What These Ortho KPIs Mean for Your Practice
The four hero metrics frame the whole conversation. Average production per doctor of $1.59M, 287 annual case starts, a target overhead of 50 to 57%, and roughly 50% EBITDA all come from the AAO Economics Survey 2024-2025. Take any one of those out of context and it loses meaning. Read together, they describe a healthy ortho practice operating at the AAO median.
Annual starts of 287 with an average case fee around $6,121 for braces and $6,373 for aligners is how you get to that $1.59M production number. The math is simple, but the levers underneath it aren't. Exam-to-start conversion of 65 to 75% is the target. The industry average sits at 64 to 68%. Top practices hit 80%+. That gap is where most practices have the most to gain.
Why the Conversion Math Matters So Much
A 10% improvement in conversion at 300 annual exams produces about 18 additional starts. At the $6,121 average case fee, that's roughly $110,000 in additional revenue with no additional marketing spend. That's why Gaidge recommends tracking each funnel stage separately. New patient calls, exams scheduled (~85%), exams completed (~75%), and treatment starts (50 to 65%). Each step shows you where cases drop out.
Staffing of 6.2 per doctor is the AAO average, and 70% of practices employ a treatment coordinator. The TC role is the most direct lever for case acceptance. The other number to watch is observation. About 20% of exams move to the pre-treatment pool, and 20 to 25% of that pool should convert monthly. If your observation pool is growing but not converting, you have a recall system problem.
Overhead at 50 to 57% is achievable because ortho consumables are low and treatment is predictable. If yours runs above 57%, look at chair utilization and staffing first. 65% of practices report staffing as very challenging, so you're not alone if hiring is hard. The benchmarks here are guideposts. Sources noted on this page include the AAO Economics Survey, Gaidge Analytics, and Bentson Copple.