The agreement marks the beginning of a strategic marketing alliance between Rouse and Adshel’s parent company, Clear Channel Communications.
We are excited to be aligned with a company that has expertise in the retail center advertising business and is fueled by one of the world’s largest media companies said Andrew C. Tilmont, Rouse’s Director of Operations Administration. Adshel is one of the most experienced players in this business, having pioneered it with the people at Mall Communications Network. Their expertise in this business is unmatched and they’re even more effective with Clear Channel’s massive marketing presence.
As the exclusive static advertising partner for the common areas in the shopping centers, Adshel will build custom designed displays created by the well-known Chicago architectural firm of Krueck & Sexton. The new displays represent a move forward in the design of the advertising medium in the mall environment. The look of the displays enhances the shopping environment while providing an impressive advertising product, said Mr. Tilmont. Our alliance with Clear Channel and Adshel will further help us provide our shoppers with relevant information that will make their shopping experience more informative and enjoyable.
Adshel grew its share of the retail center advertising business last year by acquiring Mall Communications Network and merging it with its Mall Media division. As a division of Clear Channel, it is part of the world’s largest outdoor advertising company. Adshel currently maintains advertising displays in 376 malls in the U.S. with the leading share of malls in the top markets. The addition of the Rouse portfolio provides Adshel with more than twice as many malls in the top ten U.S. markets as the next largest mall advertising company. Rouse’s portfolio is one of the premium portfolios among the various mall companies, said Doug Watts, President of Adshel USA. Not only are they concentrated in the top advertising markets, but they are predominantly upscale malls with prestige anchors such as Nordstrom, Neiman Marcus and Saks Fifth Avenue. We are excited to be partnering with them to completely change the way the mall venue has previously been marketed.
Of particular interest to Rouse was Adshel’s alliance with the 1,120 Clear Channel Radio stations throughout the U.S. Earlier this year Adshel, along with the San Antonio and Austin Clear Channel radio stations, tested a cross-platform sponsorship opportunity with the Rouse retail centers in those markets. The program accelerated sponsorship revenues in the two Texas retail centers by combining on-air sponsor announcements with in-mall advertising. We view this relationship to be a huge growth opportunity for the mall sponsorship programs, added Mr. Tilmont. The power of the 13 San Antonio and Austin radio stations was an enormous benefit to the test sponsors. Having the entire sales force of the area radio stations presenting our malls as an advertising medium to the regional advertisers was very effective. Now that we have the master agreement signed, we expect to see more programs like this throughout our shopping center properties.
