In a period of global recession the sunglasses industry is one of the few retail sectors currently experiencing growth. This has been backed up by a number of statistical overviews suggesting that in September 2011 the industry grew by 3.2 per cent in the US when compared to the findings in September 2010. This being said, being successful in the sunglasses industry can be particularly challenging when we consider the tough competition as well as the changing styles and fashion. With this in mind, here are a few interesting facts about this booming industry.A Quick Industry Overview
Sunglasses sales and manufacturing makes up to 10 per cent of the whole vision care industry, and although in 2008 and 2009 there was a slight drop in sales as a result of less credit availability, the industry is continuing to show steady growth annually.
Industry Giants
One of the most important industry players is an Italian company Luxottica with company’s shares being worth more than 50 USD per share. Luxottica manufactures in and around 70 per cent of popular branded sunglasses including Burberry, Chanel, Versace, Prada and Ralph Lauren under an exclusive license. This company also owns a number of leading brands including the ever-popular Ray Ban and Oakley. Furthermore, Luxottica also owns a number of vision care retailers including Sunglass Hut and Pearle Vision. Another important player in the sunglasses business is an Italian company Safilo whose shares are worth more than 12 USD per share. Safilo owns a license to manufacture brands like Dior, Alexsander McQueen, Gucci and many more.
Industry Profitability
It is fair to say that designer sunglasses have one of the greatest profit margins when all products are considered. In addition to this, the technology used to maximise the health benefits of wearing sunglasses is fairly inexpensive. This therefore means that the manufacturers of high-end branded sunglasses reap the rewards as customers pay for the designer label.
Industry Considerations
In order to break into the sunglasses business buying in bulk from a wholesaler is often the best way to get you started within this competitive industry. It is therefore crucial that sunglasses retailers do their research in order to keep up with the latest fashion trends to ensure that they do not buy outdated styles.
Nowadays sunglasses have become not only a tool to protect one’s eyes, but also an important accessory to make a fashion statement, and this in turn means that the industry will continue to be successful in the years to come.