“Digital tools at the ready” — Luxottica’s Alessandro Pozzi on how sunglasses can be a catalyst for recovery

“Global recovery is key,” says Alessandro Pozzi as he outlines the eyewear company’s three-year digital-first travel retail recovery strategy

“COVID-19 is undoubtedly the most significant challenge the travel retail industry has experienced to date,” says Luxottica Group Global Channels Director Alessandro Pozzi as he reflects on how the crisis has given the industry a chance to rebalance.

“Despite its devastating impacts on our industry, we also see it as an opportunity for retailers and suppliers to relook at their current business models and engagement strategies.”

Across the board, companies have pivoted to embrace digital, accelerating omnichannel strategies and refocusing their priorities towards the powerhouse Chinese market. For Luxottica Group — an early adopter of digitalisation — the crisis only accelerated its existing strategy.

Pozzi says, “We are lucky that digital has been part of our strategy for some time now, so COVID-19 presented us with the challenge to elevate and enhance our digital offering, while continuing some of the existing solutions we already have in our repertoire.”

In this interview, Pozzi previews some of Luxottica Group’s latest innovations and outlines how sunglasses can be a catalyst for recovery. Over the last few months, Luxottica Group has been developing new digital tools such as Virtual Try-On, the Smart Shopper Platform, Luxottica University Digital Platform and its STARS and Sunglass Hut category management systems. It also ramped up engagement in China and bolstered its long-standing partnership with one of the region’s biggest players, China Duty Free Group.

Luxottica Group is also a Platinum Partner of the Virtual Travel Retail Expo, which will host the annual Sunglasses Workshop in a virtual format for the first time. Pozzi says, “Global recovery is key – this pandemic has truly rocked the entire world, so we will take the opportunity of the Virtual Travel Retail Expo to present our three-year strategy to both existing and potential global customers.

“We have had to adapt quickly to changing consumer needs and shift our focus to the digital realm to continue connecting with consumers,” he adds. “This forced digital adoption has only served to accelerate our digitalisation plans for the industry, and we look forward to working closely with our partners in the months to come.”

Luxottica Group is a Platinum Partner of the Moodie Davitt Virtual Travel Retail Expo

What is the major focus for Luxottica Group at the Virtual Travel Retail Expo?

This year’s trade show is a unique one, not only because it will be held on a different platform, but also the challenging climate that travel retail finds itself in. However, as category leaders, we are keen to showcase our latest innovative offerings as we work together towards recovery.

At the Virtual Travel Retail Expo, we will bring a digital-first agenda with tools designed for our B2B and B2C customers. These include our Smart Shopper platform, which gives our customers access to all our brands as well as endless personalisation options for Ray-Ban and Oakley; the Discover the World application which enables customers to envision various lenses in different environments; Virtual Try-Ons that lets them try our products without physical contact; and the Luxottica University Digital Platform, which is a dedicated travel retail learning platform for sales associates. It enhances their product and sales knowledge and contributes to an outstanding shopping journey for our consumers.

“As category leaders, we are keen to showcase our latest innovative offerings as we work together towards recovery” — Pozzi invites travel retail partners to visit Luxottica’s #Virtual Stand SG-P1

We will also showcase our two main business models — STARS and Sunglass Hut — which will be key growth partnership drivers for the next few years.

Visitors will also experience two of our latest campaigns. A campaign from Oakley, which has been gaining popularity on social media since August and the other, a preview of our Ray-Ban campaign that will be launched globally in November. We are also presenting a new category of clear lenses products which are the ‘Everglasses’ range from Ray-Ban and the ‘Shield Your Eyes’ product line for Oakley. We will also share the latest designs from our luxury brands in travel retail, with a focus on brands that have high potential in Asia Pacific.

We will also highlight sustainability, using the Virtual Travel Retail Expo platform to highlight Luxottica’s CSR commitments, especially in the development of sustainable products.

Luxottica’s Sunglass Hut Store will be one of the key growth drivers in the short-term says Pozzi

What are your major targets as you seek to tap into a recovering market? 

Global recovery is key – this pandemic has rocked the entire world, so we will take the opportunity of the Virtual Travel Retail Expo to present our three-year strategy to both existing and potential global customers.

