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With Ray-Ban, bright point of view, and other well-known brands of the world’s largest eyewear manufacturer Lu Xun ladder card group is expected to usher in 2017-2018 accelerated recovery, sales are expected to reach single-digit high to medium growth. Luxottica (LUX.MI), the world’s largest manufacturer and retailer of eyewear, has just released its semi-annual report, declining both its sales and profits in the first half of 2016 and cutting its full-year revenue forecast. This is the first time that Italian companies with well-known brands such as Ray-Ban, Oakley and LensCrafters have fallen for the first time in nearly a decade.
According to earnings reports, due to the second quarter, weak revenue, as of June 30 this year, six months, Lu Xun ladder card adjusted revenue of 4.719 billion euros (about 34.604 billion yuan), down 0.7%; adjusted hair Profits of 3.108 billion euros (about 22.79 billion yuan), ray ban sunglasses deals online,down 2.9%. Lu Xun ladder card announced this year’s sales growth forecast, from early March to develop 5% -6%, down to 2% -3%. Founded in 1961 Lu Xun ladder card’s main business, including glasses and sunglasses design, production, wholesale, trade and retail, vertical coverage of the whole industry chain. In addition to its own brand of Ray-Ban, Oakley glasses, and bright point of view, Sunglass Hut chain stores such as retail stores, it also includes Giorgio Armani, Tiffany & Co., Prada, Coach, Dolce & Gabbana, Chanel, DNKY and so the vast majority of luxury brands OEM glasses and sunglasses. North America is Lu Xun ladder card’s largest market, its contribution to the turnover of more than Liu Cheng. However, the first half of this year, due to macro consumption sluggish and bad weather, including Ray-Ban sunglasses in the region, including poor sales, adjusted net sales fell 2.7%. In addition, the Lu Xun ladder card on the Ray Ban and other brand dealers a strong control also directly affected its performance. Dealers only after the company’s consent before they can carry out discount promotions. In March this year, Lu Xun ladder card into 1.5 billion euros (about 11 billion yuan), to optimize the retail channels and in the field of e-commerce expansion, in response to sustained slowdown in profit growth. The mid-year report also said that the reporting period included a sum of about 66 million euros (about 484 million yuan) in one-time expenditure for last year’s acquisition of sports eyewear brand Oakley after the layoffs compensation and channel adjustment. After 2005, Lu Xun ladder through the acquisition of Beijing Xueliang, Guangzhou Ming Gallery and Shanghai modern optics and other domestic optical shop chain, to enter the Chinese mainland market. The Daily News pointed out that thanks to a strong sales network and favorable exchange rate changes, Lu Xun ladder card in the first half of this year to maintain growth in the Chinese market. During the reporting period, Lu Xun ladder card in the Chinese mainland opened nine Direct brand stores, and the brand in the Chinese market is optimistic about the future development. Last November, Lu Xun Ti card in the Chinese mainland, Hong Kong and Southeast Asia to adjust the recommended retail price, to gradually reduce its brand China and the international market price difference. Paolo Ciarlariello, president of Greater China, Lu Xun Tikka Group, said that China is one of the group’s most important markets, the proposed retail price adjustment for the Chinese customers to provide the right price, and brand and product experience , Thereby enhancing customer loyalty. Recently, Lu Xun ladder card management personnel are also frequent changes. In January this year, Lu Xun Tikka abolished the then chief executive Adil Mehboob-Khan. This is the company nearly 17 months to leave the third CEO. Currently, Leonardo Del Vecchio, the 81-year-old founder and controlling shareholder, returned to management as Executive Chairman.
The company is expected to usher in 2017-2018 accelerated recovery, sales are expected to reach single digits to high segment growth. However, Chief Financial Officer Stefano Grassi also said that Lu Xun ladder card is difficult to predict whether the realization of the next two years of revenue targets because of the recent turmoil in the international security situation on the tourism and retail industry impact.

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The 24th Hong Kong Trade Development Council Hong Kong Optical Fair 2016 will be held from November 9 to 11 at the Hong Kong Convention and Exhibition Center, Wanchai, Hong Kong. Three days of the exhibition will be the focus of fashion trends and the optical industry an indispensable industry event. The exhibition is expected to attract more than 760 exhibitors from 27 countries and regions, including the first exhibitors in Indonesia, Poland and South Africa exhibitors; the venue of the Chinese mainland,ray ban mens sunglasses, France, Italy, Japan, Korea and Taiwan regions and characteristics Hong Kong Optical Manufacturers’ Association and Hong Kong Optical Fair will also display various fashion eyewear products. Hong Kong Optical Fair will definitely provide buyers with an array of choices. Exhibition Highlights “Brand Gallery” is located on the 3rd floor of the Convention Hall and the Foyer, where more than 200 internationally renowned eyewear brands are brought together, including senior designer and quality brands including RAY BAN, Davidoff, Evisu, Luisa Leitao, Oh My Glasses TOKYO, Sodamon, Markus-t, Menrad, today, glasses have entered the level of fashion accessories development, it is not only a tool, but also to show personality accessories. Exhibition will reveal a variety of glasses trend products. Ray-Ban glasses in 2002 founded the fashion glasses brand. With keen fashion antennae, as the interpretation of the style. Prsr Pasha, combines the characteristics of facial contours of the Orient and aesthetic taste, and learn from popular elements into the design, superb technology, excellent quality, stylish beauty and unique style of self-clever combination for you to highlight the different Style charm. Pasha, ubiquitous style.
