In Focus: French watchdog bites eyewear’s major players

An investigation into anti-competitive behaviours in France recently ruled the likes of Luxottica, Chanel and Logo unfairly restricted prices of eyewear to opticians and limited availability of frames online for nearly a decade.

Luxottica, now part of EssilorLuxottica, was hit with a €125m fine by the Autorité de la concurrence, the French market competition regulator. Also fined were Moët Hennessy Louis Vuitton (LVMH) (€500,000), Chanel (€130,000), and Logo, which was placed in liquidation in 2016.

The Autorité investigation into the practices of the companies began in 2005 following a series of dawn raids on offices and a report from the Directorate General for Competition Policy, Consumer Affairs and Fraud Control (DGCCRF). There were two strands to the investigation, one which looked at the limitations of opticians’ right to set their own prices and another that detailed restrictions put in place to sell eyewear products online. Luxottica, LVMH, Chanel and Logo weren’t the only companies investigated by the Autorité. Notification of grievances were also served to retailers Alain Afflelou, Krys, Gadol, Optical Center and GrandVision, along brands and suppliers Dior, Alain Mikli, Safilo, Silhouette and Maui Jim. However, French laws on the length of time anti-competitive behaviour took place meant no action could be taken against this group of companies.