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Thread: Warby Parker announced that it had raised $75 million ........................

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    Redhot Jumper Warby Parker announced that it had raised $75 million ........................

    Warby Parker, the Eyewear Seller, Raises $75 Million




    Warby Parker opened its website eight years ago and quickly became one of the inspirations for a generation of e-commerce brands aiming at a younger, hipper customer base.

    Now the eyewear retailer has raised another slug of money — with some coming from a big investor with a history of investing in companies that are close to a stock market listing.


    Warby Parker announced on Wednesday that it had raised $75 million in a new round of financing led byT. Rowe Price, the mutual fund company, and including Baillie Gifford, the asset manager. It also disclosed that it had added Youngme Moon, a professor at Harvard Business School Who sits on the board of Unilever, as a new director.


    The round values Warby Parker at about $1.7billion, excluding the new investment, according to a person briefed on the matter. It offers the latest sign of support for the company as it expands its eyewear business.


    Read all of it:
    https://www.nytimes.com/2018/03/14/b...ype=collection
    Chris Ryser
    ________________________________________
    DLO. NA.IC.I.T.PO

    http://optochemicals.com............................. http://arcoatings.com

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    Quote Originally Posted by Chris Ryser View Post
    Warby Parker, the Eyewear Seller, Raises $75 Million




    Warby Parker opened its website eight years ago and quickly became one of the inspirations for a generation of e-commerce brands aiming at a younger, hipper customer base.

    Now the eyewear retailer has raised another slug of money — with some coming from a big investor with a history of investing in companies that are close to a stock market listing.


    Warby Parker announced on Wednesday that it had raised $75 million in a new round of financing led byT. Rowe Price, the mutual fund company, and including Baillie Gifford, the asset manager. It also disclosed that it had added Youngme Moon, a professor at Harvard Business School Who sits on the board of Unilever, as a new director.


    The round values Warby Parker at about $1.7billion, excluding the new investment, according to a person briefed on the matter. It offers the latest sign of support for the company as it expands its eyewear business.


    Read all of it:
    https://www.nytimes.com/2018/03/14/b...ype=collection
    The big question to answer.... is the company profitable? Coastal contacts did the exact same thing and never made a single dollar profit. It was sold at a stupid price in exchange for a new e-commerce platform with global market share.

    I would bet Warby is no different and will end up selling out within the next 5 years. The stock capital raised is simply letting it continue to grow and capture at any cost to be gobbled up at some point.

    It's ridiculous how portfolio managers and stock investors value it at 1.7 billion. I'm sure their balance sheet is full of debt.

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    Redhot Jumper I would just about bet *all the tea in China* ..............................

    Quote Originally Posted by Lab Insight View Post

    The big question to answer.... is the company profitable? Coastal contacts did the exact same thing and never made a single dollar profit. It was sold at a stupid price in exchange for a new e-commerce platform with global market share.


    Quote Originally Posted by Warby Parker

    Warby Parker announced on Wednesday that it had raised $75 million in a new round of financing led byT. Rowe Price, the mutual fund company, and including Baillie Gifford, the asset manager. It also disclosed that it had added Youngme Moon, a professor at Harvard Business School Who sits on the board of Unilever, as a new director.

    .................I would just about bet *all the tea in China* that a Mutual Fund Company would make an in depth study of a company, before investing $ 75 million.

    Coastal was purchased with a long term future ahead, also, and past the introductory periods of a new type business style, by a corporation that is also a careful long term planner.
    Last edited by Chris Ryser; 09-26-2018 at 03:14 AM.
    Chris Ryser
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    Quote Originally Posted by Chris Ryser View Post
    .................I would just about bet *all the tea in China* that a Mutual Fund Company would make an in depth study of a company, before investing $ 75 million.

    Coastal was purchased with a long term future ahead, also, and past the introductory periods of a new type business style, by a corporation that is also a careful long term planner.
    Chris, I sometimes wonder that these investment portfolio managers are simply just looking out for number one and padding their fees and commissions as their main objective? These evaluations are done based on growth, market share and speed of accomplishment, not profitability. It is very misleading IMHO.

    Like I said before, it's being built to sell in the near future. That's when the stock will pay dividends. As long as there is a major buyer out there with fat coffers, this sort of thing will keep happening.

