Hearing Aid Industry
Hearing aids are big business! You've probably noticed that hearing aids
are becoming VERY expensive, and that the industry is consolidating.
Here's your chance to learn about the hearing aid industry!
July 2001 -
Have any questions you'd like to ask a hearing aid manufacturer? I've
got about a million of them, and I bet you do too. They're probably not
all answered by this
Hearing Aid Manufacturers Panel,
but I bet you'll learn a lot by reading it!
November 2005 - I guess it's no surprise to any of us that the
hearing aid industry projects how many hearing aids they expect to sell
in any given year. It may be a surprise that, at least according to this
press release, the industry is falling short of expectations. This
article offers some interesting perspectives on the industry and how it
conducts business.
December 2005 - Where is the hearing aid industry
headed? What are current and future trends?
January 2006 - The Future of Wireless Devices in
Hearing Health Care
May 2006 -
The pros and cons of buying hearing aids online
October 2006 - Phonak acquisition makes it world
number one
November 2007 - "Hear
the World" to launch in January
April 2007 - Over the Counter Hearing Aid Bill Introduced
in California
April 2007
- SeboTek Group Files Patent Infringement Lawsuit
Against Oticon, Phonak, Interton, GN-Resound, and Vivatone
April 2007
- Annual
Hearing Journal/Audiology Online Dispenser Survey
May 2007 - Colorado Audiologists Attempt to
Restrict Hearing Aid Sales by Dispensers
May 2007 - Obstacles to adult non-user
adoption of hearing aids
May 2007 - HearPod, A New Hearing
Aid Concept
June 2007 - Phonak
is Expanding and Changing its Name
July 2007 -
Hearing Aid Sales Rise by 3.5% in First Half of 2007
August 2007 - Oticon Hearing
Aids Benefits Cancer Research
August 2007 -
Sonus Looks at Current and Future Hearing Aid Trends
August 2007 - Songbird
Hearing Being Resurrected?
September 2007 - Hearing Aid
Industry Transitions to Patient-Focused Model
September 2007 -
Let's Replace Hearing
Aid Evaluation with Functional Communication Assessment
October 2007 - America Hears Introduces Pricing
Structure Featuring One Low Price for All Digital Hearing Aids
October 2007 -
Self-Report Assessment
of Hearing Aid Outcome
November 2007 -
Oticon's hearing aid distribution guidelines
November 2007 - The Future of Hearing Health Care
November 2007 - America Hears Offers Free Demo
Version of Software for Download
December 2007 - Hearing Aids: Seven Buyers
Beware Warnings
December 2007 -
Hearing aid sales rise by 5.4% on way to record year
January 2008 -
US Hearing Aid Units Rise by 2.3% in 2007
February 2008 -
Starkey Joins in Rejecting Internet Retailers
February 2008 - Shop for Hearing Aids
February 2008 - More Funding for "Invisible" Hearing
Aid
March 2008 - The Future of Hearing Aid Marketing
April 2008 - The growing importance of web-based hearing
aid sales - part one
April 2008 - The growing importance of web-based hearing
aid sales - part two
May 2008 - Hearing Aid Sales in First Quarter Increase by
1%
May 2008 - Zounds Hearing Aid Taking Off
May 2008 - Measuring User Satisfaction with Hearing Aids
June 2008 - Online Hearing Aids Available Worldwide
June 2008 - America Hears Partners with Dynamic
Hearing to Deliver Next-Generation Hearing-Aid Solutions
June 2008 - $80 Songbird Disposable Hearing Aid Debuting
Soon
June 2008 - Zounds Hearing Aids Take Off
August 2008 - Are OTC Hearing Aids As Good as
Traditional Aids?
August 2008 -
"Healthy Hearing" Claims Hearing Aids are a Bargain!
December 2008 - America Hears Expands, Upgrades its
Unique 'Clicks-and-Mortar' Hearing-Aid Business
February 2009 - Maryland Issues New Internet
Hearing Aid Sales Regulation
February 2009 -
Man Says Quest For Hearing Lost Him $5,200
March 2009 - America Hears Introduces New Hearing
Aids
March 2009 -
Hearing aid salesman admits fraud
March 2009 -
Study compares hearing aids fitted
online with clinical fittings on the same subjects
April 2009 - Starkey Introduces the Next
Generation of Hearing Aids: S Series with Drive Architecture
April 2009 - Hamilton CapTel
Aligns with Oaktree Products, Inc.
April 2009 -
Hamilton CapTel Announces Alliance with
EPIC, Inc.
