UPDATE 1-DSW Q3 sales beat, raises earns view

* Q3 sales $489.3 mln vs est $471.6 mln

* Q3 comp sales rise 10.1 pct

* Raises 2010 EPS view to $2.20-$2.30

Nov 3 (Reuters) - DSW Inc's DSW.N quarterly sales trumped market expectations as the shoe retailer continued to lure bargain-hungry customers in a weak spending climate and it raised its 2010 earnings outlook for the third time this year.

DSW, which sells branded footwear for men and women at discounted prices, raised its 2010 earnings outlook to $2.20-$2.30 a share, from its prior view of $1.80-$1.95 a share.

Analysts on average were expecting earnings of $1.98 a share for the year, according to Thomson Reuters I/B/E/S.

The Columbus, Ohio-based company also expects a rise in its annual comparable store sales of about 11 percent, up from its prior view of about an increase of 7-9 percent.

Sales rose 10 percent to $489.3 million for the quarter ended Oct. 30, while comparable store sales also rose about the same during the period. [ID:nASA00YUF]

Shares of the company, which have gained about 41 percent of their value since it reported second-quarter results on Aug. 31, were up nearly 6 percent at $35.55 in pre-market trade on Wednesday. (Reporting by Renju Jose in Bangalore; Editing by Aradhana Aravindan)