Not surprisingly, a major success factor of a shopping mall loyalty program is offering customers attractive offers and rewards. However, many new centers that are just starting their mall loyalty program often ask how to get retailers to participate?

For the past decade, Coniq has designed and run loyalty programs in hundreds of shopping centers worldwide, so we intimately know how to work with retailers. We also understand how to handle the objections you're likely to receive from your retailers when you're planning to launch a revenue-making mall loyalty program:

• We have a loyalty program, so why should we participate in a center-wide one?
• We already offer a large discount in our store and do not wish to discount further.
• I am concerned that the members will only redeem their discounts in our store and not collect their points/credits.
• We would like to wait until after launch and see some initial results
• I am concerned about fraud. How do you mitigate this risk?

Expert Tips for Overcoming Retailer Objections to Your Coalition Loyalty Program

To help you overcome these objections, we have provided answers to these common questions and tips to improve the collaboration between you and your retailers, which is extremely important today for mutual success.

1. We have our own loyalty program, so why should we participate in a shopping mall loyalty program?

Joining a mall loyalty program will complement your retailer's own loyalty program, so you will witness higher levels of foot traffic, dwell time, and sales. In addition, by working with the shopping center, you will receive relevant insight into shopper preferences, such as your retailer's performance compared to peers. 

2. We already offer a large discount in our store and do not wish to discount further. 

Most mall loyalty programs cap their discount and enable retailers to decide whether discounts are offered on already discounted items or only on regular-price items. 

3. I am concerned that the members will only redeem their discount in our store and not collect their points.

We have seen firsthand that members who redeem discounts in specific stores also spend more in these locations to collect points or vouchers, which increases foot traffic and sales for participating retailers.

4. We would like to wait until after launch and see some initial results. 

Our research shows that participating retailers that are actively involved in the launch of a shopping mall loyalty program witness higher levels of sales and loyalty in the long run. One reason is customers expect retailers to be part of the program, and shoppers spend their money where they are rewarded. Also, taking part in the launch provides the retailer with greater exposure via free marketing channels.

5. I am concerned about fraud. How do you mitigate this risk? 

Reward program fraud is not an issue and involves less than a fraction point of program members. That said, we have the tools to automatically monitor suspicious transactions.

Boosting Your Mall's Success: 5 Tips for Gaining Retailer Support for Your Loyalty Program

A customer loyalty platform can transform the success of your shopping center by enabling you to drive more footfall, repeat visits, and sales. However, your relationship with retailers will define how quickly you can generate this business value. Here are five tips to consider when securing the support of your retailers for your new loyalty program:

1. Build a shopping mall loyalty program with your retail partners in mind

Provide your retail partners with a shopping mall loyalty program that encourages foot traffic, sales and frequency of visit. Present the program and benefits but be realistic - incorporate offers and rewards into your program that are easy to obtain from your retailers before asking for more sophisticated promotions such as customer experiences.

2. Work together to provide content for your customers 

Partnering with your retail partners to provide experiential and targeted content for your program will provide a unique retail experience for your customers and increase revenue for your mall. Your shopping center loyalty program will enable you to understand the preferences, and behavior of your customers and send highly relevant, personalized, and timely promotions.

3. Brand participation is key 

Launch your reward program when you have reached a level of brand participation, attracting the most customers to join. Successful loyalty programs have at least 80% of retailers across different categories providing offers and rewards. Creating a buzz around the launch with introductory offers and rewards will ensure a successful launch for you and your retailers.

4. Highlighting the marketing opportunities for retailers

Promote to your retailers that the coalition loyalty program will drive footfall, sales, and brand recognition for them, and with little effort from them. The shopping mall will run the marketing outreach, including sending highly personalized communications.    

5. Share your reporting and insights with tenants

Once you launch your shopping mall loyalty program and have valuable data, share it with your retailers. Sharing data will build and strengthen the relationship you have with tenants. Retailers want to see the value of the program, benchmark their performance vs. peers, understand the revenue driven by rewards and offers and see the share of wallet for their category and in total.

Not ready for a shopper mall loyalty program?

If you are thinking about launching a coalition loyalty program but are not ready, that's ok. Instead, start with building a database of ready-to-buy shoppers by running an acquisition program that leverages the power of email marketing. This will enable you to better understand your shoppers and will allow you to start working closely with your retailers before proposing a center-wide mall loyalty program.