LensCrafters 2011 Annual Report Download - page 39

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39
LOGISTICS
WHOLESALE
RETAIL
OPTICAL RETAIL
LICENSED BRANDS
SUN AND LUXURY RETAIL
LOGISTICS
Luxottica operates in all the world’s major eyewear markets and continues to expand in
emerging markets, where it has made substantial investments over the last few years and
intends to expand and strengthen its distribution platform going forward.
Direct distribution makes it possible to maintain close contact with clients and maximize the
image and visibility of Luxottica brands. Further, the Group’s experience in the direct op-
eration of stores in certain key countries has given it a unique understanding of the world’s
eyewear markets. All this makes it possible to achieve tight control and strategic optimiza-
tion of brand diffusion, both house and license.
Luxottica’s distribution structure is one of the Group’s main strengths. It is global, embracing
retail stores and serving a wholesale distribution network of third party stores and chains.
In 2011, Luxottica distributed approximately 21.8 million prescription frames and approxi-
mately 43.7 million sunglasses in over 1,400 different styles.
The Group’s distribution system is globally integrated and supplied by a centralized manu-
facturing programming platform. The network linking the logistics and sales centers to
the production facilities in Italy and China also provides daily monitoring of global sales
performance and inventory levels so that manufacturing resources can be programmed
and warehouse stocks re-allocated to meet local market demand. This integrated system
serves both the retail and wholesale businesses and is one of the most efficient and ad-
vanced logistics system in the industry with
of which eight are in the Americas, seven are in the Asia-Pacific region and three are
in the rest of the world.
2.7 Distribution
18 distribution฀centers฀worldwide,
Luxottica operates in all the world’s ma
j
or e
y
ewear ma
r
emer
g
in
g
markets, where it has made substantial invest
m
i
ntends to expand and stren
g
then its distribution plat
f
o
rm
Direct distribution makes it
p
ossible to maintain close co
n
im
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
a
g
e and visibilit
y
o
f
Luxottica brands. Further, the G
ro
eration o
f
stores in certain ke
y
countries has
g
iven it a un
i
e
y
ewear mar
k
ets. A
ll
t
h
is ma
k
es it possi
bl
e to ac
h
ieve ti
g
tion o
f
brand di
ff
usion
,
both house and license
.
Luxottica’s distribution structure is one o
f
the Group’s mai
n
r
etail stores and servin
g
a wholesale distribution netwo
rk
In 2011, Luxottica distributed approximatel
y
21.8 million
m
atel
y
43.7 million sun
g
lasses in over 1,400 different st
y
le
The Group’s distribution s
y
stem is
g
loball
y
inte
g
rated a
nd
f
acturin
g
pro
g
rammin
g
plat
f
orm. The network linkin
g
t
the production facilities in Ital
y
and China also provid
es
performance and inventor
y
levels so that manufacturi
ng
an
d
ware
h
ouse stoc
k
s re-a
ll
ocate
d
to meet
l
oca
l
mar
k
e
t
se
rv
es
bot
h
t
h
e
r
eta
il
a
n
d
wh
o
l
esa
l
e
bus
in
esses
a
n
d
i
s
o
v
ance
d
l
o
g
istics s
y
stem in t
h
e in
d
ustr
y
wit
h
of which ei
g
ht are in the Americas, seven are in the
A
i
n
t
h
e
r
est
of
t
h
e
w
o
rl
d
.
distrib