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Strategies for the future

Safilo Group’s business model is based on a portfolio of prestigious brands, production flexibility, the diversity of products offered, distribution capacity on an international scale and, most importantly, a strong focus on product quality. 

Specifically, Safilo uses an integrated industrial model, which is therefore able to oversee the entire production-distribution supply chain: technical research and innovation, product design and development, production, marketing and communication, all the way up to sales and distribution.
The worldwide distribution platform allows for a high degree of coverage of all principal international markets through wholesale distribution, which Safilo Group has chosen in order to make decisions only in accordance with the needs of each brand. 

Safilo recently celebrated 80 years of company history and continual growth.
For the occasion, alongside the presence of a new management team and a new company organisation, Safilo launched new areas for sustainable development and a long-term vision, in order to position Safilo in a unique and differentiating way over time.

The guidelines are the search for simplification and balance in all principal business sectors of the company.

One of Safilo’s main objectives is to have a balanced mix of proprietary and licensed brands, the company is looking to expand its portfolio of proprietary brands in order to increase the resulting turnover generated by these brands to around 40%. If the direct management of proprietary brands ensures bigger margins, then licensed brands allow for a larger portfolio, through different consumer and distribution segments. The right balance of proprietary and licensed brands allows for greater strategic independence.

Regarding geographical markets and customer segments, the objective is to diversify even more and look to expand into many other international markets, where growing economies are now moving their business.

The global eyewear market, in fact, confirms itself as an interesting market with strong growth forecasts, from Euro 14 billion in 2011 to Euro 20 billion in 2020, following strong demographic growth and commercial expansion due to the varying use of frames.

Safilo, the world's second largest manufacturer of eyewear, is well positioned in this market, with distribution in 130 countries, a global market share of 5.5%, production of approximately 35 million frames and revenues of just under Euro 1.2 billion in 2014.
Regarding segments, in addition to luxury fashion (today around 45/50% of sales), there is significant development potential in the areas of contemporary fashion, mass cool, outdoor sports inspired, and atelier.

At the moment the most dynamic segments, which can create great opportunities for Safilo, are mass cool and atelier. Mass cool is aimed at people who want to be fashionable but also look for value for money and intrinsic quality, and atelier targets an expert consumer who pays attention to detail and performance, whilst at the same time searching for a frame with connotations of personality and personal style.

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