Why is it essential for Malls to calculate their Marketing ROI?
Introduction
The hyper-competitive retail landscape makes it critical for malls to measure the effectiveness of their marketing strategies. Retailers may decide how best to spend their marketing budget, connect with their target market, and drive more foot traffic by running successful and efficient campaigns. Malls can identify a framework to accomplish their business objectives by conducting in-depth research and having a solid understanding of return on investment (ROI).
Akademos collaborated with Packages Mall to evaluate and examine their marketing plans. The Mall organized a Shopping festival, which provided a chance to collect consumer and shopping insights and helped determine the return on investment for the Mall.
The Shopping Festival
The Packages Mall’s Shopping Festival was a month-long initiative. It featured activities such as discounts, promotions, and lucky draws for various brands and eateries. The festival concluded with a free concert by Rahat Fateh Ali Khan. As Packages Mall’s research partner, Akademos gathered and interpreted data from the festival's activities.
Akademos gathered customer shopping receipts and examined which brands were doing well in the Mall to calculate the return on investment (ROI) of the Mall's marketing initiatives. By observing which brands profited most from the increased foot traffic, Akademos determined how the festival affected sales.
Findings from the Research
One of the key insights we gathered from our surveys was the importance of offering exclusive promotions and events. It was observed that retailers who engage in these kinds of promotional activities draw in a larger audience. Many customers claimed that receiving complimentary concert tickets for Rahat Fateh Ali Khan’s performance significantly motivated them to attend the Shopping Festival. Ultimately, the success of such an exclusive promotion showcased the importance of understanding customer desires. Beyond just discounts, creating memorable experiences and offering access to coveted opportunities builds a stronger connection between retailers and their target audience.
The shopping festival also highlights the importance of creating a positive shopping experience. Our studies on the food court revealed that customers valued the availability of various food options and a clean and comfortable dining environment. It emphasizes the need for malls to prioritize a seamless and enjoyable experience at every touchpoint, ensuring customers return for more than just occasional shopping sprees.
Finally, we also learned that understanding the target audience is the cornerstone of maximizing ROIs. Akademos delved into customer demographics, revealing consumer patterns surrounding different age groups, income backgrounds, and gender. The study revealed that the socio-economic background influenced individual shopping preferences.
By segmenting customers based on age, income, and gender, Akademos uncovered distinct spending patterns and brand preferences. For instance, the older demographic bases were more interested in attending Rahat’s concert than younger ones. Understanding the demographics can help Malls prepare strategies targeting different age groups and lead to more efficient utilization of resources.
Closing Thoughts
In conclusion, malls must assess the return on investment (ROI) of their marketing initiatives to gauge how their campaigns affect foot traffic and revenue. Malls can make well-informed decisions about how to spend their marketing budget, reach their target audience, and boost foot traffic by collecting data and insights from their patrons. Targeting particular demographics, providing special events and promotions, and fostering a positive shopping environment are all crucial components in drawing consumers to malls. Malls can boost sales and maintain their competitiveness in the current retail environment by investing in targeted marketing strategies that increase footfall.
About the Author
Mohsin is an Engagement Manager at Akademos. With a diverse portfolio, he excels in managing fieldwork and collaborating with stakeholders across the healthcare, retail, banking, and food & beverage sectors. Notably, he has played a pivotal role in successfully managing Packages Mall's Shopping Festival activation, contributing to informed decision-making through data collection, coupon distribution, and return-on-investment studies.
