IKEA proves winner for Sylvia Park owner Kiwi Property
IKEA's arrival in New Zealand has significantly boosted foot traffic at the Sylvia Park shopping mall, according to owner Kiwi Property. The presence of the furniture giant has created a 'furniture precinct,' leading to increased sales for other retailers in the area.
Why it matters
This demonstrates the 'anchor store' effect in retail, where a major global brand can revitalize local commercial ecosystems.
The flatpack favourite IKEA is proving a winner for Sylvia Park owner Kiwi Property.
Eight months on from the Scandi giant's arrival in New Zealand, the listed property investment company Kiwi Property revealed in a market update Monday that IKEA is helping to boost foot traffic at its Auckland shopping mall.
The company's reporting a 25 percent increase in visits to its upper level thanks to the pedestrian walkway connecting the mall with the neighbouring IKEA site, which opened in December last year.
Rather than drawing customers away from Sylvia Park's other furniture stores, Kiwi Property says sales are up across the shopping centre's furniture stores.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in