krowanders Technically speaking it is the perfect example of a global Oligopoly. When a single company controls the majority of the "free" market, that company can impose certain externalities that reverberate throughout the market and consequently effect the rest of the market. We as consumers usually only focus on the prices, but it effects much more than that. The big company also limits the scope of competitiveness within the market because of the almost hidden effects it has on the rest of the market. such as, driving up materials cost, shipping, research, store locals I.E. your local kiosk or store front. The main difference between an Oligopoly and a Monopoly is that in a Monopoly ONE company controls the entire market share. While holding an Oligopoly is not illegal it effects the consumer in ways we wouldn't otherwise notice. While an oligopoly has very similar characteristics it is not a Monopoly unless it controls the entire market share. Hope I didn't rant too long :)
+benjamiy831 Now that is power of deception. Journalist makes interview with the CEO in a relaxed and friendly atmosphere but after editing he looks like villain. While everybody complain about high prices he is smiling...
+benjamiy831 HOLY SHIT!! I was thinking the same thing and was about to comment that lol. im slight freaked out by this hahaha. Agreed. I was watching the guy talk and all I could think was he sounds like a bond villain telling us his masterful diabolical plan...because he knows we can't do s**t about it.
I know, he's a CREEP! Can just imagine how big his fat bank balance is! How did he get into health side of things though????????????? THAT is THE QUESTION?
"them" doesn't exist anymore. Former Oakley CEO Jim Jannard had to sell his company to Luxottica because they refused to sell Oakley in any of their stores. He lost a lot of money and didn't end up working "together" with Luxottica as Luxottica is working with itself.
@@y.t.a180 Yeah, think about this again next time you hear someone saying people get rich by effort. In the capitalist "free market" you get rich by being a bully, 99% of the time...
He was answering it. They don't all cost the same. She then goes on to spin it that the average price is $300 with prescription lenses, and then ends the video saying that adding the lenses can add another $300 to the price. It's a dumb question. The answer is both yes every pair, and no none of them. The price is the price.
@@lskdfoIS It was a dumb question, you're right. She said "I'm asking if you charge less for frames made by luxotica since you're the same company". What? Why would anyone expect a company to undercut itself? If luxotica owns luxotica and lenscrafters and sells a pair of sunglasses, why wouldn't you assume the price to be the same? Why would you assume buying luxotica from lenscrafters would be cheaper than direct? It seems like she's trying to ask a "GOTCHA" question but when you think about it, it makes no sense. The price should be the same and the implication that buying luxotica from lenscrafters should be cheaper because luxotica owns lenscrafters makes no sense.
@@user-nh3gu1ge3d She was asking if buying them from Lens Crafters was cheaper than from other dealers not owned by Luxotica because it should be more direct and involve less price gouging the retailer since they work together, as opposed to other retailers who would in all likelihood pay a premium for Luxotica brands because they're competitors to the retailers Luxotica actually owns and works with.
Updates about Luxottica since this video is very old: 1) Luxottica has merged with Essilor; the largest lens manufacturer in the world 2) Luxottica up-charges an average of 500% on its lenses and frames (most industries only up charge around 100%-200%). 3) Luxottica now owns approximately 80% of the eyeglass industry. If you want to avoid giving EssilorLuxottica money, shop at any place not mentioned in the video, AND ask what lab their lenses are made at. If they say Essilor/Meridian, then that’s Luxottica.
Thanks for the information, the glasses seems to cost more then gold.... I think Polaroid made more honest sunglasses ate reasonable price, its a alternative
I worked in a optometry office/sunglass store locally-owned. And I can tell you the actual cost is cheap and the owner made a lots of money. Even more on prescription lenses.
I have to wear varifocal lenses which are more expensive than single vision lenses. I was quoted nearly £700 for new glasses from an optician. I went elsewhere and had top of the range varifocal lenses inserted to an old frame for a third of that. Best decision ever made. In the last year many firms have increased prices because government support for a lot of businesses during the pandemic was non existent, they're looking to recoup losses sustained during that time and its set off a vicious cycle which is now based on greed. What these businesses forget is that everyone was in the same boat. These rising prices will force those greedy businesses out because people can't afford to buy their goods or services
+Matt Bawlin Those plastic lens are less than $10/ pair. My Dad's best friend was an optician so we used to pay his cost and get free labor. I live next door to an optician and theyre still cheap. Alot of the plastic lenses come from Brazil. Most plastic blanks are less than $4 each on the invoices. We pay $200 for those lenses.
Luxottica has the biggest glasses factory in China, they make 90%finished product, then send to Italy to finish, adjust the cost on their book, so they can print made in Italy!!!!!!!
I've watched this report numerous times since it debuted years ago. It always fascinates me how the consumer (Americans in particular) have lost control of paying reasonable prices, instead of inflated prices for acetate and/or metal frames.
I refuse to buy sunglasses brand new. There are thousands of people who tire of their sunglasses or barely wear them and then want to get rid of them. You can get some pretty great deals that way. As for Ray Ban? I don't see what's all the fuss. The iconic aviator style is made by many other brands and frankly most of them are as good or superior in quality.
Its all about supply and demand. A high value is often times placed on expensive things. Couple that with a society that can afford it, and the government manipulating inflation on freaking everything, and its a perfect storm for overpriced stuff
I remembered when I was a kid and I went to a Korean American women optometrist. I told the Korean American women that her Optometrist place was cheap and she got mad insulted telling her friend that she did not like me for saying that. Now that I am older I still stand by what I said. All the glasses in the Korean American women's store were either made of cheap plastic and metals which were made in China. Those glasses do not cost a lot yet without insurance that Korean American women would charge nearly a $100 or more which was unnecessary. Lol sis got mad at me for telling the truth.
+Aeig most people don't hear the bullshit. Those that do, don't usually call out other people's bullshit because they're courteous. and only very few will call out these bullshit.
+Aeig Mark should've answered No. Because if they charged people less when it's a "higher" quality, people will automatically think it's an inferior product. People pay for the perceived value of goods and not the markup of the goods cost.
+fhhh It would be similar to what you said only if Apple owned and sold every cell phone of every brand and owned every cell phone carrier and then marked up their prices over %10,000. It may be several hundred dollars for an Apple phone but here you're seeing several hundred dollars for pieces of plastic.
+Aeig I think shes a good journalist but I thought that question was a load of bullshit. Why the hell would consumer's get a "break" on prices if they clearly stated that LC is now owned by Luxottica. That question was intended to make the President give a vague answer. He can't say yes or no, because if the President of any company gives false information its a PR disaster. Then he explains every retailer determines their own prices, and then she says his answer was "no." I thought that she was just being really smug.
That explains why online spectacle companies are able to be profitable while offering stylish frames with lenses people want to wear. It vindicates my view that notwithstanding the overheads traditional opticians have to pay the mark up on a pair of glasses is off the scale
@@kjrayo18 The sunglasses I bought from eye buy direct broke after 4 years. Sunglasses that I had purchased from a drug store broke after a couple of months though.
I dislike my prescription ray bans so much. They keep sliding down my face :( I didn’t even know they were ray Bans when I bought them. I wasn’t paying attention and I overpaid :(
@Leopold if he's sells in US he is under US laws. It will have a US business end. However US politicians, particularly ones on the red side, tend to be easy to persuade to not enforce the law with a few bills.
I can imagine the Mafia-like negotiations that took place when buying Oakley. "Nice sunglasses you got there. It'd be a shame if they disappeared from the market."
I stand with Oakley. They put a shitload of engineering into their eyewear and, in most cases, don't even need to (ANSI tests, etc.). I will always buy from Oakley online. Never stepped foot into Sunglass Hut.
That sounds good on the surface. Heck, I repeated the same mantra myself for years. Then I started questioning myself. WHY are we ready to pay? Is the media (mainstream, social, whatever) conditioning us to 'consume' certain things? Why wouldn't they? Since 'big corporate' owns all of the various medias it'd be in their best interest to promote consumerism. Once Pavlov's dogs were conditioned to salivate when the bell rang, it wouldn't be fair to blame the dogs for doing what they were conditioned to do.
Larry O I agree! But... Isn't Trump just as bad if not worse? People think Business men are more honest and efficient than career politicians just because they talk like us. We know the truth now...
He's a very competent business man, and really knows what he's doing. The consumers' ignorance is bliss to him. He's not going to kill brand loyalty to tell people what's really going on, that would be absolutely mad.
lol, there's plenty of cheaper alternatives from, say, Chinese companies. Quality is pretty decent as well (just look at videos showing knock-off Ray-Bans and how similar they are). eBay helps.
