Customer Research UK, Empty Shops, Footfall Growth, Retail Property Consulting UK, Retail Property Due Diligence UK, Retail Property Investment UK, Retail property research UK, Retailer Viability UK

1. www.fspretail.co.uk
FSP builds unique
customer insight
Turnover Estimates
A database of over 14,000 retailers and
benchmark research inform FSP retailer
turnover estimates. FSP consultants each
have extensive experience of retail
operations, giving FSP unique insight to
estimating individual shop sales. A robust
turnover estimate can be used to support
leasing negotiations, establish likely rental
income from turnover related leases and
benchmark store performance.
Sustainable Rents
Thorough analysis of retailer performance
and company accounts inform FSP
estimates of sustainable rents for individual
retail shops. Units with unsustainable rent
are identified and the reasons for the
shortfall assessed and quantified. Early
identification of problem retailers enables
Asset Managers to manage risk proactively
and reduce loss of rental income.
Business Viability
The Government BIS Wealth Creation
Efficiency Index evaluates business viability.
This measure has proved a robust tool for
predicting retailer failure (90% of retailers
that went into administration in the last
year were deemed Very Worrying by this
measure). Using company data alongside
the sustainable rent analysis for individual
units, FSP can produce a Financial Risk
Matrix to identify at a glance the key issues
within a shopping centre/retail park.
Market Opportunities
Detailed shop audits by merchandise
category establish the retail supply in
a location. When combined with
shopper spend data, both market
shares (benchmarked to assess relative
performance) and realistic market gaps
can be estimated. FSP’s unique consumer
segmentation system (FISH) allocates the
market to consumer types to further refine
the gaps in retail provision
Retailer Fit
Successful retail locations are those that
offer a retail mix to match shopper needs
and aspirations. Once the market gap has
been identified and quantified by FISH
segmentation FSP will produce a tenant
mix strategy and list of appropriate target
retailers that ‘fit’ the location. The BIS
information is used to ensure ‘Healthy’
retailers are targeted.
Market Appraisals
FSP market appraisals are individually
tailored to present the profit opportunity
of a specific location/unit to a retailer.
They include bespoke demographic and
spending information and a Profit & Loss
account. The document is a compelling,
independent assessment that provides the
retailer with much of the data needed for
the investment appraisal for their own
board reporting.
FSP information
and face-to-face
presentations have
been instrumental
in getting retailers
to consider schemes
which they would
not otherwise have
done and this has
been successfully
converted into
lettings.
Roger Fulford
Munroe K
Asset Management Ltd
“
”
FSP uses its extensive
retailer dataset and
benchmark research
to estimate retailer
turnover and
sustainable rent.
FSP monitors the
financial accounts of
over 1,500 occupiers.
Only 34% of retailers are
in a “Healthy” condition.
FSP combines a lifetime
of retailing experience
with evidence of
consumer, retailer
and town centre
opportunities.

2. Town Centre Regeneration
Retail regeneration strategies are
often based upon ‘theoretical’
capacity rather than hard evidence.
FSP combines a lifetime of retailing
experience with effective evidence of
consumer, retailer and town
performance. Opportunities are
clearly prioritised, strategies are
practical and visions based in
commercial reality.
FSP gives clear direction and uses
illustrated examples to produce
simple solutions to complicated
problems.
Benchmarking
To compare target locations with
similar destinations, FSP interrogates
a wide range of database
information. This enables a clearer
understanding and evaluation of
present performance and future
potential across towns and cities,
shopping centres and retail parks.
FSP output provides an evidential
basis for assessing comparative
opportunities and threats.
Retail Viability
To assess the current and future
viability of retail destinations, FSP
uses a variety of analytical tools
and techniques. Having diagnosed
present vulnerabilities and
opportunities, FSP models
scenarios for change based on
thoroughly tested and transparent
methodologies. FSP works with
owners and investors to implement
agreed strategies and strengthen
performance and asset value.
Retail Asset Benchmark
Driving higher returns from retail
assets by continuous assessment
of the key value drivers is
powered by the FSP Retail Asset
Benchmark. Using the Benchmark
to develop action plans, Retail
Asset Managers can improve the
value and protect the viability of
the asset. They can both reduce
risk and increase asset revenues
and margins.
Due Diligence
FSP carries out pre-acquisition
due diligence on retail assets, both
in-town and out-of-town. While
appreciating the time-sensitive
nature of these projects, FSP work
nevertheless remains transparent
and thorough. FSP works with
investors to identify and prioritise
key areas of retail performance
and potential and works with the
implementation team to deliver
the planned improvements.
FSP
Retail Business Consultants
20 Manor Court Yard
Hughenden Avenue
High Wycombe
Buckinghamshire HP13 5RE
Clas Ohlson
This uniquely Swedish retailer has used
FSP to understand its customers, prioritise
trading locations and to guide its
marketing, particularly the distribution of
its seasonal catalogues. Mark Gregory,
UK Managing Director commented,
“FSP’s retail experience has given
us confidence in the trading
potential of new sites, while their
clear advice on local market
strategy has had a direct impact on
sales growth.”
Junction Fund
AREA Property Partners invited FSP in
February 2009 to evaluate the retail risk
of 11 retail parks in The Junction Fund.
The final FSP report was delivered 6
weeks later. Krysto Nicolic, the Project
Manager commented,
“FSP has very helpfully set out
the trading risks and opportunities
in this investment opportunity.
AREA would be happy to work
with FSP again.”
Bournemouth
Invited to make sense of the current
retail and leisure offer in the town in
relation to its users, FSP put forward
a coherent plan of zones and retail
circuits that could be implemented
within a realistic budget framework.
Stephen Godsall of Bournemouth
Borough Council commented,
“The work gives a very clear
direction supported by persuasive
evidence. We propose to bring
forward the early recommendations
for Council action.”
About FSP – Experience and Evidence
FSP has worked with retailers and the retail property industry for 33 years, but
the combined retail experience of the four senior consultants exceeds 100 years.
This hands-on experience is supplemented by industry-leading databases, robust
consumer research and unrivalled knowledge of trading performance. Owned by
its Directors and committed to producing work of the highest possible quality,
FSP builds long-term relationships with its clients.
Telephone: +44 (0) 1494 474740
Facsimile: +44 (0) 1494 474262
email:feedback@fspretail.co.uk
www.fspretail.co.uk