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Supermarket Location Research
Location, Location, Location!
For supermarkets, the leading factor to success has always been location, location, location! This old adage still holds and it is rare that a store succeeds with a poor location. Poor and ill advised location decisions can have a profound impact on a new store's sales and financial success! The more successful Chain and Independent supermarket operators tend to give location decisions a great deal of importance that a significant twenty to twenty-five year financial exposure deserves.
Supermarket Location Research began in the 1920s with the introduction of the first self-service grocery stores. The process was refined and improved with the introduction of gravity/spatial modeling in the very early 1970s. Further improvements have been realized with 1) the introduction of card based loyalty programs that provide home locations and precise expenditures for the majority of the shoppers to a supermarket and 2) segmentation analysis to understand how a particular grocery format "fits" the consumers within each neighborhood available to a location/site.
In-depth field analysis combined with the latest in gravity modeling software (Sitesplus, Gravitec Development and Dmodel, DSR Marketing) and geo-demographics segmentation analysis (Fit, DSR Marketing) and, when available, loyalty data, to provide five year sales forecasts and sister store impacts for any type of retail grocery format (box store to hypermarket).
Single site sales forecasts (most commonly used service) - sales forecasts for a single site, either in a large metro area or a small rural town,
Market market-wide storing/site/acquisition strategy evaluations.
Inexpensive Site Screen analysis.
Give Burke & Associates a call (314) 821-3231 to discuss your particular needs or location concerns. We have over thirty-five years of experience and we stand ready to serve. References upon request.