Feasibility Study for New Store

Assessing the potential of the area and understanding the attractiveness of a new store.

Our Client

Client is a retail giant offering lifestyle products, supermarket and gold jewellery. A strong player in Tamil Nadu, spreading their presence in Kerala and Karnataka. Client had their first store open in Bangalore in 2018 and second store in 2023. Client would like to open a new store in the "All under one roof" concept in Bangalore.

Challenge

The multi-faceted culture of Bangalore residents is the key challenge. A city which has a mix of traditional consumers who prefer traditional stores, modern consumers who prefer malls, and a huge proportion of people who prefer buying online. Client is concerned whether the concept "All under one roof" will work in a city like Bangalore. Additionally, the proposed area is in the outer part of the city.

Objectives

• Detailed understanding of the area — kind of area/profile of people living there
• Complete understanding of competitors & shopping areas in the catchment area
• Understand the appeal of the concept among consumers

Methodology

We proposed a two-step research process:

1. Complete scan of the area using GapMap tool, confirmed via physical visits

2. Face-to-face interviews among consumers to understand their lifestyle & shopping habits and the appeal of the concept

Key Results & Benefits

• Complete understanding of the area — population spread and demographics & affluence level
• Studied all 3 types of market areas: local/hawkers market, traditional stores, and modern retail outlets
• GapMap provided the concentration of modern retail stores in the catchment area — kind of stores, count, and footfall data
• Consumer interviews threw light on shopping habits, likes & problems they face while visiting malls
• Broad understanding of awareness and visits to competition stores in Bangalore
• The study showed huge potential for the store concept and high willingness from consumers to visit

Impact

The research helped the client in reassuring their decision of property and the concept of the new store — "All under one roof".