Retail doesn’t rest, consumer habits are shifting, competition is fierce, and what worked a few years ago may not work tomorrow. In this environment, growth isn’t just about adding more stores. It’s about knowing where to focus your efforts. And that’s where geospatial data and location intelligence come into play.
By combining retail data with mapping technologies, businesses can now uncover previously hidden insights about their customers, competitors, and untapped potential. With tools like the Area Prioritisation Engine from Ikano Insight, this process is faster, clearer, and more profitable for retailers ready to grow smarter, not just bigger.
Finding the gaps: How to start market gap analysis
Market gap analysis begins by understanding your current footprint compared to the demand that exists in the real world. Here’s how to get started:
- Map current store locations vs demand zones: Using advanced location analytics to overlay demographic and consumer spend data, plot where your stores are on a map. Then overlay that with demographic and consumer spend data. You’ll start to see which areas are over- or under-served.
- Analyse online spend vs in-store activity: High online orders in a particular region could signal strong local interest, even without a physical store. This is a key clue for retail site selection.
- Layer in socioeconomic data: Use geographic data for business growth by combining population density, income levels, and typical spending habits through detailed customer profiling and segmentation tools. This reveals pockets of high potential you might be missing.
- Add your competitors to the map: With competitor analysis in geospatial tools, you can identify saturation points or uncover white space your rivals haven’t tapped into yet.
This combination of layers is what transforms static maps into actionable retail opportunity mapping.
Competitor presence & demand gaps
With your geospatial map built, you can now zero in on strategic decisions.
- Avoid cannibalisation: If you already have strong coverage in an area, another store could just split the pie, not grow it.
- Map underserved areas: With tools for mapping underserved areas, you can find promising regions your brand hasn’t reached yet.
- Competitor imbalance: Some brands might be over-invested in one zone and absent in others. That opens the door for you to step in.
- Online-heavy areas: Sometimes, the best move isn’t a store at all. If spend is high online, a focused digital campaign might yield better ROI.
This is using geospatial data to find new markets in action, by seeing clearly where your next move should be.
Forecasting the future: Predictive demand modelling
Where demand is today doesn’t guarantee where it will be tomorrow. With geospatial market analysis, you can begin to forecast shifts before they happen. Geospatial analytics taps into:
- Historical sales and customer behaviour data
- Infrastructure updates (like new roads, transit links, or housing developments)
- Population migration patterns
With this, you can see:
- Where your current high performers might plateau
- Where a new development could spark future footfall
- Where digital demand might grow faster than bricks-and-mortar
It’s location intelligence for retail that puts you ahead of the curve.
Smarter retail expansion strategy with location data
Whether you’re opening new sites or planning a campaign with effective location planning strategies, data-led decisions trump gut feel. Here’s how geospatial insight informs a better retail expansion strategy:
- Rank opportunities by ROI potential: Focus on areas with the strongest demand, fewest competitors, and ideal demographics.
- Validate investment proposals: Use data to back up board or investor pitches with confidence.
- Avoid expensive mis-steps: No more guessing. Let the numbers show you where your next win lies.
This is the new standard for retail site selection: precise, contextual, and mapped in real time.
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Why Ikano Insight’s area prioritisation engine stands out
The Area Prioritisation Engine is designed specifically for retail decision-makers. It’s not just a map, it’s a dynamic business tool that makes sense of multiple data streams. What it brings to the table:
- Data integration: Combines sales, loyalty programme, mobility, and 3rd-party demographic data.
- Opportunity modelling: Uses advanced value modelling techniques to predict category spend and compare it to actual sales.
- Interactive dashboard: Visually highlights where untapped revenue potential lies.
- Action-ready insights: Designed to give marketing, property, and investment teams a shared view of priorities.
It’s ideal for identifying retail opportunities whether you’re planning a pop-up, rethinking a flagship store, or launching a localised campaign.
Go from guesswork to growth
Retailers today don’t just need more data, they need better decisions. And using geospatial data correctly turns messy spreadsheets into laser-focused action plans.
With the Area Prioritisation Engine, you’re no longer relying on old reports or instincts. You can clearly see where to grow, where to pause, and where to double down. That’s the power of geospatial data when it’s tailored for retail. And that’s what Ikano Insight delivers.
Ready to pinpoint your next opportunity? Let’s map it together.
Written by Matt Craddock
Global Head of Data & Analytics
Matt is a data science leader with expertise in heading up global teams that deliver game-changing solutions. He’s passionate about solving real-world problems with data-driven decisions, and combines hands-on technical skill with commercial insight to help businesses translate complex data into impactful outcomes.
