Luxury international fashion brands to set up shop in Australia
A new wave of international luxury retailers is looking to set up shop in Australia, eyeing a stable economy and the growth in tourism from Asia.
Italian luxury fashion brand Loro Piana, known for its fine wool and cashmere garments for men, women and children, is interested in taking store space in Melbourne.
French couture house Lanvin, founded in 1889 and offering elegant menswear and womenswear, as well as a line of fragrances, is also looking for space.
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Loro Piana and Lanvin did not comment when contacted by The Australian. Other brands have been eyeing an expansion to Australia for some time, including French leather goods house Goyard, jewellery designer David Yurman and Italian suitmaker Kiton.
The interest comes as many local retailers face the dual headwinds of cautious consumers concerned about their cost of living and competition from online rivals.
But global luxury brands see opportunities in expanding to a relatively safe economy with growing numbers of tourists, particularly from Asia, CBRE head of Victorian retail leasing Zelman Ainsworth says.
“Melbourne’s been the most liveable city in the world seven years in a row,” Ainsworth says. “While Melbourne may not appreciate the value of this, people living overseas in major cities in Asia-Pacific really appreciate what that means for a city.
“It’s a very safe economy with consistent growth in population and tourism.”
Global retail groups that are already in Australia, such as LVMH, Kering and Richemont, are continuing to expand their presence, he says.
But international brands are arriving with omnichannel platforms to ensure a seamless customer experience both in shops and online, he says.
Luxury brands are focusing more on streetwear to drive repeat sales and attract a broader customer base, with sneakers seen as “the new tuxedo” and on offer from brands such as Valentino and Bally.
Recent luxury deals in the fashion capital have included Versace and Bottega Veneta both agreeing to take space in Pembroke’s T&G Building on Collins St, as well as Pandora opening its new flagship store in the Bourke Street Mall.
Mass-market international brands have been making inroads into the Australian market, with H&M, Zara and Sephora creating competition for local operators — although the local arm of British chain Topshop bucked the trend and last year went into voluntary administration.
This article originally appeared on www.theaustralian.com.au/property.
