The economic success of a “retail location” – a bank branch or bakery; a drug store or diner; or a fitness center or frappuccino cafe – is a function of three primary factors:
• The density and purchasing power of the surrounding area. • The fundamental pulling-power and visibility of the site. • The accessibility of the site in terms of road patterns, parking availability and public transportation.
The partners of the GillWright Group have performed scores of evidence-based studies that have comprehensively analyzed demographics; the cumulative retail environment surrounding a site; vehicular and pedestrian traffic patterns; and the attitudes of consumers about the site.And numerous organizations have used these studies in making decisions to open dozens of new retail outlets.As importantly, many studies have contained Don’t do! conclusions.
Most site studies fall into one of three categories: AREA OPPORTUNITY ASSESSMENTS – An analysis of a broad area (e.g., a metropolitan or regional area or a county) to determine the communities or neighborhoods with the best potential for generating revenues.
PULLING-POWER STUDIES OF SPECIFIC POSSIBLE SITES – An analysis of a specific site (or “competing possible sites”) to determine the fundamental retail focal-point strength of the site, and to develop sales projections. MAIL SURVEYS OF POTENTIAL MARKET AREAS – Often used as a complement or follow-up to either of the above:
• To gauge a community’s reaction to the possibility of having such a new business. • To measure the revenue-generation strength of a specific site or various in-the-vicinity-of locations. • To test price sensitivity before a final investment decision about a specific site. • To learn about the various levels of demand for products, services or programs as a reference point for the layout of the facility and the eventual creation of the marketing plan for opening the new facility.
GillWright Group 2501 Palisade Avenue, C2 — Riverdale, New York 10463 Telephone - 718-601-0714 Fax - 718-601-2197