In a world of growing digitalization and changing consumer habits, Lenskart has made a significant impact in the eyewear industry. Revolutionizing the way people access vision correction, this Indian multinational optical prescription eyewear retail chain has quickly become the world’s fastest-growing eyewear brand. In this article, we unravel the success story of Lenskart, from its founding team to its innovative business model, marketing strategies, and future plans. Get ready to embark on an insightful journey into the world of this disruptive eyewear brand.
Table of Contents
Short Summary
Lenskart is a global eyewear company that has revolutionized vision correction and made glasses available to those in need.
Their inventory-driven B2C business model focuses on controlling the supply chain to offer affordable, high-quality, fashionable eyewear directly to customers.
The founders have leveraged their backgrounds in technology, business and finance as well as unique marketing strategies such as free eye checkups and celebrity endorsements for Lenskart’s success.
Lenskart at a Glance
Lenskart, established in November 2010, is an e-commerce company specializing in the sale of eyewear, including prescription eyewear, branded contact lenses, sunglasses, and accessories. The company’s mission statement, “Our mission is to provide India with vision,” exemplifies its commitment to revolutionizing vision correction and making glasses available to those who lack access to them. With a presence in over 2,000 retail stores, three-fourths of which are located in India, Lenskart has become the world’s fastest-growing eyewear company and the largest online eyewear brand.
The company’s innovative approach, such as its first-of-its-kind ‘Home eye checkup’ service and specialized robots that deliver glasses accurate to 3 decimal places, sets it apart from competitors in the industry.
Business Model
Lenskart’s inventory-driven B2C business model emphasizes controlling the entire supply chain to minimize expenses and improve customer experience. By sourcing the stock of eyeglasses, sunglasses, and contact lenses directly from manufacturers and storing them in their warehouses, the company can reduce costs and maintain a high level of quality control.
Additionally, Lenskart’s internal stylists and designers monitor the latest eyewear trends and develop designs, which are then provided to manufacturers. This approach allows the company to deliver high-quality, fashionable eyewear directly to customers at affordable prices.
Product Offerings
Lenskart offers a broad selection of eyewear, providing customers with over 5,000 frames and glasses, as well as a wide variety of high-quality lenses in 45 different types. Their extensive product range includes prescription eyeglasses, sunglasses, contact lenses, and accessories, such as cleaning cloths, cases, and straps.
With more than 5000 styles available, Lenskart provides five times more options than any retailer in India, catering to various tastes and preferences.
Customer Base
Catering to a wide range of customers, Lenskart serves both online and offline platforms, providing innovative features and technologies to enhance the shopping experience. The company has a presence in over 2,000 stores across 10 countries, targeting a total addressable market of over $20 billion.
To ensure customers have a seamless and enjoyable experience, Lenskart offers a virtual try-on tool that uses augmented reality to allow customers to try various frames. Additionally, the company provides a home eye check-up service, making vision testing more accessible and convenient for its customers.
The Founding Team Behind Lenskart
The founding team of Lenskart consists of Peyush Bansal, Sumeet Kapahi, and Amit Chaudhary. These visionaries brought their unique skills and expertise together, along with a shared passion for revolutionizing the eyewear industry, to create the world’s fastest-growing eyewear brand. With backgrounds in technology, business, and finance, the founders have successfully built a company that addresses the challenges of vision correction and provides affordable, high-quality eyewear to millions of customers worldwide.
Their mission is to make eyewear accessible to everyone, regardless of their financial situation.
Peyush Bansal
As the founder and CEO of Lenskart, Peyush Bansal has played a crucial role in shaping the company’s vision and strategy. After identifying the unaddressed issue of vision correction upon returning to India, Bansal established Lenskart in 2010, initially offering contact lenses and later extending to eyeglasses and sunglasses.
Under the leadership of John Jacobs, the company has grown exponentially, with plans to further expand its presence in tier 2, 3, and 4 cities and go public in the near future. This remarkable growth can be attributed to the company’s strategic focus on the month of Jun, when consumer demand is at its peak, as detailed on their annual report page, published in Sep.