I would agree if I wasn't literally blind without glasses. Severe myopia is debilitating without MEDICAL EQUIPMENT and just because glasses are easy to come across these days doesn't mean I should have to pay over 1000% of his production cost simply for the convenience. The point of this video is to show how a capitalist economy can fail when it goes unregulated. Although he certainly played by the rules, he's now changed the rules of the market so that ONLY he can win and that's not how one maintains economic growth in capitalism.
Satisfying? You know the top is getting slimmer and sharper for each year? I'm enraged! Though of course he should be proud of himself, he's doing the best he can in a system that barely has any rules nor enough informed players. But I fail to see how you can find his dominance over your kin satisfying.
Just buy some $30 aviators from walmart or better yet some fake raybans from the internet. Nobody would be able to tell, let alone, give a shit, anyway. I have walmart glasses and many people think they are name brand. In the end, is all about who is wearing it. If you are good looking, even cheap sunglasses, will look good on you.
To be fair on him, just about every US citizen claims to be Italian just because their great-great-great-uncle's friend was from Italy. You can't be willing to falsely claim that you're Italian and then have a fit just because an Italian company owns a US brand.
@Cool.Hand nah he is a genius you would understand if you had a business or a large shop or something like that. He started from a village shop to international metropol. We should learn from him !
Took Rayban off the market for a year, and brought it back on the store shelves, and didn't change or enhance anything on them. They just came up with a different advertising scheme. Genius
After Luxottica bought Ray-Ban, the prices for replacement lenses have increased by 3X (TRIPLED!!). I purchased two pair that did not even fit and when I tried to return them I was told no because it had been over thirty days. Also Ray-Ban used to have GREAT customer service with live people and now I guess Luxoticca must have canned them all because now you cannot talk to any live people to take care of any problems, which before the buy-out they would have easily have offered to take care of my non-fitment issue.
Ive worked for Luxottica (Sunglass Hut) for 4 years. Extremely toxic work culture. They raise the prices anywhere from $1-$30 on each pair of glasses every single year now. The employees get 30% off as their discount (which is nothing for a $400k-$500 pair of glasses) and about 2 times a year they get 50% off. Part time sales Associates are left alone in the store for hours expected to run the store by themselves. They laid off Regional Managers during Covid leaving other regional managers to manage hundreds (literally hundreds) of stores so now everything is slipping through the cracks. With that said the glasses are good quality, and I highly recommend everyone gets a nice pair of glasses to protect your eyes- the drug store $1 pair doesn’t cut it. Luxottica owns EVERYTHING, they make SO much money yet the company culture is TRASH. I would NEVER recommend ANYONE to work for them.
Thank you for this eye opening program!! I recently underwent eye surgery and right now need a good pair un sunglasses. Now I know for sure that high prices don’t necessary mean high quality. Thank you!
The ending of the video is where I felt more could have been said about the lens industry. The choices cripple the customer to buy the latest and the greatest. The frames last a good couple of years (5 or even 10 if you keep them really well). The lens business is brutal, one cannot re-purpose the lens already made and the advertised technology keeps getting better.
that is the system most of us have no problem with. Do not blame him. Illusions are what most of us prefer. Just do not tell us. This is why film Matrix was so on point.
As a person who wore prescription glasses from the age of nine till around fifty five I was never so happy to have my lenses replaced due to cataracts and never wear glasses again. By having Multifocal lenses with UV filters implanted I finally have perfect vision and this means I finally get to ditch annoying eyewear forever.
I used to work for Luxottica, they were a great company to work for. They really take care of their employees. They also had a great program where if the frames that came out a little wrong or older styles were discontinued and we had extra stock, we would complete them with lens and send them off to third world countries and we had reps that went to those countries and would give the glasses out for free.
Exactly, the cost of getting a a pair of eyeglass in USA with eye checkup is around $300. If you go to Nepal go get same quality glass for 10 times less after the eye check up. I paid $25 for my eye glass back in Nepal.
not really. Shops add the markups...and shops can be individual franchises, so they can change their prices to suit their needs, but glasses are slow movers, and bills need to be paid, so that's why they mark it up a lot.
there are online glasses stores that sell nice glasses that are very similar to the expensive bs for under 20 bucks total. check out zennioptical/eyebuydirect.
I got 2 prescription eyeglasses online for $30. I was worried that they would be a waste of money but I love them and they fit great. Firmoo is good and cheap.
Classic monopoly in the eyeglass industry. The CEO clearly states that people are willing to pay for the name of the brand even though he owns all of the former brands that used to compete against him. Basically he's giving an impression that YOU have a choice and that you're willing to pay lots of money for stupid plastic and some metal.
+Carlos Malave Companies like Maui Jim actually make the high price worth it. They have some solid frames that can bend and twist and form back to shape and not break.
Jeremy Howard In that case ,i understand that the Maui brand has quality already built in. On the other hand, other brands are a brand name with an Italian or French name that is made in China.
+Carlos Malave It's not stupid plastic and metal to me. I like ray ban and I own a couple. the prices are high, but not prohibitive. I'd like them to be cheaper, but now I understand why they're going for 100€ where I live. Anyway, I love my ray ban, so I wouldn't consider buying a pair a bad decision, because I'm willing to pay that price for them. As another guy already said, this guy just knows what he's doing and unfortunately there isn't any real competition in the market. Kudos to him. Bad for the consumer. With that said, Im still rocking my aviators B-)
Manuel João Mr. Joao, the same reason Apple Co. makes a lot of money in overpriced iphones and other products-- made in China. I understand that you like your Ray-Ban; but you could've paid less if it Ray-Ban wasn't bought out by the big competitor and btw, instead of Italy, it's made in China for more profits.
Carlos Malave I know, but the difference being in the hundreds of dollars between the 2 products. Ray ban "only" cost around 100€, even if they only cost 20€ to make or whatever. 100€ is very affordable if you really like/want them (like I do). Apple, on the hand, has a price tag of 500/600/700. It's not even close. The scope is entirely different. Companies will always try to maximise their profits and margin. I know sunglasses could be a lot cheaper, but they could also be a lot more expensive (obviously when you see people willing to pay 400€ for a pair). In the end, for non-essencial products you will ALWAYS pay what you think the item is worth to you. You know the price, you like the item, you decide to want the item, you accept the price. No one forced me to buy my ray bans, but I really wanted them. Would be awesome if they were cheaper of course, but they're worth the price for me.
Thank you for being there TRADEOPTION🎡FUND when I wanted you ton..... I was lost in this new world that I was hassled to start with ....you not only guided me along the way but you also showed me the proper way....whatever little I have been able to achieve in life is because of you today ..... I want to thank you for being there and showing me the proper way of doing thing for me you are my best guide as you truly showed me the way to life....once again , I would like to tell you a heartfelt thanks for being there.....................
Add insult to injury; A friend of mine years ago who worked in his fathers optical lab made me two pairs of glasses after hours. (exactly the same lenses and frames as my former Optometrist) Charged me what they charge your Ophthalmologist, Optometrist or Optician. From the lab to you is a MINIMUM of 500% mark up. Opened my eyes. (no pun intended)
I purchased a pair of Versace frames from Lenscrafters about 10 years ago for $525 (frames and lenses) A few years later I met someone that managed a discount chain called Eyemart. The exact same frames minus the Versace label were $45 retail. She looked up their cost and told me they only pay $9. I compared and examined the frames side by side and they weren't just similar..they were exact. It was no doubt they came from the same manufacturer.
Josh River a lot of emerging companies are using this strategy now. Beauty Pie, Idoni, M.Gemi, Cuyana, Tamara Mellon, Oliver Cabell, Greats, and Everlane.. When you buy designer, you're buying the brand. You're paying membership fees to an exclusive club, if you will. Dior, Prada, Chanel wouldn't be "luxury" if everyone walking down the street has one.
Fong .YukYuu I totally get that and is something I've recognized for a long time now. However, imho "luxury" at the very least implies your getting something more for the money spent. (i.e. quality, features, exclusivity ect..) I realize that the majority are fine with paying all that extra money for the privilege of a luxury name. I find it almost insulting (on a personal level anyway) that exotica does so well at this legal marketing scam. I don't care how rich I was..I couldn't justify spending that much more on a set of frames that literally come from the same source. Don't get me wrong here..im not suggesting what someone should or should not do with their money. I'm only expressing my opinion on how absurd and shallow people can be for the sake of bragging rights.
