Sales per square foot

[optimensch]

http://www.wsj.com/articles/warby-pa...egy-1416251866 sorry the article is slightly dated....

10 eyeglass stores selling $3000 per square foot for a total of $50,000,000 a year.......

1) that's close to 200 pairs per day per store (based on $95)

2) few retailers in any trade come anywhere close to that metric of sales/sq ft....

3) I doubt opening brick and mortar stores was part of their business plan when they launched a few a few years ago....but this is quickly changing

4) looks like there is considerable pent-up demand for slick, hip but super affordable eyewear...in physical stores (like H+M in apparel?)

5) they 100% private label

I speculate that the online business is a money loser/loss leader/brand-building exercise for them and the physical stores are the profit centers. If this article is even half true, I imagine they are coming to a town near you and me in the near.

They are doing this completely without E or L (as far as I can tell) and are getting massive PR in mainstream media.

I thought this was a very interesting article, the author sounds a tad skeptical, but this is a private company and they can say what they want I suppose...

[LENNY]

E is/was making all/some of their frames and lenses.

[buckeyeoptical]

No way could one store sell 200 pair per day. There glasses START at $95.00 +$200.00 for progressive.

[optimensch]

I went to lower Manhattan this weekend to visit some stores, including WP. I visited around 12 opticals and various other retailers.
Generally there seemed to be a lot of empty stores (as in available for lease...) and many other stores seemed to be very quiet with little foot traffic, few registers ringing. Most opticals were very quiet on this particular Sunday.
However, The Apple store and Warby were jammed with people - and I returned at different times of the day only to see the same thing. Clearly these guys are doing something very right, and are foot traffic magnets.
It was a truly eye opening and worthwhile visit.
Shake Shack rocks...

[Chris Ryser]

and many other stores seemstore and Warby were jammed with people - and I returned at different times of the day only to see the same thing. Clearly these guys are doing something very right, and are foot traffic magnets.
It was a truly eye opening and worthwhile visit.

Once you see the facts it is interesting but also scary to see the other optical store empty.

The Warby's act like a wholesaler, you order and you get, without the service a real optical retailer can provide.

What is holding back opticans and optometrists that do sell retail, to change their pricing policy to sell at similar pricing and charge for services separate.

The Warby's and other on-liners tell their customers to go to an optical store to get their glasses adjusted. Are opticians waiting until their retail outlets will provide also the service at low prices ?

[Tallboy]

If people were coming to my store with online eyewear to get it adjusted/repaired at an even semi-alarming clip, I would be charging a broken down a la carte pricing ASAP. It hasn't been happening to us, yet.

[ml43]

No way could one store sell 200 pair per day. There glasses START at $95.00 +$200.00 for progressive.

If costco optical can do it with 5-6 opticians, I don't see why WP can't do it.

they have less options(frames and lenses), and I doubt they do very many repairs, adjustments, cleanings, etc...

id imagine its run like a retail establishment, and they probably sell a lot of Plano stuff.

[optimensch]

"What is holding back opticans and optometrists that do sell retail, to change their pricing policy to sell at similar pricing and charge for services separate."

We had someone come in yesterday to adjust a WP frame. we charged 15$ to do so. This is not how I want to earn a living, and not a meaningful revenue source. WP doesn't waste their time adjusting frames purchased from our independent stores.They are too savvy for that.

The main thing I take away from having observed the action in WP retail is that the simple bundle offer works - frames and lenses for XX$. The full a la carte pricing we traditionally use in most opticals seems to be the very point WP and others are using against us. Thrift is fashionable and consumers are becoming more informed and able to seek value and what's "trending". I don't believe this is a passing fad and it appears to me a lot of opticals are set in their old ways unwilling to adapt.

FWIW I find it plausible that WP can in fact sell more than 100 pairs a day, from what I observed on Greene Street.