On the heels of Caruso’s recent announcement that they are launching a new rewards program, we thought we’d take a look at their portfolio performance compared to our California Outdoor Shopping Center index (below). Impressively, the Caruso portfolio has shown mostly YoY growth the past 12 months, particularly during the 2021 holiday season. We are seeing some plateauing with both Caruso’s portfolio and the California Outdoor Shopping Center Index as we head into the fall season. The timing is ripe for a rewards program that can play a part in nudging visitation back upwards compared to last year.
One of the differentiators of this program is a focus on experiences that can be earned through this new Caruso program, such as a stay at the exclusive Miramar Rosewood resort or a special experience at the ever-popular Santa House. This angle is more in keeping with hotel and airline loyalty programs and is even reminiscent of Disney’s constant quest to achieve consumer stickiness and keep loyalists within the ecosystem. Soon, there will be even more reasons to shop/play/live at a Caruso property.
It will be particularly interesting to track some of the Caruso properties that are more "local" in nature, such as The Commons at Calabasas and Palisades Village. While the Americana at Brand and The Grove regularly make it onto must-visit LA locations for tourists and visitors, the other two have been crafted to cater to their more immediate vicinities, and also include essential retail such as a Ralphs at The Commons at Calabasas and an Erewhon at Palisades Village.