Risk management is a core tactic. The entry point for action may be driven by organizational change, an interest in a community's vital statistics, or simply a better picture of "what is out there". Market research serves growth objectives. Whether dramatic or subtle each "foot" of land is unique and measured economically in various use combinations to build business capacity. The growth objective: create or capture new markets. Following is four step scope of work to illustrate the benefits acquiring this kind of knowledge capital.
1. Describe existing conditions of the commercial street(s). Define the shopping area. 2. Describe the area served by the commercial street(s). Describe the location of shoppers. 3. Describe demographic changes in the area. Evaluate the shoppers needs/experience over time. 4. Develop recommendations to make the market grow. Implement steps to get more shoppers.
Physical Conditions: Three pieces of data are acquired
Commercial Mix and Land Use (square foot comparisons, density, and zoning) Building Conditions (land use, investment ratios, tenure and control) Street Conditions (traffic, transportation, services, aesthetics, and social sensitivities)
Market Conditions: Three comparisons of data combine to measure power and potential
Sales Measures (per square revenues) Sales Volume (per capita expenditures) Sales Potential (market demand vs. local capture)
Evaluating Change: Is it getting better/worse question is a question of viewpoint.
A community-based nonprofit corporation may see need for more local jobs or quality merchandise.
Civic groups may complain bitterly about shabby or unsafe conditions.
The local "household goods" sector may find crushing "inventory competition" from large chains.
The profit margin of supermarkets below <50,000 sq. ft.> is falling below one percent.
Interviews, workshops, conferences, sales seminars, or special launches of new products or services are devises that help define steps one through three above. These steps are required local pre-requisites to take effection action (Step 4) that sucessfully acquires public sector investments in design and infrastructure.
