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Geography lecture March 14.docx

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University of Toronto St. George
Stephen Swales

Geography lecture March 14:  Use the 2006 census for assignment  Distribution of home depot patrons o Normative techniques o Distribution of consumers o Not lets move the store or the boundaries but where are they from? o Distance decay effect for the store o All the techniques have a distance component o Areas near by or empty- these distance locations are identical to other stores  Retail strategy  Near by areas that are empty, others passing intervening opportunities to get there o They ask your postal code o Distal locations may be in that area for other reasons (contract) o Empty areas- parking line, industrial, work spaces o They may use license plates- 67% came from Ontario… o Why is postal code not a big issue- not precise house, but street  Postal code not full address, unique to that location  For full address you need full information  Postal code is also fast! Long address…  Postal code also accurate enough o Postal code traditional way to get information o What’s the goal? o What’s the method and why? o Loyalty cards or affinity cards- points; they get your info and know your purchases  This information is very important to them  Dippers and beer; men buy both usually at the supermarket; the psychology is interesting (text)  Useful as potentially you could arrange the store more effectively- separate these items for intervening opportunity o Debit cards- the information is only between you and the bank o No data by cash!!! o Video rentals you couldn’t leave with the product unless they knew all your info o Air miles- all the data together of where you have been; gives a good profile  Your info for the card; ask survey questions (optional) but ask about things related to market composition o The data is unknown or less cared by us o We often have cards like “president’s choice credit card”; they get your debt o They are looking for data that can tell them key points- like where can we find similar neighborhoods; here we can do well o Market penetration:  What proportion of the residents/households in a given area actually shop at the subject store or center? These approaches are based on early work of applebaum, differ from the normative approaches such as Huff and Theissen because they measure the actual performance (penetration) of the store rather than suggest “what should be” given certain assumptions. Labor incentives? Expensive?  To apply: data on costumers who actually use the stores from sp
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