Luxury Retail Australia

Australia’s robust recovery in international tourism and increasingly affluent population with an appetite for luxury have underpinned the strong performance of the country's luxury retail market. This is evident by the established presence and expansion of top-tier brands securing leases in major cities across Australia including Sydney, Melbourne, Brisbane, Perth and Adelaide.    

Report highlights include:

- Australia’s high net inflows of High-Net-Worth Individual (HNWI) migrants and increasing discretionary spending have made luxury goods more accessible to a broader demographic.
- The recovery rate of international passenger arrivals and expenditure from international tourists, presents a significant opportunity for luxury retailers and landlords. 
- In Australia, luxury retail trade reached a record $6.2bn in 2023.
- The luxury market is witnessing a consumer shift, with the rise of Millennials and Gen Z generations, with the prevalence of social media heavily driving their appetite for luxury goods. 
- The top three luxury brands in Australia, namely, Louis Vuitton, Richemont and Hermes, have achieved revenue growth of 87%, 153% and 177%, respectively, since 2019. 
- The luxury clothing and footwear market generated $4.3bn (69%) of total revenue in 2024, while the jewellery and watch market followed recording a total revenue of $1.5bn (25%). 
- Sydney and Melbourne’s international airports have a strong luxury presence, however, other Australian airports including Brisbane and Perth, could follow suit, capitalising on their growing international traffic.