Luxury eyewear topped shopping list amid note ban

The rich are ditching Louis Vuitton bags and instead are snapping up Gucci and Prada shades. Luxury eyewear sales in India are booming after last year’s demonetisation and other measures introduced by the government to curb black money and cash transactions.

Data shared by Euromonitor reveals sales of luxury sunglasses grew 30 per cent to about Rs 3,800 crores in 2016, its fastest pace ever, as affluent consumers continued to perceive it as an important fashion accessory. Shreyansh Kocheri, research analyst at Euromonitor International confirms after measures to curb black money and the demonetisation drive last year, luxury sunglasses emerged as a quick way of dispensing cash. The category continues to be popular in Tier-II, III cities.

Luxury eyewear is said to have a lower per product transaction value, which has been easier to buy than other high-ticket products, especially after government measures such as mandatory quoting of permanent account number for specified transactions, collection of luxury tax at source for goods exceeding Rs 2 lakh and frequent IT raids and notices being sent to buyers.

The segment will grow significantly in the coming years, says Timmy Sarna, Head, DLF Brands, which retails Versace, Prada and Chanel through its Sunglass Hut stores. Today, there are 75 stores and Indians love eyewear and that is a cultural thing Sarna further added. Sunglass Hut will expand to 200 stores in the next four to five years..

According to Euromonitor, designer apparel and footwear sales grew 21.3 per cent last year, luxury jewelry 19.4 per cent and fine wines, champagne and spirits 17.4 per cent, respectively.