If you’re a broker working with a new-build shopping center or a developer filling your own center, it can seem like an overwhelming job at the outset. Step number one is identifying an anchor tenant that sets the tone for the shopping center and fits the customers that are likely to be attracted to your center.
When you’re a growing retailer, it’s tempting to choose locations that are distant from one another to avoid negatively impacting your sister stores in the market. However, this strategy can leave gaps in the market that put you at risk of a competitive entry or worse, leave dollars on the table when you could have had three stores in the market instead of two. The goal, then, is to plan a network that maximizes your market share without overly cannibalizing your own sales.
We’ve said it before and we’ll say it again: brick-and-mortar retail isn’t dying, it’s evolving. Yet, browse the latest articles on retail development and it might not seem so certain. SiteSeer’s team just returned from the International Council of Shopping Centers RECon show in Las Vegas, where attendance was down from years past. It caused us all to wonder: is the market slowing? Are deals still getting done? Is the so-called retail apocalypse actually upon us?
Topics: retail apocalypse
Last month, we rolled out location profiles, which are templates within SiteSeer’s Model Builder tool. These profiles help users through the sometimes-arduous task of building models, whether they have a starting point already or need to cost-effectively build a model from the ground up.
Growing retailers look to expand into markets where concentrations of their target consumers live, work or shop. A consumer’s lifestyle and life stage often define their preferences and behavior, and few factors better determine one’s lifestyle than education level. For this study, we wanted understand which markets were seeing an increase in education levels. To measure this, we looked at the change in the percentage of persons over age 25 that had no bachelor’s or master’s degree in 2013 compared to 2018. We also controlled for increases in bachelor’s degrees at the expense of master’s degrees, e.g. markets where the percentage of bachelor’s degrees increased while the percent of master’s degrees decreased.
In Model Builder, one of the most popular tools within SiteSeer, users can create hotspots to narrow down hundreds or thousands of locations across a market to those that are likely to offer them the highest chance of securing a successful site. If you’re a broker or shopping center owner or developer, hotspots can supplement your own expertise with data that tells you if the retail or restaurant chain you’re working with is a good fit for your center or not.
Anyone in retail research knows that there are many factors that contribute to the success or failure of a site. The question, of course, is how do you replicate your winners and avoid opening locations that end up as losers? One of our most valuable tools within SiteSeer can help you do just that: the hotspot analysis tool.
Topics: hotspot analysis
If your town is large enough to have an economic development council, that council is probably tasked with analyzing your market in order to attract businesses and retailers to the community. To do this effectively, one of the very first steps you should take is to define your town’s trade area.
Topics: retail trade area
When a retail or service business chooses to expand their reach through franchising, acquisition or organic growth, a critical question that arises is, “How do we replicate our success?” The answer for most? Adopt a site selection process and use mapping and analysis software that will provide your company’s decision-makers with the facts they need to make educated site decisions.
In the early days of chain retail expansion, developers would choose sites convenient to where their customers live, work, and shop and hope that sales and profitability would follow.