Archive for the ‘Publications’ category

Food for Thought: Ending Free Services

July 26th, 2010

What do the following things all have in common?

    Replacing a missing temple screw

    Replacing a missing eye-wire screw

    A hinge repair

    Conducting a vision screening

    An eyeglass case

    Tinting a pair of old lenses

    Darkening a pair of tinted lenses

    Lightening a pair of tinted lenses

    Restringing a semi-rimless frame

    Adjusting a pair or two of eyeglasses

    Dispensing a trial contact lens or two

    Opening a for-sale box of CLs to provide a lens or two

    Tightening a screw

    Stripping a defective AR coating

    Cleaning a pair of eyeglasses

    Providing a replacement temple from your parts drawer

    Replacing nose pads that have turned green

    Replacing worn temple tips

    Making a lens or two, due to a doctor’s change of Rx

    Making a lens or two, due to a doctor’s change of Rx for the second time

    Making a lens or two, due to a doctor’s change of Rx for the third time


Take a good look at the above list of twenty-one things. Ask yourself the following question: What do those twenty-one, optically related products and services have in common? Give up? What they all have in common is that over the course of my thirty-year optical career, I or one of my colleagues has provided these products or services to a client (and even a non-client) free of charge. What is a “non-client” you might ask. Consider the following scenario. Perhaps it will sound familiar.

It is a busy Saturday morning as you work your way through the customers in your dispensary. You approach the next person and say, “Good morning. How may I help you?”

The man replies, “I sure hope you can. I was walking through the mall and my left arm fell off! Can you fix it?” You smile as you consider exactly what he just said as you assess the situation.

“Looks like you just need a screw…give me a second.” You go to your backroom, and a second turns into several minutes as you search for the proper size screw. You are having a little trouble finding one that fits – seems like the threads are stripped. You grab a nut and bolt, reattach the arm, snip the bolt, and file its sharp end. You notice his other “arm” is loose, so you tighten it. You spray the lenses with eyeglass cleaner and wipe them dry. You return to the retail area of the dispensary, and discover the man has sat down at one of your dispensing tables, and you notice Mrs. Williams (who ordered a $650 pair the other day) has arrived to pick up her glasses. She is forced to stand and wait since all your dispensing chairs are occupied. You hand the gentleman his newly repaired glasses and say, “Here you go.”

As he thanks you and places them on his head, he says they’re a little loose and asks if you would be so kind as to tighten them. Of course, you say, as you crank up your $350 frame warmer. You heat his zyl frame and your fingers work their optical magic. You once again spray them with some cleaner, grab a few more Kim-Wipes and make sure his glasses are sparkling clean. You place them on his head, do a cursory check behind the ears and ask if they feel comfortable. The whole thing from meet and greet to complete has taken about six-and-a-half minutes. Apparently feeling somewhat obliged, the man says, “Thank you so much. That feels perfect now. You really got me out of a pickle. How much do I owe you?”

“Oh not a thing,” you enthusiastically respond, “Glad to be of service. Maybe the next time you need some eyeglasses or contact lenses you’ll think of us here at Acme Optical.”

“Sure will keep it in mind…thanks again.” The man, who lives in Bangor, Maine and is vacationing in sunny Florida, gets up to leave. You will never see him again. Sound familiar? Perhaps it’s déjà vu?

If I had to guess, similar scenes play out across this country literally close to a million times every single day. It serves no purpose to rehash how and why our profession has evolved (or perhaps more accurately, devolved) into one that gives away so many goods and services, and so much time for absolutely no reward. I for one am a bit sick of it, and would challenge you to name of any other profession – retail, medical, professional, blue-collar, white-collar – that conducts itself in a similar fashion, or tell me why we should.

Imagine you pulled into a Chevron station across town and you told the proprietor that you thought you were low on oil. By the way, you would have discovered that yourself, I doubt he would have checked. Can you imagine him saying, here…have a quart or two…it’s on the house…and before you go, let me check you tire pressure and clean your windshield too! Money? Of course not, he did it all for free. As you pulled out, he said, “Thanks a lot. Next time you need some gas be sure to make it Chevron.” Yeah, right. How ‘bout one more?