You do get something with *some* of the expensive sunglasses, even from Luxottica. Persol and Ray Ban for example have very unique styles, and cheap similar sunglasses don't quite have that same shape or look. Ray Ban Original Wayfarers have stronger hinges, rivets from the hinges into the arms and frame and metal in the arms for additional strength and are also made of acetate rather than other plastics. The markup is higher, there is diminishing returns, but to say you get nothing at all for the extra money is not true. You have to be careful though, RB New Wayfarers for example have no metal in the arms and no rivets. Saint Laurent (Safilo I believe) have a layer of acetate over the brand name inside the frame so it doesn't wear off. Again, markup even higher but you get something. Cutler & Gross ups the quality again with a more stringent manufacturing process and you don't get uneven glasses from them and even more strength compared to Luxottica brands. All of them are less easily scratched and the finishes don't wear off as easily. Sunglasses are like any other expensive clothing - some of them are an outright scam, some of them are higher quality & nicer, some of them are super high quality & even nicer, but you pay exponentially more with diminishing returns. Honestly the thing most worth complaining about here is the fact Luxottica designs the sunglasses. That really is disgraceful and a scam, even if they do a reasonable job half the time.
@MRFUCKOFF202, yes, that's true, but have you ever asked yourself WHY you prefer the shape or look of the $200 pair of sunglasses over the cheaper ones? It's marketing man. You have unintentionally developed a taste for what they wanted you to. It's on an actor or in a magazine picture or whatever.
Volvo is a Swedish car brand owned by Chinese Jaguar-Land Rover is British car brand owned by Indians It all boils down to "Branding" because no one looks for the owner, but only remembers who popularized and built the reputation of the brand.
mrinanis Well, a brand is air, it's whatever it's perceived as. So it can be perceived as "American". Same for Hamilton watches being owned by the Swatch group for example. 80% of "American" brands nowadays are made in China or Mexico. At least "Made in Italy" stands for quality. Plenty of Americans pay a premium to have the prestige of something "Made in Italy", or the quality of "Made in Germany". That's perception too, kind of like national branding. Something "Made in China" or "Made in Mexico" could be identical, but perception is different. Heck I think I'm even guilty of it. I live in Italy and operate a shooting range. Being American/Canadian when it comes to guns is "cool" here and my Italian partner leverages the heck out of my nationality when selling us. It seems sometimes where I'm from is more important than the hundreds of hours of development put into the course. Just like a brand can make a $10 piece of plastic worth $300.
Once, while driving from Geneva to Milan, my gf pointed to a building & remarked that that was where some 80-90% of the worlds sunglasses, including cheap knock-offs! I found it hard to believe, but all the locals agreed w/her. This was the company.
at 9:47 , The CEO while talking about Oakley sounded like a Mafia Godfather 😅 I expected him to say "I just made them an offer they could not refuse 😏"
"They understood that life was better together." "“Like many business men of genius he learned that free competition was wasteful, monopoly efficient.” ― Mario Puzo, The Godfather
She proved herself bold & beautiful. She put questions with clarity & single-mindedness. Made the public familiar with, how the big companies are looting them.
Goddamn man. This is good business. This guy has an entire market locked down to a borderline monopoly level, owning over 80% of brands available and owning the majority of retail stores for shades. Fucking thug. Hate that I have to pay so much for nice shades and I wish there was more competition, but this dude is such a thug. Can't knock the hustle.
TheSneakerDome The guy can hardly keep from smiling as he lies about how much of a monopoly they have. No one should pay hundreds for sunglasses. You can get such great quality and style from ebay: www.ebay.com/sch/bdunni/m.html?item=111621791782&ssPageName=STRK%3AMESELX%3AIT&rt=nc&_trksid=p2047675.l2562
I always lose or break the expensive sun glasses. But those $4 PUGGS I bought that one time at the gas station on that road trip will probably survive the apocalypse..
I used to think $30 sunglasses must be inferior to $300 ones, and maybe using them would hurt your eyes because they might be fake? Now I know that $30 is actually reasonable for a pair of real sunglasses.
kailli It depends on what the materials are and the method of construction. If its the same Zyl (optical plastic) then are the hinges the same? Do they have springs? Can you see or feel a quality difference? So honestly they could be spitting distance from one another or miles apart. Tough to say without looking at the and handling them. I'd say there is a decent chance that they are 70-85% similar.
Be carefull with sunglases. The frame doesnt matter but the glass should be polarized and the UV protection should have been tested. There are good cheap options but carefull with china stuff
Chuck Norris Good suggestion. Two quick things, I would recommend the term lens over glass because glass is a type of lens. Glass lenses are good at scratch resistance but break easy and also make most frames front heavy which leads to lenses breaking. Basically old people pretty much use glass lenses exclusively. Second, I do think polarization in sunglasses is a good thing if you spend lots of time outside or are sensitive to sunlight. That said polirized lenses can have a bit of a downside. Certain displays like one on a digital watch or an LCD type of screen can be rendered blank. If that is important to your job or activity that can be a drawback. I have polarized sunglasses and at some restraunt locations I have to switch because I cannot read the menu. I used to sell and make both glasses and sunglasses. A good pair of frames can last a long time, especially if they are steel or titanium. For sunglasses I get polarized lenses as they help my eyes outside. Professionals will tell you to get your eyes checked at least once a year. More if you have issues coming up. Keep in mind that if your prescription should change you will need new lenses. Sometimes you can use old frames but you will also want to get new ones too. So you may keep that in mind when buying glasses.
Four years ago I went to LensCrafters and spent over $500 for a pair of glasses that didn’t have transitions. Yesterday I went to Warby Parker, and spent about $300 for glasses WITH transitions.
I just have my first eye glasses today and was wondering why it was so expensive and then I randomly found this video answering all my questions hahaha
+mythirdaye When a business deceives its people and puts an impression to make it seem like multiple companies, it kind of is a secret. This company is basically running a ponzi scheme. They have their own insurance which it sells and allows you to buy their subsidized products on a loan from their own credit card company. I see you're point that most of the people who fall into this are sheep. None the less, it is still something that is unaware of.
+mythirdaye its actually illegal in most nations and not only promotes oppressive production (slave labor) but high corruption (buying politicians, etc) and THEM choosing who makes it in the industry instead of the consumer...its communism capitalized...
+cicada This is not a Ponzi scheme, Ponzi scheme are targeted at investors, making them believe you are making tons of cash and that you will share it with them, except that there is no such money. All money here is real, it is from the consumer, he pays for the credit, pays for the insurance and pays for the glasses with hard earned cash, and he gets what he paid for, the only thing is that the price tag is high because there is little competition.
+gubx42 you are right in your definition of ponzi but wrong in your excusing of this company. There is not little competition, there is no competition. It is an internationally illegal company but since its a cartel monopoly with the brands of the most exclusive companies reputations on the line, nobody does anything. Its weird to me why youre defending them when you obviously dont know anything about it
Walmart eyeglass prices are no bargain either. My prescription progressive lens eyeglasses cost me nearly three hundred dollars at Walmart 3-4 years ago. I wish I was aware of Zeno optical back then.
Since the consumer is vulnerable to monopoly pricing, by definition, the options are severely limited. I thought there were laws against monopolies operating in the US due the predatory nature of them, but guess I’m wrong.
Im also looking into buying a pair of sunglasses and i quite like persol's and ray ban's models but I wanted to take a look into other non luxottica manufacturers and the only ones I found so far that I like are Moscot's and they are often double the price of what ray ban's cost so it also isn't easy to find a non luxottica answer
@@jans.2123 i'm in the same position... it's so annoying cause even Ray Bans are kinda expensive, i would like something a bit more affordable and to look nice. Sadly i barely find any models i like as it is. You can tell they are made by the same company :)
Most people forget the difference between a group of men who crookedly run the casino business in a city and the hooligans selling meth on street corners.
You would think the glasses he is wearing are just an ordinary pair of specs, but you would be wrong, dead wrong. They are master glasses, manufactured within the very bowels of Luxottica. One Pair of Glasses to rule them all, One Pair of Glasses to find them, One Pair of Glasses to bring them all and in the monopoly bind them. In the town of Agordo where the glasses are made.
