mapinfomag_spring200..

Distribution of Candidate Points—Tucson Area
Spreadsheet containing Site identifiers and
key demographic and socioeconomic factors
These weights sum to 100 in absolute
value, can be positive or negative,
and are allocated across the selected
factors. For example, a high average
household income may be allocated
15 points and be positive, indicating
that the presence of high income in
and around the neighborhood is good.
On the other hand, locating close to
competitors may be negative and not
desirable and be allocated 12 points.
After all the required information is
collected and an agreement is set in
determining final factors to be used
in the analysis, the data processing
takes place. A standardization of the
data eliminates differences among
factors due to different units of
measurement (e.g., number of people
vs. dollars spent). Once the data are
all represented in the same scale, the
selected weighting scheme is applied.
The last step is the calculation of the
final score by adding the weighted
factor scores obtained for every
potential neighborhood. There is some
flexibility with the final score; users
may try different weighting schemes
and check corresponding results.
The results of a site screening
model are usually
expressed through two
different but complementary
types of output—
a spreadsheet and a map.
The spreadsheet contains
a neighborhood point
identifier, the raw and
standardized data for
the neighborhoods and
the final score obtained
through the analysis
(see spreadsheet on left).
The table is sorted on the
score column in descending
order with the best
matching areas at the top.
These are the neighborhoods
that should be
investigated further as
potential new locations
for the business.
The map adds a spatial
dimension to the results,
showing where the most
attractive areas (and the
unattractive areas) are.
Some areas are too close
to be considered separated,
and it is common to use a smoothing
algorithm to merge some of the
closest areas to be considered as one.
The map shows every neighborhood
point in one of five colors or shading
according to the score obtained in the
analysis (see map on page 20). The
map shows not only the most attractive
areas, but also their spatial context
and gives direction where to look for a
specific site in a more informed way.
Whether in the financial, retail,
manufacturing or communications
industry, there is still a requirement
to have an established network of
locations to offer services. In looking
to making an informed decision,
a site screening model can help
businesses focus their attention to
the main issues of new locations:
Who are my customers? What types
of areas must I consider? What
factors contribute to a successful
store and how important are they?
With MapInfo Canada’s data
modeling knowledge and MapInfo
software, these location questions
can be intelligently considered.
Felipe Calderon is senior research
analyst and Danny Heuman is director,
custom research with MapInfo Canada.
I N D U S T R Y F O C U S :
DATA
By Jon Winslow
A Wicked Cool Bonus—
2000 Census Data
When the U.S. Census Bureau started
releasing its 2000 data it was a delight to
marketers around the country. The 2000
Census data provides an intimate look at
population swings, demographic groups,
regional migrations and changing family
structures, helping marketers to better
target customers, perform market analysis
and pinpoint new site locations.
Companies use the Census to track today’s
most carefully watched trends and forecast
tomorrow’s. A few years ago, everyone was
asking about senior citizens and looking to
design health-care programs and assistedliving
facilities. Now, the focus has shifted
to requests about well-to-do teenagers.
Today’s teenagers are wealthier than any
teenage group in the history of the country.
Every business has a special niche, a specific
age, economic or ethnic segment of the
population that it is especially interested
in locating. It is not just the Fortune 1000
companies, it is Internet start-ups, real
estate developers, and anyone marketing
to consumers using Census information to
enhance its market and customer analysis.
The 2000 Census data enables MapInfo
to validate estimates and set a base line
for future analysis. MapInfo ® TargetPro ® v3.6
is the first MapInfo solution to utilize input
from the newly released Census data, further
enhancing this powerful market analysis
and demographic segmentation solution.
MapInfo adds tremendous value to the Census
data through annual updates, the creation
of additional modeled databases and the
integration of data into MapInfo’s powerful,
easy-to-use solutions—ultimately helping marketing
professionals to make critical business
decisions. MapInfo’s ability to clarify and
interpret the data and supplement it with
additional demographic information enables
our customers to easily identify market trends,
reach target markets and provides them
with an important competitive advantage.
MapInfo’s release of TargetPro v3.6 this
Spring contains demographic estimates and
projections on items such as population,
households, median income and age,
which are influenced by the Census 2000
information. This data packaged with a
variety of other Census-based marketing
databases provides a robust market and
customer analysis solution for marketing
organizations around the world.
Jon Winslow is market director of CRM
with MapInfo Corporation.
SPRING 2001 MAPINFO MAGAZINE
www.mapinfo.com/magazine
21