You’re on a cross-country driving vacation, and you pull into Dr. Frank Del Sandro’s chiropractic clinic in Erie, Pennsylvania. After all, it was the first one you came across as your back started hurting. When you enter his office and are asked if you have an appointment, you say no, but you’re back is really hurting, and your chiropractor is 1,500 miles away. Can you help me out? Sure! Come on back here, let me see what the problem is. Push…pull…crack…crack…crack. Thanks, doc. What do I owe you? Nothing, you say! Gee thanks a lot. What a country!

Look, I know I’m just ranting here a bit, but while there are so many things I love about being an Eye Care Professional, I HATE the fact that we give so much stuff away for free. I HATE it! I know that most other ECPs hate it too. How do I know? I know because they bemoan it to me as I teach CE hours all across our country. I also know, however, that I cannot be the only ECP in my county, for example, that charges for adjustments, minor repairs, etc. It would take an almost 100%, industry wide, unified move to accomplish that; and that’s never going to happen.

There is however, a point to this rant. I do believe we are at a crossroad in our profession, and if we do not recognize it right now, five or ten years from now, that list of twenty-one things will double to forty-two. If we do not decide right now, uniformly and with resolve how to stop it, the list will double by simply inserting the words “that were purchased on the Internet” somewhere in each sentence.

At a session at Vision Expo, I heard an industry spokesperson claim that in 2009, of all the prescription eyeglasses purchased in the United States, 14% were purchased on the Internet; 14%! I about fell over in my chair.

In my humble opinion, we should ALL absolutely refuse to get involved with servicing, repairing, adjusting, or even touching a pair of eyeglasses that were purchased without the total involvement of an eye care professional from the start of the process…period…never…not even for compensation. If we were all united in this approach, within a few years the word would spread, and patients would begin to realize that whatever little money they thought they were saving by ordering a personalized, medical device over the internet, was money thrown away. We would then see Internet sales dwindle to nothing.

But I fear this is just one optician’s fantasy. Why? Because as I type this editorial, 37,000 feet in the air somewhere between Tampa and Philadelphia, some ECP five miles below me is servicing a pair of eyeglasses that were purchased on the Internet…replacing a screw…restringing a frame…making an adjustment…and the last two words that will leave that dispenser’s mouth will be…sadly…”no charge.”

by Anthony Record, ABO/NCLE, RDO
ecpmag.com

2010 Most Influential Women in Optical: 40 Women with Vision for the Future

July 19th, 2010

Vision Monday’s eighth annual special report, tells the success stories of women in optical as they continue to take on leadership roles in companies via R&D, design, marketing, sales and educational institutions. This year, readers were asked to nominate honorees in four key categories: Executive Suite, Mentors, Innovators and Rising Stars.

Vision Monday also marks its fifth annual salute to the Next Generation of Leadership with profiles on the best and the brightest from top optometry and opticianry schools in the U.S.

Click here to view Optical’s Most Influential Women 2010

visionmonday.com

Dispensing Goes Digital: New Measuring Technologies Enhance Precision and Personalization Techniques

July 9th, 2010

Buying a pair of eyeglasses can be a complex, puzzling and even frustrating experience for many consumers. The process is often fraught with uncertainty, with consumers asking dispensers questions such as “Do these glasses look good on me?” “Can you get them to fit me more comfortably?” “Will these new lenses really help me see better?” and “Am I getting my money’s worth?”

Fortunately, a new generation of eyewear dispensing technology is helping eyecare professionals allay their customers’ concerns by making the dispensing process more precise, personal and ultimately, more enjoyable.

The new technologies—offered by companies such as Carl Zeiss Vision, Essilor, Optikam, ABS and Shamir Insight—range from cutting-edge dispensing systems that take digital photographs and measurements to simple hand tools. What they have in common is the ability to precisely capture patient measurements, including how the frame fits the patient and the position in which it is worn. Combining this biometric data with the patient’s prescription and a digital lens design enables the optical laboratory to produce one-of-a-kind lenses that optimizes the performance of the lens and gives the wearer a totally personalized viewing experience.

