The document analyzes the trade areas of shopping malls in East Massachusetts using geodemographic classification, focusing on the Meadow Glen Mall and comparing it to the Watertown Mall. It evaluates trade areas through three methods: circular buffer, driving time zone, and proximity zones, concluding that the driving time method offers the most balanced results. The analysis highlights differences in demographics and trade area sizes, emphasizing how driving time can significantly impact trading zones depending on time and day.

1. Stas Sushkov Shopping Mall Trade Area Analysis (Applying East Massachusetts Geodemographic Classification)

2. Objectives Analyse and compare trade area of the shopping malls located in East Massachusetts applying clusters of geodemographic classification Evaluate trade areas using three types of area selection (definition) approaches

3. Analyzing Mall Trade Area Using East Massachusetts Geodemographic Classification Geodemographic classification covers East Massachusetts area (9 counties) with 5.1 million population and consists of 5 clusters. Map can be easily accessed there .

4. Mall Trade Area Analysis 3 ways to define Circular buffer – trade area is defined by the geographic distance from the store Driving time zone – trade area is defined by travel time by car to the store Proximity zones – catchment profile gives importance to zones nearest to the store Source: adapted from Harris et al . 2005 Trade area - geographic region from which one can expect the primary demand for a specific product or service provided at a fixed location (answers.com)

5. 3 Types of Trade Area Definition Of Meadow Glen Mall , Medford, MA 5 mile radius buffer from the mall B C A B) 20 min driving time zone to the mall at peak hours C) Catchment area consists of 3 zones of proximity t o the store: 1.5, 3 and 5 mile zones. Zones are given different weights relative to the distance from the store

6. Trade area characteristics 5 mile radius Index = 100 corresponds to the East Massachusetts mean. Index value from 0 to 99 is below average while index value greater than 100 is above average. Meadow Glen Mall 5 mile radius East Massachusetts Index Common City Dwellers 32.5 24.4 133 City Strugglers 15.9 14.3 111 Wealthy Suburbs 12.7 24.0 53 Downtown Res. and University Students 34.9 7.3 480 Suburban Middle Class 3.8 29.9 13

7. Trade area characteristics 20 min driving time zone Meadow Glen Mall 20 min peak driv. time zone East Massachusetts Index Common City Dwellers 34.4 24.4 141 City Strugglers 19.3 14.3 135 Wealthy Suburbs 7.4 24.0 31 Downtown Res. and University Students 35.3 7.3 485 Suburban Middle Class 3.4 29.9 11

8. Trade area characteristics Zones of proximity 7 29.9 2.2 Suburban Middle Class 413 7.3 30.0 Downtown Res. and University Students 24 24.0 5.8 Wealthy Suburbs 85 14.3 12.2 City Strugglers 203 24.4 49.6 Common City Dwellers Index East Massachusetts Meadow Glen Mall 3zones of proximity

9. 3 Types of Trade Area Definition Results Comparison Results comparison of different types of trade area definition The table shows that in our case all three approaches of trade area definition give almost similar results. Driving time method shows the closest to the average from all three approaches. This approach can be considered more balanced than others. 13 480 53 111 133 5 mile radius Index 11 485 31 135 141 20 min peak driv. time zone Index 3 zones of proximity Index Common City Dwellers 203 City Strugglers 85 Wealthy Suburbs 24 Downtown Res. and University Students 413 Suburban Middle Class 7

10. 2 Malls Trade Areas Comparison Geodemographic classification allows to compare trade areas of two or more malls and shopping centers. Both malls are located in Greater Boston area and have pretty similar square footage (around 300,000 sq ft). The Meadow Glen Mall trade area compared to the Watertown Mall trade area Meadow Glen Mall Watertown Mall

11. 2 Malls Trade Areas Comparison Trade areas are measured as 20 minutes driving time at peak hours. Meadow Glen Mall has the greater trade area because of its closer location to highways and arterial roads. Perhaps application of two other trade area evaluation methods would not show the difference in sizes of these malls trade areas. Meadow Glen Mall Watertown Mall Driving time method is the most suitable one for the comparison of retailers’ trade areas!

12. 2 Malls Trade Areas Comparison 3 11 Suburban Middle Class 641 , 934 355 , 443 Tot. Population Meadow Glen Mall 20 min peak driv. time zone index Watertown Mall 20 min peak driv. time zone index Common City Dwellers 141 88 City Strugglers 135 43 Wealthy Suburbs 31 48 Downtown Res. and University Students 485 815 Medium household income ($) 55 , 772 46 , 749

13. Driving Time at Peak Time or Off Peak Dedham Mall 20 min driving time area at peak time Dedham Mall 20 min driving time area at weekend, off peak time 20 min driving time zone calculated for weekends covers much greater area than 20 min driving zone calculated for peak hours. Thus, profiles of these two areas for the same mall significantly differ! But trade areas defined by the driving time approach differ depending on time of the day and week.

14. Driving Time at Peak Time or Off Peak 32 24 Suburban Middle Class 144 , 912 1 , 853 , 474 Tot. Population Dedham Mall 20 min peak driv. time zone index Dedham 20 min driv. time w eekend zone index Common City Dwellers 130 161 City Strugglers 150 94 Wealthy Suburbs 89 147 Downtown Res. and University Students 253 32 Medium household income ($) 54 , 896 61 , 824