Location intelligence software allows retailers to take a closer look at consumer behavior by displaying purchase patterns, assisting in logistics optimization, prioritizing popular services, and identifying best-fit locations for new stores depending on demographics and infrastructure.
A manufacturer from Sweden wants to open a first retail shop in the city of Karlstad. The brand is selling daily use goods, so it is crucial for its owners to find a place with high foot traffic to maximize their potential customers. Classic tabular forms with information on population density and the most visited places in the city provide only a general overview about where the new store could be potentially located. Location intelligence solutions make it possible to get pointed insights about buildings with the highest levels of nearby foot traffic.
To solve this client’s challenge, Aspectum created a map of mobile events that occured around Karlstad. This data was provided by Aspectum partner, Predicio. Then, we added the location of buildings and classified them according to the quantity of mobile events that occured in a 50m radius near each building. The classification was denoted by color, where light yellow stands for the lowest traffic and red is the highest. This shows the visitation patterns of each building for city residents.
As a next step, we applied a quadrant-segmented cluster analysis for mobile points to highlight high-concentration areas.
The classification of buildings and cluster analysis for foot traffic provided our client with a great perspective of not only the most popular buildings in the city, but also how they interact with high traffic routes. The areas where intensely green quadrants interfere with red-colored buildings represent the best locations to open a new shop for a retailer, in order to maximize the retailer’s potential client reach.
This representation could also be valuable for the commercial real estate sector. Construction companies can make use of opportunities generated by this data to develop construction projects in high-traffic but low commercial density areas, before their competitors.
Retailers that want to expand their existing networks, companies that are just entering the market
Key Technical Features
- Big Data
- Data Analytics
- Advanced Data Processing