1. LensCrafters: From Brick to Click William Aramony Andrew Ardini Kerwin Bailey Todd Burach Leonard Carter Jr. Emily Chapman

2. Industry Summary Brick and Mortar: LensCrafters, Eye Care Centers of America, Emerging Vision (Sterling Optical) Brick and Mortar: LensCrafters, Eye Care Centers of America, Emerging Vision (Sterling Optical) Online Dependant: eyeglass.com, 39dollarglasses.com Online Dependant: eyeglass.com, 39dollarglasses.com Discount Click and Mortar: Sam’s Clubs, BJ’s Wholesale Club Discount Click and Mortar: Sam’s Clubs, BJ’s Wholesale Club

3. Market Trends Wholesalers Entering the Eyewear Industry Wholesalers Entering the Eyewear Industry Sam’s Clubs: Bought in Bulk (at least a dozen), reading glasses for less than $7/pair Sam’s Clubs: Bought in Bulk (at least a dozen), reading glasses for less than $7/pair BJ’s Wholesale Club: BJ’s Wholesale Club: Increased Competition from Brick and Mortar Companies Increased Competition from Brick and Mortar Companies LensCrafters forced to buy out PearleVision to maintain market share LensCrafters forced to buy out PearleVision to maintain market share

4. Market Trends Online Companies Becoming Profitable Online Companies Becoming Profitable Eyeglass.com has been profitable since 2001 Eyeglass.com has been profitable since 2001 Over 10,000 hits per day Over 10,000 hits per day 1-800-contacts.com had $169 million in sales in 2002 1-800-contacts.com had $169 million in sales in 2002 Retail Brick and Mortar Lagging Retail Brick and Mortar Lagging Same Store sales down 1.1% in Luxottica Retail Division Same Store sales down 1.1% in Luxottica Retail Division No Growth past two years in same-store LensCrafters sales No Growth past two years in same-store LensCrafters sales

5. From Brick to Click Success of other companies on the web Success of other companies on the web Immediate Advantages Immediate Advantages Increase in sales Increase in sales New found interest New found interest Long Term Advantages Long Term Advantages Supply Chain Management Supply Chain Management Financial Resources Financial Resources Integration with other divisions of Luxotica Integration with other divisions of Luxotica

6. Possible Online Strategies to Use Online catalogs Online catalogs Personalized Glasses Personalized Glasses Virtually trying on glasses Virtually trying on glasses Eye Exam Online Eye Exam Online Bot to help you search the site Bot to help you search the site

7. Supply Chain Management COMPETITIVE ADVANTAGE (Long Term) COMPETITIVE ADVANTAGE (Long Term) Decrease in inventory in stores Decrease in inventory in stores Decrease in costs Decrease in costs On demand sales On demand sales Learn more, faster about customers Learn more, faster about customers Will help CRM Will help CRM

8. Customer Relation Management Strategies to Gain and Maintain Customers Strategies to Gain and Maintain Customers Frequent Buyer Program Frequent Buyer Program Relation to Frequent Flyer Programs Relation to Frequent Flyer Programs Introductory Online Sales Discounts Introductory Online Sales Discounts Second Connection to Continental Airlines Second Connection to Continental Airlines Online Appointment System Online Appointment System Success of Syracuse University System Success of Syracuse University System

9. Marketing the New Strategy International Capability International Capability Luxottica’s SCM Luxottica’s SCM In-store for website In-store for website Website for stores Website for stores Search Engine Partnerships Search Engine Partnerships

10. Future Success Brick to mortar strategy has reached potential Brick to mortar strategy has reached potential Future growth Future growth Online Sales must be utilized Online Sales must be utilized

11. Sources Lenscrafters.com Lenscrafters.com Eyeglass.com Eyeglass.com 39dollarglasses.com 39dollarglasses.com Business Week Business Week Luxottica.com Luxottica.com Hoovers Online Hoovers Online Yahoo! Finance Yahoo! Finance Samsclub.com Samsclub.com Brandweek (powered by Looksmart) Brandweek (powered by Looksmart) Computerworld Computerworld Altavista Business Altavista Business Fortune Fortune Forbes Forbes Google Partnership Program Google Partnership Program Continental Airlines Continental Airlines