Fashion Signature as Margin Multiplier

“The signature on eyewear, both prescription and sunglasses, definitively transforms them from a medical device into a fashion accessory. The consequence for the industry is a soaring increase in margins and a race to capture luxury brands.”

“Armani explains it to me simply. "My personal adventure as a designer and entrepreneur was already underway, and I had begun to extend my aesthetic to various areas, including eyewear. It was then that I identified Luxottica as the company with the right know-how to realize what I had in mind. It was a fortunate meeting: I would do what I did best, which is creativity, Del Vecchio would perfectly manufacture the product. We both understood that glasses, from simple functional objects, would become indispensable fashion accessories. And so it has been." The licensing agreement is signed, a contract typified by Armani himself in the clothing industry, which provides for a percentage, the so-called royalties in favor of the designer, generally 10%.”