Sumeet Kapahi
Sumeet Kapahi, a co-founder of Lenskart, brings a wealth of experience in engineering and management to the company. Holding a B.Tech degree from IIT Delhi and an MBA from IIM Bangalore, Kapahi serves as the Vice President of Supply at Valyoo Technologies Pvt. Ltd. This is a crucial role in managing Lenskart’s supply chain and ensuring the delivery of high-quality eyewear products to customers.
Amit Chaudhary
Amit Chaudhary, another co-founder of Lenskart, has a background in technology and business, with a B.Tech degree from IIT Delhi and MBA from IIM Bangalore. He has played a vital role in the development and implementation of Lenskart’s innovative features and technologies, such as the virtual try-on tool and home eye check-up service. These features have contributed to the company’s success and growth.
Lenskart has become a leader in the eyewear industry thanks to its innovative products.
The Growth of India’s Eyewear Industry
India’s eyewear industry has experienced steady growth in recent years, with the market size projected to reach $4.2 billion by 2023. A significant contributor to this growth is the increasing demand for quality, affordable eyewear as well as the expanding middle class with greater purchasing power.
Lenskart has played a crucial role in meeting this demand by adopting a low-cost, high-volume franchise model, which has allowed them to establish over 1,000 franchise stores across India and reach customers in even smaller cities and towns.
Market Growth
The eyewear market in India is anticipated to experience a CAGR of more than 9 percent, reaching a market size of US$ 13.6 billion by 2024. This growth is driven by factors such as increasing disposable income, greater awareness of eye health, and the growing prevalence of vision-related disorders.
Moreover, the adoption of digital devices and the rise in online shopping have contributed to the increased demand for eyewear products. As the market continues to expand, companies like Lenskart are well-positioned to capitalize on this growth by offering a wide range of affordable and high-quality eyewear products.
Lenskart’s Franchise Model
Lenskart’s low-cost franchise model has been instrumental in expanding its presence in tier 3 and 4 markets. By requiring franchisees to invest in store setup while Lenskart supplies the products and technology, the company can reach a wider audience in both metropolitan and non-metropolitan areas.
This approach has not only enabled Lenskart to grow its customer base but also establish itself as a leader in the online eyewear market in India.
Marketing Strategies That Set Lenskart Apart
Lenskart’s marketing strategies set it apart from competitors in the eyewear industry. By listening to customer needs and leveraging a multi-channel digital marketing strategy, the company has managed to position itself as a market leader. Unique marketing strategies such as offering free eye check-ups, providing virtual try-on services, and employing celebrity endorsements have helped change people’s perception of online stores as a viable alternative to traditional shopping.
In this highly competitive market, Lenskart’s marketing efforts have played a crucial role in its success.
Celebrity Endorsements
Lenskart leverages celebrity endorsements to increase brand visibility and credibility. Celebrities such as Katrina Kaif, Amitabh Bachchan, Jennifer Aniston, Sonam Kapoor Ahuja, Prajakta Koli, Laura Dern, Karan Johar, and Alaya F have endorsed the brand, showcasing its commitment to providing trendy, high-quality eyewear products.
These endorsements not only generate brand recognition but also appeal to a wider audience, contributing to Lenskart’s success in the eyewear market.
Social Media Presence
Lenskart maintains a comprehensive and captivating social media presence across platforms such as YouTube, Facebook, Instagram, LinkedIn, and Whatsapp. By regularly sharing engaging content, incorporating user-generated content, and running targeted ads, the company effectively reaches its audience and promotes its products.
This strong social media presence has played an essential role in building brand awareness, fostering customer loyalty, and driving sales.
Funding, Investments, and Acquisitions
Lenskart’s success has attracted significant funding, investments, and acquisitions, which have contributed to its rapid growth and expansion. With funding from a total of 26 investors, including SoftBank, Chrys Capital, and Abu Dhabi Investment Authority, Lenskart has been able to invest in innovative technologies and expand its presence in India and beyond.