April 2009 -
Zounds Hearing Aid Centers Files
Bankruptcy
April 2009 -
Newspaper Article Questions Hearing Aid Pricing
Practices
May 2009 -
FDA Issues PSAP Guidance
May 2009 - Identifying Cochlear Implant
Candidates in the Hearing Aid Dispensing Practice
June 2009 -
Consumer Reports: Hearing Aid Shoppers
Pay High Prices, Get Mediocre Fittings
July 2009 -
Audiologists Respond to "Consumer
Reports" Criticisms
August 2009 -
The inside story of Consumer Reports'
controversial new hearing aid study
August 2009 -
Cochlear Implant Candidates Unidentified
and Underserved in Hearing Aid Dispensing Practice
October 2009 -
VA Awards Hearing Aid
Contracts
November 2009 -
NIDCD Working Group on Accessible and Affordable Hearing Health Care for
Adults with Mild to Moderate Hearing Loss
November 2009 -
Sonova Announces the Acquisition of
Advanced Bionics
December 2009 -
Audiologists break away, move hearing-aid sales online
January 2010 - Sonova Acquires InSound Medical Inc. and
its Lyric Hearing Aid
January 2010 -
Consumer Protection for Hearing
Aid Purchasers
February 2010 - Audiologist Survey
Addresses Changing Hearing Aid Market
March 2010 -
Boomers Demanding More Technology in Hearing
Aids
March 2010 - Doctor
creates affordable hearing aids costing less than $200
April 2010
- Part Two of BHI's MarkeTrak VIII Report Tracks Customer
Satisfaction
April 2010 -
New York Seeks To Allow Physicians To Provide
Hearing Aid Services
April 2010 -
Audiology convention shows off top technology
May 2010 - HearUSA Rolls Out AARP Hearing Care
Program Nationwide
May 2010 - Survey probes dispensers' views on key
issues raised by Consumer Reports
May 2010 - Sonova posts new sales record and
significant earnings growth
July 2010 - MarkeTrak VIII: Utilization of PSAPs and
Direct-Mail Hearing Aids by People with Hearing Impairment
More on this and related
topics
~~~~~~~~~~~~~~~~~~~
Hearing Aids! Most people with hearing loss have a
real love-hate relationship with them. Many feel that they can't live
with them, and they can't live without them! There's no question that
hearing aids continue to improve, and that new technologies ensure
ever-increasing capabilities.
Some people find the complexity troubling - there's
just too much to keep up with. And manufacturers sometimes add to the
confusion with the terminology they use to describe new features.
Karl Strom's recent "Hearing Review"
article entitled "Twenty
Trends Influencing the Hearing Health Care Field" is "must
reading" for all professionals in the field, and for consumers who
want to be well informed. He provides a great overview of where the
industry has been in the last several years, and some glimpses into
where it might be going.
~~~~~~~~~~~~~~~~~
April 2007
Editor: There's a national movement advocating for
legalizing over-the-counter (OTC) hearing aids as a means to make them
more affordable. Here's a press release about a bill introduced in
California.
~~~~~~~~~~~~~~~~~
California Assemblyman Mervyn Dymally (D-South Los
Angeles, Long Beach County) has introduced Assembly Bill 311 which would
permit over-the-counter (OTC) sales of hearing aids in the state. The bill
stipulates that OTC sales would only be permitted if in accordance with
federal regulations, and FDA regulations currently prohibit OTC sales of
hearing aids.
Under existing law, the Hearing Aid Dispensers
Licensing Law, the Hearing Aid Dispensers Bureau licenses and regulates
the practice of fitting and selling hearing aids. Under that law, a
hearing aid is required to be dispensed by a licensed hearing aid
dispenser. Existing law, the Federal Food, Drug, and Cosmetic Act, also
regulates the labeling and conditions for sale of hearing aid devices, and
preempts state laws that are different from or in addition to those
requirements. The proposed bill would authorize the sale of
over-the-counter hearing aid devices by an unlicensed person if such sales
are authorized under federal law. The bill would also make findings and
declarations in that regard.
Assembly Bill 311 appears to be in response to the
price of hearing aids after it leaves the manufacturer. It mentions that
hearing aids are produced by manufacturers at a relatively low cost and
are dispensed at prices of over $2500 per ear. It goes on to state,
"Notwithstanding any other provision of law, this chapter shall not
prohibit the sale of over-the-counter hearing aid devices as merchandise
by a person who is not licensed pursuant to this chapter if those sales
are authorized under federal law."
The bill was referred to the Assembly Committee on
Health where it was tabled. Former California Assemblyman Juan Vargas
introduced identical legislation last session. After initially scheduling
two hearings on the bill, both were cancelled at Assemblyman Vargas'
request.
~~~~~~~~~~~~~~~~~
April
2007
The
March 2007 Cover Story with its focus on brand preference in hearing aid
dispensing included only a subset of the responses to the questions asked
in this year's annual Hearing Journal/Audiology Online dispenser survey
conducted in January 2007. This article reports the survey's findings on a
broad range of other professional issues and activities.
