Market Planning
Retailers use a variety of methods to find sites. Some employ experience and "gut feel', others trust that their brokers or internal real estate team will find the best sites, and still others leave nothing to chance and employ ROIC analytics' Market Opportunity service to ensure that they are spending their energy and capital on only the best potential sites. Regardless of how your company ultimately finds sites, successful companies will not invest the millions of dollars necessary to develop a store without first completing an in depth study to forecast the store's viability.
There are as many ways to evaluate sites for performance as there are ways to find sites. Depending on the type of retail, the number of stores you currently operate and the time they've been open, and the data you own or are capable of collecting, site analysis processes can be as simple as providing a basic scorecard measuring key metrics tied to store success, a list of similar or "analog" stores that can be used as a guide to the site's expected performance, or as complex as using sophisticated models to simulate market conditions and forecast sales several years into the future.
Sales Forecasting
ROIC analytics' Market Planning process is tailored to your individual business attributes and goals. Whether your goal is to build a single store in one or more markets, or build out a large market with numerous stores, we can help. Our proven process has been honed to not only forecast the viability of your site(s), but also find the best combination of stores and sites that together maximize sales and market share, without leaving dollars on the table or hindering your growth potential in the future.
Our market analysts are experts in site analysis and sales forecasting and have successfully evaluated thousands of sites and planned hundreds of markets over the past 20+ years. We previously led the site analysis and market planning department for one of the world's largest food and drug store chains and we have since worked with many of the nation's largest and most successful retailers as service providers and consultants. We use the tools and data trusted by top retailers, and we build our own models and software that allow us to tailor our process to suit each client's goals and customer profile. We continually invest time and energy into making sure our market planning and site analysis processes evolve as the retail industry evolves.
Analogs and Predictive Modeling with Site Analyzer
For our clients that need to evaluate a large number of sites or are expanding to numerous markets, we recommend they implement a site screening system. Whether it makes sense to deploy full blown mapping programs, GIS, or other business intelligence applications, or you simply require a tool that can quickly tell you whether a site will meet your sales goals or not, we can help.
Site Analyzer was built on the user-friendly Site Decision Systems platform (SDS) to make site screening simple and effective. Users do not need to learn complicated software packages, memorize confusing
jargon, or involve their IT department. Site Analyzer is accessed through a secure website and is wizard-driven to help you get results fast.
Site Analyzer approaches site evaluation from three angles:
Analogs show you the stores in your chain that are most similar to the site you are studying.
Key Performance Indicators (KPIs) show you how your site measures up to your best stores on key metrics.
The Predictive Model uses statistical and spatial algorithms to forecast the performance of your site.
Implement only the components you need or deploy all three approaches to ensure ultimate confidence in your site selection. If your needs change and you want more power than Site Analyzer can provide, simply upgrade to SDS and unleash the power of a full site analysis suite.
Remodels, Relocations and Closures
ROIC analytics market planning process not only handles your site analysis tasks. Our process can effectively evaluate:
- Remodel Sales Lift
- Sales Cannibalization
- Relocations and Consolidations
- Closures and Sales Transfer
- Acquisitions and Other Unique Scenarios.
At ROIC analytics, we believe that your site strategy should be part of an effective market strategy. We can help you implement a process that ensures you are choosing the best sites and provide you with the tools to buy, build, or acquire with the confidence that your decision will lead to a successful store, and a successful store network.
- Learn how three of ROIC analytics' clients are using market planning in this white paper
