Lenskart makes access easy, grows by leaps and bounds

Delhi-based start-up Lenskart is defying the trend of lower valuations. Recently it saw its valuation triple to Rs 1,700 crores when it raised Rs 400 crores in a new round of funding led by International Finance Corporation (IFC). The likes of Ratan Tata, Chairman Emeritus of Tata Sons and S Gopalkrishnan, Co-founder of Infosys, also invested in this funding.

Lenskart is one of the top eyewear firm in India. It sells 5,000 spectacles in a day. The other firm, Titan Eye Plus, which has 400 outlets, is the leader in the industry.

Lenskart was found by Peyush Bansal and Amit Chaudhary in 2010. It started as an online venture but recently switched to an omni-channel approach to make eyewear available online, in high street, malls and hospitals and homes. It received funding to the tune of USD4 million in 2011 through venture capital firm IDG Ventures, which invested in Valyoo Technologies, the owner of Lenskart. Unlike in the West, eyewear market is niche in India though it has the potential to become mass. Bansal points out that most people don’t go for eye check up till it becomes essential. According to a study, nearly 530 million people in India need spectacles but only 170 million wear them.

The eyewear market in India is worth Rs 20,000 crores and it is growing at 15 percent a year. However, there haven’t been many start-ups in the segment because it is a complex business and cannot be distributed easily. Also, it is about trust because customers would like to go to somebody who can give them the correct lenses. Lenskart has introduced eye check-ups at home and offline stores.