Ratan Tata-supported eyewear vendor Lenskart has aligned an investment of almost Rs 110 Crore to reinforce its offline power to 500 stores this economic year from the current 330 shops.
“We wish to unlock more 150 shops in 2017 and try to get nearer to 500-shop spot by the end of financial year 2017–2018. We wish to go more profound in our existing markets,” CEO of Lenskart, Peyush Bansal, told the media in a statement.
The firm, which has occurrence in almost 90 cities presently, is looking to grow around additional tier-II cities in 2018 comprising Lucknow, Coimbatore, Surat, Ahmedabad, Chandigarh, Kanpur, Bhubhaneswar, and Guwahati among others.
The company, which is based in Faridabad, uses the license model to make its offline shops. And hence the massive capital savings this year will be done for strengthening technology and making back-end supply chain to further allow automation inside all procedures.
“We are spending Rs 50–60 Crore for our biggest automatic warehouse plant in the back-end in Gurgaon. For making technology, we are seeking to invest an extra Rs 50 Crore,” claimed Bansal to the media in the interview. The fully and new automatic facility will be in addition to the current 2 warehouses and will allow the firm to manufacture 4 times the current volumes in terms of products. “We will be capable of growing 4 times more from the similar plant. We will be capable of shipping 30,000–40,000 units each day with more economical pricing and better quality,” Bansal further added while talking to the media.
Lenskart presently fulfils 8,000–10,000 orders each day across both offline and online stores.
Sale of contact lenses, eyeglasses, and eye check-up services at offices and homes form the root of the company, with eyeglass trade making almost 80% of the income share. While the firm has not yet reported its financials of fiscal year 2016–2017 with the Registrar of Companies, Bansal states that the company has developed 80% in the same fiscal year. As per media’s estimates, this will hook the value of Lenskart at more than Rs 175 Crore from the Rs 99 Crore it clocked in last fiscal year.