Auckland\u2019s Queen St is home to Partridge\u2019s, Tiffany & Co, Prada, Dior, Louis Vuitton, BVLGARI, Gucci and Swarovski.<\/p>\n
Next year will bring the opening of Cartier, confirmed by the business for autumn, and another luxury retailer that is set to announce its plans soon.<\/p>\n
Beck said the stores on Auckland\u2019s lower Queen St had been instrumental in evolving the luxury market, especially over the past few years.<\/p>\n
She said the luxury sector had been resilient during Covid and performed \u201cextremely well\u201d, although it had been a bit tougher over 2024 and 2025.<\/p>\n
Heart of the City chief executive Viv Beck believes key projects coming to an end in Auckland will boost the luxury retail sector. Photo \/ Greg Bowker<\/p>\n
Looking at the 2024 results for most major brands, this appears to be the case.<\/p>\n
In the year to December 31, 2024, Tiffany & Co\u2019s revenue fell 15% to $15.8 million and it made $148,000 in profit, down 68% from the year prior.<\/p>\n
Over the same period, Prada reported a 13% decline in sales to $5.6m, although its net profit rose from $17,528 to $173,908.<\/p>\n
Gucci followed suit and reported the largest drop in sales, down 33.5% from $40.9m to $27.2m but its net profit rose from $1.5m to $2.3m.<\/p>\n
Likewise, revenue at Christian Dior, Swarovski and Louis Vuitton declined marginally, while Chanel made minor improvements.<\/p>\n
Beck said while performances had been more mixed in 2025, new investment and store openings would come online at the right time this year.<\/p>\n
\u201cThe city centre is coming out of a decade of major construction. We\u2019ve got tourism growing again. We\u2019ve got international students back to the pre-Covid levels. <\/p>\n
\u201cWe\u2019ve got the convention centre opening in February, which is significant. The City Rail Link is tipped for September-ish next year, and other developments are set to open. This is a significant area of opportunity.<\/p>\n
\u201cThe other thing is that the area is in proximity to world-class hotels, the arts, dining and our waterfront. The foot traffic generally at this end has been stronger, but this has been developed and nurtured over time and we see lots of potential ahead.\u201d<\/p>\n
Newmarket Business Association chief executive Mark Knoff-Thomas says consumer confidence is gathering momentum. Photo \/ Supplied<\/p>\n
Newmarket Business Association chief executive Mark Knoff-Thomas echoed similar sentiments and said all signs were pointing to decent growth for the luxury sector in the year ahead.<\/p>\n
Knoff-Thomas said Newmarket had seen foot traffic build significantly in the annual rush towards Christmas, with Black Friday traffic already demonstrating the momentum flowing through to the area\u2019s luxury operators.<\/p>\n
Newmarket is home to 17 luxury stores, including brands such as Gucci, Balenciaga, Louis Vuitton, Golden Goose and Versace.<\/p>\n
\u201cConsumer confidence is finally gathering momentum from what we\u2019re seeing in our trading data, and lower interest rates and stronger discretionary spend are helping. Our mix of luxury brands, boutique retailers and a loyal, high-value local catchment gives luxury a solid foundation,\u201d Knoff-Thomas said.<\/p>\n
\u201cNewmarket\u2019s always been resilient and, with new openings adding depth across the precinct, our tier one brands are benefiting from a renewed buzz that\u2019s only building as we move towards 2026.\u201d<\/p>\n
Newmarket recently had Chemist Warehouse move into the former Smith & Caughey\u2019s site, but Knoff-Thomas said it added to the diversity of the area.<\/p>\n
\u201cNewmarket has a super-diverse variety of retail \u2013 from the very best global luxury, to local and international discount brands, and everything in between. Newmarket thrives on that diversity as a well-connected precinct, that\u2019s been something true since our earliest market days.\u201d<\/p>\n
He said the chemist\u2019s opening showed a vote of confidence in the strip and noted the business would be a foot traffic drawcard that would benefit other retailers.<\/p>\n
Speaking of other retailers, Knoff-Thomas confirmed negotiations on \u201cseveral significant deals\u201d for national and multinational brands to potentially open next year are taking place.<\/p>\n
He couldn\u2019t confirm any specific names but said the vacancy rate looks likely to return to pre-Covid levels in the year ahead.<\/p>\n
Murray Bevan, director of Auckland-based fashion PR agency Showroom22. Photos \/ Supplied<\/p>\n
Showroom22 founder and director Murray Bevan said luxury brands are not as susceptible to the same discussions made across New Zealand\u2019s retail sector.<\/p>\n
\u201cThe local brands are very risk averse and they are not used to spending money to make money. As soon as the chips are down, they hunker down and they sit on their hands and they don\u2019t spend,\u201d Bevan said.<\/p>\n
\u201cInternational brands have a huge amount of confidence and a resilience to be able to ride through moments of soft markets and actually double down in those periods. When they come out of those periods, they are significantly stronger than they were when they came into them.\u201d<\/p>\n
Reflecting on New Zealand\u2019s wider retail industry and how it relates, Bevan said irrespective of the price point, brands are trying to make sure their value proposition is as high as possible to the customer.<\/p>\n
He explained that whether it be a $100 product or a $1000 product, the buying experience must be rich and the customer must believe they are getting value for money.<\/p>\n
\u201cOne of the things that\u2019s probably helping hugely with big international brands and especially the luxury sector that\u2019s coming into New Zealand is that young, modern Kiwi consumers are far more globally savvy than they\u2019ve ever been before.\u201d<\/p>\n
Bevan believed the shift to online shopping during the Covid pandemic had reduced consumer interaction with brands and their storytelling, something he expects will return as more Kiwis return to shopping in store.<\/p>\n
But one area Bevan hopes will make an even bigger impact this year is New Zealand\u2019s local designers.<\/p>\n
\u201cWe\u2019re losing the nuance of that tapestry of local brands, which used to make up more than probably 50% of people\u2019s shopping carts.<\/p>\n
\u201cI worry that the social media algorithm is teaching us that actually bigger is better. There\u2019s less education and there\u2019s less care from a younger demographic, at least, being put into any knowledge of, let alone financial commitment, to the local fashion industry and that\u2019s a very hard wave to push against.\u201d<\/p>\n
Looking to the year ahead, Bevan believes the industry and consumers will seek products and experiences that artificial intelligence can\u2019t replicate, citing a desire for connection and quality that comes from human creativity.<\/p>\n
He also shared his excitement for Eddie von Dadelszen\u2019s new venture set to open this year, the Faradays department store.<\/p>\n
Auckland’s 131 Queen Street is set to become the city’s new department store, as luxury brand Faradays prepares for its next evolution. Photo \/ Krukziener Properties<\/p>\n