The introduction of alien species to New Zealand's terrestrial ecosystems has caused rapid loss of native biodiversity since human settlement. Faced with this crisis, conservation managers and scientists have responded by developing innovative techniques such as translocation of native animals and the eradication of introduced mammals from islands. We review recent progress with conservation of New Zealand's terrestrial flora and fauna (especially birds) and consider future prospects for ecological restoration of islands and mainland areas. We stress the value of linking species and ecosystem approaches to conservation and we reinforce the importance of maintaining a dynamic partnership between researchers and conservation managers in the development of conservation initiatives.