The customer catchment area is the geographical area from which a particular location draws its customer or prospects. It represents the sphere of influence of the store, sometimes called “customer gravity”, in which it is able to attracts its visitors.
Catchment area analysis to set the right catchment area is an inevitable step for any geomarketing activity; an easy job for CleverAnalytics that not only defines catchment area of your current stores, but also predicts it for your planned location(s).
The definition of a catchment area is the essential part of geo-oriented, location-based marketing and sales. Without defining the real customer catchment area for your store or network, you cannot conduct any of the following.
In practice, catchment area definition is based on one, or a combination of, the following models:
Less accurate models based only on external data:
The results of each type of definition correlates, still they differ in accuracy and important local exceptions can be found. CleverAnalytics is using the model closest to real life based on real business data . If the needed data is not available, the combination of models is used.
Customer Catchment Area is an indispensable part of various reports within CleverAnalytics. We believe that each business and its use case are different, which is why reports featuring the catchment area can be filtered by:
The default settings are based on market knowledge yet the system is flexible to meet conditions of each business case.
Catchment area mapping is largely used by the retail industry; our valued customer Česká Spořitelna, member of Erste Bank Group. is among those usages within finance and banking.
Defining the real catchment area is the first step to determining the market potential of the sales location and seeing what percentage of it is being used (=market share).
See what the impact that outer and inner competition has on the business performance of your network.