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Business Model

Safilo business model is based on product quality, a portfolio of prestigious brands,
production flexibility,international distribution capabilities, and product diversity
Its wholesale-oriented model incorporates the entire business cycle of product design, research and development, production, marketing and communication up to distribution and logistics.

Safilo has become the second-largest manufacturer of eyewear products worldwide thanks to its distinguishing factors in the following critical areas:





Design


DesignProduct design is a strategic feature and key competitive advantage of Safilo, especially for high-end products. Activities consist of developing shapes and combinations of colours and materials for the creation of new eyewear models. Safilo’s worldwide team consists of about 150 professionals. Product design is carried out by three internal styling departments (in Italy, the US and Hong Kong) focused on the specific design requirements of the different markets they operate in.
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Innovation


Research and InnovationResearch and development (R&D) centres, operating since the 1970’s and which employ dozens of engineers and experts, involve creating new materials, production processes and technologies with the aim of increasing product resistance and durability, improving weight and fit and developing innovative features. Safilo also undertakes R&D to develop new instruments and machinery. All these activities have led to the registration of numerous patents.
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Quality


QualityInternal production is carried out at the company’s facilities in Italy, Slovenia, the US and China . Outsourced production is carried out by a limited number of third-party manufacturers. Quality c ontrol procedures aim to ensure the company’s products meet not only applicable safety regulations but also the highest quality standards. We conduct tests on the raw materials and semi-finished products we purchase , on the production and distribution processes as well as finished products.
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Brands


BrandsThe Group manages a unique portfolio of in-house and licensed brands, selected according to their competitive positioning and international prestige, with careful customer segmentation. Safilo produces and distributes eyewear products under licence agreements for leading luxury and premium brands as well as under its own brand names. The portfolio of licensed sunglasses and prescription frames is one of the broadest and most important and prestigious in the eyewear industry. Moreover house brands are of increasing importance for the company’s strategy to offer mid-range and casual fashion and sports eyewear.
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Distribution


Global Sales and DistributionSafilo’s products are primarily sold through wholesale clients with approximately 80,000 points of sale in about 130 countries but also in directly operated stores. Wholesale clients are independent opticians, optometrists, chains of optics , department , and specialty stores, Safilo licensors’ stores as well as duty free and sports gear shops. With distribution centres around the world, the Group ensures an excellent level of customer service in all of its markets. In 2004, the project to improve and streamline the distribution centre in Padua was completed, which enabled the company to offer a much more precise service to customers thanks to the high level of automation . The Padua distribution centre handles more than 100,000 articles a day.
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Communications


Communications The marketing and communications campaigns to support the Group’s house brands, licensed brands and products are one of the key factors of the Group’s success and profit growth .
Actions are divided between direct consumer campaigns and trade marketing focused on the customers’ points of sale.
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Customer Care


Customer CareThe Group's increasing focus on customer satisfaction has led it to seek continuous improvement in the management of its distribution network: its call and logistics centres feature the most advanced technology available and they work together to ensure high standards. New systems are currently being examined for product coding, handling and delivery management. Thanks to cutting-edge software, customers are guaranteed fast and highly efficient assistance.
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