Gucci’s Sydney Collection, celebrating the 2011 opening of the 700sqm Sydney flagship

Australia is now a $1.07 billion (AUD) luxury market with the 9th highest concentration of HNWI’s in the world

When it comes to luxury, Australia is a promising nation. Wealth is growing steadily at the hands of a resources boom, the population is increasingly well travelled and the Internet has allowed international brands to pique the interest of Australian consumers like never before.

Yet rarely do we hear luxury brand executives or commentators discuss the luxury market in Australia. We are well informed about the promise of Africa, South America and Southeast Asia, but Australia is generally lumped into annual reports and wealth research as a mere part of Asia-Pacific.

In reality, it is now a $1.07 billion (AUD) luxury market with the ninth highest concentration of HNWI’s in the world.

Ayers Rock, the Great Barrier Reef and Sydney Harbour have long lured affluent tourists from neighbouring Asian nations, forcing the development of luxury hotels and retail outlets as early as the 1980’s. Australia now attracts more than half a million-plus Chinese tourists each year, whom spent $3.8 billion AUD in 2011.

Tourism Australia believes the inbound Chinese market has the potential to be worth up to $A9 billion alone, by the end of the decade.