal efficiency.

Case Study : Family Dental Care, Athens, Georgia

Family Dental Care, led by solo practitioner Dr. James Patel in Athens, grew revenue by 15% in 2022 despite post-COVID staffing shortages and inflation. Dr. Patel introduced teledentistry for consultations, saving time and appealing to patients wary of in-person visits. His value-based pricing for cosmetic procedures, like bundling whitening with veneers, attracted cost-conscious patients. Using intraoral cameras, he educated patients on treatment needs, increasing case acceptance by 20%. Additionally, he partnered with local schools for oral health talks, strengthening community ties. This nimble, tech-driven approach highlights how small practices can seize opportunities in any community.

Key Strategies for Resilience

These practices share five key strategies that any small to mid-sized practice can adopt:

            
1. Launch Membership or Discount Plans: Bright Smiles tailored plans to their demographics, ensuring steady revenue and affordability.
            
2. Adopt Cost-Saving Technology: Tools like Dentrix streamline operations, reducing costs significantly.
            
3. Emphasize Preventative Care Education: Family Dental Care used social media and dental kits to boost compliance, leveraging authentic engagement.
            
4. Engage the Community: Building relationships with local groups, as all four practices did, fosters trust and retention, even if it’s a long-term strategy.

Final Thoughts

Thriving as a small to mid-sized practice in any economy is challenging but achievable by focusing on value, efficiency, and trust. These examples— Bright Smiles Dental, and Family Dental Care—demonstrate how understanding your market, leveraging technology, and engaging your community can lead to success. Look them up, explore their strategies, and see what you can apply to your practice.

At Doctor Demographics, we’re here to help you find the ideal location to grow your practice. Visit doctordemographics.com for more resources, and check out our podcast, Perfect Place to Put a Practice. For dentists, my book Dental Marketing Mastery is available on Amazon in paperback and Kindle versions. Thank you for your support, and here’s to your success in the second half of 2025!