Case Studies

Solution Based on these requirements, Calgary Co- op selected Esri Business Analyst for Desktop (Canadian Edition) in 2012. This technology was chosen in favour of competing solutions because of its user- friendly interface, ease- of- use and the robust capabilities it provides for integrating and analyzing large amounts of location- based information, including extensive data from top Canadian providers. Calgary Co- op also recognized that Esri Business Analyst for Desktop (Canadian Edition) was the most supported location- based analysis solution on the market, thanks to its extensive user community, active online forums and abundance of training and support resources. Calgary Co- op uses Esri Business Analyst for Desktop (Canadian Edition) to configure gravity models – formulas that measure the attractiveness of a store to a consumer – using site characteristics, competitor information and demographic data. Using these models, Calgary Co- op performs complex analyses to gain new insights into site selection and product marketing. For example, by geo- locating members according to home address and tracking buying habits, Calgary Co- op has learned that people are willing to drive further to a store than previously thought. This, in turn, has redefined assumptions about the geographic scope of population draw when they consider a potential site. Also, Calgary Co- op is leveraging Esri Business Analyst for Desktop (Canadian Edition) to develop ethnic food marketing programs tailored for individual stores, which are selected based on a heat map analysis that identifies concentrations of ethnic backgrounds in specific areas of the city. Calgary Co- op mitigates site selection risk and identifies new opportunities | Esri Canada 2 Benefits Esri Business Analyst for Desktop (Canadian Edition) has improved Calgary Co- op's ability to vet the location of future stores in a more reliable, systematic way. Its predictive power to mitigate risk was confirmed in sales estimate tests conducted on underperforming stores whose sites were selected before Calgary Co- op began using current Esri technology. The tests accurately projected the substandard sales of some stores. In 2014, Calgary Co- op performed sales estimates using Esri Business Analyst for Desktop (Canadian Edition) for approximately 250 sites, a significant increase compared to previous years. In the span of 4- 5 hours, a real estate analyst can generate an in- depth site analysis. This means that if an opportunity to purchase a new site location arises, Calgary Co- op can quickly understand how much it should potentially pay for a property based on predicted sales – giving the co- operative an important competitive advantage. The solution's ability to integrate membership and geodemographic data has helped Calgary Co- op better understand its membership and their needs. This has allowed Calgary Co- op to develop an ethnic food marketing program that is better aligned with the changing demographics in specific areas of the city and also offers the potential to increase store revenues. Also, by visualizing results on an interactive map, the solution helps senior executives, board members and operations team members conceptualize a real estate or sales and marketing analysis during strategic presentations. " Esri's technology has helped us sharpen our location analysis capabilities, particularly for the analysis and expansion of certain lines of business such as international foods. Calgary Co- op's executive and board are excited by the opportunities the solution offers." Doug Stone VP of Facilities Development and Real Estate, Calgary Co- op " Esri Business Analyst for Desktop (Canadian Edition) allows us to mitigate risk more effectively by bringing more consistency to our analyses." Keenan Viney Real Estate Analyst, Calgary Co- op Map depicting Calgary Co- op members symbolized to reflect which store they frequent in combination with a drive time trade area (marked in yellow). This analysis helps the co- operative determine the average market share of each store. Above, a gravity model of the City of Calgary shows Calgary Co- op's market penetration (red, orange, yellow) compared to competitors (blue, purple, teal).

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