Barry Santini of Long Island Opticians displays his ABS Smart Centration Diamond system.

Along with the “wow” reaction these lenses typically elicit from wearers, patients are often favorably impressed with the high tech look and feel of the dispensing system itself and well as with useful features such as taking digital photos of consumers trying on their new eyewear and then emailing them the photos, or demonstrating premium lens options.

Interviews with several ECPs reveal that the new technologies are boosting sales of premium lenses, reducing redos and creating a unique patient experience that can’t be duplicated by an online, virtual dispensary—at least not yet. One proponent is Barry Santini, an optician and writer who owns Long Island Opticians in Seaford, N.Y. He believes that taking eyewear measurements with digital photographs offers distinct advantages over older technologies such as pupillometers.

“Precision is enhanced,” said Santini. “Most digital centration devices deliver a precision of a tenth of a millimeter, which is more precise by a factor of five than a common digital-readout pupillometer. Accuracy is also enhanced.”

Another benefit is improved repeatability, according to Santini. As he pointed out,

“In many busy offices, there are multiple employees of varying skill levels. Digital picture measurements reduce the variations between operators as well as between successive measurements by a single operator.”

In addition, taking digital photos and measurements allows the dispenser to properly consider how the frame fit the patient, Santini said.

“The advent of wrap around eyewear, as well as position of wear enhanced single vision and progressive lenses, require that ECPs obtain good values not only for PD and pupil height, but also for vertex distance, pantoscopic tilt and panoramic (aka face-form) angle,” he noted. “Taking these position-of-wear measurements can be daunting to dispensary personal, primarily due to their unfamiliarity. Obtaining these via digital pictures is easy and makes both the dispensary and lab better partners in the visual performance delivered to the patient.”

Santini uses the ABS Smart Mirror’s Smart Centration Diamond System at Long Island Opticians. He said the system’s eye catching design attracts the attention of customers.

“In our office, we have placed our Smart Mirror in a prominent position, directly between our two dispensing desks. In this placement, every client asks us ‘What is that thing?’ We reply, ‘It is our new tool for helping you view new frames styles, as well as helping us take the best and most accurate measurements.’ Our customers are always impressed, and we’ll quickly demonstrate how easy and intuitive it is to operate. Children watch and listen, and then waste no time showing Mom and Dad their natural facility in using the Smart Mirror. I often comment that we’re grooming future opticians.”

Ronald Riesz, whose eponymously named optical shop is located in the Boston suburb of Arlington, Massachusetts, has also been won over by the new fitting technologies. For the past year, Riesz has been using the OptiCentration Kiosk made by Optikam, a Montreal-based company. He believes it is having a positive effect on his customers as well as on his business.

Dispensing optician Ronald Riesz instructs a patient to look at the camera in the Optikam Tech OptiCentration kiosk in his Arlington, Massachusetts shop.

“The measurements it takes are unbelievably accurate,” said Riesz, who, like most opticians, was accustomed to measuring PDs with either a pupillometer or with the time honored method of shining a penlight in the patient’s eye, locating the center of their pupil and dotting the lens with a felt-tipped marker.

“Before I started using OptiCentration, I didn’t have many do-overs,” said Riesz. “But if I was off a little, even by a few millimeters, I’d have to take the measurement again,” he said. “Now, every time I take measurements, I have no redos. The height and the PD are precise, and there’s less distortion on the side. It’s scary.”

Even though it takes a few minutes longer to measure a patient with OptiCentration, Riesz uses it on all types of customers, including both progressive and single vision lens wearers. He said it is particularly useful for measuring patients with strong prescriptions, and pointed out that the stronger the prescription, the more accurate the optical center has to be.

“If the optical center is off, your eyes get tired and you can’t read for a long time. If you have a strong reading prescription, you want everything in center of the eye.”

