In 2021, there was a significant milestone, marking the first time in several years that store openings in the US outnumbered store closures. This positive shift can be attributed to a change in mindset among property owners. Mall operators have moved away from a siloed approach to mall management, opting instead for a unified concept that treats the mall as a community, working together to enhance the performance of all shareholders.
Establishing strong relationships with retailers is crucial for driving occupancy in your shopping mall. This is because engaged tenants are more likely to adhere to rent payments and comply with community rules and regulations. This, in turn, results in decreased tenant turnover and reduced maintenance costs for landlords—a mutually beneficial outcome.
A customer loyalty program can be an essential tool to drive tenant engagement and bring value to your retailers.
Landlord and tenant relationships, although traditionally transactional, have changed over the years. In today's demanding and competitive market, landlords face the challenge of demonstrating their physical merit to stand out.
For retail brands, key performance indicators (KPIs) such as footfall, expenditure, and the delivery of seamless customer experiences are crucial for establishing a significant competitive edge and ensuring shopper satisfaction.
However, developing an effective omnichannel strategy that seamlessly connects a shopper's journey across multiple brands and touchpoints is a complex task. This is where a loyalty program becomes an invaluable asset, facilitating the connection of various elements within a single unified platform.
The implementation of a loyalty program can have a substantial impact on the value you provide your retailers. Not only can it connect a customer journey across multiple touchpoints, creating a better customer experience, but it can also help retailers attract new customers. The outcome? Increased footfall and spend for both the shopping mall and the retailer.
Find out more about how you can drive tenant engagement through actionable customer insights.
To make a shopping mall more attractive to customers, it should provide distinctive experiences and dynamic retail options that deliver the sought-after 'destination experience' customers want. Ideally, a center should feature a diverse array of retailers, including food and beverage outlets, clothing brands, and entertainment facilities. The greater the variety in your program and the more brands involved, the higher the value you offer to your shoppers!
The greater the variety in your program and the more brands involved, the higher the value you provide to your shoppers. However, fostering customer engagement goes beyond merely offering a wide range of brands at your shopping mall.
Loyalty programs emerge as a powerful tool for brands to not only reach new customers but also gain deeper insights into their preferences and behaviors.
Here are examples of loyalty functions that can be implemented:
We understand that your retailers have an in-depth understanding of their shoppers. Many of them likely have their own loyalty programs. However, a mall-wide program can complement existing initiatives by bridging the gap for shoppers. No need for multiple app downloads or navigating through various processes to redeem rewards. Instead, discover offers and discounts from multiple brands in one convenient place. Accumulate points for shopping across different brands and conveniently store them in one account. Additionally, customers can simplify engagement by linking their debit cards to the loyalty account for a frictionless experience.
Implementing a loyalty program allows you to gather comprehensive data on a customer's entire journey – their preferences, habits over time, and spending power. The value of sharing this information is substantial. For example, giving your retail tenants the ability to track sales growth, view the number of returning customers, and measure transactions made within specific spend ranges. These are all tools that can help your tenants enhance their in-store experiences, and create long-term engagement strategies.
Of course, maintaining tenant relations is a big (and sometimes delicate) job. Many loyalty providers often have dedicated teams to assist brands with onboarding and support. These services can include continuous training to increase tenant adoption and implementation. This ensures that in-store teams understand how to use technical tools (such as scanners.) Loyalty providers can also help support retailers with submitting and activating offers, understanding performance insights and even offer recommendations to optimize customer engagement strategies.
In conclusion, loyalty programs are a valuable tool for building stronger relationships between landlords and tenants within shopping malls. By providing retailers with access to previously untapped data points, a streamlined approach to attracting new customers, and enhanced tools for fostering customer engagement, loyalty programs become instrumental in forging successful partnerships for better retail management.
Find out more about How To Get Retailers To Participate In Your Shopping Mall Loyalty Program.