New Zealand retailers are showing renewed confidence in their business prospects, despite ongoing economic pressures. 

According to Retail NZ’s latest Q3 2026 Retail Radar report, 73.7 per cent of retailers were confident their businesses would survive the next 12 months, marking a significant improvement in confidence levels over the past two years.

More than three-quarters of respondents also expect to meet or exceed their business targets in the final quarter of this year, signalling optimism ahead of the crucial festive trading season.

“We’re seeing strong confidence levels among retailers despite the continued pressures from high fuel prices, inflation and unemployment, a weak Kiwi dollar, muted consumer spending, and rising business costs,” said Retail NZ CEO Carolyn Young. 

“Our survey period ended before last week’s OCR review and the further drop in the dollar, but fuel prices were soaring to new record levels. Yet despite the challenging conditions, more than three-quarters of respondents say they expect to meet or exceed their targets in the final three months of the year.

However, businesses continue to face pressure from rising fuel prices, inflation, unemployment, a weaker New Zealand dollar and subdued consumer spending.

The report found that 53.6 per cent of retailers want the next Government to prioritise stabilising fuel prices. Other key concerns include the cost of living, electricity prices, regulatory uncertainty and high card payment fees.

Retailers also called for greater accountability from offshore e-commerce platforms, including Temu and Shein, particularly around product safety. 

“The message to the next government from retailers is clear: reduce the cost of living, lower the cost of doing business, and provide greater certainty for businesses,” Young added. 

“Businesses make long-term decisions, and every significant policy change comes with compliance costs, uncertainty and disruption.”

• Further reading: Retail NZ promises to monitor closely move-on orders.