Pearlvision Case Analysis

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Pearle Vision Stores growth rate

Pearle Vision Franchise Information by Entrepreneur.com https://www.entrepreneur.com/franchises/pearlevision/282671

About Pearle Vision by Luxottica on their website: http://www.luxottica.com/en/retail-brands/pearle-vision

as per these sites, As of December 31, 2015, Pearle Vision operated 118 corporate stores and had 423 franchises throughout North America.[pic 4]

Store count by Year:

[pic 5]

Source: Entrepreneur.com

Pearle Vision value proposition

As per today’s Pearle Vision website: “At every neighborhood Pearle Vision EyeCare Center across the country, we are always looking for ways to help you care for your eyes. And it’s why we guarantee each and every pair of eyeglasses and sunglasses we sell.”

It does not emphasize on eye care and eye health. In fact, it focused more towards eyewear.

New store designs

Pearle vision did try to unveil new store designs as per Mr. Kumar’s plan during 2013, but it did not seem to stick with it later.

Here are some news announcements during 2013:

On Sep 11, 2013 - 05:30 PM on Luxottica’s site: PEARLE VISION UNVEILS NEW STORE DESIGN AND CELEBRATES GRAND OPENING IN CLEVELAND

On Sep 11, 2013 by Chain Store Age site: Pearle Vision to unveil new store design

Kumar leaving Pearle Vision

In late 2013 Mr. Kumar left Pearle Vision as per below sites:

Srinivas Kumar profile by Bloomberg

Srinivas Kumar’s LinkedIn Profile

Vision care market growth in the U.S. and Luxottica Group grow growth

As per Pearle Vision franchise site, total market for vision care in the U.S is $39.8 billion, which went up by 13.71% over 4 years.

Luxottica Group also grew in last four years as per their financials by Google

[pic 6]

Source: Google finance:

Recommendation

It is clear that over the last four years Vision care market grew in the US and Luxottica Group grew but not Pearle Vision sores have continued to close. Mr. Kuma’s plans were not implemented. But there was clear evidence of Kumar’s findings and rationale.

Below are my recommendations as per above analysis and case:

- Update store design and environment to meet current trends.

- Improve customer service, relationship and value their time and voice.

- Create customer experience and raise the standards by providing employee training, employee care and improved business processes.

- Install more compelling and promising marketing to take advantage of all above programs. Regain the customer trust and brand image. Take advantage of today’s digital data and generate smart campaigns.

- Focus more towards Optometrist owned franchise as those franchises are more profitable. Provide more assurances to Franchises, and provide necessary incentives to attract Optometrists to own a franchise. Reassure the franchise owners by showing your commitment, robust process and training programs.

- Install committed leadership.

- Distinguishing the Pearle Vision brand with new positioning:

[pic 7]

Create a new sprit by changing or adding more tag lines such as

“Never compromise at Pearle Vision”,

“We care your eyes with look”, etc.

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References

- Pearle Vision Case paper from Harvard Business Publishing.

- Pearle Vision website: http://www.pearlevision.com/pv-us/why-pearle-vision/our-vision#box1

- Pearle Vison franchise website: http://www.pearlevision.com/pv-us/why-pearle-vision/our-vision#box1

- Pearle Vision LinkedIn page: https://www.linkedin.com/company/pearle-vision

- Luxottica website: http://www.luxottica.com/en/retail-brands/pearle-vision

- Entrepreneur.com https://www.entrepreneur.com/franchises/pearlevision/282671

- Google finance:

- PEARLE VISION UNVEILS NEW STORE DESIGN AND CELEBRATES GRAND OPENING IN CLEVELAND: http://www.luxottica.com/en/pearle-vision-unveils-new-store-design-and-celebrates-grand-opening-cleveland

- Pearle Vision to unveil new store design: http://www.chainstoreage.com/article/pearle-vision-unveil-new-store-design

- Srinivas Kumar profile by Bloomberg:

- Srinivas Kumar’s LinkedIn Profile: https://www.linkedin.com/in/srinivas-kumar-a377233