Two-thousand-and-six was a very good year for hearing aid dispensers,
according to the 489 dispensing audiologists and hearing instrument
specialists surveyed by HJ and AO.Most respondents said their sales were
up last year from 2005 (Figure 1), and a bullish 74% predicted that growth
would continue in 2007.
Full Story
~~~~~~~~~~~~~~~~~
May 2007
Over the last 20 years, hearing aid adoption has
remained stubbornly at about one in five adults with an admitted hearing
loss. While in the recent past hearing aid adoption has grown slowly to
23%, most of this growth can be attributed to free hearing aids obtained
through the Department of Veterans Affairs (VA) or low-cost Internet
sales. Given the consequences of untreated hearing loss, why do more than
22 million adults with hearing loss in the United States delay or avoid a
hearing solution? Full
Story
~~~~~~~~~~~~~~~~~
June
2007
Valentin
Chapero can sympathize with peers who sell things that people don't like
to admit they need, like antiwrinkle cream and adult diapers. Chapero is
chief executive of Swiss company Phonak Holding, one of the world's top
producers of hearing aids. By Chapero's reckoning, some 10% of the world's
population is hard of hearing, but only about one-tenth of them get a
hearing system. Some are unsatisfied with the technology's performance.
Many don't want to admit they need one. "It's very difficult when you
are making a product that actually nobody wants," Chapero says.
Phonak is determined to change that, through rebranding, improved
technology, and expansion. Phonak, an owner of several brands, plans to
adopt the brand-neutral name Sonova in August. And as the No. 3 producer
of hearing aids by sales, Phonak also wants to get bigger through
acquisitions. The company said in October it would acquire smaller German
rival ReSound. Phonak is appealing a decision by Germany's Federal Cartel
Office to nix the acquisition.
Full Story
~~~~~~~~~~~~~~~~~
Editor: I bet you didn't know that the VA provides about 14% of all
hearing aids dispensed! That's just one interesting tidbit in the following
report!
~~~~~~~~~~~~~~~~~
July 2007
According to statistics generated by the Hearing Industries Association (HIA)
net hearing instrument unit sales increased by 3.47% to 1.22 million units
during the first half of 2007 compared to sales of 1.18 million units in the
first half of 2006. Private practice (non-VA) dispensing of hearing aid
units increased by 2.20%, while the VA-which accounted for 13.9% of all
hearing aids dispensed in the first half- increased by 12.10% at the midway
point of the year. Total hearing aid sales during the first quarter were
1.06% over 2006 sales, and the second quarter was significantly better with
a 5.87% increase over last year.
The private dispensing sector saw sales increases of 0.07% and 4.47% in
Quarters 1 and 2 respectively, while the VA saw sales increase by 8.78% and
15.42%, respectively. In 2006, private sector hearing aid sales rose by
8.1%, while VA dispensing activity rose by 5.5%.
Digital sales accounted for 92.17% (private market: 90.98%, VA: 99.58%)
of all hearing aids sold, up nominally from 91.7% for all of 2006.
At mid-year, BTEs constituted 50.18% of all hearing aid sales (private
market: 52.02%, VA: 38.76%), driven largely by the popularity of mini-BTE
open-fit and receiver-in-the-ear technology, as well as the increased use of
directional systems and perhaps other hearing aid features that could favor
BTE use.
~~~~~~~~~~~~~~~~~
August 2007
The growing popularity of open-fit products and the
increase in direct-to-consumer marketing are impacting the ways hearing care
professionals serve their patients most effectively, note experts from Sonus,
one of the largest professional hearing care networks in North America. . .
. "Hearing aids are becoming more user-friendly and discreet to break down
the stigma and expand the age group of those using the product," says Steve
Huart, director of professional development at Amplifon USA, the parent
company of Sonus. "But ultimately it is not the hearing aid that provides
the solution. It is the professional who makes a difference." Huart and his
colleagues have identified three main trends of the past year that have
influenced how dispensing professionals treat hearing loss: open-fit
products, especially those that feature the receiver in the canal; direct
marketing to the consumer; and independent verification of the fit
prescribed by manufacturer software. These developments, along with those
Huart foresees in 2008, have changed the way Sonus educates its
professionals.
Full Story
~~~~~~~~~~~~~~~~
Editor: Oticon has just changed their hearing aid distribution guidelines
to disallow sales to companies that do not have direct face-to-face contact
with the hearing aid purchaser. As you would expect, the American Academy of
Audiology applauds that change.
