Quantzig’s Spatial Analysis Solutions Enabled to Choose Location for Clients Franchises
Originally Published on: Quantzig
Highlights of the Case Study:
Client: Quick Service Restaurant
Business Challenge: To devise a data-driven approach for identifying new site locations to augment their current selection process
Impact: Our client increased its acquisition/evaluation rate from 5% to 20% through our site selection system.
Game-Changing Solutions for Quick Service Restaurants:
Site selection is one of the most complex and long-term strategic decisions a fast food restaurant has to make. It is a multi-criteria process that involves identification, analysis, and evaluation, for the selection of the most suitable site among all choices available. QSR owners need to consider both qualitative and quantitative site selection factors during the decision-making process. These include multiple factors such as cost, utilities, location, visibility, access, competition, and the availability of support services. These factors can positively or negatively impact the first-year sales of the QSR. Thus, companies must ensure that the choice of location is scientific and backed by data.
Franchisors and franchisees in the fast-food service industry have become more focused on making informed decisions regarding the expansion plans of their fast-food restaurants to avoid potential risks and minimize losses. They devote significant time and resources to analyzing prospective sites as the success or failure of a QSR is determined by its location.
Evaluation of site-specific factors
Adoption of a location-allocation model
Development of a sales forecast model
Increase in acquisition/evaluation rate from 5% to 20%
To know the detailed solution and how it was implemented in the client’s organization. CLICK HERE
