Eye surgery clinics are poised for stronger growth over the next five years
Los Angeles, CA (PRWEB) June 28, 2013
The past five years have been rocky for the Eye Surgery Clinics industry with a number of headwinds along the way. Industry operators have undeniably felt the pinch of the recession as industry performance is closely tied to the general economic activity. According to IBISWorld Industry analyst Anna Son, "prior to a meltdown in the US economy, the number of laser-assisted in-situ keratomileusis (LASIK) procedures grew consistently." However, the number of procedures dipped during 2008 and 2009 due to consumers' diminished ability to afford LASIK procedures. Corrective surgery is costly and primarily an out-of-pocket expense, and most vision insurance carriers do not offer good coverage as they consider it a cosmetic procedure. As the economy gained traction and consumers gained more disposable income, demand for corrective surgery resurged again. However, this growth was not enough to offset the effects of the recession, when revenue plummeted at double-digit levels. During the five years to 2013, IBISWorld estimates that industry revenue will decline at an average annual rate of 1.3% to total $1.8 billion. In 2013, revenue is expected to rise 3.0% on the back of renewed demand and improving disposable income.
The industry is poised for stronger growth over the five years to 2018. "Higher projected household incomes and an improved sense of financial stability will encourage consumers to loosen up their purse strings and spend on services that they put off during the recession, including corrective surgery," says Son. New technologies that yield better outcomes and minimize the degree of vision errors will further underpin demand and help laser surgeries gain wider public acceptance. In recent years, researchers have reported promising results with the introduction of new LASIK technologies, as well as improving procedure safety in the operating room. Attracted by exponential opportunities in the eye surgery field, more players are expected to enter the industry despite stringent government regulations, significant marketing costs and intense competition.
The Eye Surgery Clinics industry has a low level of market share concentration The two largest players in the industry are TLC Vision Corp. and LCA-Vision Inc. During the five years to 2013, market share concentration has increased as a result of multiple firms exiting the industry. Companies have been seeking opportunities to consolidate their operations to achieve greater economies of scale and minimize risks caused by overall changes in the economy. Consequently, IBISWorld estimates the number of industry operators has declined in the five years to 2013.
For more information, visit IBISWorld’s Eye Surgery Clinics in the US industry report page.
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IBISWorld industry Report Key Topics
This industry includes clinics that primarily provide vision correction surgery, also known as refractive and laser eye surgery, using laser equipment.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.