Market Research Series: Location, Location, Location – Demand-Driven Market Identification

SA-1171_Location400

Oct 12, 2016 | Market Research

When it comes to opening a new community, you can have the most exceptional staff, stunning apartments, luxury amenities – and all of this at an affordable rate – but if you chose to root your business in a bad location, you’re doomed to fail regardless.

Throughout our market research series, we’ve taken a look at the various ways market research can help you as you start, expand or change your business. If you’re looking to start a brand new community in an untapped market, however, market research is about to become your new best friend.

“When done well, market research can reveal the upsides and downsides of putting your business in a particular location, both on a macro and micro level,” says Malissa Illiano, Senior Consultant & Director of Market Research at SageAge Strategies. “Opening a brand new community is a huge investment in time and energy, not to mention money and resources. That’s why it’s important to know you’re putting your community in the right place before you move any further along in the process.”

Before we explore what market research can tell you about where your community should be located, let’s talk about why location is so important in the first place!

Why Location Matters so Much

There’s a reason we’re all familiar with the phrase, “Location, location, location!” It matters! Not just for your prospective residents, but for you, the one who chooses where to put your community in the first place. Why? Well…

  • You need to be close to your target market. Sometimes, finding a location in a city you’re interested in developing in is easier said than done. When picking a location, it’s essential that you find one in the area of a city that is highly concentrated with your target audience/market. Depending on the market, moving to “the other side of the city” might not be appealing and you will need to rely on attracting primarily those seniors that live closer to your location.
  • You need to be accessible. We’ll talk about determining demand for your product in a moment, but before you consider that, consider the accessibility needs at your community. For most communities, having a location that is highly visible and accessible is extremely important.
  • You need to know your competition. Putting down roots in a community means entering into an already-existing space, a space that might have competitors. Your location – both in a macro sense of the larger community you chose to plant roots and in a micro sense of the proximity to your competition – plays a huge role in what segment of the market you’ll be able to tap into, and what segments will be more likely to go to your competitors.

What Market Research Can Tell Us

  • If this location fits with your brand and image. If you’re a new community with no previous locations or image to uphold, no worries here! But if you have a specific brand and image that is already “out there,” you need to make sure your chosen location is congruent with the image you want to portray.

  • How safe your potential location is. Safety is a huge concern in the senior living industry. Market research can reveal information on emergency services, crime rates, response rates and other related data that can give you deeper insight into the nature of a community.

  • Local labor availability. Running a community requires the efforts of a lot of people. Does the location you’re looking at have the skilled talent – especially skilled medical talent – you need to staff your community? Market research can figure it out for you!

  • What future growth opportunities might be available. If you have long-term goals for your community that include a possible expansion, market research can give insight into whether or not your chosen location has the ability to support your desired growth.

  • Who your competition is. As mentioned, evaluating the competition is a huge part of choosing a potential location. And, just because a location may not appear to have any direct competition, does not mean that’s an ideal spot for your business. Market research can reveal the successes and failures of similar communities, and how market growth or lack thereof could either support or thwart your future plans.

  • If you can afford the cost of marketing and advertising. “Build it and they will come” doesn’t really work when it comes to a well-thought-out marketing plan. You need to advertise in order to get the word out, and different communities have different costs and availability when it comes to advertising. Market research can reveal what costs you might expect to incur when marketing your new community.

Location, for many, is the single most important consideration when it comes to opening a new business. Market research can help you ensure you’re setting yourself up for success in your new neighborhood.

SageAge Strategies is a multiple award-winning, strategic growth and marketing organization that can provide market research expertise for your community. For more information, please call or email Malissa Illiano at 717-695-6740 / [email protected].

Contact us today!

Where Should I Advertise to Seniors and Baby Boomers?

Marketing and advertising to seniors and Baby Boomers doesn’t need to be difficult. We’re here to help.

Senior Living Social Media 101

There’s a lot to know about senior living social media. From choosing a community’s social media platforms to implementing content marketing strategies and more, it can feel overwhelming to even the most seasoned social media gurus. What’s more, according to the Pew...

How To Develop a Senior Living Marketing Plan

What Is a Senior Living Marketing Plan? A marketing plan is also regarded as an advertising strategy that a company, in this case a retirement community, will implement to help them achieve (or exceed) their operational goals and marketing initiatives for a set period...

40 Years and 40 Pieces of Sage Advice

2023 has been a year full of new ideas, growth, and planning for the future. At SageAge, 2023 brings a significant milestone for our company – our 40th anniversary. In honor of our 40 years of delivering strategic marketing and business growth strategies to the senior...

The Best Senior Living CRM: Three Experts Weigh In

Looking to end your days of manually entering customer data in Excel? If so, a customer relationship management (CRM) tool is the perfect choice. Three of our senior living industry experts are weighing in on everything you need to know about CRM. Meet the SageAge...

How To Generate Leads for Senior Living Communities

Are you looking for ways to spark robust lead generation through your senior living marketing strategy? With the right team on your side and the right approach, it might be easier than you think. Check out some of these top ways to generate senior living leads through...

Senior Living SEO: 7 Tactics That Work

Want to discover a cost-effective way to provide value to others while enhancing your senior living strategy? Through Search Engine Optimization, or SEO, you can do just that.  What Is SEO? SEO is about improving your website’s visibility to search engines, increasing...

The Importance of Responding to Online Reviews

Did you know: 95% of people consult reviews before purchasing products or services. 88% of consumers are likely to use a business if they can see the business owner responds to all reviews, whether positive or negative. 87% of consumers used Google to evaluate local...

What Are the Housing Restrictions for Facebook and PPC?

As we know, technology is always changing and adapting. It’s something many of those in the senior housing and marketing fields are used to. One of the most recent changes is making a larger impact on how we target ad audiences on Facebook and through pay-per-click...

The Rise of Senior Living Occupancy

As COVID-19 created a landscape of uncertainty in senior living facilities, experts knew there would be challenges and effects that lasted long after. Although the pandemic continues, many types of senior living communities and care facilities, like continuing care...
Share This