LensCrafters 2003 Annual Report Download - page 11

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(2) EyeMed Vision Care is Luxottica Group’s managed vision care division in North America
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LENSCRAFTERS HIGHLIGHTS
Since opening its first store in Florence, Kentucky, in 1983, LensCrafters has grown to become the leading optical
retail chain in North America in the medium to premium price segments. From its earliest days, exceptional customer
service set LensCrafters apart from the competition. Today, customers experience a wide selection of fashionable
frames, the latest lens technology and quick, convenient service.
Stores - As of December 31, 2003, LensCrafters operated 877 stores in the U.S. and Canada. During the year,
LensCrafters opened 22 new stores, entering new markets such as Albany, Georgia; Sioux Falls, South Dakota; and,
Idaho Falls, Idaho, while closing 27 stores and relocating seven more. Similarly, during the year LensCrafters
continued to update its stores by remodeling 31, up from 26 in 2002, and plans to update approximately 30 more in
2004.
Customer Service - 2003 brought significant advancements in customer experience. After market research,
LensCrafters moved to clarify its target market. This research launched a new company-wide program, Smart Service.
Smart Service identified four key areas to focus customer service on: Guidance, Honesty, Knowledge and Respect.
Customers also benefited from the latest lab technology. By the end of the year, the company neared completion
of the Pattern-less Edgers rollout to all stores. The Pattern-less Edger is a machine that traces the exact pattern of the
customer’s frame and shapes the lenses to fit the frame more accurately. Also, a four-year program to update the
point of sale system, EyeNet, was completed in 2003. EyeNet allows quick and easy access to a customer’s records
regardless of which store they choose to shop. Since EyeNet was launched, it has delivered business benefits in the
areas of associate productivity, chain-wide customer data access, improved EyeMed Vision Care(2), processing,
improved system flexibility and enhanced reporting techniques.
Since 1988 LensCrafters has been tracking customer satisfaction scores. In 2003, for the first time a LensCrafters
store achieved a perfect 100 percent Customer Satisfaction (CSAT) score. Company-wide, CSAT scores for 2003
were 87 percent, reaching an all-time high.
Product - In addition to offering a wide-range of non-Luxottica Group frames, LensCrafters continued to realize
the benefits of offering a diverse selection of high quality Luxottica Group frames. The most popular selling brands
continued to be Luxottica Group’s Brooks Brothers and Anne Klein collections, plus new brands such as Prada and
Versace, for which Luxottica Group signed important license agreements in 2003.
moving the service area toward the front of the store, clear and simple signage and backlit displays to improve
product presentation. The contemporary, stylish format expresses OPSM as a modern, innovative retailer.
To improve efficiencies, in 2003 a new point of sale system called “Focus” was implemented in stores in Australia
and New Zealand, placing all stores on a common technology platform. Additionally, new technologies were
introduced to streamline processes, maximize efficiencies and improve customer communication, including the
opening of OPSM’s new centralized lens and frame processing facility in Sydney.
LUXOTTICA RETAIL NORTH AMERICA
During 2003, in North America Luxottica Retail continued to build upon the strength of the LensCrafters, Sunglass
Hut International, Watch Station and Watch World brands, and capitalize on synergies to create a customer
experience second to none.
The company began the year by establishing one common Mission, Vision and Values. Every associate of
LensCrafters and Sunglass Hut International became unified under one set of beliefs and values while preserving each
brand’s unique, individual identity. Through the combination of internal communications, associate interaction, training
and recognition programs, the mission, vision and values were continually used to focus and energize the
organization.
We are a diverse, growing family
of associates, customers and others
working together
to make a difference in people's lives
Mission: Our Mission is to Serve and Inspire with Excellence
Vision: Our Vision is to be the Retailer of the Century
• the Best Place to Work, Shop and Invest
• the Best at Helping the World See
Values: Uncompromising Integrity, Respect, Teamwork, Trust, Quality, Fun, Innovation
As part of the ongoing quest for efficiencies and cost savings, in 2003 LensCrafters’ distribution center, based in
Cincinnati, Ohio, merged with Sunglass Hut International’s North American distribution center based in Atlanta,
Georgia. The Atlanta facility, which now serves both LensCrafters and Sunglass Hut International’s North American
stores, utilizes a more advanced automation system that allows for streamlined, more efficient distribution of product.