‘Real security comes from being confident, audacious and competitive, lowering operating costs and contracting reasonable level of debts’
The world for the first time is facing the unknown enemy in the form of Covid-19. Few lessons we have learnt dates back to ancient Indian scriptures. Our role as humans is to do the best that we can in whatever sphere we are in and leave the results to destiny. This period of uncertainty would also come to an end. As mentioned in The Bhagavad Gita – Everything in life comes and goes. We have no control over it.
In the above context the optical industry faces as like any other sectors, issues which are frustrating and problematic since this pandemic hit us unexpectedly. The goals each organisation has set as business objectives has been frozen. This has led to fear, confusion and helplessness. This reminds me of a quote by Dr. G. Venkataswamy- Founder of world acclaimed institution Aravind Eye Care System – “Intelligence and capability are not enough. There must be job of doing something beautiful.” Time for all us to see the world differently.
As independent opticians or for family managed chains of stores, there is an influencer advantage. Their personal involvement in the business and hands-on experience will be beneficial during such turbulent times like what we face today. The organized and corporate Indian chains are also contributing to the growth of the industry. The problems faced by the opticians even before the corona set in were low footfalls, too many offers to entice customers, high rentals for retail space, retention of skilled manpower, ticket size dropping etc .
Now with this how do we tackle this in larger proportion post Corona lockdown? Adapting to a changing business environment, will be key in this post lockdown period wherein the footfalls may be hit for couple of months. The opticians must look at new product offerings that are more focused towards health. Cash is the king and during this period one must look at liquidity closely. I draw a famous quote by Mr. Adi Godrej – “Sales is Vanity, Profit is Sanity and Cash is Reality”
Optometry practice needs to be highlighted in the stores more than ever before while communicating to the health conscious seekers. I believe that in the next 3 to 4 months offers may not entice customers but value proposition would. While the ticket size would come down, the key would be how the trade can maintain margins to partially start recovering the lost sales and thereby margins during the closure. Easier said than done but consciously the industry must be observant of stocks in hand and sell out will be the new mantra for all retail formats.
I wish to end with a quote from the book “Why we should trust Global Entrepreneurs” authored by Mr. Xavier Fontanet-Former Chairman of Essilor International published in 2011, yet very relevant even today – Real security comes from being confident, audacious and competitive, lowering operating costs and contracting reasonable level of debts. It is for all in the value chain to face this in challenging times be it manufacturers, wholesalers, retailers, online players alike.
