Following community feedback in 2020, the Art Deco Fashion on the Foreshore event has a new category this year aimed at being "more inclusive" and representing the diverse community.
The Rainbow Runway will join a range of other categories at this year's event.
After last year's event, Napier City Business Inc received feedback from the community that contestants were unhappy with "the lack of diversity, ethnicity and LGBTQ exclusiveness of the overall competition format".
So this year, it is sponsoring the new category, which anyone can enter as an individual or group.
It is part of the festival's makeover to include more community involvement, updated categories and "renewed focus on creativity".