Some SmileDirectClub Customers Are Frowning


00:00

Speaker 1
Hey prime members, you can listen to business wars daily ad free on Amazon Music. Download the app today.


00:06

Speaker 2
Did you know Discover wants everyone to feel special? That's why with your discover card, you have access to 24/7 customer service as well as zero dollar fraud liability, which means you're never held responsible for unauthorized purchases. Learn more@discover.com credit card it limitations apply.


00:28

Speaker 1
Wondering.


00:40

Speaker 3
From wandery I'm David Brown, and this is business wars daily. On this Wednesday, December 20, those of us of a certain age who required orthodontic care to get straight teeth had but one option, a mouthful of metal brackets and wires. Then, about a quarter century ago, a young Stanford University MBA student came up with an idea for clear plastic dental aligners that fit over the teeth and could be removed. His invisalign product revolutionized the orthodontics industry and gave people more options to get straighter teeth. Today, Invisalign is still available through Invisalign trained dentists and orthodontists, and the devices have been used by more than 16 million people, according to the company's website. But because the aligners are considered medical devices, they're not as heavily regulated as the clinicians who prescribe them.


01:32

Speaker 3
Shortly after Invisalign's introduction, copycats hit the market using a direct to consumer business model to ship the devices directly to consumers. Here's how it works. The company sends you the materials and instructions to take an impression of your teeth at home. You send it back and they send you a series of aligners that are meant to straighten your teeth over time. The appeal of the direct model is that it's supposed to be cheaper. One National Institutes of Health study reported that direct brands cost an average of about $2,000, while invisalign averages about three times that amount. The problem, critics say, is that there's no medical professional overseeing the progress or ready to intervene if the devices aren't working as expected. And now there's another problem, causing customers of one Direct aligner company to grit their teeth.


02:23

Speaker 3
Smile Direct Club has shuddered just a few months after applying for bankruptcy protection, ABC News reports. The company, which reportedly served more than 2 million people over the past decade, have been dealing with lawsuits from the orthodontics industry and was having to spend big money on new customer acquisition, the report says. Now, Smile Direct Club has ceased operations, leaving its customers with a mouthful of, quote, confusion and frustration. While no one really knows how many active customers the company had when it closed down, the American association of Orthodontics estimates that tens of thousands of people could be affected by the company's closure. The ABC report continues. Smile Direct Club has apologized and directed customers to consult their local dentist orthodontist for further treatments. The company is no longer providing customer service or support and has discontinued its lifetime guarantee.


03:16

Speaker 3
What's also setting customers'teeth on edge is that those who finance their treatments through the company's Smilepay payment program are expected to continue to make payments even though the company is no longer operating. Forbes reports and information on who's eligible for refunds will come out after the bankruptcy process plays out. In the meantime, customers who owe or are owed money may have to wait out the process. It's a real nail biter.


03:46

Speaker 1
From wondery.


03:47

Speaker 3
This is business wars daily. I'm your host, David Brown, written by.


03:50

Speaker 1
Gwen Moran and produced by Jessica Yarmoski. Our executive producers are Tina Rubio and Marshall Louis. Hey, Prime members. You can listen to business wars daily ad free on Amazon Music. Download the Amazon Music app today. Or you can listen ad free with Wondery plus in Apple Podcasts.


04:20

Speaker 3
Before you go, tell us about yourself by completing a short survey@wondry.com.


04:25

Speaker 1
Survey.


04:27

Speaker 2
You know, in today's world, it seems the best treatment is reserved for only a few. Well, discover wants to change that by making everyone feel special. That's why with your discover card, you have access to 24 live customer service as well as zero dollar fraud liability, which means you are never held responsible for unauthorized purchases. Finally, no matter who you are or where you are in life, you'll feel special with discover. Learn more@discover.com. Credit card limitations apply.

Comments

Popular posts from this blog

U.S. Strikes Houthi Forces & Oregon Lawmaker’s Reelection Bid | Afternoon Update | 2.1.24

Ukraine's $30 Billion Problem

Border Bill Drama & Neuralink’s First Implant | 1.31.24