Branded sunglasses are one of the largest emerging markets in the United States currently. Since the United States recovered from a recession and the population once again had money to spend, they were turning their focus to great eyewear. More and more people are protecting their eyes and doing so with style. Branded glasses are a big trend in some of the largest manufacturers of branded sunglasses throughout the United States are recognizing this new trend as well.
Even within the past few years we have seen respective increases in the designer sunglasses marketplace. One of the largest manufacturers of sunglasses in the United States known as Luxottica experienced a net sales increase of 36% from the year 2008 up until the year 2013. Similar statistics have been recorded from many other designers as well. With an estimated sales increase of 35 to 40% in this marketplace since the year 2008, this marketplace is very much in performance trends. Consumers want designer sunglasses and they are interested in getting the very best deal on these customized styles as well.
Although sunglasses only make up a small percentage of the vision care industry, they still do respectively well each year with around $5.4 billion dollars in spending on designer sunglasses annually. The market still remains heavily dominated by Luxottica however who produces at least 70% of all designer brands in the United States.
The way that Luxottica remains so profitable is with the profit margins available on branded sunglasses. Designer sunglasses currently have some of the highest profit margins at any retail product. Polarized lenses, glare reduction and other treatments on designer sunglasses only costs a few dollars to produce have many of the sunglasses put up for sale are priced in the hundreds. As a result most designer sunglasses manufacturers can actually take home at least a 52% net profit on every dollar spent on their product.
With decent profits, low cost of production and a huge demand in the market branded sunglasses can be a smart move as a product offering for any retailer.