Melbourne – renowned for its edgy fashion and design culture – is leading the charge for luxury brand launches. Considered Australia’s ‘capital of fashion’, the city will become the newest retail hotspot for an estimated 18 luxury brands in the next 12 months, according to the Australian Financial Review.
The popularity of Australia as a new luxury market is driven in part by the changing shopping patterns of Chinese travellers, as new ‘anti-extravagance legislation’ in China has led to many preferring to make their purchases overseas, where prices for luxury products are far more attractive. An estimated 70% of Chinese luxury spend is now outside of China.
China’s tourism market is worth A$7.7bn to the Australian economy, and they love to shop – Chinese tourists spend more than any other nationality while on holiday.
This trend, alongside Australia’s buoyant retail sector, makes the country an attractive new market for luxury brands.
Fashion brands are leading the charge, with designer labels such as Moncler, Agent Provocateur, Miu Miu, Carolina Herrera, Rag & Bone, Cole Haan and Missoni all on the hunt for premium retail space in Melbourne.