As it expands in the United States, Mango is getting a helping hand from Simon Property Group.
The mall giant announced a collaboration with the Spanish apparel and accessories brand, which is building on its strategy with the opening of stores next year. It plans to debut three doors in the first quarter at Roosevelt Field in Garden City, N.Y.; Menlo Park Mall in Edison, N.J.; and Dadeland Mall in Miami.
According to Mango, the shopping centers — all owned by Simon — were strategically selected to develop its presence in the country. The brand, which has operated in the U.S. market since 2006, had renovated its outpost in New York’s Soho neighborhood in 2017 as well as launched wholesale in select Macy’s flagship stores and its direct-to-consumer online site last year.
“Mango has been focused on enhancing brand recognition in the United States with investments in wholesale and e-commerce distribution,” Mango director of expansion and franchises Daniel Lopez said in a statement. “The next logical step is acceleration of our physical presence, which will materialize with our Simon openings.”
Simon’s national director of business development, Zachary Beloff, added, “We are excited to introduce Mango to our millions of discerning customers. Mango is a globally renowned brand that we believe has a strong brick-and-mortar future in the United States.”
Mango’s brick-and-mortar fleet spans 110 countries. At the close of the last fiscal year, the company reported revenues of 2.37 billion euros ($2.89 billion), with e-commerce representing 24% of total sales.
The move marks a win-win for both Mango and Simon: As the COVID-19 health crisis took hold in the U.S., the commercial real estate owner had seen a decline in shopper foot traffic and tenant rent collections. It also faces challenges with occupancy at its properties as a number of anchor retailers like JCPenney and Neiman Marcus reduce their physical footprints. (Notably, Simon joined forces with Brookfield Property Partners to snap up the bankrupted JCPenney‘s retail and operating assets to stave off the chain’s liquidation and retain some stores.) With the partnership, Simon secures a fresh tenant at its malls during a period of uncertainty for the retail sector.