“GEOMATRIX, is now available and operational in Israel since June 29, 2017.”

Press Release, Moscow, 10/07/2017: RILOS announced the launch of Geomatrix, an online SaaS predictive analytics solution for the retail industry in Tel Aviv, Israel.

The choice of the location of a new store in Tel Aviv is one of the most important decisions that a retail company must take, based on rental / construction costs, and on potential number of customers and turnover.

Mostly used by the majority of retailers, is the integration of latest official statistics at the lowest administrative level, for Israel – Central Bureau of Statistics, 2015. For instance, in Tel Aviv, the city is divided in 115 administrative areas, as you can see on the map.

The most promising areas with a high population density will be District 113, where you could find 10 139 potential customers.

Apart from using only official statistics data for one’s expansion process, we will present two approaches to analyze a new store potential location that can benefit your business in today’s fast-growing city of Tel Aviv.

1. The Accessibility Area analysis – a Market size analysis.

In the example, Israil, one of the leading food retailer wanted to find out the best places for a new outlet, which they planned to open in the new areas in Tel Aviv. We compared their current locations, and then integrated demographic data, median household incomes, average salaries and accessibility data within a 15 minutes area by foot.

Accessibility area report on foot at location Ben Yehuda St 7, Tel Aviv Yafo, Israel

As a result there were two suitable areas, which can be compared by the number of permanent population, by the presence of possible competitors and the expected annual turnover, which will eventually allow choosing the best potential location in few seconds to open a new outlet.

Finally we would recommend them to choose between those two locations the one at Ben Yehuda St. 7. Despite the greater number of competitors compared to location Brodetski St 43, this zone wins by the number of potential customers.

It should be noted that the most common mistake in choosing a method of estimating a sales point is to estimate only one location. After all, the ultimate goal of all, even the most complex techniques, is to identify from several different proposals the best object, which has the maximum potential.

Accessibility area report on foot at location Brodetski St 43, Tel Aviv Yafo, Israel

Accessibility area studies show very pertinent results in order to screen, rank, and select best options between several potential locations. Nevertheless, when arises the need to determinate the potential traffic and turnover of a retail outlet, more robust analytics should be used, such as catchment area analysis.

2.The Catchment Area analysis – commercial conception efficiency analysis.

The zone graphically displays the territory within which you can reach the estimated location for a fixed time, taking into account the traffic jams and the road graph. You immediately see if you can get to the location on foot from the subway, or get by car at rush hour. The system will estimate the number of people permanently residing in this zone and the number of potential customers between them.

Catchment area report at location HaYarkon St 3, Tel Aviv­Yafo, Israel

All food stores are divided into three status: existing, under construction and projected. This allows us to see not only the current situation when assessing new objects, but also to predict the future. What’s more the system can be customized to your format and vision of the market.

The system allows you to combine on one map data on the density of the permanent population with information about the location of shopping centers and their size. Even without creating additional reports, this makes it much easier to assess the location of objects.

Finally the assessment of project’s potential with the help of gravitational model allows you to get an accurate estimate of the effectiveness of location in relation to competitors and the forecast of potential turnover and attendance of supermarkets, hypermarkets, shopping centers.

3.Discover the video

4.Solution Benefits

Stop loosing you time, assess the location of competitors’ outlets and the distribution of population density in the city, in the region or across the country and benefit from GEOMATRIX:

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