What it takes to secure a big international retailer

  • Opinion
  • December 11, 2015
  • Paul Keane
What it takes to secure a big international retailer

Kiwi Income Property securing H&M was a major retail statement at Sylvia Park in Auckland and another indicator that international retail companies are taking New Zealand seriously as a potential venue for retail sales and ultimate profit. 

First off, a bouquet to Kiwi. Those of us who may have been in the industry for a while will understand the time it takes to secure a key tenant for a retail environment. International tenants take just that much longer. They are hardnosed and want to do a deal that betters the previous one wherever that may have been. Kiwi had to not only get the tenant but convince them that Sylvia Park was the right location.

When international retailers are approached to come to NZ, their traditional first comment is “Not really, the country isn’t big enough”. Probably a fair comment, as the H&M stores are all in the top London and regional locations in Britain and Europe.

However, from a NZ perspective, Auckland is the right place and Sylvia Park has no true department store so H&M are an outstanding anchor and new to NZ. This is a double whammy great outcome. Imagine what it will do to the asset value of Sylvia Park and to the trading results of all other retailers in the centre. To think some commentators said this shopping centre wouldn’t work 10 years ago!

What attracts international retailers to NZ

So what has actually driven international retailers to take the plunge down under? There is now Top Shop; David Jones: Tiffany; and now H&M who have planted or are going to plant a retail seed in NZ. It’s more than just our population, as local consumers will not sustain these respective new retailers. It’s about the number of tourists heading our way and the additional increase in cruise ships, together with the publicity this country receives from around the globe. There is of course the population growth in Auckland which simply cements the exposure to these outlets. Further we have been predicting for a while that more retailers will reach our shores from abroad. We are further convinced that we haven’t seen the end of them and more are on their way.

When the first ships arrived in NZ, at the turn of the last century, the passengers had undertaken an arduous journey across the seas. They bought with them new ideas. The ideas included the development of land for the growing of vegetables, principally by Chinese immigrants. Others from Britain bought their trading skills, and the Irish bought their farming and land skills. Over time, through international exposure we understood and developed shopping centres enabling all retailers to gather in one place. In 2015/16 we will see the fruits of the pioneering by our forebears, and the skills they deployed, realised, with the arrival of these new international retailers.

However, it is one thing to achieve new retailer entries like Kiwi have achieved, the goal is to retain them, and to add to the cluster.

 Paul Keane is a registered property professional and has vast experience in New Zealand’s commercial property industries. He provides retail and property consultancy including development management to many New Zealand property owners, developers and city councils. 

This post originally appeared on RCG's blog.

This is a community discussion forum. Comment is free but please respect our rules:

  1. Don’t be abusive or use sweary type words
  2. Don’t break the law: libel, slander and defamatory comments are forbidden
  3. Don’t resort to name-calling, mean-spiritedness, or slagging off
  4. Don’t pretend to be someone else.

If we find you doing these things, your comments will be edited without recourse and you may be asked to go away and reconsider your actions.
We respect the right to free speech and anonymous comments. Don’t abuse the privilege.

Sponsored content

How eCard Solutions is boosting sustainability with recyclable gift cards

Consumers, for some time now, have been looking at their consumption of plastic. Single-use plastic shopping bags were banned in New Zealand during July 2019 ...


My feet and I are begging Ziera to pull through

  • Opinion
  • October 4, 2019
  • Sarah Dunn
My feet and I are begging Ziera to pull through

New Zealand heritage footwear retailer Ziera has gone into voluntary receivership. NZ Retail and The Register editor and associate publisher Sarah Dunn considers its place in the market and what needs to happen for it to return to form.

Read more

Genoapay enjoys strong growth in New Zealand

  • News
  • October 3, 2019
  • The Register team
Genoapay enjoys strong growth in New Zealand

As buy now pay later services continue to grow in popularity, Latitude Financial has announced that its digital payments platform Genoapay has partnered with 26 merchants.

Read more

Social scoreboard

Zavy and The Register have worked together to create a scoreboard that compares how the top 25 traditional media advertising spenders in New Zealand have performed on social media over the past 30 days, updated in real time.

Concept to closet
Business coverage of New Zealand Fashion Week.
Regional rollercoaster
What does retail look like in 2019 for ...
Town centres
A positive retail environment over the past 12 ...
Amazon Arrival
Keeping up with all things Amazon as it ...
The Retail Yearbook 2017
As we battle our way through the busiest ...
The future is bright
We spoke with four retailers in their twenties ...
Hospitality enhancing retail
Some think food and integrated hospitality offerings will ...
Spotlight on signage
At first glance, the humble in-store sign might ...
Red Awards 2016
The Red Awards for retail interior design celebrate ...
Auckland Unitary Plan
Auckland is changing. The Unitary Plan will decide ...
How to open a store
Sarah Dunn considers what it would take to ...
All things to all people
Kiwi retailers share their omnichannel strategies.
Rising stars
Retail's top young achievers.
Delivering on your promises
The sale isn't over until your item is ...
Retail in heartland New Zealand
Retailers keep the regions pumping, but how strong ...
Women in retail help one another. We spoke ...
The changing face of retail
Shifting demographics are creating big changes in New ...
The retail yearbook
With the help of experts in the retail ...
Retail rogues
We put the spotlight on staff training. Jai ...
Here come the giants
Topshop has arrived in Auckland’s CBD, David Jones ...
From retail to e-tail
Ecommerce has become part of the way mainstream ...
Loyalty in the digital age
How are retailers maintaining loyalty? Sarah Dunn, Elly ...
Window shopping: A spotlight on social media
Sarah Dunn and Elly Strang look at how ...
The Innovators | In partnership with Spark Business
Technology is rapidly changing the retail industry as ...

Hallenstein Glassons posts $29m profit for the year

  • News
  • October 3, 2019
  • Radio New Zealand
Hallenstein Glassons posts $29m profit for the year

Hallenstein Glassons has had a modest lift in sales and profits, helped by growth in Australia and online sales.

Read more

Five things companies should consider before they scale up

  • Opinion
  • October 3, 2019
  • Ben Kepes
Five things companies should consider before they scale up

Ben Kepes is a technology analyst, commentator and consultant. His commentary has been widely published in such outlets as Forbes, Wired and The Guardian, while he has also been an investor in a large number of early-stage technology start-ups across three continents and has had successful exits to listed and privately held companies in Canada, the US, and the UK. He currently sits on the boards of a number of non-profit, privately held and listed companies in New Zealand and the UK and has won a number of accolades, including being a recipient of the Sir Peter Blake Leadership Award in 2016. Here, he shares five things companies should consider before they scale up.

Read more

Countdown celebrates its top suppliers

  • News
  • October 3, 2019
  • The Register team
Countdown celebrates its top suppliers

In its annual supplier awards this week, Countdown has highlighted its top suppliers.

Read more
Next page
Results for
About us.

The Register provides essential industry news and intelligence, updated daily. And the digital newsletter delivers the latest news to your inbox twice a week — for free!

©2009–2015 Tangible Media. All rights reserved.
Use of this site constitutes acceptance of our Privacy policy.

The Register

Content marketing/advertising? Email or call 022 639 3004

View Media Kit