If you’re preparing to open a new retail location, to extend the reach of your existing estate or beginning a start up, identifying the right location with retail location planning, will be the single most important thing you do. The cost of opening a new outlet is wasted money if there is insufficient footfall that meets your target consumer audience.
Check your demographics
Build a detailed understanding of your customer characteristics and apply the resulting demographic segments or models to the population to create visual heat maps that illustrate where the highest density of matching population are. Characteristics can be as simple as understanding affluence levels across geographic areas or more complex by modelling demographic and life style attributes, looking at the proximity of footfall drivers, the retail environment and potential competitive pressure.
Additional considerations that can drive footfall are; other retailers that draw people to the area, industrial or office parks, travel hubs, leisure and entertainment venues, schools, colleges and hospitals.
Look your competitors in the eye
Sometimes the best place to be is as close to your biggest competitor as you can be, foot traffic is obviously important, but landing the ‘perfect’ customer is far more crucial. By being in close proximity to your competitors, you can benefit from their marketing efforts. Your competitors chose their locations based on the ideal demographics of a particular area, they’ve also devoted large portions of their advertising budget toward driving traffic to their locations.
Answering these questions for each of the sites you’re considering can help you decide on the best retail location for your business:
Location analysis or a retail location planning project evaluates the potential opportunity for a specific site.
This is applicable for retail stores investigating new locations, or shopping centre developers interested in understanding the market opportunity a proposed site might offer. Tailored to client needs, retail location planning would involve some of the following elements:
To find out more or to talk to one of our helpful team please email us now or call the office on 01926 887555
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