11:29 For those who don't make it that far, you don't wanna miss this part: Luxottica also owns the "2nd largest vision care plan" in the nation. Because of course they do.
at 10:04 it gave me goosebumps the way he responded "I understand your theory but they understood that life was better together" Sounds like a villain :|
If you take the ingredients of a cake and throw them together in the oven will you get a great cake at the end? If you don’t have a cook placing all the ingredients together in the correct order, at the exact temperature and selecting the finest ingredients… You won’t have a cake. If the cook it’s a chef and apart from the great taste he decorates the cake. What is most valuable the ingredients or the craftsmanship? What if that Chef is your countryman and you as the owner of the bakery respect his labor and pay him top dollar for it and still make a good profit. Would you risk the quality of the cake to have it made in another country paying slave labors to a poor bastard that at the end won't be able to deliver the same quality? Is that so hard to understand? Ray-Ban’s today are made in Italy and are far better than the ones made before. Italians get top dollar for the craftsmanship and Americans get a great product that is not only fashionable in the many incarnations Luxottica makes but also it’s functional. Americans must understand that “THE PRICE OF CHEAP PRICES IS GREATER THAN ANY FINANCIAL GAIN” and the suffering it promotes are endless. If not ask Wal-Mart and the many American businesses that have send your jobs abroad to give you a few dollars in discounts at the mall for garbage of substandard quality… This is the worst report I have ever seen in 60 minutes. I say this placing on my face my freaking 400 USD sunglasses… Mmmmmmm they look so fucking fine… I hope that “Mario or Luigi” or whatever his fucking name is has enough money to send his kids to college and have them make me better freaking sunglasses in the future. AMEN Luxottica happy customer…
How is this not a monopoly? This isn't capitalism. This isn't a free market. It's a monopoly.
That is why it's not in America...
Tristan B But they operate businesses in America. They're subject to our laws to some degree.
***** What American based company has a monopoly?
krowanders Well, in germany it wouldn't be possible. The amount of restrictions to buy a brand is INSANE,
krowanders Technically speaking it is the perfect example of a global Oligopoly. When a single company controls the majority of the "free" market, that company can impose certain externalities that reverberate throughout the market and consequently effect the rest of the market. We as consumers usually only focus on the prices, but it effects much more than that. The big company also limits the scope of competitiveness within the market because of the almost hidden effects it has on the rest of the market. such as, driving up materials cost, shipping, research, store locals I.E. your local kiosk or store front. The main difference between an Oligopoly and a Monopoly is that in a Monopoly ONE company controls the entire market share. While holding an Oligopoly is not illegal it effects the consumer in ways we wouldn't otherwise notice. While an oligopoly has very similar characteristics it is not a Monopoly unless it controls the entire market share. Hope I didn't rant too long :)
Damn, the Luxottica boss talks like a Bond villain
+benjamiy831 Now that is power of deception. Journalist makes interview with the CEO in a relaxed and friendly atmosphere but after editing he looks like villain. While everybody complain about high prices he is smiling...
He's only missing a cat.
+Miguel Malcolm right
+Miguel Malcolm LOL
+benjamiy831 HOLY SHIT!! I was thinking the same thing and was about to comment that lol. im slight freaked out by this hahaha. Agreed. I was watching the guy talk and all I could think was he sounds like a bond villain telling us his masterful diabolical plan...because he knows we can't do s**t about it.
The smirk on the CEOs face throughout the entire interview says it all.
i was going to say that too
He is like, I have made a fool out of this world
That evil smirk
He looks like the love child of Steve Ballmer and Putin, but he definitely takes after Putin more. Heh.
He has a smug and slapable face
Italian CEO sounds like a movie villain with what he is saying, "They ended up realizing that working together was... better for them."
I know, he's a CREEP!
Can just imagine how big his fat bank balance is!
How did he get into health side of things though?????????????
THAT is THE QUESTION?
Mafia
"them" doesn't exist anymore. Former Oakley CEO Jim Jannard had to sell his company to Luxottica because they refused to sell Oakley in any of their stores. He lost a lot of money and didn't end up working "together" with Luxottica as Luxottica is working with itself.
@@y.t.a180 Yeah, think about this again next time you hear someone saying people get rich by effort. In the capitalist "free market" you get rich by being a bully, 99% of the time...
@@TBPetitP if everyone got rich by effort, the donkeys would rule this planet.
The CEO sounds like some evil genius who could take over the world if he wanted to.
He already has
+Benjamin Meijer no only glasses lol, many peoples doesn't have eyes problems, and doesn't live in sunny places.
+Peter Kolodziej He's freaky :S
+Peter Kolodziej but he doesn't so he maust be a cool guy
+Peter Kolodziej He's a cheeky fuck, that's for sure.
The interviewer is asking damn good questions. She's good .
Hahahahahaha
Whats her name.??
She got her head handed to her. IMO
She is the best
Indeed.
8:03 I love that she called him out for not answering her question. I want to see more journalists go back to doing this!
This is bad.. people wont want to interview for their channel
I caught that too!!
@@deamondepicksaxe This is CBS's 60 minutes.
This lady is savage. I like how she confronts LensCrafters: "Mark you are not answering my question".
Like he's on the stand.Don't like his business?Don't shop there! Another example of 60 minutes vilifying succesfull people/ businesses.
That Italian CEO sounded like the mafia when he was discussing the disagreement with Oakley.
Power corrupts, and absolute power corrupts absolutely, to use a worn out phrase. Monopolies are bad for consumers, we can clearly see this here
Cyborg Manticore
As I always say…
It's not that power corrupts.
It's that, only the corrupt will earnestly seek power over other people.
@@tubebility You could be right. But this begs the question: Who isn't corrupt?
Alot of pausing and thinking of how to phrase his answers.hmmmmm. i move her journalism. To the point and blunt!
tubebility
L
"You're not answering my question."
Please let more journalists do this again
Niko'to Nagatani they do but the democrats still get away with it and lie!!
He was answering it. They don't all cost the same. She then goes on to spin it that the average price is $300 with prescription lenses, and then ends the video saying that adding the lenses can add another $300 to the price. It's a dumb question. The answer is both yes every pair, and no none of them. The price is the price.
@@lskdfoIS It was a dumb question, you're right. She said "I'm asking if you charge less for frames made by luxotica since you're the same company". What? Why would anyone expect a company to undercut itself? If luxotica owns luxotica and lenscrafters and sells a pair of sunglasses, why wouldn't you assume the price to be the same? Why would you assume buying luxotica from lenscrafters would be cheaper than direct? It seems like she's trying to ask a "GOTCHA" question but when you think about it, it makes no sense. The price should be the same and the implication that buying luxotica from lenscrafters should be cheaper because luxotica owns lenscrafters makes no sense.
@@user-nh3gu1ge3d She was asking if buying them from Lens Crafters was cheaper than from other dealers not owned by Luxotica because it should be more direct and involve less price gouging the retailer since they work together, as opposed to other retailers who would in all likelihood pay a premium for Luxotica brands because they're competitors to the retailers Luxotica actually owns and works with.
@@Jxsurfer90 How would a republican know? I've yet to meet a republican knows the difference between truth and lies.
Updates about Luxottica since this video is very old:
1) Luxottica has merged with Essilor; the largest lens manufacturer in the world
2) Luxottica up-charges an average of 500% on its lenses and frames (most industries only up charge around 100%-200%).
3) Luxottica now owns approximately 80% of the eyeglass industry.
If you want to avoid giving EssilorLuxottica money, shop at any place not mentioned in the video, AND ask what lab their lenses are made at. If they say Essilor/Meridian, then that’s Luxottica.
Thanks for the information, the glasses seems to cost more then gold.... I think Polaroid made more honest sunglasses ate reasonable price, its a alternative
Thank you
Thank you.
I stick with Maui Jim every time I can.
bro aliexpress
I worked in a optometry office/sunglass store locally-owned. And I can tell you the actual cost is cheap and the owner made a lots of money. Even more on prescription lenses.
I have to wear varifocal lenses which are more expensive than single vision lenses. I was quoted nearly £700 for new glasses from an optician. I went elsewhere and had top of the range varifocal lenses inserted to an old frame for a third of that. Best decision ever made.
In the last year many firms have increased prices because government support for a lot of businesses during the pandemic was non existent, they're looking to recoup losses sustained during that time and its set off a vicious cycle which is now based on greed. What these businesses forget is that everyone was in the same boat. These rising prices will force those greedy businesses out because people can't afford to buy their goods or services
I felt poor af for buying $12 cheap sunglasses at the mall but after seeing this video I feel 100% better.
+sleepybird09 Yeah 😕
Cheap diamonds are THE THING =)
me too ^_^
sleepybird09 nah he just drinks it straight from the toilet
You're still poor though.
so I dont feel bad about $15 knockoffs all of a sudden
i feel terribly stupid about buying rayban prescription lmao
They are still plastic and not actual glass lenses also much better quality. And most are not made in China.
+Matt Bawlin Those plastic lens are less than $10/ pair. My Dad's best friend was an optician so we used to pay his cost and get free labor. I live next door to an optician and theyre still cheap. Alot of the plastic lenses come from Brazil. Most plastic blanks are less than $4 each on the invoices. We pay $200 for those lenses.
Luxottica has the biggest glasses factory in China, they make 90%finished product, then send to Italy to finish, adjust the cost on their book, so they can print made in Italy!!!!!!!