Asia continues to be a key focus, so we will certainly share our Asia-specific marketing campaigns and initiatives. These are designed to connect with the Chinese consumer at every possible communication touchpoint – online and offline – and with products specially designed for them.

Consumer behaviour has forever changed and, as such, we need to adapt. With that in mind, we have digital tools at the ready – for example, our successful Virtual Try-On technology is an ideal solution to navigate through these unchartered times, allowing consumers to ‘try’ our products in a way that makes them feel comfortable.

To accelerate category recovery, we have invested heavily in business models like STARS that will allow retailers to streamline the management of the eyewear category. STARS offers customisable product solutions through a variety of modular assortments to ensure that retailer shelves are stocked with relevant frames that suit the store’s customer profile. It also enables automatic replenishment to ensure optimal stock availability.

Throughout the crisis, Luxottica Group has focused on ‘enhancing and elevating’ its digital offering by launching tools such as Virtual Try-On and the Smart Shopper app

Luxottica Group has always been a leader in digital innovation. How are you incorporating digital solutions into your COVID-19 recovery strategy?

We are lucky that digital has been part of our strategy for some time now, so COVID-19 presented us with the challenge to elevate and enhance our digital offering, whilst continuing some of the existing solutions we already have in our repertoire.

With the clear (and natural) desire for less ‘human-touch’ in-stores, we are responding with our Virtual Try-On applications that are built into our Smart Shopper app. Not only do they to help consumers feel safe while shopping, they also enhance the in-store digital experience. The Smart Shopper app can be loaded onto screens or iPads and placed around the store. It offers consumers more information as well as customisable options for our Ray-Ban and Oakley brands. We are working closely with our travel retail partners to have these digital innovations rolled out into the channel.

With the Luxottica University Digital Platform, we are able to ensure the highest level of service standards in our shops and retail partners, who will have access to our digital training modules. We also have a sanitation and safety module on the platform, guaranteeing that hygiene standards are respected in shops.

The Luxottica University Digital Platform is a dedicated travel retail learning platform that aims to enhance sales associates’ knowledge about Luxottica Group’s products and new safety measures

We are also teaming up with our retail partners to enhance our omnichannel strategy by offering new purchase options for our products, such as Reserve & Collect services as well as home deliveries, to reduce physical contact in stores.

For the first time, the Sunglasses Workshop 2020 is embracing a virtual format at the Moodie Davitt Virtual Travel Retail Expo. What can sunglasses stakeholders expect to see from the pioneering virtual event?

For the past 11 years, the Sunglasses Workshop has been one of the key event highlights of the trade show calendar, and we are proud to continue this collaboration alongside our industry colleagues, albeit in a slightly different ‘virtual’ format this year.

This year, the virtual workshop rather aptly adopts the theme of ‘All Eyes On… Recovery’. It will focus on how the sunglasses category can play a vital role in overall channel recovery through its evolution and digital-first solutions. The programme will reveal the new Sunglasses Data Panel in partnership with Generation Research. It will also feature a panel of distinguished retailers to discuss their plans and predictions for the future in a post-COVID landscape. To simulate a live event, audience participation will be encouraged through live Q&A and real-time attendee polls.

Because we have adopted a virtual format, where we can welcome full teams from across the Trinity, rather than limiting ourselves to those who are in attendance at the physical event. We urge all retailers, airports and airlines to join us for this ground-breaking virtual event next month – all are welcome. The Sunglasses Workshop, which will take place on 14 October, is a unique initiative and we are very fortunate to have such a strong level of collaboration among our sunglasses peers, with the ultimate aim of working towards overall category growth and recovery.

Pozzi encourages all travel retail stakeholders to attend the Sunglasses Workshop themed ‘All Eyes On… Recovery’

What role does the sunglasses category play in the recovery of the travel retail industry as whole?   

The sunglasses category speaks to a wide audience, from lifestyle to luxury consumers, and everyone in between. It offers a great entry point into the luxury and premium space, it is extremely space productive in-store, easy to clean and the availability Virtual Try-On applications gives it a no-touch shopping experience. Most importantly, sunglasses are inherently linked to travel. This gives the category a clear advantage, showing that it can really act as a catalyst for recovery.

