Sponsors
Billabong ▼ -0.015 | PPR ▼ -1.05 | American Apparel ▲ +0.001 | The Buckle ▼ -0.43 | Columbia ▲ +0.19 | Deckers Outdoor ▲ +0.38 | Dicks ▲ +0.58 | Foot Locker ▲ +0.28 | Genesco ▼ -1.70 | Iconix Brand Group ▲ +0.61 | Jarden Corp ▼ -0.77 | Nordstrom ▼ -0.71 | Luxottica ▼ -3.68 | Nike ▼ -0.78 | Pacific Sunwear ▼ -0.01 | Skullcandy ▼ -0.31 | Sport Chalet - 0 | Urban Outfitters ▼ -0.18 | VF Corp ▼ -0.55 | Quiksilver ▼ -0.06 | Zumiez ▲ +0.18 | Macys ▼ -0.43 | Tillys ▼ -0.04 |
Ticker Sponsor
Readers Say
Keeps me in the loop
Keeps me in the loop

Being an Executive Edition member allows me to not miss a beat when it comes to the Industry business news. Definitely keeps me in the loop plus goes great with my morning joe.

- By Tony Perez, Surfer and Surfing magazines
Always a good daily read
Always a good daily read

Shop-Eat-Surf creates a good source of timely information about the industry. The site makes all types and size companies feel part of a community where everyone is stoked to hear about other companies successes and ideas. It is always a good daily read.

- By Ted Li, VP of North America, Oakley
Industry Insight

SIA: More on 2014 snow rep and retailer of the year awards + video recap.
SES: The monthly Credit Managers' Index dips to levels last seen during the credit crunch.
Details on Industry Insight.


Tiffany Montgomery
Print This Article

Oakley retail and wholesale business thriving

By Tiffany Montgomery
October 29, 2008 8:15 AM

We may have another Buckle on our hands. Oakley retail comps at its "O" stores rose 16.4 percent in the third quarter at a time when business deteriorated for so many others.

Total Oakley sales rose 16 percent. US revenue grew in the "significant" double digits. Internationally, revenue grew in the mid-single digits. Strong international regions included Australia, Brazil, Canada and Japan. In Europe, results are improving and the integration there with Luxottica is complete.

Wholesale: Sales were strong across all channels with special strength in military/law enforcement, e-commerce, lifestyle, department stores and Lens Crafter.

Oakley plans to adjust to the current economic climate by driving sales of:

- Premium products such as polarized, customized eyewear and technical outerwear.
- Equipment - goggles, technical outerwear, and military
- Special editions and collaborations to drive retailer traffic
- Leverage e-commerce platform
- Shift marketing spend as close to retailers and consumers as possible.
- Prudent expense management

Oakley and Luxottica are also sharing resources on many things. Oakley is manufacturing REVO glasses and blank lenses in Foothill Ranch and is sharing its expertise with Luxottica as Luxottica prepares to launch an e-commerce site for Sunglass Hut. Luxottica is helping Oliver People's retool.

Interesting Luxottica trends

- The company said September was the worst month at retail in North America in 12 months.

- Business in the fourth quarter remains soft.

- Net sales rose 5.3 percent in the third quarter

- Earnings per share fell 7.2 percent (in Euros)

- In wholesale regions, the company said Continental Europe is "keeping up," Mediterranean Europe improved in July and August and slowed in September. The U.S. is holding up but some slowdown. Sales in Japan were negative while emerging markets showed solid growth.

- Luxottica's fashion and premium brands are "resilient," but luxury is weak.

- Key accounts are keeping up. Travel retail and department stores are doing well. Big and medium independents are not bad and destocking. Small independents are going down and destocking.

 


Articles You Might Have Missed