~~~~~~~~~~~~~~~~~
The American Academy of Audiology applauds the decision by Oticon, Inc.,
to supply its products only to distributors who directly fit and sell Oticon
products to end-users through face-to-face in-person consultations. Under
these guidelines, Oticon will refuse to accept new orders from distributor(s)
who provide hearing aids to end-users through indirect means without direct
contact. According to Oticon, examples of violations of the guidelines
include sales of Oticon products through catalogues, mail order, or over the
Internet, as such sales are effectuated without face-to-face in-person
consultations between end-users and distributors. In a statement issued by
the company, Oticon stated, "People with hearing loss deserve to make the
best choices possible for themselves that best fit their individual needs.
We believe this is best accomplished through a personal relationship with a
dispensing professional in a face-to-face setting."
The Academy calls upon all other hearing aid manufacturers to follow
Oticon's lead and implement similar hearing aid distribution guidelines.
Click here to review the guidelines, effective November 9, 2007, on Oticon's
Web site. http://www.oticonusa.com/Oticon/News.html
This decision is laudable, and sets a standard for all hearing aid
manufacturers to follow. Evidence shows that successful hearing aid use is
predicated on careful counseling, followed by selection, fitting,
verification, and validation of the fitting-activities that can only be
accomplished through the direct diagnosis and treatment by a licensed
audiologist. The Academy has released a set of guidelines, "A Systematic
Review of Health-Related Quality of Life and Hearing Aids: Final Report of
the American Academy of Audiology Task Force on the Health-Related Quality
of Life Benefits of Amplification in Adults" (Journal of the American
Academy of Audiology, Volume 18:2, 2007), and a report, "Pre-Purchase
Assessment Guideline for Amplification Devices" (Audiology Today, Volume
Volume 12:3, 2000), to this effect.
~~~~~~~~~~~~~~~~~
December 2007
With all the great news about hearing aids and the
market for them, it's no surprise that unit sales rose substantially through
the first three-quarters of the year. On the other hand, the 5.4%
year-to-year increase is well below last year's growth of 7.7% or the 7.5%
gain in 2004. Still, at the risk of sounding greedy, doesn't it seem that,
given all the good things happening this year, the market could have, maybe
even should have, expanded more than it has? After all, no research study
found that amplification was associated with cancer or high blood pressure.
Nor were any hearing aids recalled because of high levels of lead.
Full Story
~~~~~~~~~~~~~~~~~
January 2008
According to statistics generated by the Hearing
Industries Association (HIA), hearing aids dispensed in the United States
during 2007 totaled 2.42 million units, an increase of 2.3%. However, it
should be remembered that this relatively small increase follows a 7.7%
increase in 2006 (Figure 1), the industry's largest year-on-year increase
since 1997. As reported in the July 26 HR Insider, first-half 2007 net
hearing instrument unit sales increased by 3.47% (aided greatly by a 5.9%
increase in sales during the Quarter 2), then increased by only 1.2% in the
second half, compared to 2006 figures. Private sector sales (ie,
non-government dispensing activity that excludes the Veterans
Administration) of hearing aid units were relatively flat, increasing by
only 1.3% in 2007. Dispensing activity in 2007 for the private sector
increased by 2.2% in the first half but then flattened out (0.45%) in the
second half of the year.
Full Story
~~~~~~~~~~~~~~~~~
Editor: It looks like the hearing aid manufacturers are falling all over
themselves to certify that they don't sell their products to Internet
retailers. Starkey is the latest to fall in line, as their press release
states.
~~~~~~~~~~~~~~~~~
February 2008
Starkey Laboratories joins other hearing aid manufacturers in rejecting
the sale of their products to internet and mail-order retailers. Recently on
the "Find a Professional" section of their website, Starkey Laboratories,
posted a consumer alert regarding sales of their products to internet
retailers. The alert states:
"Starkey does not sell its hearing aid products directly to Internet
retailers. Starkey does not endorse the practice of selling hearing aids to
consumers via the Internet. We do not believe that Internet retailers can
provide our consumers with the same high quality professional services as
our carefully chosen worldwide network of authorized hearing professionals.
There are retailers who sell Starkey products via the Internet who are not
authorized by us to do so."
Starkey Laboratories encourages consumers to purchase their products
through a qualified hearing professional in order to benefit from a
face-to-face consultation to assist in determining the most appropriate
Starkey product for their hearing needs.
~~~~~~~~~~~~~~~~~
February 2008
Hearing aids have traditionally been sold by
audiologists and hearing centers, which can help pinpoint the cause of
hearing loss, solve problems that crop up and make sure the devices fit well
and work optimally. Their prices may include tests and some future repairs.
[. . . ] Some often-cheaper alternatives: Costco, the warehouse chain, has
hearing centers in more than 200 stores, offering aids at prices starting
under $1,000. America Hears, a Bristol, Pa., hearing-aid maker, sells its
devices online for just under $1,000 and bypasses fitting appointments by
making adjustments by mail or even remotely via computer. Another online
seller, Hearing Help Express, based in Dekalb, Ill., offers a basic aid for
$299.
