SUMMARY
Currently, Lenskart sources its material from a plant in China and a factory in Gurugram
The company plans to open nearly 300 stores by the end of the year
Online sales make up nearly 90% of the sales for Lenskart during the pandemic
Delhi-based eyewear startup Lenskart is looking to invest $50 Mn (nearly INR 380 Cr) in setting up its second manufacturing plant in India. The location of the plant has not been disclosed yet, but it is said to be the company’s biggest manufacturing unit.
We are ramping up our manufacturing in India aggressively. We have adopted a lot of local partners, who are serving us now. Based on what has been happening in the past, we have definitely ordered a lot of equipment and are in the process of ramping up our manufacturing capabilities for frames,” Lenskart founder and CEO Peyush Bansal told Economic Times.
Lenskart is currently sourcing its material from a plant in China and a factory in Gurugram. The company has already signed up for the new facility and it is expected to be launched within the next six months. According to the Economic Times report, the plant will be spread across 4-5 Lakh sq ft, which is nearly five times the size of the Gurugram-based facility.
Besides this, the company is also anticipating at least 20% growth in the ongoing financial year, ending March 2021. Lenskart’s Bansal also shared his plans to open 200-300 stores this year. The company has already added 25 stores since the beginning of 2020, while another 82 are in pipelines, where the leases are being finalised.
Currently, Lenskart has 600 stores, of which 550 are operations even during the pandemic. The SoftBank-backed company has rolled out features like appointment-based shopping and aggressive sanitisation processes to drive in more customers.
Founded in 2010 by Bansal, Amit Chaudhary and Sumeet Kapahi, Lenskart is an eyewear brand that deals in eyeglasses, powered sunglasses, and contact lenses. The company manufactures, assembles, distributes, and supplies its products across 460 stores across India.
Along with stores, Lenskart also has a strong digital presence. The platform allows users to buy from its catalogue listed online. In addition, Lenskart also allows users to return, exchange and virtually try the products. Lenskart partnered with California-based Ditto to launch the 3D Try-On feature to enable the virtual trials.
The pandemic and the resultant restrictions had allowed Lenskart to get greater online tractions. Its online sales have increased from 20% to 40% of its business. Currently, online sales are now driving 90% of its sales compared to 70% before the pandemic. The customers simply short-list frames and book store appointments online, before heading to the offline stores.
Meanwhile, the company has closed the financial year 2020 with total sales of nearly INR 1K Cr, nearly doubling up from the INR 544 Cr recorded in FY19.
