What would be interesting to me is an in-depth look at how this company is able to sustain its near monopoly on the business. They do not appear to be leaning on government intervention, and the product can be delivered via e-commerce (zappos, etc.) so they can't control the sales channel that much. The product is not that complicated to manufacture, has huge and recurring volume and, as of right now, preposterous margins.<p>Are they that good at taking advantage of positional goods and marketing? Are they litigious? Do they use kickbacks effectively? Are they buying out competition, and, if so, how are they doing it and why is new competition not emerging?<p>A situation like this appears to be a complete affront to nearly any economic model I can think of, and demands attention.<p>Additionally, we in the startup community should all be sitting around and thinking: "Wait, high margins, simple product and I can sell it online... Wait, what?"
Both the eye exam and the glasses can be optimized to save a lot of money.<p>For eye exams, I used to pay the optometrist $153 ($117 refraction + $36 dilation). I later found out that Costco often has an optometrist on site in a tiny office and will charge just $50 (and add +$20 for dilation). That's less than half the cost of most other optometrists. A bonus is that the tiny Costco office has no frames so there's no sales pressure to guide you towards his limited selection of frames. Therefore, he always just prints out your Rx and gives it to you without any dirty looks. Costco (the warehouse) has frames but you have to walk next door into the main retail floor to try them. The optometrist has no idea whether you buy glasses from them. You don't need to be a Costco member to use the optometrist at Costco.<p>For lenses, I used to always pay ~$400 for 2 pairs of glasses. For Eyemasters, Lenscrafters, Visionworks, etc, it didn't matter if they had "2-for-1 sale on lenses" or "2nd pair frames free". The total (when including desirable features such as AR coatings, etc) <i>always</i> came to ~$200 for each pair. I've come to believe the sales promotions at eyewear chains are as meaningless as the "sales" at mattress stores.<p>Now, I buy from zennioptical.com. Each pair is always less than $35. That's even cheaper than Costco and Walmart.<p>I think my recommendation won't work for people who are very sensitive to fashion and want to try all the stylish frames at their fingertips. (Ralph Lauren, Calvin Klein, etc.) At my age, eyeglasses are just functional things and I'm fine with picking out a no-name classic style from zenni.
Some glasses are expensive because it's what people are willing to pay.<p>I get high quality glasses with contemporary styled frames at WalMart for next to nothing. Not only that but the WalMart optometrist is more competent and does a better job getting my prescription right than the private optometrist I used to see.<p>It's not as if WalMart is some exclusive club only available to the elite.<p>Anyone who wishes to do so may shop there and purchase their glasses.<p>They also have a very nice warranty. One pair got run over by a lawnmower, which was entirely my fault. Free replacement.<p>It is a choice to pay $400 or more for the same glasses you can get for $60. And as long as people are willing to pay $400, why not charge them that. Good for the price gougers. They only exist because people prefer to go to price gougers, since there is definitely not a quality improvement. Customers are simply paying more because that's what they <i>want</i> to do.
I remember watching the 60 minute video of the Luxottica interview. That guy was so gangster in his responses. "The perception of choice", just outright said it.<p>I've been buying my glasses online for the last 2 years now. 39dollar and Coastal. Quality control for the frames aren't as good, but they work. On average I pay ~40 vs 200+.
Reading that just pissed me off to no end. Eyeglasses are not a luxury for me - they're an absolute necessity. I kind of feel like I'm being preyed upon here by a bunch of Italian ripoff artists.
Single material. Customized for each client.<p>This looks like a good place for 3D printing to start chipping away at traditional manufacturing.<p>[Edit] I am talking specifically about printing the overpriced frames sold by Luxottica. Not the lenses.
The bigger question is why are contact lenses so expensive? The molds are undoubtedly costly but once made they can pump out millions of lenses and it's not significantly more complicated than plastic eyeglass lenses that require more material and have to be cut to the final shape of the frames.<p>Of course the answer is that employer subsidized insurance has created in industry that can engage in predatory pricing when the bulk of the customers aren't directly paying out of their wallet.
I got my last two pairs of glasses at JINS in Japan. (Station mall at Nagareyama-Ootakanomori.)<p>8000 yen, ready in 30 minutes. (Bells and whistles will cost extra: like thinner lenses, etc. and some things have to be special ordered.) Stylish, durable, perfect.<p>I can get a free cleaning and new nose pads at any JINS outlet. Did that twice already with the current pair.
Having worn thick glasses since I was a young kid, I spent a ton of time at the eye doctor.<p>Getting your glasses from an independent doctors office was insanely expensive. It always seemed like a scam. Cheaper at the places in the mall, but still could be hundreds of dollars.<p>I've seen the ads for $9 glasses online but good luck with the fit (they have directions to follow to measure yourself) but you're going to still want to see a doctor to have them checked and all. Best case, poor fitting glasses are going to give you a wicked headache. I'm not sure what the long-term damage to your eyes could be.
Zenni Optical, frames start at 6.95 including prescription lenses. They handle all their manufacturing and supply chain internally which is how their get their price point low.
I've been buying my glasses at a certain website that is very cheap and has great promo codes. All you have to know is your prescription. They are sort of cheap feeling, but they work and have stylish shapes. Also can buy 4 pairs for less than half of what I'd pay at LenseCrafters.
I endorse zennioptical.com I got my glasses for $28 including shipping. Better than what I get at a chain optometrist (probably where they go to order them). They've got 10's of thousands of frames; all the lens options; bifocals or trifocals and so on.<p>Costs more for fancier options.
Get your designer eyewear or sunglasses from a competitor (<a href="http://en.wikipedia.org/wiki/Safilo" rel="nofollow">http://en.wikipedia.org/wiki/Safilo</a>)<p>It's not really any cheaper, but at least you can go with the "underdog", as it were.
Isn't this mostly an American problem?<p>I live in Pakistan and have never worn a pair worth more than $30 (and that includes the price for the lenses).