Consumer Research with CBRE Calibrate
In today's retail landscape, it's important to understand how consumers behave and where they're going. CBRE Calibrate is a revolutionary tool that addresses these issues through data from 100 million mobile phone users across Europe. This tool provides insights into actual consumer movements near points of sale, enabling retailers, investors, and other stakeholders to make better decisions about their strategy.**
Analysis of the actual pedestrian flows
CBRE Calibrate is a revolutionary tool that is changing the way we analyze market potential. Calibrate uses data from 100 million mobile phone users across Europe with a geographical precision of 5 meters, and goes back in time. Instead of formulating theoretical hypotheses about consumer behaviour, CBRE Calibrate measures actual consumer movements in the vicinity of a particular point of sale.
The raw data collected by CBRE Calibrate** initially appear to be just a bunch of XY coordinates on a map. However, its true power lies in its ability to turn this data into actionable insights, movement patterns, and location correlations. By converting thousands of individual (anonymous) smartphone signals into pedestrian flows, density analysis, place of residence, consumer profile and visitor journey, the CBRE Research team can use CBRE Calibrate to draw meaningful conclusions about the market potential of certain locations.
By understanding the key characteristics of consumer flows, such as origin, destination, frequency and time of day, CBRE Calibrate can identify relevant consumption patterns and provide advanced location analysis across its own or competitor's outlets. It provides insights on existing and future locations for retailers, investors, hotels, cities and municipalities, hospitality, shopping centers and other sectors.
Density analysis
CBRE measures the number of smartphone signals within a given zone or perimeter. Based on this data, estimates can be made (via calibration) about the actual passage, evolution over time, or the busiest times per hour or per weekday. By placing all smartphone signals on a map, density analysis can also be done. For example, it can be found where the busiest part of a shopping street or shopping centre is, where foreign tourists enter the city, or where employees in a certain office district go to eat during the lunch break.
Correlation and cannibalization
Correlating smartphone signals across different locations leads to insights about actual geographic reach, and whether an optimization of the store network makes sense. It is possible that some retail locations serve the same customer zone, or there are unserved zones where a new retail outlet offers sufficient added value. This can also be checked with a view to competition. Can a new store generate sufficient reach, clientele and turnover?
Consumer profiling and revenue forecasting
Because the anonymous smartphone signals can be traced back to the postcode of the place of residence, a socio-economic profile can be drawn up of the consumer potential. Based on this, sales forecasts can be tested with existing stores and extrapolated to new locations. By means of a Huff model with distance decay, the socio-economic profile of the local consumer, distance and traffic, the competition and the possible cannibalization of the own network are taken into account.
Visitor journey
In case of multiple observations of the same (anonymous) smartphone signal, the visitor journey can be drawn up within the city or shopping center. This can help reconfigure the mall, increase on-site dwelling time, or optimize the consumer experience.
More information about CBRE Calibrate and the CBRE Research team
For more information about CBRE Calibrate, please contact the Market Research and Location Analysis team.
Conclusion
CBRE Calibrate offers a unique combination of data and analytical capabilities to understand the market potential of particular locations. By understanding the important characteristics of consumer flows, such as origin, destination, frequency, and time of day, CBRE Calibrate can identify relevant consumption patterns and provide advanced location analysis. These insights can be used to optimize existing and future locations for retailers, investors, hotels, cities and municipalities, hospitality, shopping centers and other sectors. With CBRE Calibrate, stakeholders can make better decisions and adjust their strategy to maximize market potential.
