This got me a bit riled up...

[MikeAurelius]

When the battle between the dispenser/lab and the onliner strikes home, let's all make nice-nice with the onliners!

http://www.opticallabproducts.com/OL...LERS-5150.aspx

Online retailers are a new breed of customer and, as such, demand a new approach. The laboratory marketing strategy has largely been a game of smoke and mirrors—inflating pricelists just to turn around and heavily discount them back has been a mainstay in this trade. Our industry is now based more heavily on retail marketing strategy than business-to-business sales.

Say what?

Meghan Kalvig is Communications Director at Precision Optical Group, Inc. in Creston, IA.

This article was in the mailing with the recent "Vision Care Product News".

[ml43]

sad times when an independent lab actually wants to partner with an online optical.

Dare I say it's worse than selling out to E

[mervinek]

What do you think would happen to the business coming from their independent eye doctors when they find out that their lab is supplying orders to the onliners? Me thinks I would drop that lab. Just sayin.

[EyeCare Rich]

Nice concept mervinek, but how would you really know they are selling to an onliner. I have no idea, and it isn't any of my business who my lab sells to. I wouldn't be happy if I found out, but that is there business. Who am I to tell them where to make their $$$$

Don't get me wrong, I think this article stinks to high heaven, but it is an unfortunate reallity.

[mervinek]

Nice concept mervinek, but how would you really know they are selling to an onliner. I have no idea, and it isn't any of my business who my lab sells to. I wouldn't be happy if I found out, but that is there business. Who am I to tell them where to make their $$$$

Don't get me wrong, I think this article stinks to high heaven, but it is an unfortunate reallity.

Good point, however I come from a small area where everyone knows everyone and knows everyone's business. I have a feeling it would come out sooner or later. As far as who am I to tell them where to make their $$$.... You're right. Who am I? That being said, I don't want to support someone that is now supporting my competition. I want to support the lab that has the back of the little independent OD.

[Don Gilman]

Good point, however I come from a small area where everyone knows everyone and knows everyone's business. I have a feeling it would come out sooner or later. As far as who am I to tell them where to make their $$$.... You're right. Who am I? That being said, I don't want to support someone that is now supporting my competition. I want to support the lab that has the back of the little independent OD.

They are not supporting your competition they are selling to them and making a profit, BIG difference. Me thinks there may be some federal regulation if they said I am not going to sell to you? Lets assume some on liner wanted to come into you shop and was willing to buy lots of your lenses and frames, probably at some discount.....would you not sell them? This is just like all the posts I read here almost every day that no one should buy from the E. When I had my wholesale lab many moons ago some of my customers sold there glasses for $50.00 and some for $200.00 and I sold to them both.

[rbaker]

That being said, I don't want to support someone that is now supporting my competition.

Well then, put your words into action and stop doing business with them. Ill bet ya don't.

I want to support the lab that has the back of the little independent OD.

Its about 20-30 years too late for that. The independent OD and whoever else is "independent" out there abandoned the independent wholesale labs for the large corporate labs who offered what seemed to be a better deal, that is to say cheaper. How's it working out for ya?

[Don Gilman]

Well then, put your words into action and stop doing business with them. Ill bet ya don't.



Its about 20-30 years too late for that. The independent OD and whoever else is "independent" out there abandoned the independent wholesale labs for the large corporate labs who offered what seemed to be a better deal, that is to say cheaper. How's it working out for ya?

Exactly why I sold my INDEPENDENT lab in 1993 and have never slept better.

[mervinek]

The independent OD and whoever else is "independent" out there abandoned the independent wholesale labs for the large corporate labs who offered what seemed to be a better deal, that is to say cheaper. How's it working out for ya?

Nope. Still using the independent wholesale lab. Now that being said...I am an employee not a manager or owner, so you're right. The day may come when my employer says we have to switch to the big E. Who knows. We do take Davis which is not fun, but again not something I have any control over.

[Jarhead Daddy]

Adapt, or spit into the wind. It is our choice.

Consumer preference sets the market. You can't overcome supply and DEMAND.

[Lab Insight]

sad times when an independent lab actually wants to partner with an online optical.

Dare I say it's worse than selling out to E

It's already happened up here in Canada. A well known independent lab located in north Toronto (Seiko and Rodenstock distributor) is now selling online directly to consumers through an arm's length website.

It reeks of desperation to me to turn against your independent ECP customers and now compete against them. Definitely not a prosperous business plan for future long term growth. Pathetic.

[ak47]

would that happen to be the Plastics Minus lab ?

[idispense]

It's already happened up here in Canada. A well known independent lab located in north Toronto (Seiko and Rodenstock distributor) is now selling online directly to consumers through an arm's length website.

It reeks of desperation to me to turn against your independent ECP customers and now compete against them. Definitely not a prosperous business plan for future long term growth. Pathetic.

How do you figure that it's arms length ?

