2009 Contact Lens Sales in Five Asian Markets Register Growth in Spite of Economic Crisis

16 April 2010
Asia, Optics

The global economic crisis of 2009 had significantly impacted consumers around the world, bringing about changes in spending patterns to help them cope with the recession. While many areas were hit by belt-tightening measures, one particular segment that continued to thrive despite the recessionary retail condition was contact lens, as verified by leading research company GfK Asia.

According to GfK Asia's full year 2009 Pan Asia Contact Lens retail audit report, the combined retail sales of contact lens across the five key Asian markets of Hong Kong, Korea, Malaysia, Singapore and Taiwan totaled USD 592 million.

"2009 was indeed an exciting year for the optics industry in the region. The contact lens market defied retailing trends and continued to grow despite the difficult economic conditions. This is a clear indication that consumers now regard vision care products such as contact lenses a necessity, and will continue to spend in this area regardless of the economic situation,” commented Stanley Kee, Regional Commercial Director, GfK Asia. 

Last year, GfK Asia’s Optic Care audit report revealed that contact lens sales averaged approximately 18 percent of an optical shop’s total turnover. Disposable contact lens continued to dominate sales, occupying almost three-quarters (74%) of the overall contact lens pie. Across the five markets covered, the greatest consumers of contact lens were the Koreans (42%), followed by Taiwanese (28%)—both contributing 70 percent to the overall pie. (Refer to chart)

"As Asian consumers become more affluent and health conscious, disposable contact lens—which offers greater convenience and health benefits, becomes the preferred choice to meet their vision requirements," said Mr Kee.

The disposable contact lens category registered a nine percent growth year on year and is worth USD437 million in the region in 2009. Within the disposable contact lens category, the Silicone Hydrogel segment recorded the strongest growth rate, hitting a high of 24 percent in the second half of 2009.

"Silicone Hydrogel—the latest introduction in contact lenses—made a relatively impressive entrance into the optics market despite it’s higher pricing. It’s double digit growth could be attributed largely to the increased rate of advertising, along with aggressive promotions by global players as well as recommendations from eye-care practitioners,” Mr Kee observed. 

Silicone Hydrogel lens contribute eight percent to the overall contact lens sales in the region. Singaporean consumers registered the highest level of receptivity to this latest product—one-fifth (19.1%) of contact lens sales were contributed by this category of lens.

Sales of contact lens in the five Asian markets are still predominately driven by independent stores which accounted for 64 percent share of sales last year, with the remaining 36 percent contributed by chain retailers. The region has an estimated 12,600 optical retailers and optometrists, of which 78 percent are independent stores. While chain retailers make up a smaller proportion, they typically outperform the market average with 36 percent share of sales.

"2010 will likely be a year where we see more acquisitions of independent stores and merging of chain retailers, and we can anticipate more new contact lens products to be launched, particular by regional manufacturers to compete in this competitive optics sector,” concluded Mr Kee.

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About GfK Retail Panel and Optic Retail Audit

The GfK Retail Panel is a regular survey monitoring sales of specific products and product categories, using a range of Internet, retail outlets and companies to provide trade and industry highly accurate and up-to-date information on various segments of the market, including contact lenses, sporting goods and equipment, automotive.

The GfK Optics Retail Audit of contact lens started in 2007 and is conducted across 6 markets in Asia and 20 countries worldwide. Lens Care Solutions audit will start in 2010, followed by Ophthalmic Lenses, Frames and Sunglasses.

About GfK Asia Pte Ltd

GfK Asia Pte Ltd (GfK Asia), part of the global GfK Group, is a leading research company with over 25 years experience in providing reliable Asian retail and technology market data. Our analysts track a broad range of consumer technology markets, including: consumer electronics, telecommunications, IT, household electrical appliances (large and small), optics, entertainment, automotive, gaming as well as digital imaging.  GfK Asia covers more than 160 products and over 918,000 models, collecting monthly data from over 8,000 specialist / independent shops as well as over 560 organized retailers with approximately 15,000 outlets.  This disciplined methodology, together with tight field operational control in every country, allows GfK Asia to produce high quality reports containing reliable information that our clients can use with confidence. Based in Singapore, with other offices in China, India and Japan, GfK Asia offers extensive coverage of the following countries:  Singapore, Malaysia, Thailand, Indonesia, Korea, Taiwan, Hong Kong, Vietnam, and India.  For further information please visit our website: www.gfkrt.com