The distribution structure covers more than 130 countries, with over 40 direct operations in the major markets and approximately 100 independent distributors in other markets.
Each wholesale subsidiary operates its own network of sales representatives who are normally retained on a commission basis.
Relationships with large international, national and regional accounts are generally managed by employees.
Customers of the wholesale business are mostly retailers of mid- to premium-priced eyewear, such as independent opticians, optical retail chains, specialty sun retailers and duty-free shops.
In North America and some other areas, the main customers also include independent optometrists, ophthalmologists and premium department stores.
Certain brands including Oakley are distributed also to sporting goods stores and specialty sports stores, including bike, surf, snow, skate, golf and motor sports stores.
In addition to making some of the best brands, with a broad array of models tailored to the needs of each market, Luxottica also seeks to provide its wholesale customers with pre- and post-sale services to enhance their business.
These services are designed to provide customers with the best product and in a time frame and manner that best serve the Group's customers’ needs.
Luxottica Group’s distribution structure is one of its key competitive advantages and without paragon in the industry. In fact, it’s one of the most extensive and effective in the optical sector, embracing retail stores and serving 3rd party independent stores and chains through a wholesale distribution network.
Luxottica Group is thus able to provide its clients with a highly automated order management system that reduces delivery times and minimizes inventory.
Facts and figures
The wholesale structure covers more than 130 countries, with directly controlled operations in over 40 major markets. It has 20 logistics centers and 40 commercial branches providing direct presence in the most important markets.
In 2012, the Wholesale division posted full-year sales of Euro 2,773 million, up from Euro 2,456 million in 2011.
Operating income of the Wholesale Division in 2012 amounted to Euro 604 million (+14.3% over 2011), with an operating margin of 21.8% (+30 bps as compared with the previous year).
Strategies for the wholesale distribution
Direct distribution in the key markets brings considerable competitive edge, making it possible to maintain close contact with clients and maximize the image and visibility of Luxottica brands.
In the emerging world, Luxottica puts it leadership potential at the service of local markets. We are convinced that through its knowledge of these markets Luxottica can further improve its distribution platform. This is why we have made substantial investments in the last few years and intend to expand and strengthen our operations in these countries.