abhishreshthaa
Abhijeet S
The choice of location is crucial because of the complex decision making involved, high costs, immobility after site selection and its possible impact on the retailer strategy. The selection of store location consists of 4 steps:
a) Trading area analysis:
A Trading area is a geographical area from which a retailer draws customers. Trading areas may be delineated by using trend analysis, consumer surveys, ‘Reilly’s law of retail gravitation’ and ‘Huff’s law of shopper attraction’
b) Determining desirable location:
There are 3 basic location types to choose from:
The isolated store
The unplanned business district
The planned shopping center
c) General site for the business:
First, the specific form of isolated store is decided. Then, the general location is picked say a particular street, colony or shopping center.
d) Specific site selection:
For this purpose, factors like traffic, parking facilities, transport, attributes of the site, terms of occupancy should be considered. An overall rating is then computed for each location and site, and the best is picked.
a) Trading area analysis:
A Trading area is a geographical area from which a retailer draws customers. Trading areas may be delineated by using trend analysis, consumer surveys, ‘Reilly’s law of retail gravitation’ and ‘Huff’s law of shopper attraction’
b) Determining desirable location:
There are 3 basic location types to choose from:
The isolated store
The unplanned business district
The planned shopping center
c) General site for the business:
First, the specific form of isolated store is decided. Then, the general location is picked say a particular street, colony or shopping center.
d) Specific site selection:
For this purpose, factors like traffic, parking facilities, transport, attributes of the site, terms of occupancy should be considered. An overall rating is then computed for each location and site, and the best is picked.