08/22/2024 – 10:00
“Wisdom is like glasses, only with time do we realize their true usefulness.” The phrase attributed to Clarice Lispector reflects the vision of the aging process. This is precisely one of the pillars of growth in the optical market: the aging of the population.
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The other is the increase in childhood myopia. Increasingly present in the Brazilian population, these factors paint a scenario of growing and continuous demand for manufacturers and sellers of prescription glasses. Amid these macroeconomic trends, the sector presents itself to the market as one of the most enduring and with a promising horizon that extends far beyond the present.
Founded 178 years ago in Germany, the Zeiss Group has been operating in Brazil since 1913, but it was in the last 20 years that the company has deepened its operations in Brazilian retail and is competing for its space in the optical market here. In global terms, the group is a leader and global reference in the optics and optoelectronics sector.
Its main business fronts include:
• the manufacture of high-precision corrective lenses,
• photographic and cinematographic objective lenses,
• surgical equipment and medical technology,
• solutions for biomedical research,
• semiconductor, automotive and mechanical industries.
With over 43,000 employees and annual revenues exceeding 10 billion euros (R$60 billion) in the last fiscal year, the German company operates in over 40 countries, with around 40 production units, more than 50 service and distribution centers and four R&D centers. Its headquarters are in Oberkochen, Germany.
In Brazil, it has a manufacturing plant in Petrópolis (RJ), where it employs 750 people and produces a large part of the lenses for the national market.
According to data from the Brazilian Association of Optical Industries (Abióptica):
• the Brazilian market moves R$ 12 billion annually,
• but it is still very pulverized,
• with around 44 thousand stores in the segment spread across the country,
• only 6 thousand of them belong to large groups (Diniz, Carol, among others).
In this scenario, Zeiss sees a great opportunity for growth. For now, there are 152 stores in Brazil, but the trend is to grow. According to Marcelo Frias Jr., director of franchises at Zeiss, the idea is to reach 165 units by September 30, when the company’s fiscal year ends, and 180 by December.
With 18 years at Zeiss, Frias knows the market well. According to him, Brazilian consumers are among those most concerned about product quality.
“Unlike a clothing store, although it is also a fashion item, the motivation for purchasing is different; consumers prefer the brand they feel most confident in. A survey showed that 46% of the Brazilian population is, in fact, concerned about their visual health, while in Germany, where Zeiss is based, this number is no more than 28%,” he said.
This concern was one of the factors that prompted the company to compete in the retail sector. “Even though our product is more expensive than average, its quality, reliability and installment payments often make people choose us,” he said.
In the Brazilian eyeglass lens market, Zeiss ranks second in market share, with 18%, but when it comes to a market share, Frias points out that Zeiss has a market share of 28%, which is where it competes with other global giants, such as Essilor and Hoya, in multifocal lenses that cost between R$800 and R$14,000. “Eighty percent of simple lenses come from China, where stores pay R$8 and sell them for R$70,” he said.
Franchises
All Zeiss stores are franchises. According to Frias, the company’s policy is not to have its own stores so as not to compete for customers.
Of the current 152 stores, 99% belong to people who were already in the optical industry, and most of them already have more than one franchise. “These are people who already have the know-how of the sector,” said Frias.
The group, however, continues to invest in training its franchisees. “It is a growing market, but one that does not allow for complacency. Our difference is that we have a more technical service protocol, which makes the customer feel more confident about their purchase and provides spectacular returns. Consumers are willing to pay more for quality, so I see that Zeiss can easily double its current number of stores in the coming years, because it has the public,” he added.
Opening a Zeiss Vision Center franchise requires, on average, between R$800,000 and R$1.2 million from the interested party.
• Of course, the location and size of the store are taken into account.
• There is a R$99 thousand franchise fee,
• another R$240,000 in store measuring equipment, all manufactured by Zeiss,
• approximately R$300,000 in frame stock,
• and the construction cost, which varies from R$2,100 to R$2,300 per square meter.
The payback period for a franchise is 18 months, but Frias pointed out that most units reach the mark in about 14 months. “In the last seven years, only two stores have closed, the commercial performance is very good, the operational breakeven is 5 months, and the average ticket for a Zeiss Vision Center is 28% higher than a normal optical store,” he concluded.
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