Align Technology, Inc.

Align Technology, Inc. Overview

Company Headquarters: California, US

Founded: 1997

Workforce: ~13,685+

Company Working: Align Technology, Inc. (Align Technology) is a company manufacturing medical devices. The company is into designing, manufacturing, and marketing of Invisalign system, intra-oral scanners and CAD/CAM digital services used in dentistry, orthodontics, and dental records storage. Its product portfolio comprises Invisalign clear aligners and iTero intraoral scanners and services for orthodontics, restorative, and aesthetic dentistry. Its products are primarily used for the treatment of malocclusion or the misalignment of teeth. The company also sells other ancillary products for the iTero scanner, such as disposable sleeves for the wand. Align Technology has a business presence across North America, Europe, Asia-Pacific, South America, and the Middle East & Africa. It operates through the clear aligner and scanner and services segments. The clear aligner segment consists of Invisalign full, teen and assists products, and Vivera retainers along with training and ancillary products for treating malocclusion. The scanner and services segment comprise of intraoral scanning systems and additional services available with intraoral scanners that provide digital alternatives to traditional cast models. The Invisalign system is offered in more than 90 countries worldwide by Invisalign-trained doctors to their adult and teenage patients. Its Invisalign system has treated more than 7.2 million patients including 1.7 million teenagers.

Strategy

Align Technology focuses on divesting activities in some business areas and strengthen other business areas through portfolio measures, including mergers & acquisitions. The advanced technology and innovations are designed to meet the demand of patients to get various treatment options that are convenient, comfortable, and affordable while helping improve the overall oral health.

SWOT Analysis

Strengths

Successful track record of developing new products
Strong presence all over the world
Reliable suppliers
Increase in acceptance of Invisalign system
Strong financial performance
Strong R&D capabilities strengthen competitiveness

Weaknesses

Overdependence on the US market
Decreasing operating income margin
Success may depend on the ability to develop, successfully introduce, and achieve market acceptance of new products
Maintaining single supply relationships for obtaining raw materials could harm the business if there are changes in the prices and supplies

Opportunities

Expanding the innovation map beyond the established product portfolio
Long term growth investments such as strategic acquisitions
Launch of new products likely to strengthen Align Technology's product portfolio
Increase in healthcare spending in the US

Threats

Demand for products may not increase due to economic conditions
Rapid technological changes
Changing regulatory environment may affect profitability
Intense competition from other orthodontic companies may hinder growth

Key Developments

Date	Approach	Development
March 2019	Alliance	Align Technology entered into a strategic alliance with Digital Smile Design (DSD), a leader in holistic, digital, and emotional dentistry solutions for dental clinics. With this, DSD promoted Align Technology’s products as the digital solutions of choice for tooth movement and scanning.
October 2018	FDA Approval	Align Technology received the US Food and Drugs Administration (FDA) approval for commercially selling its Invisalign treatment with mandibular advancement in the US.
October 2018	Expansion	Align Technology expanded its interactive brand experience program that was piloted in late 2017 and added eight new locations in major cities in the US in the fourth quarter of 2018. The program expansion was designed to address the rapidly evolving consumer market for clear aligners and connects consumers interested in the Invisalign treatment with Invisalign doctors in their communities.
September 2018	Expansion	Align Technology introduced its new digital treatment planning facility and education center in Madrid, Spain. With this, the company expanded its presence in Spain and Portugal.
July 2018	Expansion	Align Technology expanded its operations in Costa Rica by opening its new facility in the country.
May 2018	Expansion	Align Technology expanded its new treatment planning facility in Germany. With this, the company expanded its presence in Europe.
April 2018	Product Launch	Align Technology commercially launched the Vivera Retainers with Precision Bite Ramps. With this, the company expanded its product portfolio.
April 2018	Product Launch	Align Technology launched the new Invisalign product portfolio that includes new options and greater flexibility to treat a broader range of patients. With this, the company expanded its product portfolio.
April 2018	Product Launch	Align Technology launched the Invisalign Go product with a more user-friendly iTero digital chairside experience and greater flexibility to treat a wider range of mild to moderate cases such as crowded or gap teeth requiring teeth straightening prior to restorative treatments.
November 2017	Expansion	Align Technology introduced its first office in Canada, which is its second-largest country market. With this, the company aims to support continued growth across the region.
June 2017	Expansion	Align Technology opened its new treatment planning facility in China. This is the first manufacturing facility of the company in China. With this, it expanded its presence in the Asia Pacific region.
May 2017	Patent	Align Technology received the US patent for its SmartTrack aligner material, used exclusively for Invisalign aligner treatment.
March 2017	Product Launch	Align Technology launched the Invisalign Teen with mandibular advancement, the first clear aligner solution for Class II correction in growing tween and teen patients. With this, the company expanded its product portfolio.
February 2017	Acquisition	Align Technology acquired its distributor Align Technology Do Brazil LTDA. This acquisition enabled Align Technology to directly focus on the commercial, marketing, and operational needs of doctors and potential patients in Brazil. With this, the company also acquired a small team of employees who will be based in Sao Paulo, Brazil, where the company opened its first office in South America.
February 2017	Acquisition	Align Technology acquired its distributor G.L. Dental Couture Limited, which is based in Dubai, United Arab Emirates, and Nicosia, Cyprus. With this, the company enhanced its operations in Europe, the Middle East, and Africa region.
February 2016	Product Launch	Align Technology commercially launched the Invisalign system in India. With this, the company expanded its presence in India.