Lenskart - The Next Maruti Suzuki & The Shocking Truth

Welcome to the 18th edition of the Post-Purchase Profits. Every Tuesday & Thursday I write a piece on startups & business growth. Today’s piece is going to 1400+ leaders from startups like Google, Stripe, Swiggy, Razorpay, CRED & more

Lenskart posted ₹ 3,788 Cr revenue in FY 2023 💰 It owns ~6% of ₹ 40,000 Cr eye wear market 😳

How it plans to be "Maruti Suzuki" of eyewear ⬇️

An Actual Story - 2010 🗓️

India's eyewear market was once dominated by millions of small and medium-sized stores. At that time, Jio didn't exist, the internet was costly, and online shopping was a foreign concept. Purchasing eyewear online seemed unimaginable.

Lenskart's entry to market ⚡️ It all began with contact lenses as their initial product—an obvious choice. This product category was new to the Indian market and viewed as a luxury. Lenskart perfected this offering and then ventured into the challenging prescription eyewear sector.

Fast forward 2023 ✨ The eyewear market has expanded from ₹20,000 crore in the early 2010s to double that in the following decade—Lenskart aims to capitalize on this growth.

How Lenskart is learning from "Maruti Suzuki" ⬇️

First/ Maruti 800's competitive edge 🚙

Cars made during that period often had issues with maintenance. The first Maruti model addressed this issue brilliantly. Similarly, Lenskart's contact lenses offered a significant advantage over other products available at that time.

Second/ pricing as core lever 💵

Maruti revolutionized affordable car pricing by introducing a vehicle priced at Rs. 45,000 at a time when owning a car was a dream for most Indian families. Similarly, Lenskart made eyewear widely accessible with its 1+1 offer, making glasses a common purchase.

Third/ constant incremental changes 🧩

After launching its first car, Maruti introduced an aerodynamic version within two years—a remarkable feat. Lenskart follows a similar strategy with sub-brand launches like Vincent Chase, Lenskart Air, and John Jacobs.

Fourth/ end to end problem solving 💙

Maruti addressed the supply chain challenges in India's car industry, which was essential for scaling up. Lenskart mirrors this by enhancing its supply chain across design, manufacturing, logistics, and retail.

Fifth/ branding in commodity market ⭐️

As the automobile sector grew, Maruti focused on brand building rather than just selling features. In the same way, Lenskart has transformed eyewear into an aspirational brand for the mass market.

Sixth/ riding the positioning wave 🌊

When the late Indira Gandhi handed over the first Maruti to an Air India employee, Maruti recognized the importance of positioning. Likewise, Lenskart capitalized on a single season of Shark Tank to sell thousands of "Hustlr" series glasses.

Brand is the core lever for competitive categories ♥️

Especially in the eyewear industry, where product quality differences are minimal, focusing on brand elements within the product is crucial. Often, we dismiss this as just the marketing team's responsibility, but that's a big mistake.

Challenge your product teams - What key brand factors are they influencing this quarter? It's time to ask some critical questions.

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