Although he could occasionally still uses a pupillometer for measuring PD, Riesz prefers OptiCentration for its versatility, especially its ability to demonstrate premium lenses.

“You’ve can demonstrate AR lenses and show the patient how things would look like at night, in the rain or driving,” he pointed out. “If you can sell a pair of Essilor Avancé [AR lenses] you’ve got a little profit. You can also demonstrate Transitions lenses indoors or outdoors, or show them the thinness of a high-index.”

Another plus using the Optikam System is that it impresses patients, especially when they see other patients being measured, Riesz said. “Patients who see me use it say “Why don’t you use that machine on me?”

Riesz said that although he was initially nervous about the system’s $8,000 price tag, he believes the investment is well worthwhile. “A four-year lease is only about $240 a month,” he noted, which is less than the price he charges for a pair of premium progressives.

Optometrist Bryan Vanesian has also recently embraced new dispensing technology. About six months ago, he acquired a Carl Zeiss Vision iTerminal for his office in rural Phelan, Calif., which is about a two-hour drive west of Los Angeles. Dr. Vanesian said he got the iTerminal for two main reasons.

“I like high-tech stuff, and I wanted to lower the number of doctor redos because the progressives weren’t measured correctly by my staff.”

An optician at the Phelan, California office of Bryan Vanesian, OD (right) uses the Zeiss iTerminal to measure a patient for Zeiss lenses.

According to Dr. Vanesian, the iTerminal hasn’t completely eliminated redos because some patients still raise or lower their head when their photo is taken, which can throw off the measurements. But he said the system has lowered redo rates, primarily because of its precision. “It measures up to a tenth of a millimeter, and up to a tenth of a degree of rotation,” he noted.

“One of the things about having iTerminal is that it gives us access to true custom made lenses like Zeiss Individual, which you can’t even prescribe unless you have an iTerminal,” Dr. Vanesian said. When describing the benefits of the Zeiss Individual, he makes sure to tell patients that “These aren’t your regular progressives that you’d get from a mass merchant. We can custom make your lens, with your initials engraved into it.”

Dr. Vanesian also likes the iTerminal because it “goes with the flow” of his office.

“We’re paperless, we have the Zeiss GDx machine for glaucoma diagnosis, and we have the Optos retinal scan, the new 3D model,” he said. “Now we can take our high tech approach into the optical, rather than just using rulers and felt markers for measuring and marking lenses. Visually, the unit is very appealing. It’s two white blocks. It’s almost like Apple made it.”

Dr. Vanesian said his staff uses the iTerminal mostly with higher prescriptions in order to give them the widest field view and lowest distortion. Like Ronald Riesz, he uses it not just for progressives, but for single vision lenses as well such as the single vision version of the Zeiss Individual which features free form front and back surfaces.

“iTerminal has helped us sell more premium eyewear such as the Zeiss Individual progressive, which we charge $610 for, or the Zeiss Individual single vision, which sells for $450,” said Dr. Vanesian. “That brings the total cost of the eyewear close to $1,000. It amazes me that my staff doesn’t have too have much trouble selling them, because this is a blue collar town.”

Dr. Vanesian cited another benefit of the iTerminal.

“We have patients who have worn PALs and could not adapt to progressives before but are now able to wear these lenses,” he said. “So there’s got to be something to it. There’s less distortion and wider intermediate zones. We have a very low redo rate. We’ve only had two non-adapts in six months.”

As with many types of high tech equipment, proper training is required to operate the iTerminal and derive its full benefits.

“When we first got the machine, we were having lot of problems with redos,” said Dr. Vanesian. “It turned out they didn’t teach us how to use the machine. Once we were retrained, everything was fine. There is a learning curve.”

He praised Zeiss for its responsiveness to his start-up problems.

“The rep would come and bring lunch, go over all of the problems and questions we had, then retrain the staff and train new employees. It’s important to have staff that feels comfortable selling $600 lenses. You don’t want a machine like this sitting in the corner.”