That being said, we do feel that partnerships are more important than ever as we make our way through the challenges that lie ahead. Every player in the Trinity will need to work together to identify new ways of working, reorient their business model towards a digital-centric one, explore new collaborative initiatives and share data and information with each other. We hope that a silver lining of this devastating situation is that perhaps it can act as a catalyst for change and we can truly open up new channels of communication for the betterment of the industry as a whole.

As China leads recovery, what other China-focused launches and activations do you have in the pipeline? 

There are encouraging signs emerging from the Chinese market – the return of Chinese domestic travellers only affirms our strategic decision to focus our attention on this core demographic.

We recently launched the new Ray-Ban ‘You’re On’ campaign exclusively in the Greater China region. It was launched in collaboration with China Duty Free Group (CDFG) at the Sanya International Duty Free Shopping Complex in Haitang Bay in June. It is a testament to the importance of the location to Luxottica. Accompanying the launch were two new pairs of sunglasses and an omnichannel marketing programme that included a Chinese influencer. We are thrilled to be connecting with our Chinese consumers on a deeper level, especially during this period.

Our focus remains on the Asia Pacific region. We have a Bvlgari launch in partnership with China Duty Free Group and the launch of Burberry’s new Fall-Winter campaign in the pipeline. We’re also working closely with CDFG to strengthen the presence of our brands on their e-commerce page and social media channels, to give us a stronger voice in this highly competitive space.

Luxottica tapped Chinese influencer Jackson Wang for its Ray Ban campaign, leveraging the KOL’s popularity with the company’s core Chinese demographic
Luxottica Group is accelerating its omnichannel offering in China, leveraging the return of Chinese domestic spending

How do you view the continuing impact of COVID-19 on the wider travel retail industry? 

COVID-19 is undoubtedly the most significant challenge the travel retail industry has experienced to date. Despite its devastating impacts on our industry, we also see it as an opportunity for retailers and suppliers to relook at their current business models and engagement strategies.

We have had to adapt quickly to changing consumer needs and shift our focus to the digital realm to continue connecting with consumers. This forced digital adoption has only served to accelerate our digitalisation plans for the industry, and we look forward to working closely with our partners in the months to come.

The Smart Shopper Platform gives customers endless personalisation options for Ray-Ban and Oakley

How do you think the channel can and should engage with travelling consumers to ensure a sustained recovery? 

The pandemic has significantly altered consumer behaviour, and we foresee this continuing in the years ahead. Concerns such as in-store hygiene standards, social distancing regulations and reduction in human-to-human contact points need to be addressed. Retailers and suppliers need to work together to ensure a safe shopping environment and bring back consumer confidence in the channel.

In addition to our digitalisation efforts, to support the safe return of travellers, we are working with retailers to offer safety glasses and face masks as part of our ‘Shield Your Eyes’ initiative.

This includes clear and photochromic lines from our trusted Oakley and ESS brands, some of which are Personal Protection Equipment (PPE) certified. We have also recently launched a new eyewear category of clear lenses glasses that offer coverage and protection for any kind of environment, both indoors and outdoors. Several brands in our portfolio have expanded their offering in this new category, with some equipped with features like evolve lenses and blue light filters.

“Consumer behaviour has forever changed and, as such, we need to adapt,” says Pozzi as he discusses how Luxottica Group accelerates its digital and omnichannel strategy

How would you like to see industry partnerships evolve as we enter a new era for travel and travel retail?

At Luxottica, we understand the importance of partnerships, and the advent of this ‘new normal’ is no different – if anything, we need to collaborate more than ever before! We believe that solid partnerships are key to finding mutually-beneficial solutions, and travel retailers who are receptive to collaborating with brand owners will inevitably prove more successful.

We look forward to fostering closer relationships with our clients using our readily available partnership-based business models for category management – STARS for wholesale and our retail brand Sunglass Hut — which we foresee being key partnership drivers in the future. As always, we remain open to collaboration and new ideas and we are keen to have thoughtful discussions with our retailers and stakeholders during the Virtual Travel Retail Expo.

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