"Children sometimes might go 'will that happen to us mummy or daddy' and you quite often can just say 'look the chances are really slim and we've got really great people in charge of keeping us safe in our country'.
"There is a really good chance they won't ask more than that."
She said it is about finding the balance between shielding children from becoming overly concerned and being open to talk about it.
An important factor raised by Watson was to encourage kids to do a risk assessment by asking "how likely is this to happen in New Zealand".
"Geography is a really good factor in terms of the distance we have from potential terrorist attacks. Being so far away means that we probably have an added level of safety compared to other countries," said Watson.
Watson has worked with a lot of anxious Kiwi kids who she said are much more worried about things like earthquakes and natural disasters than the threat of terrorism.
"Because [earthquakes] are something that is closer to home."
However, she said this is not necessarily the case with teenagers who have more access to the world through social media and as a result are potentially stressed about threats like terrorism.
President of New York's Child Mind Institute Harold Koplewicz, told Time after the Paris attacks in 2015 to not delay telling your children.
"It's very likely that your child will hear about what happened, and it's best that it comes from you so that you are able to answer any questions, convey the facts, and set the emotional tone."
According to Watson, the topic of terrorism generally wouldn't come up, if it is going to come up at all, until a child turns 10.
"It would usually be in response to something they have heard or seen. Triggers for anxiety have to be in the environment."
Watson gave the example of a child seeing something like the Manchester bombing on television or social media.
She said if a child is really anxious parents may need to decrease their exposure to these platforms.
However, if a parent is worried about their child they should seek help even if it is just a visit to the GP to start off with.
The National Society for the Prevention of Cruelty to Children in the UK has published advice to help parents talk to their children about terrorism.
NSPCC's tips include listening carefully to a child's fears and worries, offering reassurance and helping them find advice and support.
Ariana Grande is set to perform at Spark Arena in Auckland on September 2, as part of her Dangerous Woman tour.
A spokeswoman for Live Nation said tickets to the almost sold out show have continued to sell since the tragic incident at Grande's concert in Manchester that killed 22 people.
The pop singer's management confirmed that following the bombing, Grande's tour has been suspended "until we can further assess the situation and pay our proper respects to those lost".
Her next seven concerts have been cancelled and at this stage, her tour is set to resume in Paris on June 7.
There was no confirmed information about the Australian and New Zealand shows.
Dr Sarah Watson's five tips on how to talk to children about terrorism:
1) Keep lines of communication open and respond to questions:
Be led by your child's questions as opposed to sitting them down and talking about the topic. It is also important parents tell their children the truth, as lying will confuse them even more or erode trust.
2) Stick to the basic facts:
Avoid telling your children details that will upset them or lead to anxiety.
3) Help your child answer the question: "How likely is this to happen in New Zealand?"
Support your child to do a risk assessment about the likelihood of a terror attack in our country.
4) Be calm and in control:
Children are likely to model their parent's behaviour and attitude.
5) Reassure children that they are safe