Market uncertainty

NHS tests in November are at the highest level yet recorded by the Index, while total spectacles are down 22 per cent from November 2003

November is usually a buoyant month with all benchmarks doing well prior to December when, with Christmas looming, patients tend to be concentrating on other things. However, with market uncertainty and poor consumer trading, retail optics has also been challenged and all performance measures fall overall, with only modest rises from October figures.

Eye examinations are up 6 per cent from October, -9 per cent from last year. The 12-month moving average is negative by 7 per cent. Average figures are very similar to static periods over 1999 and 2001. The proportion of tests that are NHS is 65.9 per cent, the highest optician Index has recorded.

The total volume of dispensing has increased by 4 per cent this month. Single-vision lenses are up 1.5 per cent, bifocals up 1.8 per cent and progressive lenses up 10 per cent from October. Total spectacles are down by 22 per cent from last November.

The trend for dispensing has fallen further from -7 per cent to -9 per cent and the graph clearly shows the gradual decline over the year.

Reflection-free coatings are up by 4 per cent from October's results, yet lag November 2003 by 53 per cent, a month where results are usually high. Fewer than 43 per cent of all spectacles dispensed have AR coats, compared to 50 per cent last November.

The November dispensing rate is down slightly at 66 per cent compared to 68 per cent last month. November 2003 was lower at 65 per cent.
Dispensing rate is calculated from total number of eye examinations and total dispensing, and hence does not take into account multiple dispensing.

New contact lens fits have fallen by 10 per cent compared to last month, down 12 per cent from last year. The annual trend is negative at -3 per cent. November is not generally a favourable month for new fits, the best months being over the summer.

Solution sales are down by 2 per cent from last month, down 6 per cent from November 2003. The trend is just negative at -1 per cent.

Total practice turnover results improve by 2.5 per cent from October, -12 per cent from last year. Turnover is still showing positive growth at 5 per cent. The last time this was negative was October 2001. Average growth for the year is still 12 per cent despite this apparent slowing of activity.

Turnover per eye examination is up at £126, a negligible move from last month, but an increase of £7.00 from last November. Average sales per eye examination have increased by £5.10 over 12 months. They have increased on average by £26 since 2001.

When comparing your practice with the results it is important to notice that all our figures are equated to a 25-day month, so year on year, month on month we can compare equal time periods. November had 26 working days (excluding Sundays and UK Bank holidays).