SWC June 2009 Newsletter

I contacted Oticon USA for an interview and the company put me in touch with Mr. Gordon Wilson. GORDON WILSON is the VP of Marketing at Oticon and here is the discussion we had:

Mr. Gordon, thank you for taking the time to answer questions and concerns for our readers.
Pearl

1) How is the Oticon hearing aid technology different from other hearing aid companies on the market?
Oticon technology is considered to be amongst the very best available for a number of reasons. We spend more on research and development than any other manufacturer and we have the largest research facility of any manufacturer which is dedicated to psycho acoustics -- which enables us to put people's actual hearing needs first in the development of our products. We design all our own microprocessors and have introduced many firsts into the hearing-care field --from the world's first digital hearing instrument to the world's first open-fit device, the world's first device with voice recognition, the first hearing aid with wireless connectivity, etc. The list is a long one.

2) Is Oticon attempting anything different with technology to attract the baby boomers coming of age and entering the world of hearing loss and hearing aids?
Oticon is doing a lot to attract new users to wearing hearing aids. We currently have a TV campaign which is running on a number of cable stations and we have developed a consumer marketing program targeting first-time users which is used by hearing-care professionals across the country.

3) There are hearing aid wearers who found analog hearing aids much less complicated than digital. Why has analog been done away with?
Analog has been superseded by digital technology as there is just so much more that we can do with digital technology to improve the performance of the devices. For instance, the decision-making process in a Dual or Epoq hearing aid is managed by an artificial-intelligence-based system which constantly monitors the output of the device to make sure that the settings are optimal for speech understanding. Features such as noise management, feedback suppression and open-fit devices would not be possible with analog technology.

4) Do you believe we will ever see a time when the consumer will be allowed to program their own aid? If not, why? If yes, when?
I do not believe there is any advantage to be had by users programming their own hearing aids. Hearing aids are best fit by a qualified hearing-care professional

5) What is the average cost of an Oticon BTE hearing aid that includes telecoils, dual directional microphones and volume control that can be operated by the consumer or through the computer?
There is no average cost for an Oticon device. We have high-end devices such as Dual Connect and Epoq which typically cost around $3000 or more each. We have also just introduced a very competitive entry-level device called Hit which offers some very advanced technology and which should retail for around $1000 or less.

5b) What is a ballpark figure cost to make the high-technology hearing aid described in question 5?
I am not able to reveal the cost of making our devices.

6) What does Oticon as a company believe the problems are that make 1 out of every 3 hearing aid wearers put the hearing aid in their night table, never to be worn again?
You identify a very serious problem. We do not believe that one-third of those who purchase Oticon hearing aids place then in the drawer, but I know that this has been the case for many devices which are sold. We conduct consumer satisfaction surveys of all of our advanced devices and I can advise you that for products such as Dual and Epoq, well over 90% of the people who purchase these devices a very satisfied with them and use them all the time. Satisfaction is a function of the technological level of the device. People are more satisfied with our newer devices than they were with our older technologies.

7) Are audiologists truly qualified to keep themselves updated and on top of the newest technology and changes that occur so often?
Audiologists should be qualified to keep abreast of all of the changes that are taking place, but as the pace of change has been enormous over the past few years it would not surprise me that some of them may not be aware of the benefits of newer technologies such as Oticon Dual and Epoq and thereby do not make patients aware of the benefits that they might obtain by trying one of these devices.

8) Why aren't the costs for hearing aids posted in an audiologists office for the consumer to shop wisely for hearing aids and get the best possible price?
I don't know. Hearing-care professionals typically bundle their prices, so that a price includes hearing assessment, fitting and follow up care and may even include batteries.

9) Do you believe that the hearing-loss population has a right to know what the profit margins are on the hearing aids we buy?
All I can suggest is that when a person has found a device that is working for them that they get several prices before making a decision. Many hearing-care professionals are unlikely to reveal what they have paid a manufacturer for a particular device.

10) Since we as consumers need to visit an audiologist or hearing-aid specialist for the cost of a hearing aid, do you believe that we should have access to prices upfront without having to pay for a visit to the audiologist? This would enable us to shop around.
Some hearing-care professionals will reveal their prices over the phone. If you can be very specific about what it is you are looking for such as a "Dual XW Connect", then they should be able to tell you what they charge for this device. All of the Oticon devices are listed on our website www.oticonusa.com

11) Most consumers are not aware of restocking fees. Who gets the restocking fee, the manufacturer or the audiologist?
I cannot speak for other manufacturers, but I know that Oticon does not charge a restocking fee for returned hearing aids. We urge hearing-care professionals to let consumers try our devices free of charge.

12) How has Oticon been affected by the recession?
Oticon has thankfully not been affected by the recession and sales of hearing aids across the U.S.A. have remained strong and in fact have increased from last year.

13) Why do you think insurance companies are not willing to pay for the full cost of a hearing aid (and in most cases there is no reimbursement), yet cochlear implants are fully covered?
I would love to know the answer to this question as I cannot think of one good reason why hearing aids should not be reimbursed by insurance companies. The only reason can surely be that they do not wish to incur this cost.

14) You mentioned to me that you were previously involved in hearing-aid development in Denmark. What exactly did that entail?
I headed a product development team at Oticon headquarters that designed hearing aids.

15) Is there anything you would like to add about Oticon or any other issues that would concern the individuals with hearing loss?
I would only add that in the past few years I have seen huge improvements in the levels of satisfaction with Oticon hearing aids. So much so that the level of benefit from devices such as Epoq and Dual is of a magnitude that could only have been dreamed of a few years ago. Wearers are able to hear in much noisier environments, they can connect wirelessly to cell phones and other devices, their own voice sounds natural due to open fit technology and feedback is rarely an issue. I would urge all of your members to call an authorized Oticon hearing-care professional and ask for a no- obligation free trial of one of these devices. These dispensers can be found on our Hearing Centre Locator on www.oticonusa.com. Not all of these dispensers will give a free trial, but many will. In this way, nobody should find
themselves in the position of having paid a large amount of money for a device which is of limited use to them.