Oral Health Group

Amazon Poses Threat to Dental Suppliers

December 7, 2017
by Thomas Franck, CNBC

Shares of dental supply distibutors sank Wednesday after Morgan Stanley issued a stark warning to investors: “Amazon is here.”

Dental supply distributors Henry Schein and Patterson Cos. both closed down more than 4 percent after analyst Steve Beuchaw said that Amazon is buying supplies directly from oral goods manufacturer Dentsply Sirona.

“We have new evidence that Amazon is accessing critical products from Dentsply Sirona,” wrote Beuchaw on Tuesday. “While Amazon makes up a small share of average total spending both backward (4 percent) and forward looking (5 percent), it was used by 34 percent of practitioners in our survey in the last year suggesting it is making inroads into many practices.”

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