Retail site selection is largely guided by data. If commercial businesses believe a community can support their operations, they will invest in it.
Data drives decisions.
Big box retailers: the Best Buys, Targets, Home Depots, Wal-Marts, Whole Foods of the world depend heavily on community data to make their decisions of whether or not to open in a community.
The same is true for large-chain restaurants: McDonald's, Burger King, Steak n' Shake, Applebee's, etc.
The logic is simple: if a business believes a community or a site cannot profitably support its operations, it will not invest there.
Among others, typically the following site selection factors influence a business' investment decision
- Median Household Income
- Average Household Income
- Educational Attainment
- Population Density
- Average Age
- Homeownership Ratios
- Traffic Counts
- Traffic Flows
In summary, retail site selection is not simply a matter of what a community wants or what real estate is available. It is a matter of analytics and understanding customers and market potential for a location.