The business model of Lenskart on E-business

1. Lenskart
Case Study by:
1713001 – Kunthal Aanchaliya
1722012 – Harsh Vasani
1712038 – Dhairya Kamdar
1712046 – Aniket Shah

2. INTRODUCTION
• Lenskart was founded in 2010, By an ex-Microsoft 'techie' with no
money but truckloads of relentless passion to make a difference in
this world, Lenskart is India's fastest growing eyewear business
today.
• The company objective is to offer disruptive and one of its kind
services to the consumers.
• It’s portfolio of products range from prescription glasses, contact
lenses to sunglasses.

3. COMPANY OVERVIEW
• Peyush Bansal, a former Microsoft employee, founded Lenskart in 2010
along with Amit Chaudhary and Sumeet Kapahi.
• Peyush is founder and CEO of company Valyoo Technologies, which is
the parent company of LensKart.
• Financial backers of Lenskart include TPG Growth, International Finance
Corp and Adveq Management. Ratan Tata (of Tata Sons) and S
Gopalakrishnan (of Infosys) have also invested in Lenskart. In March
2018 Wipro Chairman Azim Premji invested 400cr in the group taking the
valuation of the company to 3000 Crore. The company had a valuation of
$1.5 billion by Dec 2019 after Softbank invested around $275 million

4. INFRASTRUCTURE
• Lenskart has a young and passionate team of 2700 people, with 3 offices
in Delhi, 1 in Mumbai, 1 in Kolkata and a Technology office in Bangalore.
• As a growing e-commerce company facing nearly 5M visitors every
month, the technical team faced many architectural challenges. Growing
infrastructural systems is never easy, but when you grow as fast as
Lenskart has, the challenges tend to pile up faster than estimated
• Lenskat countered the issue with a growing chain of offline stores in all
cities in India, and its unique Home Eye Check-up service which takes
expert optometrists to customers homes/office for an eye test, Lenskart
has done what no one could till now. Clearer vision is absolutely
accessible now! ‘So, Log On, Play On!’

5. The Mantra of Success
• A big aspect of Lenskart’s success is in our Omnichannel approach
which includes online, modern shops and home visits by
optometrists on motorbikes. We are available wherever our
consumers want us.
• We have implemented lot of innovation in our stores to keep them
small, lean and profitable. The stores are unique, we don’t have an
inventory and orders are placed through an iPad and served from a
central warehouse.
• It is quite a unique model as we work all the way from
manufacturing to front-end supply to provide affordable quality
eyewear to our consumers.

6. The Challenges
“Who wants to buy contact lenses or glasses online?” – one of
the most frequently asked question.
 Lenskart’s aim is to address the knowledge gap between the
customers and their eyewear products. With that in mind, the
online-offline divide will slowly disintegrate.
 Moreover, the touch-and-feel segment is no longer a threat
to e-commerce portals.

7. The Challenges(Cont.)
But many people are still reluctant to buy eyewear products
online. In order to address this, Lenskart has been offering
various schemes/deals to tackle the issue.
1. ‘First Frame Free’ – where customers will only have to pay
for the lens on their first purchase.
2. ‘TryAt Home’ – where customers can choose a
maximum of 5 frames &try them at home before making
a finalpurchase.

8. Business Model of Lenskart
Innovative Features include –
 First frame free
 Exchange old frame for new
 Virtual try-on
 Try-at-home
 Doctor locator
 Home Eye-check up
 Franchise model for optometrists
 Buying guide

9. Business Model of Lenskart
 Multi-brand eyewear seller has also expanded its reach via the offline
medium
 Today, has over 100 stores across more than 66 cities in the country
with delivery in over 100 cities, including tier 2 and tier 3 cities
 Uniqueness of Lenskart – No segmentation i.e. it does not target any
market segment or age group in specific
 Lenskart has partnered with a range of third party logistics partners to
deliver in various cities across India

10. How do they make money?

17. E-Marketing Strategies
• The main objective of Lenskart’s marketing strategy was to change
people’s mindset and get them to accept online store as an
alternative way of purchasing.
• Lenskart increased customer engagement and gain their trust and
confidence.
• Lenkart first targeted those people who had subscribed
with Lenskart.com but had not transacted. These subscribers had
shown interest in the product but lacked trust in the brand to step
forward to purchase.

18. E-Marketing Strategies
 Online campaigns – To create a branding of
Lenskart Lenskart revamp hashtag.
 Email marketing campaign - to increase engagement
with its customers and to gain their trust and confidence.
 Lenskart adopted an innovative approach to take
customers in conversation with Lenskart via emails
throughout the buying cycle.

19. E-SCM

20. E-CRM
• With consumer satisfaction becoming one of the top priorities for
organisations, customer relationship management (CRM) is
gradually becoming central to their digital initiatives.
• Lenskart.com, an online retailer of eyewear, has mobile-enabled
most of its CRM channels. Lenskart CEO Peyush Bansal says, “We
use best in industry solutions for each channel (voice/social
media/email/chat) and integrate them with our homegrown
system. Currently we are using this for experimentation; going
forward, we plan to leverage it for more handy analytics and
prompt response.”

21. E-CRM
Trying frames online: The portal introduced this technology to allow customers to
check frames online, making it easier to turn curious online shoppers into buyers.
Partnering with non-optical people in tier 2 and tier 3 cities: In order to scale up
business, Lenskart selected people from different tier 2 and tier 3 cities to promote free
check-ups. This extended to visiting companies and giving free-check up to employees.
Today, the company targets 90 companies every month to spread awareness on eye care.
Partnering with doctors: The company is working closely with doctors to include eye
specialists in its mission.
Micro precision zero-error manufacturing: Lenskart uses robotic technique with laser
precision machines to shape the lenses, beating the local optician with zero-error
customisation process that is first of its kind in the country.
Devices to check eyesight of kids aged three-six months: Lenskart has made accessible
devices which can check the eyesight of even a three-month old baby. Around 100 such
latest machines are imported from a US-based company Welch Allyn.