Growth in a challenging market

Earlier this year, OT heard from Natasha Cazin, senior research consultant for Euromonitor International, on common themes identified in the global eyewear market, with the analyst highlighting the continued resilience of the market and the continued effect of the cost-of-living crisis.

To round-off the year, OT asked Cazin to pinpoint the key trends that have been driving the market in 2024.

1 Growth despite challenges

Cazin told OT: “In 2024, the eyewear market in the UK recorded single digit retail value growth at 4% to £5.5 billion in local currency, albeit marginally slower rate than the previous year.”

She added that 2024 was another “challenging year” for the eyewear industry in the UK, “in the midst of hardships that have arisen from the cost-of-living crisis and inflation that has placed pressure on disposable incomes.”

2 Polarisation in price points

Trends in the market have followed expectations, Cazin shared, with one of the most notable trends in recent years being the increased polarisation in expenditure.

“This trend indicates a dynamic market shaped by financial pressures, changing consumer values and rapid advancements in retail strategies and technological innovations,” she said.

Several new brands focused on budget price points have emerged recently, but conversely, brands such as Cartier, Chanel, Gucci, and Tom Ford continue to dominate in the luxury space, Cazin said.

“Overall, the UK market is balancing traditional retail models with digital transformation while also responding to sustainability and affordability trends,” she said.

3 Consumer shifts

Although slower than in 2023, the eyewear market in the UK did see growth, and there are several factors that can be identified as particularly driving this shift.

Cazin suggested: “In 2024, growth in the overall UK eyewear market was fuelled by the ageing population, rising screen use, and growing health awareness.”

Consolidation and differentiation

Reflecting on the market in 2024, Tom Davies, founder of the eponymous eyewear brand, told OT: “I export to 30 countries and there has been a single big trend in each market – consolidation.”

“Big independent brands are being bought up into large groups, buying groups are attracting the independent opticians under their wings, and lens companies are buying independent labs,” he said, adding: “This has been going on for years, but 2024 was really a year of activity for consolidation.”

Davies also acknowledged the industry trend towards increased polarisation in expenditure.

“My reading of this is really the death of the middle market. The top end got pushed higher and the bottom and middle market merged. Or rather, there is no low end now. Just the expensive luxury products and everything else,” he suggested.

Considering the shift towards luxury, Davies shared that the company launched new frames made from precious metals and horn in September, explaining: “My pre-sales on this alone were as good as the entire year of the old collection. I think that is because a lot of opticians are looking for something to differentiate themselves.”

Repositioning in the independent market

Jason Kirk, CEO and founder of Kirk & Kirk, told OT: “There has been a dramatic and positive re-positioning in the UK optical market this year.”

While agreeing with the market shifts in terms of the ageing population and polarisation of consumer expenditure, Kirk pointed out that this view could be skewed by the larger players in the market.

Suggesting that the independent market has seen specific drivers, Kirk highlighted the influence of joint-venture businesses with independent practices, “often providing complementary business attributes that stores had hitherto been lacking.”

“When we see hundreds of previously isolated small stores sharing problems and reaching solutions together, that represents significant opportunity and potential in the market,” he said.

The result for Kirk & Kirk has been significant growth in the domestic market, with more than one hundred active clients in the UK.

Come back in the new year to find out Natasha Cazin’s predictions for 2025 and hear more insight on the areas of potential growth in the eyewear market in the year ahead.