The company’s investments and acquisitions, such as DailyJoy and Owndays, have further strengthened its position in the eyewear market.
Funding and Investors
Lenskart has raised funding from various investors, including SoftBank, Chrys Capital, and Abu Dhabi Investment Authority, which have helped fuel its growth and expansion. To date, the company has secured a total of $1.66B across 21 rounds from 50 investors, with a current valuation of $4.2 billion.
This significant funding has enabled Lenskart to invest in cutting-edge technologies, broaden its product offerings, and reach a wider customer base.
Investments
Lenskart has made several investments, such as VisionWagon, to provide affordable and fashionable eyewear to consumers. With a focus on partnering and investing in consumer eyewear brands, these investments have helped strengthen Lenskart’s position in the industry and contribute to its growth.
Lenskart’s investments have enabled it to offer a wide range of eyewear.
Acquisitions
Lenskart has acquired companies like DailyJoy and Owndays to expand its presence and product offerings. The acquisition of a majority stake in the Japanese eyewear brand Owndays in June 2022 for $400 million, for example, has further solidified Lenskart’s position as a global leader in the eyewear market.
These acquisitions have allowed Lenskart to access new markets, increase its product range, and enhance its overall brand value.
Revenue and Growth Analysis
Lenskart’s revenue and growth have been impressive, with operating revenue experiencing a 66% growth in FY22. Much of this growth can be attributed to the company’s innovative business model, marketing strategies, and focus on providing quality eyewear products at affordable prices.
Additionally, Lenskart’s subsidiary, Neso Brands, plays a crucial role in supporting the company’s growth by partnering and investing in consumer eyewear brands.
Operating Revenue Growth
Lenskart’s operating revenue witnessed a remarkable 66% growth in FY22, with the sale of eyewear products accounting for about 94.3% of the total operating revenue. This surge can be attributed to Lenskart’s focus on providing a wide range of high-quality, affordable eyewear products to its customers, as well as its effective marketing strategies and strong online presence.
The company has also invested heavily in technology, which has enabled it to provide a seamless shopping experience.
Neso Brands Subsidiary
Neso Brands, a Lenskart subsidiary, has raised $100M to invest in and partner with consumer eyewear brands, with the aim of fostering their growth through leveraging synergies across the Lenskart Group. Established in 2022, Neso Brands seeks to identify promising direct-to-consumer (DTC) brands in the eyewear industry and provide them with the resources and support needed to succeed in the competitive market.
Neso Brands will provide these brands with access to Lenskart’s extensive product line.
Overcoming Challenges and Shifting Consumer Perceptions
Lenskart has encountered various obstacles during its mission to revolutionize the eyewear industry. These encompasses accessibility matters, knowledge regarding eye examinations and affordability. However, the company has managed to overcome these challenges by focusing on building trust and persuading consumers to use its online platform as a substitute for traditional shopping.
Through innovative marketing strategies, such as celebrity endorsements and a strong social media presence, Lenskart has effectively shifted consumer perceptions and emerged as a leader in the online eyewear market.
Accessibility and Awareness
Lenskart has worked tirelessly to overcome challenges related to accessibility and awareness in the eyewear market. By offering free eye check-ups and employing a low-cost franchise model, the company has managed to increase awareness of its products and services and enhance accessibility for customers in both metropolitan and non-metropolitan areas.
As a result, Lenskart has been able to reach a wider audience and expand its market share.
Affordability and Trust
Lenskart has focused on building trust with its customers and persuading them to use its online platform as a viable alternative to traditional shopping. By offering a wide range of affordable eyewear products, providing secure and reliable online shopping experiences, and implementing discounts and promotions, Lenskart has successfully shifted consumer perceptions and demonstrated the value of online eyewear shopping as a convenient and cost-effective option.
The company has also invested heavily in its customer service, providing 24/7 customer support.
