As shopping malls concentrate on their own evolution, a new trend in retail is growing outside of mall doors — retail partnerships.
Consumers are starting to see more and more retailers popping up inside of other big box, grocery, and department stores. These shop-in-shops are creating fun and exciting brand experiences outside of their own store fleets, while the retailers housing them are developing into one-stop retail destinations where shoppers can peruse a plethora of retailers in one place.
One of Target’s most noteworthy partnerships opened last year: Target and Ulta Beauty. The in-store experiences will be in more than 100 Target stores and on Target.com, with plans to reach a total of 800 locations in the years to come. Each “shop-in-shop” is located near the existing Target beauty section and features specialized displays, discovery zones and on-trend, season-specific products. What’s really interesting is loyal shoppers can rack up rewards from both Target and Ulta Beauty’s loyalty programs; the programs combine to include more than 100 million users. RISfound 55% of retailers report their loyalty members have made a purchase in the past three months, thus it stands to reason that doubling up on loyalty plan benefits could draw existing and new shoppers to these shop-in-shops.