SUNGLASSES REPORT


performance ‘in the regions with stability’ and those in recovery mode, for example, Brazil. “Brazil is a very high-potential


market for sunglasses, but it has had well-documented economic issues,” highlights Gros. “The recovery we have seen in 2017, verified by ASUTIL’s Secretary-General José Luis Donagaray – who stated the region was witnessing over 30% growth in 2017 [at the recent ASUTIL conference in Rio] – is paying dividends for our category.


Weak sterling boosts sales “This is supported by our investment in the market, having opened nearly 30 Sunglass Hut duty paid stores with Dufry in Brazilian airports in late 2016 and early 2017.” Other star-performing markets


for Luxottica include the UK – in part due to the weak sterling – and like most categories, Asia Pacific. Markets such as Thailand and Philippines are benefiting hugely from continuous growth of Chinese outbound tourism, adds Gros. However, political instability


and terrorism have proven to be a major challenge in territories such as Turkey, France and now the UK, while currency fluctuations and the


strong US dollar have hit sales in the Middle East region. “In Asia, South Korea is also


suffering at present due to the fallout of China’s objection to the US THAAD missile defence system and escalating tensions with North Korea,” adds Gros. Indeed, Marcolin’s Nina Pan has


some similar thoughts: “The biggest threats are the ones that we ourselves cannot control fully; terrorism, political and economic instability as well as currency fluctuation.” Despite the continued uncertainty


in the trading environment, suppliers are determined to remain focused on their priorities as individual companies. “We are very focused on the


expansion of the Sunglass Hut brand, in both self-operated and partner- operated models,” says Gros. “In 2016, we opened more than 40 Sunglass Hut stores, in collaboration with local partners and leading travel retailers, including Dufry in Brazil as mentioned earlier. “In-store experiences through


personalised brand spaces, with a major focus on Ray-Ban, are another priority for us. The Ray-Ban shop- in-shops with DFS in Guam and Macau recently have generated


Luxottica on the importance of millennials…


Francis Gros, Head of Global Channels, Luxottica Group tells Charlotte Turner that millennials have been the driving force behind the rise of digital and online in travel retail.


“Their influence has shaped our strategy around digital significantly. Embracing digital for Luxottica’s travel retail business must be based on partnerships with travel retailers and link both online and offline worlds. “Millennials seek bespoke and unique


products and this is why we continue to launch travel retail exclusive ranges from Oakley, with the most recent being an Oakley Sliver model, in a unique colour combination frame with Prizm sapphire iridium lens technology. “Travel retail exclusives are now a


given in most categories and Luxottica has continued to deliver these this year. With TR exclusives we have found that


JULY 2017


the most important thing is how we tell the story behind these novelties and personalise the experience to the specific airports we are in. “An example of this is when we joined


forces with DFS Group in a worldwide exclusive launch of the new Prada Cinema sunglasses collection, with support from a dynamic 360-degree omni-channel marketing campaign. “The campaign utilised both online


(including social media) and offline platforms to engage with customers before, during and after they shopped, with further digital amplification provided on DFS’s official website and email newsletter. “The online reach was designed to


drive traffic in-store where shoppers are presented with a number of high-profile activations from Prada, including at DFS stores at Hong Kong International Airport and T Galleria in downtown Hong Kong.


“This launch represented a pioneering new step for the sunglasses category in travel retail. “Sunglasses is a category blessed to


cater to a truly universal audience, but within which the millennial audience spurs our imagination and creativity to develop new, better and more engaging stories with the best possible 360-degree, digital inclusive execution.”


“It’s a broad category from low-price fashion styles to luxury designer, but we see the most potential in the mid-price sector and believe there is – in some cases – too much emphasis on the premium luxury segment.”


Rebecca Harwood Lincoln, Travel Retail Director, Swiss Eyewear Group


outstanding growth.” Marcolin will work on supply


chain efficiencies, training and its relationships with retailers. “Our priority is focusing on creating a perfect flow between product range management, pricing, planning, logistics, marketing, visual merchandising, in-store training and establishing a seamless partnership between us and the retailers.” «


Frame B162A from Swiss Eyewear Group.


Ray-Ban on prominent display with DFS in Guam.


TRBUSINESS 45


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