Understand Searching for the “Tastiest” Location
Food innovation change very quickly, and this situation creates various kinds of needs that are not only fast but also adaptable and relevant to the existing culture, specifically in the field of food. The ability to serve great food with a good standard is the key. Besides that, there is an essential thing that business owners should be aware of; location.
Location selection is crucial; it can determine the target market (with the right demographic profile, a store can attract its ideal customer base) and the number of people who pass by the store — a busy location can also help increase brand awareness and customer engagement. Locating near similar businesses can attract consumers interested in that product or service.
Then, how can we know the “tasties” location that brings more sales? Our client needs to conduct a Pinpoint study to see the location of its store, predict how it will impact its sales, and create the following marketing strategy by identifying the potential point to locate the following outlets, understanding the potential location characteristics in terms of traffic and surrounding area, and also finding out the acceptance level toward the next outlet from people who are passing through the designated location.
To achieve research objectives, we did several phases for Pinpoint:
- Traffic Counting: collecting data on traffic around the location. The recording is carried out for 8 hours daily for vehicles and people passing around the area for two days.
- Observation: capture specific activities that occur in an area with a radius of about 3-5 kilometres from the proposed location point.
- We carried out each for 8 hours every day for each activity.
- Calculate aspects around the location, such as existing public facilities, access to the place, and other objects.
- Conduct interviews with 30 respondents (male and female aged 15 - 45 years, Upper 1, 2, Middle 1) to discover their knowledge of the location and surrounding area.
Through this study, we compare two stores/points (A & B), and we find that most people that pass through the A point come from home to the food store/restaurant (735) and use 4-wheels (34,378) more than 2-wheels (24,687), then it's crucial to find the right way to approach these 4-wheelers' potential consumers. At point A, if we focus on pedestrians, female adult (49%) with middle SES (31%) is the most potential segment. Even though, in terms of the vehicle, 2-wheels, it's easier to approach than 4-wheels, most of them are private vehicles that ride alone (63%).
It goes into B stores/points, most of the people that pass through come from home/residential to the food store/restaurant, but different things would be a potential segment of consumers to approach; use 2-wheels (35,257) more than 4-wheels. Furthermore, a female adult with middle SES is the most potential segment of a pedestrian than others. Through this condition, putting an attractive and catchy promotion in front of the store might grab more attention to stop by.
Besides the store or point, the affordable price and the taste are masterpieces! The consumer in A points mostly gets information from friends/partners (63%) and banner at the store (17%). Through this data, having more variants will be great to increase purchases. Meanwhile, for the B, 97% get information from banners at the store, and 13% cause the point near their home.
There are several recommendations that Clove Research Marketing Analytics would spread out with the issues, causes, solutions, and how to do it. The first is to create marketing communication with broadcasting or make flyers on social media, or do promote the regular social gathering packaging to grab more attention of females with middle SES at the B points. Second is doing recreated packaging that is easier to carry and safer by motorbike will be great too, incredibly pedestrian and motorbike users are the potential customers at the B points.
To gain sales, conducting promotional activities, such as buy one get one or special discounts for a specific product, also would be an excellent way to increase the purchase of the particular product. Moreover, direct promotions in front of the B points at peak hours can be carried out at 1-2 pm and 4-6 pm on weekends. Meanwhile, for weekdays from 12-1 pm and 2-3 pm. Flyers or random gives a free sample can be a consideration.
Through this case study, we will help to understand the “tastiest” location, find the issues and causes, and then bring excellent solutions and how to fulfil them. Selecting the right location for the store can have a significant impact on sales, profitability, and business success.
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