News

Executive Change on Tap for VSP Global

VSP Global—the umbrella under which operate the largest vision insurance provider in the nation, a lens technology group, Marchon Eyewear, and practice management program Eyefinity—will get a new leader this fall. Jim McGrann, currently president of VSP Vision Care, has been appointed president and CEO of VSP Global effective October 1, 2015. He will succeed Rob Lynch, who has served as CEO since 2006 and has announced his retirement.

“Rob Lynch has been a transformational leader for VSP. He retires having laid a strong foundation for the future of our company and I am pleased that he will be continuing as a member of our Board of Directors,” said Randy Lee, O.D. and VSP Global Chairman of the Board. “Jim McGrann has a clear vision for the future of VSP and the board is unanimously confident that he will maximize the opportunities that lay before us.”

Jim McGrann, incoming president and CEO

Rob Lynch, retiring CEO

In more than three years as head of the vision care benefits division, McGrann has overseen the growth of membership from 56 million to 75 million, has facilitated the expansion of VSP’s insurance offerings into Great Britain and Ireland, and has grown the division’s revenue from $3.2 billion to a projected $4 billion by year end.

Prior to joining VSP Global in 2008 as president of Eyefinity, McGrann served as senior vice president and chief information officer at Marchon Eyewear, Inc. In 2010, he became VSP Global’s chief technology officer and CEO for Eyefinity. In 2012, he became president of VSP Vision Care.

McGrann assumes the role of a more diversified company than the VSP Global Lynch took the reins of in 2006. Lynch has overseen the evolution of VSP into a vertically integrated global company by executing more than 30 different acquisitions, the largest being Marchon Eyewear, Inc.

VSP Global businesses include not-for-profit VSP Vision Care; Marchon Eyewear Inc.; Eyefinity; VSP Optics Group; and VSP Retail, delivering consumer experience through a variety of channels that meet the diverse needs of VSP customers. VSP Global businesses operate in 100 countries on six continents.

Luxottica to Invest in Retail

luxottica Group plans to strengthen its retail and ecommerce channels, including investing 1 billion euro in opening or remodeling LensCrafters stores across North America.

Presenting its first quarter 2015 earnings to its shareholders, Luxottica Group reported “outstanding” results of a 22% increase in adjusted sales, the best ever achieved in the history of the Group, according to the company.

Luxottica’s new leadership, including co-CEOs Massimo Vian and Adil Khan, has started to implement organizational changes in key businesses and geographies, with the goal of further integrating the Group’s operations and making the growth strategy even more effective.

According to Luxottica, its strategic priorities include growing share in emerging markets, developing and expanding the brand portfolio, and strengthening retail and ecommerce channels.

The positive performance of Sunglass Hut, coupled with the recent significant improvements of LensCrafters in North America, have accelerated the plan to invest approximately 200 million euro per year for the next five years (totalling approximately 1 billion euro) to open or remodel stores. Before year-end, a new LensCrafters format will be launched in North America, with the plan of progressively rolling it out in 2016, the company reports.

The positive results of Ray-Ban.com, Oakley.com, and SunglassHut.com have inspired a reflection on what is the best strategic and organizational formula to transform ecommerce into a structural growth driver with the ambition of becoming a relevant part of the Group’s revenues in the mid-term.

EDUCATING CONSUMERS ON UV

The Vision Council is educating consumers about the serious eye risks from exposure to the sun’s ultraviolet (UV) rays with the release of its new report, “Protection for the Naked Eye: Sunglasses as a Health Necessity.”

The report, released to 250 consumer reporters and editors, finds more than 25% of U.S. adults rarely or never wear sunglasses, and nearly two-thirds are unaware of the link between UV exposure and serious eye diseases such as cataracts and age-related macular degeneration. An abbreviated overview of the report was also shared with long-lead magazines in March of this year, promoting story ideas and supplements for their summer issues.

