CASE STUDY

Site Selection Data Modeling Uncovers $2.7B Market Opportunity for Supermarket

Challenge

A global supermarket retailer lacked insight into its existing customer base, hampering its ability to identify new market opportunities. The company needed help to analyze customer data to predict the viability of new locations and identify market sites for profitable expansion.

Approach

The SSA & Company team worked to gather various information about the customer base including geocoding 7.5 million existing customer addresses to create a better understanding of the existing customer base and identify areas for potential targeted marketing campaigns, processing satellite and digital imagery using algorithms to classify commercial versus residential areas and estimate population and demographics at a block-by-block level, and leveraging web-scraping to gather every listed apartment/house price in the target country together with their sizes to serve as a proxy for localized income. The team created dashboard summaries for each prospective location and shared them with the Investment Committee and Board for capital allocation approval.

Results

$2.7B

Identified locations to launch new stores forecasted to generate $2.7B in annual revenue

3 Year

Developed 3-year store forecasts (updated over time) to identify operational weaknesses and coach store managers before earnings were materially at risk

Results

$2.7B

Identified locations to launch new stores forecasted to generate $2.7B in annual revenue

3 Year

Developed 3-year store forecasts (updated over time) to identify operational weaknesses and coach store managers before earnings were materially at risk

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