Market analysis of equipment with the greatest yearly depreciation; from retail to used market
The purpose of this submitted article is to report and detail our analysis about the top 3 dental technologies that have a significant margin decrease from initial investment (brand new market), to present day sold average (used after-market). Our findings conclude the present-day potential average sold trending price in the used market, in comparison to initial retail. The following dental units analyzed in our report and their findings are included in the segment below:
- Cerec milling and acquisition - With its innovative technology, the Cerec Cad unit takes you from chair to lab quick! It’s also one of the quickest units at losing value per year. At analyzing, we find that the margin decrease from initial investment is quite significant. Market analysis: The latest Omnicam setup (mill and acquisition unit) purchased from Sirona in 2014, cost over $130,000. Our analysis of the present day used market value, found an overall 84% total decrease. In the present day used market, the 2014 cerec MC Xl and acquisition unit has a sales average of about $20,000. That’s a $110,000 total drop over just 7 years. Our analysis equates a 12% per year decrease from the unit’s original cost.
- Biolase Waterlase Laser- At its core, Biolase has been the promising “poster child” for painless procedures like root canals. Depending on it’s make and model, these units can start at upwards of $50,000 +. That’s not including the additional hefty $5,000 for required training, and certification fees. Even with the best strategies in place to market one of these units in the used equipment market, a 7–10-year-old unit can drastically vary in price starting at $3,000 and up to $18,000. Anything older than that, finding a buyer, is almost next to impossible. Market analysis: A 2010 Biolase Waterlase had a price tag of about $50,000 at retail. In the present used market this 11-year-old unit is worth at an average of $3,000. Over 11 years that’s a 94% drop or about an 8.5% decrease per year. We found that this incremental drop stays consistent among all Biolase Waterlase units, regardless of the year and model. Which translates to an average $4,270 drop every year.
- Scanners (Specifically focusing on Planmeca scanners)- With plenty of dental scanners out there like the Trios and iTero, we decided to focus specifically on a brand that has the greatest depreciating value in the used market, in this overall price analysis. Market analysis: In 2018, a brand new Planmeca Emerald, cost about $60,000 to attain. In the present day used market (2021), even a well-maintained scanner with software, and its paired laptop unit has a current average sold price of approximately $8,000 (with no warranty). That is a $52,000 or 87% drop within a short time frame of 3 years. A staggering 17,000 drop per year. Our results concluded, that the Planmeca Emerald Scanner has an average of decreasing in value by 29% per year.