-- "Of the 27 million Americans who qualify for a hearing aid, 75 percent choose not to purchase one — only one in seven
Americans over 50 years old who need a hearing aid actually wear one.
The problem is a sizable one, so former Stanford University classmates
Sam Tanzer and Ross Porter decided to do something about it. In early
2011, they founded a startup called Embrace Hearing
to apply some entrepreneurial pressure to the situation.
The co-founders tell us the top reason that 75 percent of Americans
don’t purchase hearing aids is due to a familiar culprit: High cost. If
you take it from CareCredit
hearing aids range in price from $1,000 to $6,000, with the average
price being $3,000. And for those who do choose to wear them, the top
pain point is the high cost of replacement.
Embrace offers three lines of hearing aids, starting at $300, next at
$500, and top of the line at $700. Obviously, the whole line prices way
below the industry average of $3,000. Because manufacturers tend to have
exclusive agreements with audiologists, Tanzer says, they collectively
tend to set prices high, but the startup’s German manufacturer only
recently decided to enter the market, and as a result, isn’t tied to any
MP: The invisible hand at work.....