Dr. Vanesian said the iTerminal is quickly proving its value.

“In order to cover the cost of the machine, which is about $7,500, Zeiss wants us to sell about 180 pairs of lenses in 18 months, which is about 10 pairs a month. We’ve easily met that number. It’s a sweet deal.”

Optician Jean Sabre of the Uptown Vision Clinic in Minneapolis, Minnesota with the Essilor prototype Visioffice system.

As dispensing systems evolve, developers are adding new capabilities to them. The latest system to hit the market is Visioffice, which Essilor has just released in the U.S. In addition to measuring wrap angle, pantoscopic tilt, vertex distance, monocular PD, fitting height and A, B, DBL values, Visioffice measures optical eye rotation center for each eye and natural head posture for proprietary “eyecode” lenses, which are available on select Varilux and Essilor single vision lenses. Visioffice also measures the stability ratio and head/eye coefficient that are needed to dispense Varilux Ipseo IV lenses.

Optician Jean Sabre, who, with her husband, Mark Sabre, OD, co-owns Uptown Vision Clinic in Minneapolis, has been using a Visioffice prototype for over a year, and credits it for helping to sell more premium lenses.

“Visioffice has had a huge impact on our practice,” she said. “We primarily use it for progressives, especially the new digital lenses such as Varilux Ipseo. It gives us a higher level of accuracy.”

Sabre added that Visioffice also helps patients select frames.

“We’re able to image four different frames for a patient to view, so they can see the frames side by side,” she said. “The system also has email capabilities, in case the patient wants someone to get input on their choices. We’ve even had patients put photos on Facebook so people can vote on which frame they like best. We can also print out a photo like in a photo booth so the patient can take it with them.”

Dispensing optician Jim Voss of the John Boys Smith Vision Center uses a tool from the Shamir Panoramter kit to measure a patient’s vertex distance.

Although digital dispensing has an undeniable “wow” factor with patients, some ECPs said a low tech approach can also be effective. Jim Voss, a dispensing optician at the John Boys Smith Vision Center in Ellensburg, Wash., relies on the Shamir Panorameter Kit for measuring patients. The kit contains two simple, plastic hand-held tools. One tool measures panoramic angle and pantoscopic tilt; the other measures vertex distance.

“These tools give us the ability to accurately measure pantoscopic tilt and frame wrap,” detailed Voss. “In the old days, you’d have the patient turn their head and you’d say, ‘That’s pretty close to 10 degrees.’ Now the precision is increased exponentially. The tools are simple and elegant. You don’t need all the electronics to use them,” he said.

According to Voss, using the Panorameter has significantly reduced the number of redos at the vision center.

“We’ve had a much higher rate of patient satisfaction, too,” he said. “When people put the lenses on they are amazed. We’ve had very few problems with Shamir Autograph lenses, very few rejections.” “It’s really increased my ability to do a better job,” Voss concluded. “I can give the lab everything it needs, including an accurate prescription and frame parameters.”

Whether dispensers take a high tech or low tech approach to fitting eyewear doesn’t seem to matter, as long as it reduces the number of redos. As Jean Sabre of the Uptown Vision Clinic remarked,

“The more accurate your measurements are, the more success you’ll have in fitting lenses. We have less redos and patients are happier. And if they’re happy, we’re happy.”

 
by Andrew Karp: Group Editor, Lenses and Technology
visionmonday.com

Luxury Eyewear Makes a Comeback: But is the high end of the market the place to be?

June 17th, 2010

There’s a common belief that luxury retailers can weather rough economic storms with no pain. After all, their core clientele does not live paycheque to paycheque.

But talk to people running high-end optical stores across Canada and it is clear things are not so simple. “We have to work harder to ensure we are delivering the best product and real service to our customers,” says Steven Wilson, president of Vancouver-based Eyes on Optical. “Consumers are more careful how they spend.” That includes people in upper income brackets. “The rich are spending less and being more discerning with their purchases.”