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    Redhot Jumper Like I said before, it's being built to sell in the near future......................

    Quote Originally Posted by Lab Insight View Post

    Like I said before, it's being built to sell in the near future. That's when the stock will pay dividends. As long as there is a major buyer out there with fat coffers, this sort of thing will keep happening.
    .......................maybe that system which was the standard in commerce, is no longer valid these days, at least for the mega companies.

    It could be that they prefer to buy a new concept business, after it has been around for a few years and is still alive and growing, without showing any profits.

    Essilor bought *Coastal*, renamed it Clearly. Now they came out with a new website with the old name of Coastal Obviously somebody must have made a wrong decision 4 years ago.
    Chris Ryser
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    http://optochemicals.com............................. http://arcoatings.com

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    Quote Originally Posted by Chris Ryser View Post
    .......................maybe that system which was the standard in commerce, is no longer valid these days, at least for the mega companies.

    It could be that they prefer to buy a new concept business, after it has been around for a few years and is still alive and growing, without showing any profits.

    Essilor bought *Coastal*, renamed it Clearly. Now they came out with a new website with the old name of Coastal Obviously somebody must have made a wrong decision 4 years ago.
    One would hope a company that makes zero profit when acquired will eventually turn a profit, but has not up to this point. So yes, I would agree that was a wrong decision. The blunder really is two fold...that they overpaid huge and it continues to compete directly with their regular customers.

    There's an old saying...You can dress up and put lipstick on a pig to go to the market, but underneath it's still just a pig.

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    Redhot Jumper "This is likely to go down as the most brutal year ever for store chains! ...........

    Quote Originally Posted by Lab Insight View Post

    One would hope a company that makes zero profit when acquired will eventually turn a profit, but has not up to this point. So yes, I would agree that was a wrong decision. The blunder really is two fold...that they overpaid huge and it continues to compete directly with their regular customers.


    Once the fusion of E and Lux is complete, they will control by far the largest pack of online opticals on a worldwide basis, from Europe to America and Asia.

    At this stage it is not a matter of profitability, it is a matter of organization and building up their online presence.

    "This is likely to go down as the most brutal year ever for store chains! By our count, retail companies have closed well over 5,000 stores so far in 2018, and that's looking only at the bigger chains. Smaller, regional retailers have shuttering stores, too."
    (https://moneywise.com/a/ch-a/big-cha...ng-most-stores)




    Chris Ryser
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    http://optochemicals.com............................. http://arcoatings.com

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    Who really give a crap about the chains? I sure don't. I support the little guys and girls out there.

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    Redhot Jumper I support the little guys and girls out there........................................

    Quote Originally Posted by Lab Insight View Post

    Who really give a crap about the chains? I sure don't. I support the little guys and girls out there.


    Chains have a much larger purchasing power and the *little guys and girls* have a relatively higher overhead, because of the service they provide.

    *Successful Online Sellers* have the purchasing power and a relatively smaller overhead, because they provide no personalized service, and provide way lower selling prices.

    The consumer does not realize that, but is computer savvy and flips his cell phone sitting on a bus or the toilette, to access information.

    If the little *guys and girls* could decide to change their charging system into separate items : (example)

    1) charge for the glasses sold = cost plus 30% markup

    2) charge for the service = 30 %

    3) charge for warranty = 15 %

    4) charge for various = 15 %
    ____________________________________________

    Total 100%

    That way the consumer could understand the way of the price calculation, and choose the items, with the professional selling very close to the online businesses.
    Chris Ryser
    ________________________________________
    DLO. NA.IC.I.T.PO

    http://optochemicals.com............................. http://arcoatings.com

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    Quote Originally Posted by Chris Ryser View Post
    Chains have a much larger purchasing power and the *little guys and girls* have a relatively higher overhead, because of the service they provide.

    *Successful Online Sellers* have the purchasing power and a relatively smaller overhead, because they provide no personalized service, and provide way lower selling prices.
    Correct. And both of these models are supplied by just 3 Canadian labs...

    One tries to spin it into a positive through 'philanthropy'.
    The other claims they are 'the ally of the ECP'.
    The last one claims they have 'no retail affiliation'.

