Success Stories > Clothing Retailers
How a clothing retailer found optimal locations for its US site expansion strategy
Company
Challenge
Solution
Results
Identification of four potential locations out of 100 options.
Our client
Clothing brand with several locations along the US East Coast.
Since 2012, our client has grown its brands in strategic states like Washington, San Diego, and Los Angeles. Their target market is middle-class young millennials.
The Challenge
Identify optimal locations for their new openings in target cities.
The site selection team was looking to open new physical stores in five cities in target states like Florida, North Carolina, and Virginia.
They selected some possible locations for each city and wanted to understand which could be the best according to their specific parameters.
Solution
Site selection analysis using Big Data and Artificial Intelligence.
The first thing we did was analyze the performance of their current physical stores to understand foot traffic and vehicle patterns, visitation behavior from their customers, and competitor influence, among others.
This helped us tailor our site selection approach according to key factors our client should consider when analyzing a possible location.
In the image, we can see how our client compared two possible locations in Jacksonville, FL. considering elements like visitation volume or visitor annual income.
The graphs compare an area of interest from different perspectives while considering competitors’ presence.
We also considered the insights the marketing team provided to gain a better understanding of their users. For instance, they informed us that their male customers usually visit stores like Gamestop but avoid going to places like Save-a-Lot.
Using this information, we provided more detailed insights into how many users in the area visit such places.
Our analysis revealed that users who had been around the target locations did not visit any Gamestop stores but visited Save-a-Lot stores instead.
This insight raised a “red flag warning” regarding the general area of interest.
Results
Confirmation of new locations with high potential for success.
Our client’s site selection team identified four potential locations from almost a hundred options they were considering.
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