Full Story
~~~~~~~~~~~~~~~~~
February 2008
InSound Medical, a medical-device startup in Newark,
Calif., wants to let people with hearing loss regain that sense without
having to wear a conspicuous hearing aid. Instead of clipping around the ear
or fitting precariously into the opening of the auditory canal, the
company's Lyric hearing aid is implanted deeper into that canal, where it
can remain for up to four months. The device uses an extended-wear battery
and is implanted in a non-surgical procedure in a doctor's office. Every two
to four months, a Lyric device must be extracted and replaced with a new
device. InSound sells Lyric on a "subscription" model, in which patients buy
a year's worth of devices at a time. [...] InSound just raised $11 million
in an extension to its fifth round of funding, according to Dan Saccani, the
company's CFO. Investors in the round included De Novo Ventures, J&J
Development, and CMEA Ventures.
Full Story
~~~~~~~~~~~~~~~~~
March 2008
If you're interested in the future of the hearing
aid industry, you'll find Phil Wyatt's predictions very thought provoking.
Phil is the proprietor of Hearing Central LLC, and he's predicting a shift
towards greater availability of hearing aids through mass markets, including
the Internet, big box stores, and drugstores. He's also predicting a
dramatic fall in the price of hearing aids, and a resulting increase in the
percentage of people who use them!
Full Story
~~~~~~~~~~~~~~~~~
April 2008
The impact of the new technology and the Web is
absolutely profound. Anyone can get a hearing exam, locate a Web-based
retailer and have a new device within a few days ... and many times for a
lower price. So why are the prices of hearing aids so high? One very
reputable (I checked) Web-based provider shared some interesting things with
me about the industry. There is, in fact, a substantial markup for hearing
aids and the justification is "to pay for the brick-and-mortar and the cost
of servicing the devices." I confirmed this when I asked regional providers
why their prices were sometimes double "the Internet price." Some were
honest and indicated their volume was low and the markup covered overhead
expenses. Other providers became defensive, cursed the Internet and warned
me: "If you buy from the Internet, we won't service it."
Full Story
~~~~~~~~~~~~~~~~~
April 2008
So what
should local providers say when someone asks for help with a unit purchased
on the Web? How about, "We would be happy to take care of your Internet
purchase, and here is our rate schedule for the services you require."
Hearing aid providers have to realize that price will definitely motivate
consumers to use the Internet. So when others are saying "no," a savvy local
provider should say "yes." Wouldn't having a regional reputation as the "go
to" business for anyone with an "Internet hearing aid" be a good thing? It
really is beneficial for everyone. Here's why:
- Even
though he didn't sell it, the local provider still makes money servicing it
- money he wouldn't make otherwise.
- The
consumer gets a better price and local service.
- The Web
provider can sell even higher volumes and pass on the savings.
Full Story
~~~~~~~~~~~~~~~~~
May 2008
According to Hearing Industries Association (HIA)
statistics released on Tuesday, total net hearing instrument units dispensed
in the United States during the first quarter of 2008 rose by 1.1% (a total
of 600,273 units) compared to the same period last year. However, virtually
all of this increase came from dispensing activity generated by Department
of Veterans Affairs (VA), which experienced a unit volume increase of 7.3%.
The VA constituted 14.6% of the hearing aid market in the first quarter.
Private (non-government) sector dispensing was essentially unchanged (0.09%)
from the same period last year.
Full Story
~~~~~~~~~~~~~~~~~
May 2008
Just 15 months ago, Mesa entrepreneur Sam Thomasson
opened his first store to sell his new invention, Zounds, a hearing aid
aimed at significantly reducing background noise and eliminating screeching
feedback. On Wednesday, Thomasson was at Paradise Valley Mall in Phoenix to
celebrate the grand opening of his 14th store. If one new store a month
sounds like meteoric growth, note that Zounds plans to double that, opening
15 more locations before the end of this year, said CEO John Costello.
Thomasson hired Costello, former executive vice president for merchandising
at Home Depot, to expand Zounds' retail operation. Zounds' store design is
as groundbreaking as Thomasson's hearing aid is, Costello said. Designed as
a one-stop shop, a customer can get a free hearing test, have a device
fitted, receive instructions on how to use it, try it out on a telephone
call, in heavy traffic and in a restaurant setting and repeat the hearing
test wearing the tailored device before even deciding whether to buy it, he
said.
Full
Story
~~~~~~~~~~~~~~~~~
May 2008
Table 1 is a summary of the various types of outcome
measures with examples of each. According to survey data, 20% of
audiologists do not use any type of outcome measurement to assess the
success of hearing aids. Of the 20% who systematically measure outcomes,
very few are likely to rely on a comprehensive battery of outcome tools to
robustly assess results. Although the use of multiple outcome measures may
seem time consuming, patient surveys indicate that their use improves
overall satisfaction. With a nearly 25% return and exchange rate, coupled
with the fact that one-in-six hearing aids ends up in the drawer (Kochkin,
2007), professionals need to rethink how outcomes can be used to improve
overall patient satisfaction. This paper is geared toward helping the busy
clinician identify practical ways to measure hearing aid outcome in the
laboratory.