    They all try to distance themselves from their affiliation with such, and is rather comical to see their response when you ask them about it. Just ask one of their sales reps and watch them tense up.

    The last lab has no rep but you will need a wheelbarrow for all the BS they will shovel.

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    Blue Jumper I would love to see some reaction by ECP retailers ........................

    Quote Originally Posted by Lab Insight View Post

    Correct. And both of these models are supplied by just 3 Canadian labs...

    One tries to spin it into a positive through 'philanthropy'.
    The other claims they are 'the ally of the ECP'.
    The last one claims they have 'no retail affiliation'.



    -----------------good post

    I would love to see some reaction by ECP retailers, but somehow they stay silent on the subject.

    They might get a surprise when the merging optical giants is going to happen after a lengthy holding period.

    See at: https://www.theglobeandmail.com/busi...longer-road-to
    Chris Ryser
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    http://optochemicals.com............................. http://arcoatings.com

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    Quote Originally Posted by Chris Ryser View Post
    -----------------good post

    I would love to see some reaction by ECP retailers, but somehow they stay silent on the subject.

    They might get a surprise when the merging optical giants is going to happen after a lengthy holding period.

    See at: https://www.theglobeandmail.com/busi...longer-road-to
    They sit silent for fear.

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    Redhot Jumper We have now officially entered a new age .............................

    Quote Originally Posted by Lab Insight View Post

    They sit silent for fear.

    ........................as the biggest merger in the optical retail trade is now history since yesterday, (see my post of yesterday in the Main Forum), everything expected before could now become reality.
    https://www.optiboard.com/forums/sho...a-final-merger

    The EssilorLuxottica corporation is now legally the super large combined total manufacturing + retail corporation on a worldwide basis, with a growing instinct to dominate and control the worldwide commercial optical trade in manufacturing as well as in the retail section.

    They operate and own now directly over 10,000 optical retail stores and have some major directing influence in some of the larger retail chains worldwide.

    They are now by very far the largest owners of the biggest batch of online opticals on the web, and will also be the largest competitor to the conventional retailer, by selling at rock bottom pricing and still be profitable because they are also the manufacturer.

    We have now officially entered a new age in the overall optical trade and will find out about changes that will occur in the future.
    Chris Ryser
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    http://optochemicals.com............................. http://arcoatings.com

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    Blue Jumper valuing the company at $1.75 billion ……………………

    Warby Parker Founders on Forging Their Own Path



    In this episode, BoB's chief correspondent in New York, Lauren Sherman, speaks to Neil Blumenthal and Dave Gilboa, the co-founders of the disruptive eyewear company Warby Parker, which closed a $75 million Series E funding round in March 2018, valuing the company at $1.75 billion. Market sources report the business now generates north of $250 million in sales annually.

    Since 2010,Warby Parker has disrupted the global eyewear market by offering a design-led alternative to old-fashioned and high-priced prescription glasses and sunglasses. Today, the company employs more than 1,400 people and operates over 75 retail locations across the United States. Its direct-to-consumer model and innovative store concept has since become an inspirational blueprint for incumbent players and disruptors alike, all around the world.




    Continue reading:

    https://www.businessoffashion.com/ar...their-own-path




    Last edited by Chris Ryser; 10-15-2018 at 01:55 AM.
    Chris Ryser
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    http://optochemicals.com............................. http://arcoatings.com

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    Quote Originally Posted by Chris Ryser View Post
    Warby Parker Founders on Forging Their Own Path



    In this episode, BoB's chief correspondent in New York, Lauren Sherman, speaks to Neil Blumenthal and Dave Gilboa, the co-founders of the disruptive eyewear company Warby Parker, which closed a $75 million Series E funding round in March 2018, valuing the company at $1.75 billion. Market sources report the business now generates north of $250 million in sales annually.

    Since 2010,Warby Parker has disrupted the global eyewear market by offering a design-led alternative to old-fashioned and high-priced prescription glasses and sunglasses. Today, the company employs more than 1,400 people and operates over 75 retail locations across the United States. Its direct-to-consumer model and innovative store concept has since become an inspirational blueprint for incumbent players and disruptors alike, all around the world.




