How to Read a Retail Market Power Report in SPOTLIGHT

The Retail Market Power report can be used as a way to understand supply and demand in a trade area by presenting what is known as a gap analysis. RMP reports are divided into multiple reports, with both gap and growth reports by both merchandise line items and retail store types. A retail opportunity gap appears when expenditure levels for a specific geography are higher than the corresponding retail sales estimates. The demand is greater than the supply (i.e., a positive number). A retail surplus appears when expenditures are lower than the retail sales estimates. In this case, local retailers are attracting expenditures from other areas into their stores and the demand is less than supply (i.e., a negative number). RMP estimates demand in an area for all expenditures from both businesses and households.

Powered by Zendesk