“Quality over quantity”, a concept applied by most savvy shoppers, is also a relevant philosophy for savvy business owners when shopping for commercial space. It’s easy to reverse that mentality while property hunting, seeking quantity over quality in customer demographics. But, business visionaries, like Forbes, credit the value found in a smaller target market.
“There are countless stories of startups finding the road to massive growth by first starting with smaller communities.” – Forbes
Think micro-demographics when seeking “macro” opportunity for growth and investment in your business. The South Westnedge Avenue commercial corridor and our location’s retail anchor, Sam’s Club, draw in a steady stream of shoppers to this shopping center. Here, shoppers come from a more specific demographic with greater potential to spend more.
Carve out Sam’s Retail Development shoppers drawn in just by Sam’s Club and you’ll find that higher-spending shoppers are found here. In lieu of saving on bulk purchases, Sam’s Club shoppers are spending $45 up to $100 annually on membership fees alone. According to an in-depth analysis on big box stores, a customer shared her findings, stating, “Shopping at a warehouse store like Costco and Sam’s Club might not save you money. In fact, you’ll probably spend more than you would have at a regular grocery store.” It’s expected that most buyers walking into Sam’s Club will walk out spending $100 or more. One buyer, who didn’t load up their flatbed cart with “bulk everything” one visit, said the cashier even commented on her low total, saying, “Wow! I never see people make it out of here under $100.” The shopping behavior for most Sam’s Club clientele, whether an individual or a business owner, can be easily connected to middle- and upper-class income behavior. With the average spending occurring here on a daily basis, it is evident shoppers (most likely middle- and upper-class) visiting the Sam’s Retail Development location are bringing with them a higher-spending mentality and more disposable income than they would at other retail locations.
A statistical analysis report provided by Valassis in 2011 proves middle- and upper-class customers are shopping at Sam’s Clubs. Baby-boomers ages 45-64 (in 2011) reportedly measure as the majority of Sam’s Club shoppers, followed heavily by Generation-X shoppers ages 35-44 (in 2011). Parallel to “generation group” analysis is the household income analysis. The majority of shoppers with a household income between $50,000 and $100,000+ is expected for Sam’s Club, considering the majority of members are either business owners or individuals whom often shop with middle and upper-class income behavior; in other words, checking out with a significant number of bulk purchases that results in a minimum balance of $100+ per trip. The customer draw at Sam’s Club in Portage presents greater potential for Sam’s Retail Development retailers. With the support of its anchor, neighboring retailers have a better chance of attaining middle and upper-class customers.
A Sam’s Club-anchored location is your key to tapping into a micro-demographic who will spend more per visit at your store. Contact PlazaCorp today for more details on the available locations anchored by Sam’s Club.