Full Story
~~~~~~~~~~~~~~~~~
June 2008
What makes open-fit aid hearing aids accessible to
internet customers is there is no need for ear impressions or molds. Open
fit aids are generally very small behind the ear aids that have a thin tube
running into the ear. On the end of the tube is a mushroomed shaped dome.
The tubes and domes come in various sizes so it is very easy for customers
to fit themselves properly to the hearing aid they need. All that is needed
for a successful transaction is a recent hearing exam that can be obtained
at any audiologist location. Openfit.com is an internet dealer that meets
all of the requirements of buying hearing aids online. They have a
professional and courteous staff and can be reached by email at sales@openfit.com
or call 1-888-865-4327. Openfit.com sells hearing aids around the world.
Full Story
~~~~~~~~~~~~~~~~~
June 2008
Songbird is looking to make some noise in the
hearing aid world with its disposable, cheap and discrete Flexfit. The $80
unit is drastically less expensive than your average aid, which costs
upwards of a few thousand dollars (not to mention all of the battery
replacement and maintenance fees later). The Songbird is rated for 400 hours
of use, so it should be perfect for casual users of hearing aids who need a
situational auditory boost - say, at church or during a musical performance.
Employed in short spurts, the apparatus would last someone many months. It's
like the reading glasses of the hearing aid world.
Full Story
~~~~~~~~~~~~~~~~~
June 2008
A father's quest to improve his daughter's hearing
is making waves nationally. Zounds, a private Mesa hearing-aid retailer,
opened its 17th store last week, in Portland, Ore. "We really found our
retail concept really clicked with the customers," said company founder Sam
Thomasson. His inspiration for the company stemmed from his daughter, Kate,
who has a hearing impairment. The Mesa engineer and entrepreneur founded
Zounds three years ago. It is now led by John Costello, president and chief
executive officer, who joined the company last summer. Zounds develops,
manufactures and distributes hearing-aid products. About 10 percent of the
national population is affected by hearing impairment, and that number is
expected to increase as the Baby Boomer generation ages, Thomasson said. By
the end of the year, Zounds, which has a 200-member workforce, plans to open
30 stores nationwide with the potential of expanding internationally in the
future, Costello said.
Full Story
~~~~~~~~~~~~~~~~~
August 2008
Consumers with hearing loss might think they are
saving significantly more by purchasing over- the-counter hearing aids, but
they most likely will be disappointed - or could be taking risks - when
purchasing such aids, according to MSU research. Professor Jerry Punch of
the Department of Communicative Sciences and Disorders and Susanna Love
Callaway, a lifelong education alum and international student from Denmark,
published their study on over-the-counter hearing aids in the June issue of
the American Journal of Audiology. Through her work as a student in Punch's
two online courses, Callaway began to wonder about the high cost variability
of hearing aids and asked Punch to advise her on a potential project.
Specifically, do hearing aids have to be expensive to work from a purely
technical standpoint? Punch and Callaway set out to find the answer by
subjecting 11 over-the-counter hearing aids to the same test protocol as
traditional hearing aids.
Full Story
~~~~~~~~~~~~~~~~~
February 2009
A Groton man said he was hoping to hear clearly
again, but instead found himself out thousands of dollars. Leonard Kimes
said he purchased a hearing aid that didn't work and that he now can't get
his money refunded. Beltone New England, which sold the hearing aid, does
have a refund policy, which Kimes claims he followed. Kimes said he's
suffered from a hearing problem for years and hoped that the Beltone hearing
aid would help. He said he spent more than $5,000 and can't hear any better.
He claims the company won't take the hearing aid back.
Full Story
~~~~~~~~~~~~~~~~~
March 2009
A former hearing aid salesman pleaded guilty today
to bilking 13 elderly clients out of more than $30,000 by selling them
low-quality hearing devices he falsely claimed were higher-quality models.
Brett R. Mayers, 35, of Cherrywood Lane, Lockport, was told by State Supreme
Court Justice Christopher J. Burns he likely faces probation on his guilty
plea to grand larceny, scheming to defraud and falsifying business records.
The judge said he was considering probation so that Mayers could repay his
elderly victims. Sentencing was scheduled for May 26. Mayers declined
comment as he left the judge's Buffalo courtroom. Prosecutor Paul J.
Williams III said Mayers was fired by Beltone Hearing Center of New York in
January 2008 after a grand jury investigation conducted by the Erie County
District Attorney's office and Amherst police confirmed his two-year-long
sales scam.
