Specsavers' Doug Perkins (left) and New Zealand managing director Graeme Edmond at the Takapuna Store. Photo / Paul Estcourt
Specsavers' Doug Perkins (left) and New Zealand managing director Graeme Edmond at the Takapuna Store. Photo / Paul Estcourt
KEY POINTS:
International optical group Specsavers is committing an initial $20 million in its bid to become New Zealand's leading eyewear retailer.
It launched its first six stores yesterday, and aims to have 20 by March, and 30 by the end of next year.
Co-founder Doug Perkins said the marketcould ultimately have between 50 and 60 stores.
He expected Specsavers, which he started with wife Mary in 1984 from their spare bedroom in Guernsey in the Channel Islands, to become the second-largest player in New Zealand in its first year, and to reach the top spot within five.
The group is the world's third-largest optical group and the fastest growing. Revenue for this year is forecast to top $3 billion, up from $2.5 billion last year. Perkins said the company had succeeded by delivering a large range of fashionable glasses at low prices, something he believes New Zealand consumers will embrace.
Strong demand in Australia has already seen the group open 140 stores across the ditch this year.
"In Australia we witnessed the fastest growth we've ever experienced in any country to date, which was telling as prices there were the highest we had encountered. Given New Zealand prices are just as high as they were in Australia a year ago, we're expecting a similar response."
Perkins expected his arrival would eventually double the size of the New Zealand eyewear market, estimated to be worth around $285 million.
The removal of the affordability barrier would lead to the introduction of a stronger fashion element to eyewear.
But Perkins said New Zealand was a "disengaged market", best exemplified by the number of people resorting to department store ready-readers, rather than custom lenses from an optometrist.
Price meant prescription eyewear was still a grudge purchase, he said.
An optometrist himself, Perkins said eyewear needed to be affordable to improve overall eye health.
Among the top 100 eyewear companies globally, Specsavers was the only one that was optometrist-led. The rest were not, he said. "That's like having your doctors or dentists owned by venture capitalists."
The New Zealand operations will be led by health industry veteran Graeme Edmond.
