Just like about 75 percent of Americans, I was born with not-so-perfect eyes. Yes, the scariest 10 seconds of my day are always the ones spent wobbling from my bed to my bathroom to grab my glasses. As a kid, I used to hate them. But now, they are the most comfortable and practical way to improve my vision and my outfit. Buying glasses has become an important part of my style and statement. But why does style and statement cost so much?
Just the other day, I walked out of my optometrist with a new prescription and the opportunity to buy a brand new set of frames. As I was looking at my options, I stumbled upon the perfect pair. They fit my face, the material was comfortable, and they appeared to accommodate my ever-changing style. I confidentially walked them up to the check-out desk only to discover that they were priced at $375. How could this thin piece of plastic cost that much money? Since I was in need of a new pair of glasses and my college budget was not allowing me many options, I decided to do some research.
What I found was Luxottica, Luxottica, Luxottica. This large Italian company designs, manufactures and distributes eye wear to more than 5 million Americans. They own a large sum of highly popular brands such as Chanel, Coach, Dolce & Gabbana, Michael Kors, Oliver Peoples, Prada, Ray-ban and Versace. But the list does not stop there. Even different distribution companies, that are put in the same shopping center to appear as competition, are owned by Luxottica. The next time you choose LensCrafters over Pearle Vision, just remember that you aren't really making a choice at all.
So why does this matter at all? Well, Luxottica is pretty much the reason we wrench hundreds of dollars out of our bank accounts for new frames. Because they own so much of the high-end eye wear market, they are able to hike the prices up without the threat of competition knocking them out. Though they are not quite a monopoly, they certainly have immense market power. For some people, glasses are a medical necessity. However, as long as Luxxotica remains the largest eye wear company in the world, the prices persist.
Let's take a look at Ray-ban for a second. Everyone recognizes the image of JFK wearing a pair of the iconic sunglasses. Developed in our own country for our own troops, It was a symbol of American patriotism. You could even buy a pair at your local supermarket or gas station of as little as $30. So what happened? The lowest priced pair of adult sunglasses on their website costs $115 and they have since sold pairs reaching prices into the thousands. The truth is: Luxottica happened. They bought the American brand in 1999 and took the glasses off of the market for about a year. Then, they came back as luxury frames. However, that didn't stop consumers. Today Ray-bans are one of the top-selling eyewear brands in the world and most people have owned a pair at least once in their lifetime. When asked why he chooses frames by Ray-ban, University of Delaware student Nick Finelli said, "They're famous for the style [and] I'm drawn to the brand." But he didn't know that the "brand" is actually Luxottica in disguise.
"Everything is worth what people are ready to pay, " said former CEO Andrea Guerra to 60 Minutes.I suppose you cant blame Luxottica for being so successful. I mean, it's simply good business, ight? But how much success is too much success? And what does this mean for us, the consumers? When companies become too powerful, we end up paying $300 for frames that costed the company $30 to make.
There are actually quite a few companies that are not owned by Luxottica. You can purchase reasonably priced frames at Walmart or Costco along with an eye exam. You are also able to support emerging online manufacturers such as Warby Parker and Zenni Optical.
When I received my Warby Parker frames in the mail, I felt as if I had made a real choice. I wasn't falling victim to the illusion of choice and I hadn't spent more than $100. However, I do not feel as if I am walking away from this experience having been enlightened. If half a billion people are wearing Luxottica (a brand that I had never even heard of before this article), what other products are sold with false variation and diversity? And how much money are we being swindled out of as consumers?