As economy sours, cosmetic operations decline

Penny-pinching Americans are increasingly rethinking how much they are willing to pay for pretty.

Charles Ashley Mann, a cosmetic dentist in Raleigh, N.C. is booked three weeks out instead of four, and demand for veneers, the most expensive procedure, is down.

But Mann thinks his patients are reluctant rather than unable to pay $1,100 to cover a badly stained or crooked tooth with a porcelain veneer. Demand for professional teeth whitening, a procedure that costs $625, is up, he said.

"I think people have the money, but they don't want to spend it because of the economic atmosphere," Mann said.

Worried about declining home prices, a slowing job market and skyrocketing cost-of-living expenses, consumers are increasingly eating in, vacationing in the backyard and keeping their wheels longer.

They're also cutting back on medically unnecessary procedures from liposuction to laser eye surgery -- luxury purchases that have long been a gauge for how financially confident consumers feel.

Iatria, a day spa with three locations in the Raleigh-Durham area, has seen demand for gift certificates decrease in the past six months. Some clients who came every four months to get Botox injections now wait longer between visits, risking the reappearance of wrinkles, said Erika Mangrum, Iatria owner.

"But people are not giving up on their Botox," Mangrum said.

Dr. Michael Law, a plastic surgeon in North Raleigh, is getting fewer inquiries from new patients, said his wife and practice manager, Kile Law. Also, callers have begun to ask about financing options, which the Laws have never offered.

At Raleigh Plastic Surgery, bookings were down in November, December and January, usually a busy time, practice administrator Nancy O'Neill said.

But business has rebounded recently, partly because of tax refunds and federal rebate checks. O'Neill wonders what will happen if the economy continues to ail after the summer, traditionally a slow time for cosmetic medical procedures.

"In the fall, that'll be the real tell-tale," O'Neill said.

Following a sharp decline after the 2001 recession, the number of cosmetic medical procedures nationally climbed sharply, according to the American Society for Aesthetic Plastic Surgery.

Including cosmetic dental work, laser hair removal and vision-correcting laser eye surgery, Americans spent $18.5 billion last year to indulge their vanity. Though that total is expected to fall this year, some consumers won't stop spending on their looks, especially as the economy sours.

Research has shown that cosmetic medical procedures boost earnings in certain professions, N.C. State University economist Michael Walden said. "Looks do pay off," Walden said, especially to close deals, increase sales and make business contacts.

Jane Mansell, 57, a Raleigh real estate agent, said she never thought about skipping her laser skin treatment to reduce fine facial lines.

"In this business, you have to look your best," Mansell said.

But others are shifting their priorities. David Harmon of Market Scope, a market research firm that tracks laser eye surgery targeted to rid patients of glasses and contact lenses, projects a 17 percent decline in procedures this year.

When money is tight, Walden said, "people will look for ways to postpone luxuries and stretch their income."

(E-mail Sabine Vollmer at sabine.vollmer(at)newsobserver.com)

(Distributed by Scripps Howard News Service, www.scrippsnews.com.)

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Increase Patients

Hi my name is Michael McDonald and I work for the Healthcare Division of Chase. I found this article very interesting because this is a problem across the board. Every practice is looking for ways of financing for patients but they always have to apply for it and many of times what they get approved for doesn’t cover the procedure or not approved at all. We have recently introduced a brand new payment plan option to the medical and dental industry which will increase the cash flow into practices and give patients the freedom to customize payment plans which will increase business. Patients now are able to use their debit or credit cards to set up an automated payment plan, so after you have done a consultation with the patient, they know how much the procedure is going to cost. If the patient cannot afford to pay in full, now you can say “how much can you afford every month.” The patient sets the terms and what they are comfortable with. Once the patient is at 80% of the balance the practice can see the patient and keep them on the payment plan until the balance is $0.00. (919) 518-8033. I hope this will help!

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