All Businesses Deserve a Great Site - The Value of Site Location Analysis
A McDonald’s V.P. once said that choosing the right site is one of the most critical decisions the Company makes. That is why McDonald’s studied every unit they had in the system at that time and came up with a statistical model which showed which set of market and site characteristics created the highest probability of success for a potential new McDonald’s restaurant. As the research progressed, each component of the model became associated with a dollar amount the new restaurant could produce if it met all or part of those criteria.
Noting McDonald’s high success rate, other companies came up with their own versions of Volume Estimating Models, and all of these models generally do the same thing - provide the Site Locator a guideline for evaluating the many components that go into successful site selection.
I have been using models like these for many years to help my clients, and in coming newsletters, I will delve into these criteria and show how a systemized, fact-based site analysis creates sales and reduces risk for the business owner.