Going Soft

Universally acknowledged, hyped and anticipated, the demographic group known as the baby boomers is out there, and sellers of orthopedic soft goods are eagerly awaiting their arrival. If you happen to be in fitness-conscious Southern California, odds are good that you will have to wait even longer. Provider Miriam Tenne, co-owner of South Bay Home Health Care, has 21 years in the HME business, and she is still waiting.

The exact parameters vary, but most peg the boomer birth years between 1946 and 1964, putting the oldest at 63 years old. While Tenne may be able to spot this age group taking strolls at nearby Redondo Beach, she says it's not often she sees them walk into her Torrance, Calif.-based shop looking for knee braces.

“I do not see the baby boomers just yet,” says Tenne, who owns the business with her husband Joseph. “I think boomers will really start to hit the market in about 10 years. A lot of my customers are 70 years old and up. And I see more and more older customers who are 95 years old and driving to the store. They need a knee support or a cane, and they ask for it with a smile.”

However, as orthopedists gently encourage knee replacements at increasingly younger ages, it may not take that long for the post-surgery business to surge. After all, some 500,000 total knee replacements are performed each year in the United States according to a recent Reuters report, and that number is expected to multiply because of the aging and overweight population. With a general diagnosis of osteoarthritis, older patients are succumbing to reduced cartilage that can lead to painful conditions.

Barbara Mauss, CPed, COF, sales manager for Swede-O, North Branch, Minn., agrees that boomers are the undeniable market driver for the long-term growth of the soft goods industry. However, she warns that intense competition from chain stores and changing reimbursement will force home care providers to innovate, change their business model and incorporate more cash products.

“I have been in the health care industry for more than 20 years, and we have seen this over and over again,” says Mauss, speaking from her office in Long Island, N.Y. “Certain things that used to be reimbursable are no longer paid for, or are reduced to low levels. However, cash is now, and it immediately helps the entire business flow.”