Market Analytics
Discovering the best growth opportunities and biggest threats in the marketplace

Our approach to market analysis is highly market data driven.  Our proprietary process is an optimization framework based on a layered trade area algorithm that is driven by both supply (competitors) and demand (customers) factors that effectively identifies and ranks market performance and market potential throughout your network.  The process yields a level of market understanding of your strengths and weaknesses at a detailed actionable level that conventional market analytic methods simply cannot match.

1. Trade Area Analysis
Building a market map or trade area network is the foundation for accurate market intelligence because it fundamentally answers the question of what is the size and shape of the trade area for each specific site or facility.  Our trade area methodology is entirely data driven and does not require the arbitrary, but critical, sizing assumptions necessary in conventional methods such as Huff type gravity models or in drive time rings.  It is not uncommon to see mainstream GIS providers offer users a choice of several different trade area definitions.

In contrast, we estimate trade areas based on real supply side data – the location and strength of competitors and then the process is validated using point-of-sale data where available.  Trade areas are estimated as a layered network and not individually as in some conventional methods. Layered trade zones allows the model to help understand and quantify the complex nature of consumer purchase behavior—where purchases are made across a wide variety of trade zones such as super-regional, regional, community and neighbourhood centres—all the while accounting for surpluses and leakages (spatial equilibrium).

The process estimates the market map for an entire province or country without the assumptions necessary in conventional trade area analysis.  This allows for the comparison and ranking of market potential for effective market optimization analysis throughout an entire country seamlessly between existing sites and all potential other sites.  Furthermore, the process can be effectively used to optimize the number and size of facilities within the marketplace. 

2. Market Sizing and Profiling
Profiling your market and customers is foundational to an effective market growth strategy.  It helps you discover the segments in which your best customers fall into.  Then using this information, it allows you to understand where your best prospects are.  This improves your target marketing strategy, effectively growing your organization.  However, choosing an appropriate segmentation system may not be that simple because you also need to be able to size the segments over time…you can only improve what you measure.  This will help you align your value proposition with the actual population in your trade areas.  Our access to external data providers gives our market and customer profiles the following dimensions:

  • Household spend:  We size the total household spend in each trade area by product group and lifestyle segment.
  • Lifestyle segments:  Clusters that profile the market and your customers based on household purchase patterns, activities and interests.  It allows more detailed performance and market potential estimates by trade area and product group.
  • Geography:  Mapping your customers by trade area, product group and lifestyle segment.
  • Demography:  A detailed demographic profile by trade area, product group and lifestyle segment.
  • Ethnicity:  We provide an ethnicity profile by trade area, product group and lifestyle segment.
  • Attitudinal segments:  We can also align and build statistical crosswalks between needs-based segments (survey based) with lifestyle segments to add additional lifestyle, household spend, geography, demography and ethnicity information to these specific segments.  There are two major benefits of this.  First, it populates the new segments with a new rich source of variables that can add real insight into your segments for improved target marketing.  Second, it’s a cost effective approach to sizing your segments over time without losing accuracy.

3. Competitive Analysis
Analyzing the strengths and weaknesses of your major competitors is an essential component of corporate strategy. Our analysis provides a detailed and unique look into the strengths and weaknesses of your competitor’s network. We build statistical performance metrics that detail your ability to compete against them by trade area and product group. This becomes an important part of accurately measuring the performance and market potential by trade area, product group and customer segment.

4. Market Performance and Potential Metrics
Measuring performance that includes both supply and demand factors allows us to measure and compare performance seamlessly between existing and new potential sites where the market is very different. It also allows us to build market potential models that rank opportunities at a detailed and actionable level for more effective capital decisions and reduced business risk.  We measure market share, market penetration and market potential by trade area, product group and customer profile.

5. Market optimization and new site selection
Market OptimizationOne of the most difficult questions in business analytics centers around optimal resource allocation.  How do you ensure that you’re going after the best opportunity as opposed to opportunities that are just good.  Our market analytics are built within an optimization framework that is data driven with the ability to truly find the best opportunities.  This is in contrast to conventional trade area that require user defined trade areas.  Our process ranks the market performance and market potential opportunities for all trade areas, including existing sites and new potential sites.  Appropriate business risk analysis is included as part of the analysis.  It allow firms to optimize the number and size of facilities within a region or country and answer the global optimization questions of which sites should be closed or upgraded and where should new ones be opened?

6. Sales territory optimization
Sales force productivity is an important component of overall business profitability.  We recommend that optimal sales territories are analyzed based on their underlying retail level trade areas.  This allows ease and accuracy of aggregation and drill-down of performance and market potential metrics at various and appropriate levels within an organization.  Sales territory alignment helps ensure that a firm’s sales effort is balanced and optimized against market metrics and realistic market potential.  The following graphic shows a sample of crop protection retail level trade areas and aggregated sales territories.
Crop Protection Sales Territories

Our Advantage

Our Business – building granular understanding to find the best business growth opportunity stories
Our Delivery – discovering and sharing the best growth stories
Our Pricing Customized, flexible and staged to support client analytical needs

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