Full Story
~~~~~~~~~~~~~~~~~
March 2009
I expected this article (written by the folks who
did the "clinical fittings") to trash the entire online purchasing process.
I thought they were harder on issues with the online process than they were
with issues with their clinical fittings, but it wasn't totally one-sided.
If you've been considering an online hearing aid purchase, this article
might be helpful as long as you keep in mind the natural biases of the
authors.
Full Story
~~~~~~~~~~~~~~~~~
April 2009
Mesa, AZ-based Zounds, Inc. filed chapter 11
bankruptcy on Mar. 30, 2009 in the U.S. Bankruptcy Court for the District of
Arizona. The company operates a chain of Zounds Hearing Aid Centers in AZ,
DE, FL, MA, MO, MI, NJ, OR, PA, TX and WA. The company listed between $10
million and $50 million in assets and liabilities on its petition. According
to Hoovers, the company reported $15.5 million in 2007 sales.
Full Story
~~~~~~~~~~~~~~~~~
April 2009
As with many other areas of health care, high
hearing aid prices can be attributed to monopolistic pricing and regulations
that discourage competition. A hearing aid consists of a small microphone
that amplifies weak sounds through a small speaker. Unlike the routine price
decreases that we've come to expect from other electronic devices like cell
phones, computers and televisions, the price of hearing aids have actually
increased. Surprisingly, its own industry trade association has concluded
that hearing aid manufacturers could help more people, sell many more
hearing aids and make more profit if prices were reduced. There are some
hearing aid-type devices that like reading glasses, don't require a
prescription and offer benefit at substantial savings. These devices are
made by companies including Maxisound, Nexear and Songbird. Prices for these
types of aids range from $80 to $500 each. They can generally only be
purchased online, but all are sold with money-back guarantees. So for mild
to moderate hearing loss, they're worth a try and may be a good bet for your
money. Here's an interesting tidbit that can help you understand the
hearing aid industry better. A study conducted and reported on in a recent
issue of the American Journal of Audiology concluded that these
over-the-counter type hearing aids "don't work well and could potentially
damage a persons hearing". The kicker is that study was funded by the Oticon
Foundation, manufacturer for Oticon brand hearing aids. We suspect the
eyeglass industry said many of these same things about reading glasses when
they first began to be sold over the counter.
Full Story
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May 2009
As FDA Clinical Deputy Director, Dr. Eric Mann
advised HIA at its February Annual Meeting, the Agency has issued "Guidance
for Industry and FDA Staff: Regulatory Requirements for Hearing Aid Devices
and Personal Sound Amplification Products (PSAPs)." A guidance document
"represents the Food & Drug Administration's (FDA's) current thinking on
this topic," and does not bind either FDA or the public to the approach. Dr.
Mann outlined the likely approach to HIA members, and the document reflects
what he described at the meeting. Basically, if the amplifier advertising
does not state that it is intended to compensate for impaired hearing but
says it will help when a person hunts or eavesdrops on a neighbor; it is a
PSAP due to its intended use.
Full Story
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August 2009
In July, Consumer Reports released a detailed
article on the state of hearing care titled "Hear well in a noisy world."
The report, which found mixed results in terms of consumers' satisfaction
with their hearing aids, which was quite high, versus the percentage of
devices that were described as misfit-two-thirds-created quite a stir among
hearing aid professionals. While many in the field welcomed the report as a
useful wake-up call, others expressed concern over a lack of emphasis on the
unique benefits audiologists provide in hearing care. At the request of The
Ear Hears (EH), Tobie Stanger, senior editor of the report, and Ed Kippel,
Consumer Reports senior program leader, discussed the controversial study,
which they'd been wanting to do for 10 years and took almost 2 years to
complete. They also talked about the response from the hearing care field,
and their plans for the data in the future.
Full Story
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October 2009
Nine companies, the most in more than a decade, were
recently awarded contracts by the Department of Veterans Affairs (VA) to
provide it with hearing aids to fit on America's veterans. The contracts,
which were announced in August, will take effect on November 1 and run for a
1-year base period ending next October 31. After that, the VA will have the
option of extending the contracts for four additional 1-year periods.
Typically, the agency does so, though it can choose not to exercise the
option if, for example, a company fails to perform satisfactorily or if
there is a lack of funding or need for the hearing aids when the contract
comes up for renewal. These contracts stipulate firm fixed prices for the
hearing aids supplied
Full Story
~~~~~~~~~~~~~~~~~
December 2009
Two young audiologists from Denver hope to change
the way hearing aids are sold in America and to help revive a sector of
health care that's been hit hard by the recession. Don Kim, 28, and Justin
Piraino, 29, recently left private audiology practices to start what they
say is the first doctor-owned hearing aid website. Launched on June 9,
HearingAidDocs.com is designed to give patients with hearing loss a wider
selection and better value than most brick-and-mortar audiology practices -
which are increasingly owned by hearing aid manufacturers. Kim said such
practices limit selection to their own product line and keep prices
prohibitively high for many consumers. By contrast, customers of
HearingAidDocs enter results from hearing evaluations and choose from a
range of hearing aids available from different manufacturers. Kim said
customers can save anywhere from $500 to $1,000 by using the service. As a
national organization, HearingAidDocs.com has enough buying power to obtain
hearing devices cheaper than competitors.
