1. Tools for Building Your Retail Base University Park, IL

2. 2 Who is ? Customer analytics firm specializing in retail site selection Over 450 years of retail and economic development experience Analyzed every type of retail, restaurant and service concept Billions of square feet of analysis in 2005 Over 1,200 clients, including retailers, restaurants, developers and communities We Speak Retail!

3. 3 What is Community ID ? Retailer Matching Matches the specific retail and restaurant concepts to the buying habits and lifestyles of the consumers living in your trade area Unique Program Is the only program of its kind that can factually identify exactly which concepts should be in your community Identifies spending habits at the Household level

4. 4 Where is Community ID ? Community ID Present Over 200 Public Sector clients nationwide

5. Traditional Retail Recruitment

6. 6 Traditional Trade Areas 8 Mile Ring Households15,715 Retail Potential$750 million Restaurant Sales$64 million Automobile Sales 4,522 vehicles

7. 7 Age Sex Race Income Demographic Methodology Traditionally, locations were selected based on:

8. Step 1: Define the Trade Area

9. 9 Retailers Locate Near Customers Shortest route is calculated in minutes for each customer 1 Min 2 Min 3 Min 4 Min Customers think in terms of time and convenience… they “think” drive time.

10. 10 Drive Time Trade Area Variable: 8 Mile Ring 15 Minute Drive Time Households15,71525,583 Retail Potential$750 million$1 billion Restaurant Sales$64 million$100 million Automobile Sales 4,522 vehicles 6,968 vehicles Ring vs. Drive Time

11. Step 2: Identify Your Customers

12. 12 Now, customers can be identified based on: Lifestyles Purchase behavior Media habits Psychographics, not Demographics It’s Customers, not People

13. 13 In-house data on over 119 million households Customer Data 27 terabytes of data, managed in-house

14. 14 Information Gathering Segmentation Credit Cards Reward Cards Subscriptions Mail Order Warranty Cards Motor Vehicle Information Telechecks

15. 15 Segmentation All U.S. households are grouped into 1 of 66 segments based on demographics and psychographics

16. 16 Middle-aged parents with numerous children Own spacious, suburban/rural home Upper-middle-class income Buy new computers and home theater systems Enjoy camping, boating and fishing Segment 20 Fast-Track Families Psychographics Focus on: Customer Lifestyles Media Habits Lifestyles

17. 17 Psychographics Focus on: Customer Lifestyles Media Habits Purchasing Behaviors Purchase Behaviors Segment 20 Fast-Track Families

18. Step 3: Match Customers to Retailers

19. 19 Dominant Segments Trade Area These five dominant segments represent 60 percent of all households in the trade area

20. 20 Dominant Segments Trade Area Matches Retailer Trade Area Comparison Applebee’s Average Trade Area Anytown, USA Site Trade Area Total Population 63,97571,483 Total Households 25,219 25,583 Applebee’s Dominant Segment Count 13,20515,350

21. 21 Dominant Segments Trade Area Does Not Match Retailer Trade Area Comparison AutoZone Average Trade Area Anytown, USA Site Trade Area Total Population 63,26071,483 Total Households 22,269 25,583 AutoZone Dominant Segment Count 9,5955,361

22. 22 Trade Area “A” Remember: Customers, Not People Trade Area “B” Total households Ben & Jerry’s Customer Count: 14,672Ben & Jerry’s Customer Count: 14,396 Customers Total Households: 25,982 Total Households: 109,930

23. Deliverables

24. 24 CommunityID – Deliverables Profile up to three (3) retail sites within the community o Determine drive-time trade areas o Establish total household psychographic profiles o Provide complete demographic reports o Retail trade potential – consumables to hard goods

25. 25 CommunityID – Deliverables “Match” your trade area to over 4,500 retailers Identify all retail/restaurant concepts that are effective match. Factors analyzed in this process to include: o Cannibalization of existing locations o Competition within the marketplace o Expansion/growth plans of each retailers Provide marketing materials for up to twenty (20) selected retailers Buxton will contact each selected retailer on your behalf

26. 26 Retail Match Report Speak the Retailer’s Language

27. 27 Summary Differentiate your community’s retail recruitment approach Stop leakage of sales tax dollars and satisfy your citizens to shop at home Sell your trade area, not your community Be proactive in your community’s economic future

28. 28 Identifying Customers

29. 29