Lust for labels grows market

By DITA DE BONI

The yearning for colour, labels and "something different" is fuelling the growth of high-fashion labels in Australasia, say visiting Versace glitterati.

Luciano Azzaro, who is in Auckland checking out the world's first standalone Versace Classic V2 Boutique in the inner-city Chancery - ahead of the label's exhibition launch at Te Papa tomorrow - says Versace-labelled clothes are not only for the glamorous.

Apart from the boutique, Versace is sold through a joint venture with Ermenegildo Zegna in New Zealand and through other multi-brand retailers in the region. This corner of the world generates the highest per capita purchase of any, he says.

Versace does $14 million to $15 million in retail business through Australasia, and despite forecasting a difficult year with the US-Australian recession says there is plenty of room for growth.

The company has tried to shift its appeal to a slightly different consumer segment - "younger people with lots of disposable cash," Mr Azzaro says.

In Australia, Versace has done this with the unlikely sponsorship of Melbourne's Collingwood Football Club. The company will not comment on rumours that it intends to lend its name to New Zealand's top rugby team in order to broaden its appeal this side of the ditch, saying, "There is a market for young people who aspire to the best in fashion, and we will go where we can get them."