Feeling The Crunch

Wilson, a veteran luxury retailer who spent 17 years with high-end clothier Aquascutum before shifting to eyewear, says, “Our business has always tended to cycle with the stock market.” It’s not surprising then that his flagship store, Eyes on Burrard, where the majority of frames sell in the range of $400–$1,950, saw sales slow after the 2008 credit crisis sent stocks tumbling.

This was a familiar story in Canadian luxury retailing during the slowdown. In a Canadian Business article from April 2009, Larry Rosen, chairman and CEO of upscale men’s clothier Harry Rosen, was feeling the pain of deflated sales: “I sort of keep a brave face at work,” he said, “but then I’ll go home and pound the walls.”

Louis Vuitton | Model: Ginger


Globally, the pain has been shared by many luxury goods companies. LVMH, one of the largest luxury goods conglomerates in the world and owners of the Louis Vuitton brand, saw profits in their watches and jewellery group drop by 47 percent in 2009. Richemont, a global luxury powerhouse that owns a huge portfolio of upscale brands, suffered badly too: heavy discounting within their jewellery maison, which includes Cartier, saw sales drop 14 percent between April and September.

It became painfully clear to everyone that even the wealthy were cutting back.

Beginning The Recovery

In the wake of this turmoil, how will luxury eyewear, something that fits somewhere between being a fashion accessory and a necessary personal health item, fare going forward?

Recent numbers show that wealthy consumers around the world are already back. Richemont showed year-end sales increases of 2 percent across all brands, and Tiffany & Co. saw holiday sales jump 17 percent in November and December.

There is optimism in Canada too. Despite fears of a possible double-dip recession, stock markets are up over 50 percent from their lows, there have been big job gains since November and, in the last quarter of 2009, the GDP expanded by an annualized 5 percent. Canadians are feeding off the good numbers, with consumer confidence on the rise. From his west-coast store, Wilson lends credence to the statistics: “We have seen a return of existing customers.”

Thousands of kilometres to the east, another luxury eyewear retailer confirms the rebound. Thomas Ellis, general manager of Karir Eyewear’s flagship Toronto store, says things did slow down in early 2009, but now “sales have come back up to where they should be.”

Prada | Model: VPR05N


Things are looking good in the short-term. “There are opportunities to grow for those left standing,” says Maureen Atkinson, senior partner at Toronto-based retail consultancy J.C. Williams Group. Some of those opportunities are among customers who stretch themselves to buy exclusive brands. Ellis says that Karir’s Yorkdale Mall location in Toronto caters to aspirational shoppers more than its Bay Street-area store that serves financiers and their big bonuses. Their Yorkdale store carries more product from heavily marketed designer brands like Dolce & Gabbana, Prada and Chanel—brands that unabashedly sell glam and are available at lower price points than ultra-luxury names like Cartier.

Aspirational Shoppers

In the fashion world, retailers are fretting about the aspirational shoppers because of a lingering economic environment of tight credit and high unemployment. But high-end opticians should be reaching out to them now, especially “if you want the sale ahead of your competition,” says Wilson.

Reaching out to them is all about grabbing their attention and “yelling from the rooftops,” says Atkinson. And in this segment, high-end eyewear has an advantage over high-end clothing.

“Sometimes the aspirational shopper will see some frames, and because the eyeglasses are important to both functionality and image, they will get them no matter their income,” says Ellis. It’s easier to justify shelling out for expensive eyeglasses than for a pair of shoes.

This is a selling point that needs to be stressed by all opticians, says Amin Mamdani, a partner at Josephson Opticians and owner of Squint Eyewear, a boutique store in Oakville, Ont. He says it is about getting clients to understand the value of a pair of glasses on a face. “It’s not like a suit that you may wear once a month. Eyeglasses are the first things on in the morning and the last things off at night.” Luxury eyewear is about comfort and the ability of the product to last, he adds.