The release of the report supports The Vision Council’s many UV protection activities, including an ongoing partnership with Lifetime Fitness as well as a widespread National Sunglasses Day campaign. The Vision Council has utilized National Sunglasses Day as a launching point for its UV campaign, promoting this major nationwide initiative through media briefings, social media, and a petition asking consumers to pledge to wear sunglasses on June 27.

For eyecare practitioners and optical retail outlets, The Vision Council has created an online portal to provide marketing materials to use in promoting the use of UV protective sunglasses, increase sales of Rx and non-Rx sunglasses, and raise awareness of National Sunglasses Day. There is also a downloadable infographic, featuring many of the findings of the report, that can be used in social media or in-office messaging. The report is available for download at the website.

INFO: thevisioncouncil.org/2015UV

Where We’re Headed

at Vision Expo East, three industry leaders shared insights into tomorrow in a “State of the Industry” address. Here’s some of what Julian Gangolli (president, North America, Allergan), Howard Purcell, O.D., FAAO (senior vice president of customer development, Essilor of America), and Holly Rush (president, Luxottica Wholesale North America), shared with attendees and moderator Kirk Smick, O.D. EB was the media sponsor for this event.

JULIAN GANGOLLI

INCREASING DEMAND

By 2020, there will be 22 million more Americans ages 45-64, and 20 million more over age 64.

“A range of conditions are going to increase dramatically. Three million new glaucoma patients will be in offices by 2020.”

HEALTHCARE REFORM

“With the number of ophthalmologists required to service communities vs. the number coming out of school, there is a gap…that will allow optometrists to assert themselves as the primary eyecare professional.”

MEDICAL OPTOMETRY

“In 2005, $200 million of pharmaceutical Rx’s were written by O.D.s. By 2016, it will be $2 billion. That is impressive.”

HOWARD PURCELL, O.D.

OPTIMIZATION

“Assessment of visual performance will rock your world over the next 10 years. Instead of normalizing vision, we need to look at optimizing it!

CUSTOMIZATION

“The consumer doesn’t get the fact they’re buying beautiful frames and lenses—and out comes a wooden stick and sharpie. You have tools to take many more measurements, and…we have the lenses to customize and take advantage of them.”

VIRTUAL REALITY

“In the exam room of the future, there is no stand or chair. Mrs. Jones drives the kids to school, plays tennis, and uses a computer. When she comes to your office you use virtual reality to examine her virtually on the court, at the wheel, on the computer. There will be totally customized product.”

HOLLY RUSH

“How we make connections with our consumers for life is the answer to growth in the industry. “

OPPORTUNITY

“138 million Americans have never had an eye exam. That’s one in three. And, over the course of a child’s life, they will visit the dentist 160 times, but the optometrist only 16 times.”

CONVERSION

“70% of all comprehensive exams are done in the optometrist’s office, yet only 44% of purchases are made [there]. That is a huge gap and it’s centered around the consumer experience that the patient is not getting in the office.”

VALUE

“There’s a lot left on the table today, and you’re missing an opportunity to give your consumer a premium eyewear experience and to start talking about something important that is both medical and business—UV protection and premium sun.”

News from the West

{THE VAULT}
FIRST IN FASHION

Elsa Schiaparelli was an Italian fashion design considered to be—along with rival designer Coco Channel—one of the leading designers during the period between the two World Wars. She started her House of Schiaparelli in the 1930s and enjoyed much success in clothing, jewelry, and perfume design, until Word War II changed the mood of fashion and she moved to New York. After the Occupation, she returned to Paris and expanded her American market with licensing agreements. During this time, she collaborated with American Optical of Southbridge, MA, to create the first designer frame line, The Schiaparelli Collection (also known as Schiaparelli Lunettes).

The ornate ophthalmic and sunglass collections were noted for their elegant designs and use of gem stones. The line consisted of 36 models which could only be sold by selected retailers, who could occasionally borrow four “presentation models” made with precious metals and gem stones for their store windows. Problems developed when retailers who bought the original collection and became authorized dealers were not AO’s better customers. The line was eventually discontinued.