Thank god there are indie companys that sell glasses with carl zeiss optics less than 60e like ashbury
I've watched this report numerous times since it debuted years ago. It always fascinates me how the consumer (Americans in particular) have lost control of paying reasonable prices, instead of inflated prices for acetate and/or metal frames.
I refuse to buy sunglasses brand new. There are thousands of people who tire of their sunglasses or barely wear them and then want to get rid of them. You can get some pretty great deals that way. As for Ray Ban? I don't see what's all the fuss. The iconic aviator style is made by many other brands and frankly most of them are as good or superior in quality.
Its all about supply and demand. A high value is often times placed on expensive things. Couple that with a society that can afford it, and the government manipulating inflation on freaking everything, and its a perfect storm for overpriced stuff
I remembered when I was a kid and I went to a Korean American women optometrist. I told the Korean American women that her Optometrist place was cheap and she got mad insulted telling her friend that she did not like me for saying that. Now that I am older I still stand by what I said. All the glasses in the Korean American women's store were either made of cheap plastic and metals which were made in China. Those glasses do not cost a lot yet without insurance that Korean American women would charge nearly a $100 or more which was unnecessary. Lol sis got mad at me for telling the truth.
Watching it after 8 years and it still blows my mind...The true Don from Italy...
8:03 "Mark you're not answering my question." I love how blunt she is here. And a great journalist overall.
+Aeig I was just thinking the same thing. This woman is awesome!
+Aeig most people don't hear the bullshit.
Those that do, don't usually call out other people's bullshit because they're courteous.
and only very few will call out these bullshit.
+Aeig Mark should've answered No.
Because if they charged people less when it's a "higher" quality, people will automatically think it's an inferior product.
People pay for the perceived value of goods and not the markup of the goods cost.
+fhhh It would be similar to what you said only if Apple owned and sold every cell phone of every brand and owned every cell phone carrier and then marked up their prices over %10,000. It may be several hundred dollars for an Apple phone but here you're seeing several hundred dollars for pieces of plastic.
+Aeig I think shes a good journalist but I thought that question was a load of bullshit. Why the hell would consumer's get a "break" on prices if they clearly stated that LC is now owned by Luxottica. That question was intended to make the President give a vague answer. He can't say yes or no, because if the President of any company gives false information its a PR disaster. Then he explains every retailer determines their own prices, and then she says his answer was "no." I thought that she was just being really smug.
I like how she's not afraid to just confront people and ask them directly and call them out on things.
Call them out on what? Being a super successful business? I think the correct term for that is complimenting.
@@supremelordoftheuniverse5449 are you kidding watch the video she even straight cut in on one guy and said you're not answering my question.
@@supremelordoftheuniverse5449 On being anti competetive
@@thedog5k ... and for price gouging, price fixing
Back in the 90's I worked in a factory that made the metal frames for glasses. The unit price the factory sold the frames for was 56p (70 cents).
well that would be just the manufacturing cost but even if you add marketing, logistics and sales cost there is no way they should cost $550
That explains why online spectacle companies are able to be profitable while offering stylish frames with lenses people want to wear. It vindicates my view that notwithstanding the overheads traditional opticians have to pay the mark up on a pair of glasses is off the scale
I used to wear designer glasses when I was younger and now I just order cheap no name ones online. No difference. My ray bans broke after 4 years.
Raybans broke after 4 years. Cheap glasses break after a month. Some cheap glasses even have glass that fade. But I agree they are a bit overpriced
@@kjrayo18 The sunglasses I bought from eye buy direct broke after 4 years. Sunglasses that I had purchased from a drug store broke after a couple of months though.
I dislike my prescription ray bans so much. They keep sliding down my face :(
I didn’t even know they were ray Bans when I bought them. I wasn’t paying attention and I overpaid :(
4 years that's good.
Lmao 4years and you are complaining ? Did they break up on their own like sitting on a desk and suddendly they cracked ? Lol
This man is playing pure monopoly.
Isn't that illegal in the US ?
and Nike too.
@Leopold if he's sells in US he is under US laws. It will have a US business end. However US politicians, particularly ones on the red side, tend to be easy to persuade to not enforce the law with a few bills.
A MONOPOLY IS ONLY ONE SELLER TO MANY BUYERS. THIS IS NOT A MONOPOLY. PICK UP AN ECONOMICS TEXTBOOK
@@blackwhite2361 LoL, you better read that again and get some real knowledge.
"So what happened with Oakley?"
*In italian accent*
"We made them an offer they couldn't refuse"
he went total🕵Mob 🔫🗡on eyewear😮..😂
Sounds like Italian mafia offer
I can imagine the Mafia-like negotiations that took place when buying Oakley. "Nice sunglasses you got there. It'd be a shame if they disappeared from the market."
I stand with Oakley. They put a shitload of engineering into their eyewear and, in most cases, don't even need to (ANSI tests, etc.). I will always buy from Oakley online. Never stepped foot into Sunglass Hut.
@@suomik1988 no matter where u buy as long as they are from luxottica and not some store uncredited by them
@@suomik1988 Love Oakleys, all ill ever wear. They're far more than just a name
So funny Michael... we were thinking the same thing. You said it well 🤣
@@JudithRose1992 😂😂😂and sad at the same time.
"Everything is worth what people are ready to pay". This is true.
I really like this reporter. She's not a bitch and actually goes hard on these psychopaths, wish more reporters were like this.
rexes92 what makes you think he's a psychopath?
He has the evil genius smile is why lol
She's still a 10...
rexes92 Like one commenter said. Hes a bond villain.
So true lol, he and the Lens Crafters president got trolled
This is one of the very best reviews I've ever seen. Brilliant interviewer, clever questions and answers too.
Answers were just hypocrite
"Everything's worth what people are ready to pay " - this sums it all.
That sounds good on the surface. Heck, I repeated the same mantra myself for years. Then I started questioning myself. WHY are we ready to pay? Is the media (mainstream, social, whatever) conditioning us to 'consume' certain things? Why wouldn't they? Since 'big corporate' owns all of the various medias it'd be in their best interest to promote consumerism. Once Pavlov's dogs were conditioned to salivate when the bell rang, it wouldn't be fair to blame the dogs for doing what they were conditioned to do.
The consumers are the idiots and that ceo is feeding off of them
The interviewer is damn good. She’s putting the companies in their place and keeping them from dodging questions.
Wow, thank god he's not a politician. He would probably own the world.
Larry O I agree! But... Isn't Trump just as bad if not worse? People think Business men are more honest and efficient than career politicians just because they talk like us. We know the truth now...
Larry O At least he would be better than Trump lmao
I don't think so. Mr. Trump is an American patriot.
Glad I don't have to wear one!hehe...
LOL just read this that's funny
He's a very competent business man, and really knows what he's doing. The consumers' ignorance is bliss to him. He's not going to kill brand loyalty to tell people what's really going on, that would be absolutely mad.
Completely agree. Also immensely satisfying to see how he doesn't lose his cool after the repeated "attack" questions. No surprises for him.
lol, there's plenty of cheaper alternatives from, say, Chinese companies. Quality is pretty decent as well (just look at videos showing knock-off Ray-Bans and how similar they are). eBay helps.
I would agree if I wasn't literally blind without glasses. Severe myopia is debilitating without MEDICAL EQUIPMENT and just because glasses are easy to come across these days doesn't mean I should have to pay over 1000% of his production cost simply for the convenience. The point of this video is to show how a capitalist economy can fail when it goes unregulated. Although he certainly played by the rules, he's now changed the rules of the market so that ONLY he can win and that's not how one maintains economic growth in capitalism.
Satisfying? You know the top is getting slimmer and sharper for each year? I'm enraged! Though of course he should be proud of himself, he's doing the best he can in a system that barely has any rules nor enough informed players. But I fail to see how you can find his dominance over your kin satisfying.
Just buy some $30 aviators from walmart or better yet some fake raybans
from the internet. Nobody would be able to tell, let alone, give a
shit, anyway. I have walmart glasses and many people think they are name
brand. In the end, is all about who is wearing it. If you are good
looking, even cheap sunglasses, will look good on you.
"They're not too expensive"
"400$"
😭
They are plastic worth 4 $ but we sell it for 400$. What a great deal
And they don’t last for like flimsy metal horrible horrible glasses they look good for a minute
@@liviuczifrak5841 Yeah I can’t wait to waste more money, ha ha cheap sunglasses over priced
"They understood life was better together" - CEO trying to hide his monopoly
"It's an American brand owned by Italians" I love the cockiness in his tone and facial expression when he said that lol
👍👍👍
Confidence
He even sounds evil.