Selling To The Wealthy

The value of top quality is something wealthy clients already understand. So targeting them is done differently altogether. There is no “yelling from the rooftops.” They demand subtlety, says Atkinson. Winning over the truly wealthy means “becoming important to them,” and thus involves more than “a one-off strategy.” Atkinson suggests becoming involved in things important to them, such as charity events. In the U.S., Sama Eyewear’s Sam Vance Foundation is a major player in fighting drug addiction among young people and has attracted support from Hollywood heavyweights.

D&G | Model: 1190


Still, when it comes to selling luxury, the foundation of a strong relationship is service. This starts the moment a customer walks in the door and continues long after she leaves, says Ellis, who ensures everyone knows they can come back if they have problems.

That level of service isn’t groundbreaking. But undiluted commitment is necessary in high-end retailing all the time. Moreover, it is top-notch service that Ellis believes drives sales growth. “Most of our new customers come from word of mouth.”

Interestingly, from his downtown Vancouver store, Steven Wilson says excellent service and positive word-of-mouth provides challenges too. “We are used as a showroom by cheap retailers. Customers have either been sent to us for our assistance to select the style that best suits their needs, or they are shopping around for the ‘best price.’ Our challenge is to convince them that we can support them better than the competition. Essentially we will do whatever it takes to retain good customers who do not deliberately try to abuse our efforts.”

Those good, quality-conscious customers are mostly urban professionals and fashion-forward consumers. Sama Eyewear has them in mind when designing its huge range of sunglasses and prescription eyeglass frames. “They understand luxury and appreciate it,” says Farnaz Meybodi, part of the company’s marketing team. In times like these, they may buy less, but “they never settle for inferior quality.” They share another trait too, says Meybodi: “They don’t want what everyone else has.”

A luxury item is a medium of self-expression, a way to project originality. Upscale retailers must offer products that are beautiful, rare, and innovative. In tough times, though, the frames shouldn’t be too bizarre, either. The luxury buyer wants to ensure their purchase has the legs to last two, maybe three years. Classic styles and colours are selling well these days.

Strategically Tighten Your Offering

“We simplified inventory costs by investing more space with our strongest brands and attempted to minimise any product duplication between brands.” His team carefully monitors inventory turnover and works closely with suppliers to ensure fresh product. “We have split up our selection into four types: colour, techno, retro and luxury.”

Adjusting the product lineup doesn’t mean making drastic changes. It’s about fine-tuning, and understanding the customer’s psychology. “Canadians are self-conscious,” says Mamdani. It’s not that people don’t have the money, he explains. They are just hesitant to put new diamond-encrusted glasses on their face during hard times. Conspicuous consumption became distasteful when the economy in the States tanked, in part because many families were hit hard. According to Mamdani, small inventory tweaks may entail bringing in some slightly lower-priced inventory and reducing (but never eliminating) the number of ultra-luxury pieces in stock—like those solid gold, buffalo horn and stone-studded frames by Gold and Wood that can go north of $10,000. This upper segment is never the core of sales anyway. At his Squint store, Mamdani says 95 percent of sales come from items under $1,000.

The key, he says, is to be compassionate to the client’s predicament while not allowing your business to change course dramatically. Just as Cartier and Gold and Wood have spent decades establishing their brand identities, high-end opticians need to retain their focus and provide customers what they expect. “You need longevity.”

There is a feeling that those in the segment are going to need to work even harder from now on. Mamdani, a 20-year veteran in the industry, thinks we are in for a volatile recovery. “It’s not going to be straight up.” Consultancy Bain & Co. has projected only 1 percent growth in the global luxury goods market for 2010.

Back in Vancouver, Wilson feels good about his position in the market. He thinks the luxury segment has good stability. “The middle market is very competitive and is more sensitive to a soft economy as consumers are worried about job security, the cost of housing and living expenses generally.” He admits the upper bracket is smaller, but says the buying behaviour up there is totally different. “People with taste and a certain lifestyle will neither make dramatic changes nor compromise their living conditions and consumption unless they really have no choice. I am therefore cautiously optimistic about the future, and that includes planning for growth in my business.”

by Talib Qizilbash
opticalprism.ca