Seeing clearly: As the elderly population increases, industry revenue is expected to rise

Over the past five years in the Optometrists industry, the elderly population's strong demand for routine eye exams caused optometry services to expand. Industry revenue also increased, partly due to the Affordable Care Act (ACA), which increased the number of individuals with health insurance, and expanded medical insurance coverage to include pediatric eye care. Expanded coverage means that elderly individuals will have greater access to care to receive cohesive eye exams. With this segment of the population growing faster than other age groups, industry operators are expected to benefit over the five years to 2022...purchase to read more.

Industry Statistics & Market Size
Revenue
$16bn
Annual Growth 12-17
2.4%
Forecast Growth 17-22
Profit
Employment
141,192
Businesses
35,056
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • As the number of Medicare beneficiaries increases, industry demand will rise
  • More optometrists are expanding their services to appeal to consumer demands
  • Optometrists are expected to tap into growing demand for industry products
  • Industry Report - Industry Investment Chapter

    The Optometrists industry exhibits a low level of capital intensity. In 2017, for every dollar spent, the industry is expected to incur $0.06 in capital expenditures. Overall, labor costs are high due to the personalized nature of eye care services, with wages expected to account for 34.3% of industry revenue. Further exacerbating this trend, according to Vision Monday, optometrists administer an estimated 88.0 million refractive eye exams each year, thus stimulating demand for optometrists to provide eye care. Nevertheless, optometrists can hire assistants to perform routine tasks (i.e. helping dispense contact lenses), thereby keeping wage costs relatively low.Comparatively, the industry has limited use of fixed assets (depreciation accounts for 2.3% o...purchase to read more.

    Additional Insights for the Optometrists Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Optometrists Industry are

  • Use of specialist equipment or facilities
  • Proximity to key markets
  • Maintenance of excellent customer relations
  • IBISWorld analysts also discuss how external factors such as Number of people with private health insurance and Percentage of services conducted online in the Optometrists industry impact industry performance..

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    What's in this report

    What is the Optometrists Industry?

    This industry includes practitioners with a Doctor of Optometry (OD) degree. ODs examine, diagnose, treat and manage diseases, injuries and disorders of the eye and associated structures. Operators may also prescribe and sell eyeglasses, contact lenses and vision therapy. These practitioners operate private or group practices in their own offices or in facilities like hospitals. The industry does not include ophthalmologists (i.e. medical doctors who are trained to perform eye surgery).

    Industry Products
  • Eye exams
  • Prescription eyewear
  • Contact lenses
  • Industry Activities
  • Conduct eye examinations
  • Diagnose, manage and treat disorders of the eye and surrounding structures
  • Prescribe and sell eyeglasses and contact lenses
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Number of people with private health insurance
  • Percentage of services conducted online
  • Number of adults aged 65 and older
  • Total health expenditure
  • Federal funding for Medicare and Medicaid

  • Current Performance
  • Demand for optometry
  • Intensifying competition
  • Chart: Revenue Growth

  • Industry Outlook
  • Seeing an increase in demand
  • Healthcare reform
  • Table: Optometrists Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Optometrists Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Health & Medical Insurance
  • Health & Welfare Funds
  • Consumers

  • Key Selling Industries
  • Brand Name Pharmaceutical Manufacturing
  • Generic Pharmaceutical Manufacturing
  • Glasses & Contact Lens Manufacturing
  • Medical Device Manufacturing
  • Medical Instrument & Supply Manufacturing
  • Navigational Instrument Manufacturing

  • Products & Services
  • Eye exams
  • Contact lenses
  • Prescription eyewear
  • Chart: Optometrists Industry Products and Services Segmentation

  • Demand Determinants
  • Accessibility
  • Awareness of services
  • Demographics
  • Technological developments

  • Major Markets
  • Patients' out-of-pocket payments
  • Private insurers
  • Government insurers
  • Other patient care revenue
  • Chart: Major Market Segmentation for the Optometrists Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesOther
  • Chart: Cost Structure Benchmarking – Sector vs Optometrists

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Optometrists Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Optometrists Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Optometrists Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Total health expenditure (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Medicaid
  • A jointly funded cooperative venture between the federal and state governments to assist states in the provision of medical care to those that need financial assistance.
  • Medicare
  • A government program of medical insurance for persons aged 65 and over and for certain disabled persons under 65.
  • Ophthalmologist
  • A physician that specializes in the study and treatment of defects and diseases of the eye.
  • Optician
  • A person who is trained to dispense prescriptions for eye correction.
  • Refractive Error
  • An error in the focusing of light by the eye and a frequent reason for reduced visual acuity.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Industry Market Report on Optometrists is a comprehensive guide to market size and growth prospects. Ensure due diligence in your research with our strategic analysis of the factors influencing companies, including new product developments; economic, lifestyle and demographic influences; distribution and supply chain factors; and pricing issues.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Optometrists:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Optometrists market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Optometrists, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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