    Continue reading:

    https://www.businessoffashion.com/ar...their-own-path




    But are they profitable??? If they were, one would question why they need to keep raising capital?

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    Quote Originally Posted by Lab Insight View Post
    But are they profitable??? If they were, one would question why they need to keep raising capital?
    Neal and Dave need more $ so they can invest in Tesla.

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    Blue Jumper Only investors with an eye for the coming future ........................

    Quote Originally Posted by Lab Insight View Post

    But are they profitable??? If they were, one would question why they need to keep raising capital?

    ....................we are at a turning point of the optical retail market worldwide.

    Only investors with an eye for the coming future would invest in a non profitable business, that is being built on totally new concepts.

    If Coastal made 400 million $, selling to Essilor, how much more could they get for the latest concept now growing ?


    Today, the company employs more than 1,400 people and operates over 75 retail locations across the United States.
    Obviously the owners of the WP are watching the development of the optical retail in general, and are banking for the near future of somebody going to enlarge their similar markets, or another optical giant will jump into the gap.

    Do not forget that Zeiss, Hoya and Rodenstock are closely observing the developments, which are not only in the USA and Canada, but worldwide.
    Chris Ryser
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    Quote Originally Posted by Chris Ryser View Post
    Chains have a much larger purchasing power and the *little guys and girls* have a relatively higher overhead, because of the service they provide.

    *Successful Online Sellers* have the purchasing power and a relatively smaller overhead, because they provide no personalized service, and provide way lower selling prices.

    The consumer does not realize that, but is computer savvy and flips his cell phone sitting on a bus or the toilette, to access information.

    If the little *guys and girls* could decide to change their charging system into separate items : (example)

    1) charge for the glasses sold = cost plus 30% markup

    2) charge for the service = 30 %

    3) charge for warranty = 15 %

    4) charge for various = 15 %
    ____________________________________________

    Total 100%

    That way the consumer could understand the way of the price calculation, and choose the items, with the professional selling very close to the online businesses.
    I still believe that the above pricing model isn't practical. Could that be why no one has admitted that they have implemented one similar?

    There was a frame company that priced their frames at 20% off that included a warranty or if you didn't want a frame warranty the frames were 40% off wholesale.
    That was in the late 90's early 2000's. The said company has been out of business for some time now.

    Regards,
    Golfnorth

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    Blue Jumper The one liners can not give service...........................

    Quote Originally Posted by Golfnorth View Post

    I still believe that the above pricing model isn't practical. Could that be why no one has admitted that they have implemented one similar?

    Thanks for your post. It has just been an idea of mine and that anybody can come up with a better or smarter one.

    However if the conventional retailer is not going to do anything to counter the growing trend and which is one of the main targets of the now largest optical corporation in their last yearly report, somebody will get some not so pleasant surprises in the near future.

    The one liners can not give service. The optician is there for service but includes everything into the selling price, and the patient pays ahead for the future.

    So it seems to me that the package could be itemized and your basic sale would be competitive to the one liners.
    Chris Ryser
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    http://optochemicals.com............................. http://arcoatings.com

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    Quote Originally Posted by Chris Ryser View Post
    Thanks for your post. It has just been an idea of mine and that anybody can come up with a better or smarter one.

    However if the conventional retailer is not going to do anything to counter the growing trend and which is one of the main targets of the now largest optical corporation in their last yearly report, somebody will get some not so pleasant surprises in the near future.

    The one liners can not give service. The optician is there for service but includes everything into the selling price, and the patient pays ahead for the future.

    So it seems to me that the package could be itemized and your basic sale would be competitive to the one liners.
    If anyone is using a different pricing model such as the one that Chris has outlined would they mind posting that they are?

    Many thanks,
    Golfnorth

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    Redhot Jumper I have now modified some of the text and post it on the General Forum................

    Quote Originally Posted by Golfnorth View Post

    If anyone is using a different pricing model such as the one that Chris has outlined would they mind posting that they are?

    Many thanks,
    Golfnorth

    Golfnorth ...............while this thread shows a lot of lookers and interest, there is not much posting done on it on other subjects.

    I have now modified some of the text and post it on the General Forum which has a lot more lookers, and maybe get some response I hope.
    Chris Ryser
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    http://optochemicals.com............................. http://arcoatings.com

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