Communication facilitates the expansion of business networks, while seminars and conferences enhance knowledge. The annual 14th Hong Kong Optometry Conference invites experts from Australia, the United States, Canada and Canada to share new developments in ophthalmic treatment technology. In addition, through a series of seminars to explore different hot topics and market intelligence. The Hong Kong Optical Design Competition will also be on display – a unique winning item.

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a media reporter broke undercover candidates Beijing many ray ban optical shop, processing workshops and found that the wholesale price of a few dollars to tens of dollars of frames, lenses, worth over the counter in the shop turned dozens of times. In fact, the frame, the cost of the lens is not the only cost of a pair of glasses, media rendering of the “profiteering” is completely confused facts, point of view errors.
Glasses is a relatively special commodity, unlike some products, factory parts through a simple assembly can be put into use. And the cost of glasses is not the same as all costs, directly to the ex-factory price of glasses and the final retail price in the market used to do cost accounting contrast, and can not objectively explain the cost of optical goods store.
Open an optical fitting shop, the first to face the problem is the high rent of housing. However, as the Beijing Wangfujing, Nanjing Road, Shanghai, the nationally known commercial pedestrian street, are expensive rent, according to “First Financial (microblogging) Daily” reported that the Pan Jia Yuan glasses better location of the stall per square meter admission fee 7 million,ray ban sunglasses frames, the average is between 20,000 to 40,000 yuan, in addition to 15 square meters of storefront, pay a monthly rent and management fees of 6,000 yuan. Is in some second-tier cities, relatively good lot of shop rents have risen very high, such as in Zhenjiang City, Jiangsu Province, the current 100 square meters of pavement rent has been as high as 100 million.
In addition to paying high rental housing, the various shops in order to seize the market experience, are willing to spend a lot of money to buy a variety of fitting equipment, glasses industry has a certain technical, inspection shop staff are required to hold an optometrist qualification Card, post-mortem shop should also have glasses processing license and other related qualifications, so the annual inspection shop also spent part of the funds for staff training and qualification verification.
According to “Zhuzhou Evening News” reported that the glasses Chamber of Commerce Zhuzhou City, He Xikai, said in an interview, a combination of the price of more than 100000 yuan, a full automatic milling machine also more than ten million, plus Metering instrument, focal meter, IPD instrument and other auxiliary equipment, a relatively large-scale experience in the purchase of equipment stores cost ultimately more than 300,000 yuan. These costs together, and ultimately have to reflect the cost of optometry and consumer glasses to go with the cost of glasses.
Market discourse right is the “big profits” an important bargaining chip, in addition to from a variety of monopoly, but also can be derived from product production and service information asymmetry. Since modern markets are not perfectly competitive markets in theory, the main reason for this is incomplete information between buyers and sellers. Is also a presence of information asymmetry of the industry, resulting in glasses industry “profiteering” is that the root lies in information asymmetry between buyers and sellers. On the basis of raw material prices, there will be many sales-related aspects of the cost will continue to increase.
According to “fog through the profits of profits, optical industry, profit analysis,” introduced in the standard technical conditions, optometry time in half an hour to an hour between complex cases about two hours. Under normal circumstances, preliminary estimates, optometry costs about 50-100 yuan, processing costs about 25-30 yuan. Because optometry and glasses are highly complex technical work, and domestic optical shops generally free of charge optometry, free processing as to attract customers, its value is hidden up. The cost of optometry with glasses in the United States needs about 30-50 dollars in Hong Kong, about 700 Hong Kong dollars.
At present, ray ban glasses sales links used in the agency distribution system,ray ban sunglasses for cheap, which makes the glasses from the factory to the sale and then to the hands of consumers to experience the agent – the regional agent – glasses fitting store price exploitation, so that the price of glasses Always at a high level. It is understood that the general distributor of glasses will be paid in cash to the manufacturers to buy products, and its next level of regional agents and inspection shops to take credit to the way up a purchase, which is referred to in the industry Distribution Agency .
According to the “Market News” survey, the ex-factory price of 22 yuan glasses, the general agent will increase 140% after the Distribution Agency to the provincial agents to reach the provincial agents in the hands of the glasses has become 54 yuan. From the provincial agency to the optical retail stores have to increase this part of 100% distribution distribution to the optical retail stores. After this link, glasses retail stores to get the glasses price has risen to 108 yuan. In this process, because it is Distribution Agency, the return rate is too risky, consignment funds and return risk increased costs.
To find out whether there is a profiteering industry, you need to carry out the various aspects of the industrial chain value estimates. Those who have not been scientific calculations, the underlying data is simply untenable, only a few individual phenomena to make evaluation of the argument is false. As the nature of the optical industry itself, the cost of the lens is not the main cost of glasses, so simply to the lens cost point of view, the optical industry’s gross margin is very high.