Simon Mall Loyalty Program Helps Brick-And-Mortars
By Brianna Ahearn, contributing writer
Mall owner Simon is currently testing a loyalty program at five of its retail locations reports Chicago Tribune. The program, Simon Rewards, has already received thousands of signups, says Ed Vittoria, Simon's vice president of marketing. Simon operates over 200 retail locations in the United States, and is the corporate owner of Simon Malls and Premium Outlets. The new free loyalty program is being tested at Woodfield Mall and Orland Square Mall outside Chicago, Ross Park Mall and South Hills Village in Pittsburgh and Mall of Georgia outside Atlanta.
Simon Rewards features three elements for participants. There are instant prizes, awarded randomly for members at mall kiosks and via the Simon Rewards app, which is available on Android and iPhone. The app is able to detect when a member is in a Simon mall and may reward the member accordingly. Simon Rewards also features a point system, wherein members earn one point per dollar spent at the mall retailers. Points can also be earned by “checking in” on the mobile apps, and may be redeemed for prizes, such as luxury handbags or even a premium vacation. Shoppers who are frequent loyal customers will be deemed “gold” or “silver” levels, earning exclusive rewards at their respective level. Currently, almost 30 retailers in Simon malls are providing the prizes, which may include clothing, handbags, home goods and other consumer categories. Simon Rewards will also display exclusive offers for its members.
Simon, with their Rewards app, has demonstrated their ability to keep up with the ever-changing retail world. It's unclear as to when the company will launch the program nationwide, but the company already has a designed website for Simon Rewards at SimonRewards.com. The loyalty programs are a way for retailers to go against e-commerce giant Amazon.com and other online retailers. Today's consumer has multiple options when it comes to shopping and it's more important than ever for retailers to embrace technology to connect more to their target audience.
The introduction of Simon Rewards comes at a time when retail analysts are expecting half of the United States malls to close within 20 years. Publications such as Business Insider have written about the “death of the shopping mall,” but Simon has envisioned a way to reward their customers with tangible prizes, so they return to their favorite mall. In an area where more than one shopping mall is available, once Simon launches Simon Rewards nationwide, the program will likely entice shoppers to a particular location. The new loyalty program also indirectly ties to the individual retailers in the mall, many of whom may run loyalty programs of their own. This combination offer consumers a chance to maximize their shopping experience, and get valuable rewards for both retailer and mall. “They [retailers] really like the increased traffic they get from this,” says Vittoria. I do think we look at this as an opportunity to give our shoppers another reason to come to the mall.”