How do you figure they are competing against independents ?

Whats the website ?

[Lab Insight]

How do you figure that it's arms length ?

How do you figure they are competing against independents ?

Whats the website ?

Do your research, and all will be revealed.

[Lab Insight]

would that happen to be the Plastics Minus lab ?

If you know the T.O. market, you shall have the answer.

[idispense]

Do your research, and all will be revealed.

if it's the one that's not running, then the stated purpose is to bring business to independents

[Lab Insight]

if it's the one that's not running, then the stated purpose is to bring business to independents

It doesn't bring an independent diddly squat; it creates additional competition for the independent then provides a measly finder's fee which undermines a licenced professional's expertise while ensuring the independent will never have that chance to win that web customer direct to their store.

They can spin and weave all that nonsense all they want - it's absolute rhetoric and reversed.

What they should have done was offered their members their own web template and to be a part of the process before, during and after the sale to the web client, then in turn paid the OAC and PP a finder's fee.

That's how you support your independent ECP's, not by walking all over them and lying to them. The ECP's were never a part of the development, nor were they ever consulted once prior by the OAC via a survey to determine if this is something that would not only work, but benefit them.

[idispense]

It doesn't bring an independent diddly squat; it creates additional competition for the independent then provides a measly finder's fee which undermines a licenced professional's expertise while ensuring the independent will never have that chance to win that web customer direct to their store.

They can spin and weave all that nonsense all they want - it's absolute rhetoric and reversed.

What they should have done was offered their members their own web template and to be a part of the process before, during and after the sale to the web client, then in turn paid the OAC and PP a finder's fee.

That's how you support your independent ECP's, not by walking all over them and lying to them. The ECP's were never a part of the development, nor were they ever consulted once prior by the OAC via a survey to determine if this is something that would not only work, but benefit them.

What's the oac involvement ? What do they get? How much does the optician get ?

[Lab Insight]

What's the oac involvement ? What do they get? How much does the optician get ?

The OAC is backing and endorsing the program as their own concept, in partnership with PP. As to what each of them receive wasn't disclosed (naturally).

The optician receives 25% of the sale. So, if you do the breakdown (sales less COGS at an avg 30%), that leaves 70% of the pie to share. I've owned a few retail ventures along the way...25% is insulting especially when you have operational overhead and normally earn an avg of 60-70% net profit on a sale.

Not to mention, they just stole and converted a potential local retail client to shop on the web and solidifies that you will never now have them as your own. Oh ya, and guess who gets to handle the warranties and complaints? It certainly won't be the OAC office or the lab! And that part shall be done for free.

[idispense]

The OAC is backing and endorsing the program as their own concept, in partnership with PP. As to what each of them receive wasn't disclosed (naturally).

The optician receives 25% of the sale. So, if you do the breakdown (sales less COGS at an avg 30%), that leaves 70% of the pie to share. I've owned a few retail ventures along the way...25% is insulting especially when you have operational overhead and normally earn an avg of 60-70% net profit on a sale.

Not to mention, they just stole and converted a potential local retail client to shop on the web and solidifies that you will never now have them as your own. Oh ya, and guess who gets to handle the warranties and complaints? It certainly won't be the OAC office or the lab! And that part shall be done for free.

Who owns the web site ? Who pays to promote it ?

[idispense]

[QUOTE=Lab Insight;507950]The OAC is backing and endorsing the program as their own concept, in partnership with PP. As to what each of them receive wasn't disclosed (naturally).

The optician receives 25% of the sale. So, if you do the breakdown (sales less COGS at an avg 30%), that leaves 70% of the pie to share. I've owned a few retail ventures along the way...25% is insulting especially when you have operational overhead and normally earn an avg of 60-70% net profit on a sale.

Not to mention, they just stole and converted a potential local retail client to shop on the web and solidifies that you will never now have them as your own. Oh ya, and guess who gets to handle the warranties and complaints? It certainly won't be the OAC office or the lab! And that part shall be done for free.[/QUOTE

This model description seems to add 2 middlemen to the transaction compared to dealing direct with other on liners, how can this model be price competitive for the consumer?

[MikeAurelius]

How did this thread go from a general negative post about an article to discussing problems with an organization in Canada?

[rbaker]

Mike - I think the Stanly Cup fightoffs or whatever it's called is over. They have little else to discuss.

[MikeAurelius]

Lol!!!

[idispense]

How did this thread go from a general negative post about an article to discussing problems with an organization in Canada?

Your article is about wholesale labs pairing up with on liners to sell directly to consumers and that is exactly what the Canadians are talking about but with a slight twist. An automated lab here is about to roll out a model where the consumer buys on line but takes delivery from brick and mortar licensed dispensers who look after the final delivery and adjustment to the consumer. The lab processes the customer's order but ships it to the customer's choice of licensed dispenser. It seems that the dispenser only dispenses but is not involved in the sales process.