The new Zara New Zealand flagship carries all of the Inditex-owned retailer’s main brands: Woman; Basic; Trafaluc; Kids and Man. It says the Kiwi selection is designed exclusively for the Southern Hemisphere by a dedicated team.
Like its nearby competitor, H&M, Zara went for a clean white fit-out with lots of lighting. In a statement released to media, it says:
“The essence of the new store image can be summed up in four words: beauty, clarity, functionality and sustainability. A sleek white surface spans the ceiling and walls so that the limits within the store are no longer defined. This helps to create the illusion of space and freedom while creating a backdrop which enhances the beauty of the fashion creations. The space invites the customer to enjoy as never before the experience of feeling, touching, observing and interacting with the merchandise.”
In its newly-released Pacific Retail Viewpoint research, which tracks over 450 international retailers globally, commercial real estate company CBRE says Kiwi retail space is to become more in demand from international retailers over the next five years.
CBRE says more than 50 international retailers are “certain or likely” to enter New Zealand over the next few years, with another 80 having a lower degree of certainty of entering. According to the report, Sydney, Melbourne and Auckland are the top Australasian cities targeted by international retailers, followed by Brisbane, Wellington and Perth.
The report notes that European and US fashion retailers have dominated expansion into New Zealand, with over 40 percent of retailers entering from Europe and 36 percent from the US over the past five years.
Zoltan Moricz, senior director of research for CBRE New Zealand, says New Zealand has more visibility than it used to.
“The New Zealand retail landscape is undergoing considerable change. International retailers increasingly view the Pacific as one region, with an initial target of the three main gateway cities of Sydney, Melbourne and Auckland. This is shown by the international retailer penetration rate of Auckland being on a par with Brisbane but growing at a more significant pace - on par with Sydney’s growth rate - in the past year, with 11 brands either opening stores or committing to open since the beginning of 2015.”
“As an entry point strategy, international retailers tend to open their first flagship store in a CBD centre or strip before expanding to a major regional centre or major airport. This is particularly true for luxury and business, and mid-range fashion brands.”
Tim Male, CBRE director of advisory and transaction services, retail, says brands typically are quick to expand their footprint in New Zealand once they’ve arrived. He expects mid-range fashion and specialist clothing brands to show a rising contribution to brand entry in New Zealand over the next five years,
““This increased choice is great news for shoppers, as is the competition - and another factor: demand from international retailers has driven upgrades to retail assets, as well activating new precincts,” says Male. “Regional shopping centres are seeing international brand entry, and many have undertaken asset enhancement exercises to cater for international brands, as well as supporting their strategies to drive improvements to experiential shopping.”