To be fair on him, just about every US citizen claims to be Italian just because their great-great-great-uncle's friend was from Italy. You can't be willing to falsely claim that you're Italian and then have a fit just because an Italian company owns a US brand.
@Cool.Hand nah he is a genius you would understand if you had a business or a large shop or something like that. He started from a village shop to international metropol. We should learn from him !
The ceo sounds like a james bond villian lol
Yeah lol
No Mr Bond.....I expect you to over pay for Ray-Ban's
Dude was just icing Lesley like..."Yes...I am in business to MAKE money."
Your wallet will think he is a villain.
So true!!! LOL... He even has his base of Operations hidden somewhere in the Italian Alpes!!! LOL 😂🤣
Took Rayban off the market for a year, and brought it back on the store shelves, and didn't change or enhance anything on them. They just came up with a different advertising scheme. Genius
After Luxottica bought Ray-Ban, the prices for replacement lenses have increased by 3X (TRIPLED!!). I purchased two pair that did not even fit and when I tried to return them I was told no because it had been over thirty days. Also Ray-Ban used to have GREAT customer service with live people and now I guess Luxoticca must have canned them all because now you cannot talk to any live people to take care of any problems, which before the buy-out they would have easily have offered to take care of my non-fitment issue.
The spokes person for luxottica is like varys from game of thrones with his knowledgeable replies and sneaky remarks.
lol such comparison.
Way worse than Varys.
Varys isn't as smug
his expressions are more likely resembling littlefinger somehow.
He isn't "spokes person", he is the big boss!
This guy is basically an Italian eye wear mobster the "Eye Father"
Right... lol
I'm coming to make you an offer your eyes won't reject
Cristiano Paluzzo Piccin 😂😂😂 W
MeadhbhNi 🔥Gold, now that’s Punny😂
@MeadhbhNi no pun intended, right?
Ive worked for Luxottica (Sunglass Hut) for 4 years. Extremely toxic work culture. They raise the prices anywhere from $1-$30 on each pair of glasses every single year now. The employees get 30% off as their discount (which is nothing for a $400k-$500 pair of glasses) and about 2 times a year they get 50% off. Part time sales Associates are left alone in the store for hours expected to run the store by themselves. They laid off Regional Managers during Covid leaving other regional managers to manage hundreds (literally hundreds) of stores so now everything is slipping through the cracks. With that said the glasses are good quality, and I highly recommend everyone gets a nice pair of glasses to protect your eyes- the drug store $1 pair doesn’t cut it. Luxottica owns EVERYTHING, they make SO much money yet the company culture is TRASH. I would NEVER recommend ANYONE to work for them.
Thank you for this story. In the future, I’m giving my money to Walmart or Costco.
You know a company is evil when they make Walmart look like the underdog.
Or perhaps the interview was edited in such a way and the commentary framed in such a way that the company is meant to look bad
@@ihavearequest1 Or perhaps they're just evil?
Worse than dorsia
@@felipec.2854 Dorsia? Nobody goes there anymore.
Companies are not evil, they are smart.. Go to eyebuydirect and get $20 dollar glasses if you don't wan't to pay for a brand name.
One day Luxottica will even own my eyeballs.
Haha
Like Minority Report
Nope. Those are already owned by your government!
Just like blind mag in repo the generic opera
lol. they do already because your balls focus on that glasses.
Thank you for this eye opening program!! I recently underwent eye surgery and right now need a good pair un sunglasses. Now I know for sure that high prices don’t necessary mean high quality. Thank you!
The ending of the video is where I felt more could have been said about the lens industry. The choices cripple the customer to buy the latest and the greatest. The frames last a good couple of years (5 or even 10 if you keep them really well). The lens business is brutal, one cannot re-purpose the lens already made and the advertised technology keeps getting better.
“It’s an illusion of choice” perfect summary
We have seen the matrix.....
Democracy at its finest :)
that is the system most of us have no problem with. Do not blame him. Illusions are what most of us prefer. Just do not tell us. This is why film Matrix was so on point.
Just like politics, illusion of choice.
most of the world works that way now sadly
God I fucking love this guy...he's just sitting there giggling his rich ass off.
As a person who wore prescription glasses from the age of nine till around fifty five I was never so happy to have my lenses replaced due to cataracts and never wear glasses again. By having Multifocal lenses with UV filters implanted I finally have perfect vision and this means I finally get to ditch annoying eyewear forever.
I used to work for Luxottica, they were a great company to work for. They really take care of their employees. They also had a great program where if the frames that came out a little wrong or older styles were discontinued and we had extra stock, we would complete them with lens and send them off to third world countries and we had reps that went to those countries and would give the glasses out for free.
Doesn't change the fact that they're a vertically integrated monopoly that profits off of scalping consumers
Well they are price gouging customers by charging these markups for the optical illusion of choice
yeah they write off their donations like every other corporation. they aren't doing it because of their giant black hearts.
Glasses are indeed way over priced!
+How To Make Sushi I agree with this! I am glad you agree with the popular opinion! Now you appeal to us!
How To Make Sushi true!
Exactly, the cost of getting a a pair of eyeglass in USA with eye checkup is around $300. If you go to Nepal go get same quality glass for 10 times less after the eye check up. I paid $25 for my eye glass back in Nepal.
@@calbeter your comment was so underrated lmao
Not from China
So basically, my glasses are expensive because Luxottica pretty much has a monopoly and can charge whatever they want.
No, they’re expensive because you decided to buy a status symbol and show everyone that you can afford to buy triple digit glasses
not really. Shops add the markups...and shops can be individual franchises, so they can change their prices to suit their needs, but glasses are slow movers, and bills need to be paid, so that's why they mark it up a lot.
Not really, the supplier sets the prices the store can charge
Dont buy. Go create your own glasses brand. They sell because people are stupid.
there are online glasses stores that sell nice glasses that are very similar to the expensive bs for under 20 bucks total. check out zennioptical/eyebuydirect.
I got 2 prescription eyeglasses online for $30. I was worried that they would be a waste of money but I love them and they fit great. Firmoo is good and cheap.
The smirk on his face is the typical Italian smirk: "I am selling you some overpriced garbage and you are even happy for it."
Classic monopoly in the eyeglass industry. The CEO clearly states that people are willing to pay for the name of the brand even though he owns all of the former brands that used to compete against him. Basically he's giving an impression that YOU have a choice and that you're willing to pay lots of money for stupid plastic and some metal.
+Carlos Malave Companies like Maui Jim actually make the high price worth it. They have some solid frames that can bend and twist and form back to shape and not break.
Jeremy Howard In that case ,i understand that the Maui brand has quality already built in. On the other hand, other brands are a brand name with an Italian or French name that is made in China.
+Carlos Malave It's not stupid plastic and metal to me. I like ray ban and I own a couple. the prices are high, but not prohibitive. I'd like them to be cheaper, but now I understand why they're going for 100€ where I live.
Anyway, I love my ray ban, so I wouldn't consider buying a pair a bad decision, because I'm willing to pay that price for them.
As another guy already said, this guy just knows what he's doing and unfortunately there isn't any real competition in the market.
Kudos to him. Bad for the consumer. With that said, Im still rocking my aviators B-)
Manuel João Mr. Joao, the same reason Apple Co. makes a lot of money in overpriced iphones and other products-- made in China. I understand that you like your Ray-Ban; but you could've paid less if it Ray-Ban wasn't bought out by the big competitor and btw, instead of Italy, it's made in China for more profits.
Carlos Malave
I know, but the difference being in the hundreds of dollars between the 2 products. Ray ban "only" cost around 100€, even if they only cost 20€ to make or whatever. 100€ is very affordable if you really like/want them (like I do). Apple, on the hand, has a price tag of 500/600/700.
It's not even close. The scope is entirely different. Companies will always try to maximise their profits and margin. I know sunglasses could be a lot cheaper, but they could also be a lot more expensive (obviously when you see people willing to pay 400€ for a pair).
In the end, for non-essencial products you will ALWAYS pay what you think the item is worth to you. You know the price, you like the item, you decide to want the item, you accept the price. No one forced me to buy my ray bans, but I really wanted them.
Would be awesome if they were cheaper of course, but they're worth the price for me.
Thanks China for copying and making the price more reasonable.
Probably the counterfeits are made by Luxottica, as well.
In this case I totally agree and from now on I buy only Chinese copies!
Yeah, good luck with those fake UV blocking lenses.
robertorolfo yeah, I’ve noticed some people getting Chinese fakes and getting their eyes ruined.
$1 pair of sun glasses from Walmart block more UV than Ray Ban ! Look at the test.
