The Global Sunglasses Market Expected To Grow At CAGR Of Around 6% Uptil 2020

The global sunglasses market expected to grow at CAGR of around 6% uptil 2020

22-Sep-16

The global sunglasses market is expected to grow at a CAGR of around 6% from 2016 to 2020, according to Technavio’s report. The market is further categorized into three lens material segments, including polycarbonate, ADC/CR-39, and others, of which the polycarbonate segment dominated the market with 42% of the overall market share in 2015. “Branding is an important factor for players in the global sunglasses market to sustain and grow. As there are numerous players offering similar products, it has become important for the companies to effectively market themselves and articulate the value proposition of their products to their prospective customers,” says Poonam Saini, a lead retail goods and services research expert from Technavio.

The growing demand for sunglasses is attributed to the development of innovative and effective products and designs as well as the enhanced living standards of consumers worldwide. Technological advancement has let marketers introduce sunglasses with innovative functionality. Vendors like Oakley is using innovations in lens development such as Prizm, which is a revolutionary lens technology that increases detail for an optimized performance by providing ultra-precise color tuning, designed for specific environments. In 2015, with a market share of over 42%, the Americas dominated the global sunglasses market, followed by Europe with over 32%, APAC with 20%, and MEA with 6%. The sunglasses market in the Americas is predicted to account for a market share of 41% by 2020. North America dominated the global sunglasses market in 2015 because of the high purchasing power and the high level of awareness among consumers as well as the presence of key industry players. The number of consumers who can afford branded sunglasses is higher in this region. Increased awareness about harmful UV radiation among consumers in this developed market is driving sales in the market.

“The market in Central and South America has a mix of local and international brands owing to tighter import restrictions that have resulted in delays in product delivery and higher costs of imported products. These restrictions have created a shortage of imported sunglass brands in the region and has made domestic brands gain more traction within the region,” says Poonam. The sunglasses market in Europe is driven by the demand for premium-priced sunglasses and customized colored glasses in the UK, France, Italy, Spain, and Germany. The early penetration of tablets and smartphones in this region has also boosted the growth of the online retail market for eyewear products. New launches will enhance the design and product range and will continue driving the growth in this market during the forecast period. The market in Europe is also growing due to increasing and fast-changing fashion trends and availability of high-end brands within the region. The key market players in the region are Essilor, Fielmann, Luxottica, Grand Vision and Safilo Group. The growing e-commerce industry in Europe has created significant opportunities for eyewear marketers to build their omni-channel presence.

APAC will be the fastest-growing region for sunglasses in the next four years. This is due to the high growth is the rising urbanization in the region, which is influencing people to adopt western lifestyles and culture. Another reason is that rapid economic development in countries such as China, India, ASEAN countries, and South Korea has improved the purchasing power of consumers who are now willing to spend more on lifestyle products. Consumers are getting inclined toward mid-to-high-end products in these countries.

Although brand consciousness about sunglasses is growing within the region through increasing internet and mobile penetration, consumer still prefers buying sunglasses from specialty retail stores because of the touch and feel factor. Also, in countries like India and China, there has been a boost in eyewear sales because of promotional discounts offered by online retailers. Consumers constantly seek promotional prices while making a purchase.

The sunglasses market in MEA is predicted to account for a market share of 7% by 2020. The growth prospect for vendors in the region is high as most of the countries in this region have hot and sunny climatic conditions. Growing awareness about harmful UV radiation and its effects is a major growth driver. Economic development and a rise in consumer income will further add to the demand for sunglasses in the market.