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Boxpark bets on loyalty card to turn around flagging footfall

Pop-up shopping mall Boxpark has introduced a loyalty card scheme in a bid to drive footfall and sales.

The loyalty card, operated by marketing firm Footfall123, launched two weeks ago and offers customers 20% off their first order and 10% off subsequent purchases. Boxpark, which opened its doors in Shoreditch, east London, in December, will be able to personalise customer offers based on their purchasing habits with the card.

Boxpark founder Roger Wade said the loyalty programme was introduced to help boost flagging footfall: “Like all retailers, Boxpark isn’t immune from the current economic situation. Boxpark hasn’t come up with a bunch of customers with a disposable income.”

Wade also blamed May’s bad weather for the poor footfall. “The reality is we are not God and when the weather isn’t fantastic then Boxpark struggles. It’s not an overnight thing – this site had been vacant for 40 years – it’s a slow and gradual increase [in footfall]. We are trying to proactively encourage footfall and turn this into sales.”

Wade said three quarters of the retailers are involved in the card scheme, including Boxfresh and Vans. Diesel and Nike are among those not included.

David Halliwell, head of marketing at Footfall123, said 200 people used the cards within the first two days, generating £16,000 of additional sales.

Readers' comments (1)

  • Further to your recent Boxpark article. The main reason for the introduction of a loyalty card is NOT to boost flagging footfall. Boxpark, is a proactive retail developer, and we strongly believe that loyalty cards reward our loyal customers and encourage repeat purchasers. As I'm sure you are aware the old days of retail are now redundant, and retail developers as well as retailers need to embrace technology and use all available tools at their disposal. The Footfall 123 system allows us to track our customers and understand their requirements. We can then tailor any retail promotion or events to their requirements. I recently spoke at the Drapers conference, and CRM was at the forefront of retail initiatives. I am surprised and disappointed that you are now advocating that any retailer who uses CRM technology must have problem with footfall. By your own reckoning, every major retailer in the UK must have flagging footfall !

    ROGER WADE, CEO, BOXPARK

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