Thanks. The frames are so good, I am recycling mine. Been wearing glasses since 1975.
Thank you for being there TRADEOPTION🎡FUND when I wanted you ton..... I was lost in this new world that I was hassled to start with ....you not only guided me along the way but you also showed me the proper way....whatever little I have been able to achieve in life is because of you today ..... I want to thank you for being there and showing me the proper way of doing thing for me you are my best guide as you truly showed me the way to life....once again , I would like to tell you a heartfelt thanks for being there.....................
The guy sounds like a Bond villain
hahaha
+Armando Serna hes "Gru" the despicable me character
+Eric Medina I nearly fell from my chair laughing when i saw your comment.
Here take my like :D
perfect!
+Eric Medina I thought the same, LOL!
they're so expensive that even at 50% off discount are still ripping you off.
Sam Aka Vlogs 😂😂😂
Add insult to injury; A friend of mine years ago who worked in his fathers optical lab made me two pairs of glasses after hours. (exactly the same lenses and frames as my former Optometrist) Charged me what they charge your Ophthalmologist, Optometrist or Optician. From the lab to you is a MINIMUM of 500% mark up. Opened my eyes. (no pun intended)
They are ripping you off even at a 95% discount lol.
Hahaha
Yup
really good interviewer asked all the hard questions and ain’t let anyone slide
Fantastic segment! Love these old videos.
That Italian dude is like a mafia boss.
And you are acting like a gangster.
He's very slippery, like a politician.
Alberto. what?? uh no?
Why does people assume smart Italians are mafia?
I bet he is jesuit trained
I purchased a pair of Versace frames from Lenscrafters about 10 years ago for $525 (frames and lenses)
A few years later I met someone that managed a discount chain called Eyemart. The exact same frames minus the Versace label were $45 retail. She looked up their cost and told me they only pay $9.
I compared and examined the frames side by side and they weren't just similar..they were exact. It was no doubt they came from the same manufacturer.
Josh River right ppl don't realize a lot high end products uses third party manufacturer. n pay certain profit margin for their high end prices
Josh River a lot of emerging companies are using this strategy now. Beauty Pie, Idoni, M.Gemi, Cuyana, Tamara Mellon, Oliver Cabell, Greats, and Everlane.. When you buy designer, you're buying the brand. You're paying membership fees to an exclusive club, if you will. Dior, Prada, Chanel wouldn't be "luxury" if everyone walking down the street has one.
Fong .YukYuu I totally get that and is something I've recognized for a long time now. However, imho "luxury" at the very least implies your getting something more for the money spent. (i.e. quality, features, exclusivity ect..)
I realize that the majority are fine with paying all that extra money for the privilege of a luxury name.
I find it almost insulting (on a personal level anyway) that exotica does so well at this legal marketing scam.
I don't care how rich I was..I couldn't justify spending that much more on a set of frames that literally come from the same source. Don't get me wrong here..im not suggesting what someone should or should not do with their money. I'm only expressing my opinion on how absurd and shallow people can be for the sake of bragging rights.
You do get something with *some* of the expensive sunglasses, even from Luxottica. Persol and Ray Ban for example have very unique styles, and cheap similar sunglasses don't quite have that same shape or look. Ray Ban Original Wayfarers have stronger hinges, rivets from the hinges into the arms and frame and metal in the arms for additional strength and are also made of acetate rather than other plastics. The markup is higher, there is diminishing returns, but to say you get nothing at all for the extra money is not true. You have to be careful though, RB New Wayfarers for example have no metal in the arms and no rivets. Saint Laurent (Safilo I believe) have a layer of acetate over the brand name inside the frame so it doesn't wear off. Again, markup even higher but you get something. Cutler & Gross ups the quality again with a more stringent manufacturing process and you don't get uneven glasses from them and even more strength compared to Luxottica brands. All of them are less easily scratched and the finishes don't wear off as easily.
Sunglasses are like any other expensive clothing - some of them are an outright scam, some of them are higher quality & nicer, some of them are super high quality & even nicer, but you pay exponentially more with diminishing returns.
Honestly the thing most worth complaining about here is the fact Luxottica designs the sunglasses. That really is disgraceful and a scam, even if they do a reasonable job half the time.
@MRFUCKOFF202, yes, that's true, but have you ever asked yourself WHY you prefer the shape or look of the $200 pair of sunglasses over the cheaper ones? It's marketing man. You have unintentionally developed a taste for what they wanted you to. It's on an actor or in a magazine picture or whatever.
I went to the eye doctor yesterday and left almost in tears from how much it cost
Go to Wardy Parker. There eye glasses are reasonable and well made too.
@@georgeduncan3596 I will definitely check that out!
"It is an American brand owned by Italians"
LOL
Lol wouldn't it still be considered Italian then?
*Cries in FCA*
Only to avoid USA Taxes.
Volvo is a Swedish car brand owned by Chinese
Jaguar-Land Rover is British car brand owned by Indians
It all boils down to "Branding" because no one looks for the owner, but only remembers who popularized and built the reputation of the brand.
It's not sixteen century anymore, you can have factories and workforce all over the world easily.
"is an American brand... own by Italians" .. I lol'd
That was his only non bullshity answer.
Lol indeed.
mrinanis Well, a brand is air, it's whatever it's perceived as. So it can be perceived as "American". Same for Hamilton watches being owned by the Swatch group for example. 80% of "American" brands nowadays are made in China or Mexico. At least "Made in Italy" stands for quality. Plenty of Americans pay a premium to have the prestige of something "Made in Italy", or the quality of "Made in Germany". That's perception too, kind of like national branding. Something "Made in China" or "Made in Mexico" could be identical, but perception is different.
Heck I think I'm even guilty of it. I live in Italy and operate a shooting range. Being American/Canadian when it comes to guns is "cool" here and my Italian partner leverages the heck out of my nationality when selling us. It seems sometimes where I'm from is more important than the hundreds of hours of development put into the course. Just like a brand can make a $10 piece of plastic worth $300.
+mrinanis Just like dodge and jeep
+mrinanis Gun Heretics?
+mrinanis
*Americans create, design, invent and everyone else just buys them.* Sounds like what China's doing.
I can see clearly now! Now i have a new appreciation for seeing eye dogs
Once, while driving from Geneva to Milan, my gf pointed to a building & remarked that that was where some 80-90% of the worlds sunglasses, including cheap knock-offs! I found it hard to believe, but all the locals agreed w/her. This was the company.
That CEO is so tapped in to human psyche that we don't stand a chance.
of course lol that self righteous dirt bag millionare
He probably reads machiavelli.
if people are stupid to buy $150 sunglasses, then they deserve to be ripped off
PaiNExoTiC the problem is people dont understand quality, they understand brands....this ceo understands the sheeple...
billionaire**
at 9:47 , The CEO while talking about Oakley sounded like a Mafia Godfather 😅
I expected him to say "I just made them an offer they could not refuse 😏"
And broke their kneecaps a little bit.
It’s like putting a horse head in their bed!!!
"They understood that life was better together."
"“Like many business men of genius he learned that free competition was wasteful, monopoly efficient.”
― Mario Puzo, The Godfather
Exactly! He's a fucken capitalist!
😂😂😂
Yoooo this got to be the best news in the world ( Gratitude ) Thank you Thank you Thank you !!! 🗣🗣🗣💪🏾🙌🏾✊🏾✊🏾
Designer and prescription glasses are costly; but you can buy reading glasses new for $1 so glasses in general need not be costly.
She proved herself bold & beautiful. She put questions with clarity & single-mindedness. Made the public familiar with, how the big companies are looting them.
She was old & bitter, always...
@@BS1af I have no idea about the rest of her programs but in this video, she dealt with the issue fantastically.
We like her and like your comment.
@@healthyandrew5294 Thanks.
Goddamn man. This is good business. This guy has an entire market locked down to a borderline monopoly level, owning over 80% of brands available and owning the majority of retail stores for shades. Fucking thug. Hate that I have to pay so much for nice shades and I wish there was more competition, but this dude is such a thug. Can't knock the hustle.
Thug life candidate?
the other 20 per cent of the high end market is owned by Safilo an other Italian company . lol
And that's why you buy knock-offs. For shades at least...
biscuitskillet
touche
TheSneakerDome
The guy can hardly keep from smiling as he lies about how much of a monopoly they have. No one should pay hundreds for sunglasses. You can get such great quality and style from ebay:
www.ebay.com/sch/bdunni/m.html?item=111621791782&ssPageName=STRK%3AMESELX%3AIT&rt=nc&_trksid=p2047675.l2562
I wish I would’ve seen this two weeks ago. This is infuriating.
