Last night, the popular news magazine 60 Minutes did a interesting investigation into Luxottica eyewear. Triggered by the exploding cost of eyewear, 60 Minutes investigation revealed a market dominated by one company operating many brands - Luxottica.
Of course, few people know the name Luxottica. But they know all of their brands. The Italian company owns the names Ray-Ban, Oakley, Lenscrafters, Sunglass Hut as well as holding licensing agreements with hundreds of fashion houses like Chanel, Coach and Polo Ralph Lauren to design and produce and sell frames under their respective brand names. It's this multi-brand approach that has paved the way for Luxottica to dominate the eyewear category.
Even further evidence supporting a focused brand strategy was dropped in the tidbit that despite all the fashion brands line-extending into eyewear, it's still the Ray-Ban, an eyewear only brand, that dominates as Luxottica's highest seller.
Unintentionally, this 60 Minutes piece is great evidence of the power of a focused brand strategy.