Simon Property Group: Digital Ad Campaign Boosts Activity at Malls

Core Insights - Simon Property Group is experiencing increased activity at its malls due to a digital advertising campaign aimed at attracting a new generation of consumers [1][3] - The company reported improvements in two of the three operating statistics for its U.S. malls and premium outlets in 2024 [1] Group 1: Advertising Campaign - The "Meet Me @themall" campaign was launched in September and targets consumers who want to engage in shopping, dining, and entertainment at malls like previous generations [3] - The campaign has received positive reception and is designed to be fun and engaging, utilizing new media platforms [4] Group 2: Financial Performance - Occupancy rates increased by 0.7 percentage points from 95.8% at the end of 2023 to 96.5% at the end of 2024 [2] - Base minimum rent per square foot rose by 2.5%, from $56.82 at the end of 2023 to$58.26 at the end of 2024 [2] - Retailer sales per square foot decreased by $4, from$743 for the trailing 12 months ended December 31, 2023, to $739 for the trailing 12 months ended December 31, 2024 [2] Group 3: Tariff Law Changes - The potential elimination of the U.S. "de minimis" rule, which currently exempts packages valued under$800 from tariffs, could benefit American retailers [4][6] - This change is being considered by President Trump and Congress, and it may provide a significant boost to retailers not intentionally shipping goods to avoid tariffs [6]