Thanks for giving us the knowledge. Really I don't know about this till i watch this video......
I always lose or break the expensive sun glasses. But those $4 PUGGS I bought that one time at the gas station on that road trip will probably survive the apocalypse..
Matthew The Great Coin Roll Hunter shopping Murphy's law
Matthew The Great Coin Roll Hunter Ahaaaaaaa. Fun-nee.
Matthew The Great Coin Roll Hunter 😂😂😂😂
Just make sure they're 100% UV protectant, or they'll actually harm your eyes more than not using sunglasses.
For real
She is so blunt I love it😭
She is brilliant i want to see more of her work , anyone knows her name?
@@TheEdvinas694 Leslie Stahl.
I’d love them to do an update on this story.
10 years later nothing has changed, it’s only gotten more expensive.
I used to think $30 sunglasses must be inferior to $300 ones, and maybe using them would hurt your eyes because they might be fake? Now I know that $30 is actually reasonable for a pair of real sunglasses.
kailli
Sheeple like like drove/drive prices.
kailli
It depends on what the materials are and the method of construction. If its the same Zyl (optical plastic) then are the hinges the same? Do they have springs? Can you see or feel a quality difference? So honestly they could be spitting distance from one another or miles apart. Tough to say without looking at the and handling them. I'd say there is a decent chance that they are 70-85% similar.
Be carefull with sunglases. The frame doesnt matter but the glass should be polarized and the UV protection should have been tested. There are good cheap options but carefull with china stuff
Chuck Norris
Good suggestion. Two quick things, I would recommend the term lens over glass because glass is a type of lens. Glass lenses are good at scratch resistance but break easy and also make most frames front heavy which leads to lenses breaking. Basically old people pretty much use glass lenses exclusively.
Second, I do think polarization in sunglasses is a good thing if you spend lots of time outside or are sensitive to sunlight. That said polirized lenses can have a bit of a downside. Certain displays like one on a digital watch or an LCD type of screen can be rendered blank. If that is important to your job or activity that can be a drawback. I have polarized sunglasses and at some restraunt locations I have to switch because I cannot read the menu.
I used to sell and make both glasses and sunglasses. A good pair of frames can last a long time, especially if they are steel or titanium. For sunglasses I get polarized lenses as they help my eyes outside. Professionals will tell you to get your eyes checked at least once a year. More if you have issues coming up. Keep in mind that if your prescription should change you will need new lenses. Sometimes you can use old frames but you will also want to get new ones too. So you may keep that in mind when buying glasses.
kailli ughhh no 5 bucks is
Somebody: hmmmm should I get these ray bans or Okleys?
Luxotica ceo: hahahahahahhahaha
Four years ago I went to LensCrafters and spent over $500 for a pair of glasses that didn’t have transitions. Yesterday I went to Warby Parker, and spent about $300 for glasses WITH transitions.
I just have my first eye glasses today and was wondering why it was so expensive and then I randomly found this video answering all my questions hahaha
She said “thats a no”
😂😂 i kinda like how blunt she is
You can bet your life she didn't say it to his face.
Don't forget this video is heavily edited to make the journalist and program look good.
That poor guy just didn't want to get fired.
I applaud this lady for spilling the beans.
What beans? That a company knows how to efficiently manage multiple businesses around the world and meet consumer demand? Wow, what a dark secret.
+mythirdaye When a business deceives its people and puts an impression to make it seem like multiple companies, it kind of is a secret. This company is basically running a ponzi scheme. They have their own insurance which it sells and allows you to buy their subsidized products on a loan from their own credit card company. I see you're point that most of the people who fall into this are sheep. None the less, it is still something that is unaware of.
+mythirdaye its actually illegal in most nations and not only promotes oppressive production (slave labor) but high corruption (buying politicians, etc) and THEM choosing who makes it in the industry instead of the consumer...its communism capitalized...
+cicada This is not a Ponzi scheme, Ponzi scheme are targeted at investors, making them believe you are making tons of cash and that you will share it with them, except that there is no such money.
All money here is real, it is from the consumer, he pays for the credit, pays for the insurance and pays for the glasses with hard earned cash, and he gets what he paid for, the only thing is that the price tag is high because there is little competition.
+gubx42 you are right in your definition of ponzi but wrong in your excusing of this company. There is not little competition, there is no competition. It is an internationally illegal company but since its a cartel monopoly with the brands of the most exclusive companies reputations on the line, nobody does anything. Its weird to me why youre defending them when you obviously dont know anything about it
great journalism. thank you so much
Walmart eyeglass prices are no bargain either. My prescription progressive lens eyeglasses cost me nearly three hundred dollars at Walmart 3-4 years ago. I wish I was aware of Zeno optical back then.
I buy rayban @150 $. And now after watching this I feel stupid
Me too lmao
i spend 320 for mine prescription eye glasses
Since the consumer is vulnerable to monopoly pricing, by definition, the options are severely limited. I thought there were laws against monopolies operating in the US due the predatory nature of them, but guess I’m wrong.
Im also looking into buying a pair of sunglasses and i quite like persol's and ray ban's models but I wanted to take a look into other non luxottica manufacturers and the only ones I found so far that I like are Moscot's and they are often double the price of what ray ban's cost so it also isn't easy to find a non luxottica answer
@@jans.2123 i'm in the same position... it's so annoying cause even Ray Bans are kinda expensive, i would like something a bit more affordable and to look nice. Sadly i barely find any models i like as it is. You can tell they are made by the same company :)
Something about the way he said "life was better together" at 10:15 was so gangster. And that's gangster, not gangsta.
Most people forget the difference between a group of men who crookedly run the casino business in a city and the hooligans selling meth on street corners.
He made them an offer that they couldn't refuse
Sounded like something straight out of The Godfather
You would think the glasses he is wearing are just an ordinary pair of specs, but you would be wrong, dead wrong. They are master glasses, manufactured within the very bowels of Luxottica.
One Pair of Glasses to rule them all,
One Pair of Glasses to find them,
One Pair of Glasses to bring them all
and in the monopoly bind them.
In the town of Agordo where the glasses are made.
LemonSlice Directed by Michael Bay.
I wish the guy who is being interviewed would be my family member, what a sweet person
Well this really opened my eyes!
10:13 _They understood that life was better together_
A modest villian
glorious consumerism
- so who's your competition?
- walmart...
I bought the Dollar store reading glasses and keep it in every room, works just fine. My $400 Costco YSL glasses is just resting on my desk
11:29 For those who don't make it that far, you don't wanna miss this part: Luxottica also owns the "2nd largest vision care plan" in the nation.
Because of course they do.
at 10:04 it gave me goosebumps the way he responded
"I understand your theory but they understood that life was better together"
Sounds like a villain :|
I thought the same thing... sounded evil
It’s great business man thinking
They beat them down (and their stock price down) and then could buy them dirt cheap.
Crooked Monopoly
right!😮😯
Wow. Thank you for making the video. You are truly a great reporter that every jounalists should learn from.
+1
+1
Totally agree with you
If you take the ingredients of a cake and throw them together in the oven will you get a great cake at the end? If you don’t have a cook placing all the ingredients together in the correct order, at the exact temperature and selecting the finest ingredients… You won’t have a cake.
If the cook it’s a chef and apart from the great taste he decorates the cake. What is most valuable the ingredients or the craftsmanship?
What if that Chef is your countryman and you as the owner of the bakery respect his labor and pay him top dollar for it and still make a good profit.
Would you risk the quality of the cake to have it made in another country paying slave labors to a poor bastard that at the end won't be able to deliver the same quality?
Is that so hard to understand?
Ray-Ban’s today are made in Italy and are far better than the ones made before. Italians get top dollar for the craftsmanship and Americans get a great product that is not only fashionable in the many incarnations Luxottica makes but also it’s functional.
Americans must understand that “THE PRICE OF CHEAP PRICES IS GREATER THAN ANY FINANCIAL GAIN” and the suffering it promotes are endless.
If not ask Wal-Mart and the many American businesses that have send your jobs abroad to give you a few dollars in discounts at the mall for garbage of substandard quality…
This is the worst report I have ever seen in 60 minutes.
I say this placing on my face my freaking 400 USD sunglasses… Mmmmmmm they look so fucking fine… I hope that “Mario or Luigi” or whatever his fucking name is has enough money to send his kids to college and have them make me better freaking sunglasses in the future.
AMEN
Luxottica happy customer…
+eblgraphics
>A fool and his money are soon parted
Spot on interview...sharp lady!
That's hard hitting journalism right there. Won't see that today.
This woman is all we need in an interview.
Damn!
She's on "60 Minutes" every Sunday night.