Interestingly, back in 1983, the now-defunct Optical Museum had one of the only known remaining presentation frames, made of iridium platinum and encrusted with 201 diamonds, appraised at more than $100,000 at the time. The frame went missing when that museum closed, and has never been recovered.

An exhibit dedicated to Schiaparelli Lunettes is now on display at the Optical Heritage Museum in Southbridge, MA.

INFO: opticalheritagemuseum.org

A page from a Schiaparelli Lunettes catalog

Just part of the Schiaparelli exhibit at the Optical Heritage Museum

An Exchange of Information

Vision Source, North America’s largest independent optometric alliance, welcomed more than 3,000 member doctors, staff, and vendors to its national meeting, The Vision Source Exchange, held April 29-May 2 at the Phoenix Convention Center. The theme was “Connection, Passion, Purpose.” It was the largest meeting in the 24-year history of the Exchange.

The event featured complimentary CE courses and nearly 200 exhibitors showing new products and innovative technologies. Featured among the exhibits was The Optical Dream, an exclusive Vision Source program that provides online training and incentives for optical staff to learn techniques to increase patient satisfaction and optical revenue.

Comedian Frank Caliendo was a keynote speaker, as was Robert X. Fogarty, a photographer and founder of “Dear World,” a project utilizing messages on skin to tell stories of his subjects, which have included survivors of the Boston Marathon bombing, and Hurricane Sandy. Eyecare Business contributor Travis Reed also spoke at the meeting.

1. Vision Source executives Jim Greenwood, left, and Derrick Artis; 2. Mark Kapperman, O.D., a Vision Source member, participating in Robert X. Fogarty’s “Dear World” photography project; 3. A glimpse of the action on the exhibit floor

On the Town

A who, where, and when of the industry’s latest events

ANGLING FOR ADVENTURE

Kids by Safilo, on behalf of Safilo Group, sponsored the Breakfast with Optometry’s Champions during The American Optometric Association’s Congressional Advocacy Conference that was held April 12-14 in Washington, D.C.

More than 500 influential AOA-member doctors of optometry and students attended this conference to focus the national spotlight on the profession and help advance optometry’s top priorities. Bruce Abramson, director of brand management, proprietary brands, Safilo North America, made a five-minute presentation to the audience about the recently launched Kids by Safilo optical collection—designed with a medical scientific approach for 0- to 8-year-olds.

Safilo’s Bruce Abramson at the breakfast in Washington, D.C.

SOHO FANTASTIC

The twin Canadian designers, founders, and owners of Dsquared2, Dean and Dan Caten, welcomed the who’s who of the Big Apple at their first New York boutique located in Soho at 402 West Broadway for an exclusive cocktail reception, followed by a private dinner at Indochine.

Upon entering the two-level flagship store, visitors are greeted by a wall fixture of sunglasses in vibrant colors and shapes from the latest Dsquared2 Eyewear collection by Marcolin.

Guests included music artists Mary J. Blige and Laura Love; fashion models Chanel Iman, Tyson Beckford, Inga Kozel, Fei Fei Sun, Rianne Ten Haken, Cory Bond, Miguel Iglesias, Daphne Groeneveld, Mina Cvetkovic, Irina Shayk, stylist and fashion director Jackie Astier, entrepreneur Lorenzo Martone, and Stefano Tonchi, editor-in-chief of W magazine.

Dan (left) and Dean Caten flank singer Mary J. Blige at the opening

A wall of sunwear at Dsquared2

FYI...

News bits from the industry

{PEOPLE}

Transitions Optical, Inc., has promoted Sherianne James to vice president, marketing, and John Ligas to vice president, R&D. James joined Transitions in 2011 as director of global consumer and professional insights and was director of North American marketing before being promoted to director of global marketing in 2014. Ligas joined PPG’s chemical division as a technician in 1973 and moved up the ladder to director, product leadership team for Transitions and then to director, R&D, in 2008.

