In 2015, proprietary brands accounted for approximately 68% of total sales of frames. Ray-Ban and Oakley, the two bigger eyewear brands in Luxottica’s portfolio, accounted for 27% and 11%, respectively, of the Group’s 2015 net sales.
Designer lines are produced and distributed through license agreements with major fashion houses. These agreements are exclusive contracts which typically have terms of between four and ten years, and may contain options for renewal. Under these license agreements, Luxottica is required to pay a royalty ranging from 6% to 14% and a mandatory marketing contribution of between 5% and 10% of net sales.