Specsavers

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While the launch of Specsavers was expected considering both of them were optometrists, Mary said that she along with Douglas had set up the company since she felt that buying spectacles was an intimidating process. Moreover, spectacles were very expensive. This, she said, made her feel frustrated. She decided to do something about her frustration and launched Specsavers with the stated aim of offering stylish spectacles at affordable prices. According to Mary, “[Previously], you didn’t have big showrooms where you walked in and tried on glasses, and sort of wandered around. You walked in, saw a receptionist, who said take a seat, saw the optician, who tested your eyes and then helped you choose your glasses...

Specsavers began its international expansion by launching a store in the Republic of Ireland in 1990. The company then set up its store in The Netherlands in 1997. This was followed by launching of stores in Breda and Gouda. In 1999, the company reported that it had recorded group sales of £ 132 million. Meanwhile, the company also focused on its domestic operations by launching 50 new stores in the UK, generating employment for nearly 200 people in the process. By the end of 2002, it had 500 stores in the UK and 10,000 employees in the UK and Europe. For the same year, group sales stood at £ 490 million. In April 2004, Specsavers entered the Sweden market by acquiring Sweden-based optical chain Blic. It had 34 optical chains. After the acquisition, the stores were renamed as Blic Optiks. In July 2004, it acquired another optical chain Två Blå that had 19 optical chains...

Specsavers attracted some controversy after it condemned Glasses Direct for launching an online optical store in July 2004. Douglas had opined that the online store would threaten their survival. Douglas, who was on the Companies Committee of the General Optical Council (GOC), had even tried to block James Murray Wells (Wells), owner of Glasses Direct, from the GOC election. Douglas also wrote to Specsavers’ staff asking them to choose a staff member from any of the company’s branches to stand against Wells in the elections. Subsequently, Wells withdrew from the GOC election. The Companies Committee said that online sale, could pose a risk to ‘public safety’ while the GOC said that “the supervisor must be able to exercise their professional skill and judgment as a clinician [when selling prescription glasses].” Wells maintained that his company had launched an online store to keep its overheads low. The company offered spectacles at £ 3- £ 4 for simple ones or at £ 7 for more complex ones....

Despite its market leadership position in the UK optical market, Specsavers’ position was threatened by the growing number of supermarkets that offered opticals at affordable prices. The company planned to fend off rapidly increasing competition from supermarkets through its aggressive expansion. In 2002, Specsavers announced the opening of 70 new outlets in the UK, creating jobs for nearly 1,000 people. According to Douglas, “Supermarkets are being hailed as the biggest threat to high street opticians but we believe we can go head to head with them on price and choice, which is illustrated by the huge increase in customers who value our local, trusted expertise and advice, along with quality of lenses.”...

In early 2009, Specsavers reported that it had 1,318 stores across the UK, the Netherlands, Republic Of Ireland, Finland, Norway, Sweden, Spain, Denmark, New Zealand, and Australia. By expanding its retail presence in the UK, North America, Asia, New Zealand, and Australia, Specsavers planned to achieve its target of having 2,000 stores and £ 2 billion revenue by the end of 2011. Mary planned to open 30-40 stores a year in the UK. In addition to its success in the UK market, Specsavers’ performance in other markets was equally appealing. Mary attributed the success of the business to differentiation and ‘staying one step ahead of the competition’. She also laid stress on value and service ...

Exhibit I: List of Awards and Accolades Received by Mary
Exhibit II: List of Trusted Brands

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