Full Story
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January 2010
Do you know what, if any, laws are in place to
protect you when you purchase a hearing aid? Do you know your rights as a
hearing aid purchaser? Rights afforded to purchasers of hearing aids depend
upon the state where you live and make the purchase. This system has
resulted in a patchwork of laws and regulations across the country. By our
count, only 30 states mandate a trial period during which you can decide if
the hearing aid you purchased is the right one for you. In those states that
require trial periods, you have the right to return the hearing aid and
obtain a refund. The amount of the refund varies from state to state and, in
a few cases, within the same state.
Full Story
~~~~~~~~~~~~~~~~~
April 2010
New York could take a step this year in expanding
access to hearing aids for a growing number of people with hearing
impairment, says The American Academy of Otolaryngology - Head and Neck
Surgery (AAO-HNS). State Assemblymen Jeffrey Dinowitz of the Bronx and Micah
Kellner of New York recently introduced a bill that, should the New York
Legislature adopt it, would open up physicians' offices as an additional
point of access to hearing aid services. "Physicians' offices are a key
access point for patients entering the hearing health system," said Dinowitz
in a statement released by AAO-HNS. "With only one in four people adopting
hearing aids who could benefit from them and the number of hearing-impaired
on the rise, we need to provide those in need of hearing aids every
opportunity to get them.
Full Story
~~~~~~~~~~~~~~~~~
April 2010
Souped-up ultramodern miniature sound amplification
systems made up of computers, directional microphones and speaker modules
that are driven by software and carry high price tags ---- yes, hearing aids
have come a long way since the days of the "ear horn." At "Audiology Now!"
the recent conference of the American Academy of Audiology, more than 7,000
hearing health care professionals descended upon the San Diego Convention
Center for four days last week. The largest gathering of its kind, the
conference was also the scene of many new product debuts. Companies such as
Phonak, Oticon, Starkey, Siemens, Widex, Unitron, and AudioSync are among
those competing for the $5.2 billion hearing aids and audio devices market.
That market has been projected to grow to more than $7 billion by 2016 as
the population ages, according to iData Research, Inc., an international
market research company. The evolution of digital technology has had a
sweeping effect on the dynamics of the industry, making it possible for
manufacturers to use advanced technologies such as built-in wireless
capabilities, remote controls, feedback suppression, directional mikes,
digital speech enhancement and multiple memories that can be adjusted to
suit different listening environments.
Full Story
~~~~~~~~~~~~~~~~~
May 2010
When Consumer Reports (CR) published a long and
largely critical article last summer on the state of the U.S. hearing aid
delivery system, hearing care providers reacted strongly. Many questioned
the fairness of a key finding that two-thirds of the 48 hearing aids fitted
on 12 consumers who cooperated with CR on the article were misfitted. On the
other hand, many in the dispensing community felt that the article drew
attention to some legitimate problems and should serve as a wake-up call. In
the 2010 Hearing Journal/Audiology Online dispenser survey, we decided to
give audiologists and hearing instrument specialists the chance to comment
on some of the important and controversial issues raised by CR. Questions
about that article, as well as on many other topics of professional
significance, were e-mailed in early February to Audiology Online's e-mail
address list and to the members of the International Hearing Society. A
total of 640 people responded, including 535 who dispense hearing aids
Full Story
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July 2010
We've all seen the ads featuring Lee Majors, as well
as ads about devices that look exactly like hearing aids but are billed
instead as "hearing helpers." How many people buy these devices, how many
purchasers would be candidates for custom hearing aids, and how many would
actually purchase custom aids if PSAPs and mail-order aids were not
available? Here are some estimates.
Within the last 2 years, we have seen an increased
proliferation of one-size-fits-all hearing aids and personal sound amplifier
products (PSAPs) advertised on television and by direct mail. They can be
purchased over the Internet and through the mail, as well as from
eBay,Amazon.com, most pharmacies, hardware stores, Radio Shack, and Sears.
In Google searches, many of these products come up on the first couple of
search pages when you search on "hearing aids" and are sponsored links under
the search term "hearing loss." Most of these products clearly state that
they are not intended to compensate for hearing loss; but it is clear from
their advertising that they target people with hearing loss . . .
Full Story