Sherianne James and John Ligas, Transitions Optical, Inc.

John Nides, Ogi Eyewear

John Nides has been appointed vice president of sales for Ogi Eyewear. He has been with Ogi for eight years, beginning as national sales manager for Scojo New York, and leading the development of innovative sales and marketing strategies across multiple channels of distribution.

Kering Eyewear has appointed Fernando Silva vice president of Sales for North America for the three Os and optical key accounts. For the past 20 years, he has served as president of Marca Eyewear, based in Toronto, acting as the master agent for Marcolin brands, Alain Mikli, Moncler, and other high-end collections.

Michael Monteferrante, president and CEO of Envision, has been elected to the Board of Directors of the National Association for the Employment of People Who Are Blind (NAEPB). Monteferrante was also elected to serve as the vice chair of the Strategic Planning Committee for the board.

REM Eyewear announces the addition of Keith Kamalich to its executive team as vice president of sales. Kamalich brings more than 26 years of optical and manufacturing experience to REM. Prior to joining REM, Kamalich spent15 years tenure at Tura Inc., serving as vice president of sales and executive vice president.

Kenmark announces the promotion of Katelyn Rademacher to marketing director. She joined Kenmark as global brand manager in 2013, and was instrumental in the launch of Zac Posen Eyewear.

Julio Maldonado has joined Visionix Inc. as product manager for the Visionix line, He was in clinical operations before spending the last 10 years at Latham & Phillips Ophthalmic (LPO). He will continue to be based at LPO, and have input into sales operations for that division as well.

{AWARDS}

Satisloh has expanded its portfolio of blocking and deblocking machines that feature Alloy Replacement Technology (ART), and was honored with Germany’s Federal Ecodesign Award. ART enables blocking and deblocking using synthetic materials, an environmentally friendly alternative to the traditional blocking process that uses hazardous heavy metal alloy.

William A. Monaco, O.D, MSEd, PhD, FAAO, associate dean of Salus University’s graduate programs in Biomedicine and associate director of public health programs, has received the Orion Award from the Armed Forces Optometric Society (AFOS). The award recognizes AFOS members who have made the most significant contributions to the Society and the study of optometry.

Liberty Sport and Prevent Blindness honored 12 eyecare practices as “Sports Eye Injury Prevention Center of the Year” for their strides in growing awareness of, and contributing to, the reduction of sports-related eye injuries within their respective communities. Winners are: Accurate Eye Care, Manalapan, NJ; Belill Eyecare of Clio, MI; Buena Vista Optical, Chicago; Envision Optics, Brooklyn, NY; Frontier Family Vision, Naperville, IL; Heffington Optical, Springfield, MO; Hero Management, Colorado Springs, CO; Linden Optometry, Pasadena, CA; Pediatric Eyecare, Overland Park, KS; University Optical, Omaha, NE; Young Eyes, Baltimore, MD; and Your Eyes, New Britain, CT.

{BUSINESS UPDATES}

First Insight Corp. announces its MaximEyes software is now ICD-10 compliant. It has also released an intuitive embedded ICD-10 Selection Tool that provides dynamic search capabilities for both ICD-9 and ICD-10 codes, and unifies the code selection process.

OptiSource is the exclusive distributor of CliC Optical, featuring CliC magnetic readers with a magnetic front connection.

Luxottica Wholesale North America is creating dedicated teams focused on the optical and premium sun markets. Ludo Ladreyt has been appointed to the newly created role of senior vice president, sales, for the North American optical channel. Leading the further development of the premium sun category, Peter Guthy, vice president of sales for department stores, will now also oversee the boutique, premium and ecommerce channel for Luxottica.

1. Katelyn Rademacher, Kenmark Optical; 2. Keith Kamalich, REM Eyewear; 3. Ludo Ladreyt and Peter Guthy, Luxottica

{SOLUTION}

Below is the solution to the crossword puzzle in this issue’s Back to Basics article, page 72.