Looking Ahead: Lenskart’s Future Plans
As Lenskart continues to grow and disrupt the eyewear industry, the company’s future plans include expanding its presence in tier 2, 3, and 4 cities and going public in the coming years. By leveraging its low-cost franchise model and focusing on providing affordable and fashionable eyewear products to a wider audience, Lenskart is well-positioned to capitalize on the growing demand for quality eyewear and further solidify its place as a global leader in the eyewear market.
Lenskart has already established itself as a leader in the eyewear industry.
Expansion in Smaller Cities
Lenskart aims to expand its presence in tier 2, 3, and 4 cities using its low-cost franchise model. By establishing stores in smaller cities and towns, the company can reach a wider audience and further increase its market share.
This expansion strategy, coupled with innovative marketing and a strong online presence, will enable Lenskart to continue its growth trajectory and become an even more dominant force in the eyewear industry.
Going Public
In the coming years, Lenskart plans to go public, which will further fuel its growth and expansion. Going public could provide the company with an influx of capital that can be used to broaden its operations, invest in innovative technologies, and expand its customer base.
Moreover, it will grant the company greater visibility and credibility in the market, attracting more investors and customers to support its mission of providing affordable and high-quality eyewear to all.
Summary
In conclusion, Lenskart has transformed the eyewear industry with its innovative business model, marketing strategies, and commitment to providing affordable, high-quality eyewear products. The company’s success can be attributed to its visionary founding team, strategic expansion efforts, and focus on shifting consumer perceptions. As Lenskart continues to grow and disrupt the industry, its future plans to expand in smaller cities and go public are sure to further solidify its position as a global leader in the eyewear market. In the ever-changing landscape of the eyewear industry, Lenskart stands out as a shining example of innovation, disruption, and success.
Frequently Asked Questions
Why Lenskart is so famous?
Lenskart’s use of cutting-edge technology, 3-D trial facilities, and its aggressive marketing strategy offering free frames to first-time customers have made it an extremely popular brand.
The company has been able to capture a large share of the eyewear market in India and is now looking to expand its reach to other countries. It has also been able to establish itself as a reliable and trusted brand, with customers returning to purchase more products.
What is different about Lenskart?
Lenskart has revolutionized the eyewear industry by offering a wide range of products with 5000 styles, 100% authentic premium brands, 3D try-on, virtual mirror, and home eye check-up technologies. They also provide high-quality glasses at affordable prices, with a combination of modern styles and robotic precision.
Additionally, they make buying spectacles more convenient and personalized by providing both online and offline services.
What is Lenskart’s franchise model?
Lenskart’s franchise model allows franchisees to invest in store setup while the company provides products and technology, offering a cost-effective solution to expand stores into smaller cities and towns.
This model is a great way to reach out to customers in areas that may not have access to the same products and services as larger cities. It also allows franchisees to benefit from the company’s expertise and technology, while still having the freedom to customize their stores to meet their needs.
Which celebrities have endorsed Lenskart?
Lenskart has received endorsements from high-profile celebrities like Katrina Kaif, Amitabh Bachchan, Jennifer Aniston, Sonam Kapoor Ahuja, Prajakta Koli, Laura Dern, Karan Johar, and Alaya F, boosting its brand image.
These endorsements have helped Lenskart reach a wider audience and create a positive image in the minds of the consumers. It has also helped the company increase its sales and profits.
Lenskart has also been able to leverage the star power of these celebrities to create a strong brand identity and create a loyal customer base. The company has also been able to use the technology.
How has Lenskart shifted consumer perceptions about online eyewear shopping?
Through secure and reliable online shopping experiences, a wide range of affordable eyewear products and discounts and promotions, Lenskart has successfully shifted consumer perceptions about online eyewear shopping, making it a more convenient and cost-effective option.
Online shopping has become a popular choice for eyewear shoppers, as it offers a wide selection of products, discounts, and promotions. Lenskart has been at the forefront of this shift, providing customers with a secure and reliable online shopping experience.
The company has also made it easier for customers to find affordable prices.
