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					  State of
  Atlanta’s
Retail Market
  2007-08
By: Atlanta Development Authority
              and
The Atlanta Journal-Constitution

         November 2007
2




                 Agenda

     The Atlanta Market
     Retail Market Segments
        Mall Landscape
          - GM Stores & Big Boxes
        Restaurants
        Consumer Electronics and
        Online Shopping

     Media Usage Behaviors
3




    The Atlanta Market

            By: Sonya Moste, ADA
4


                   Retail Continuum Atlanta MSA
                                    28 Counties




     Jobs         People      Rooftops       Retail


    2.4 million   5 million   1.8 million   $75 billion
5



                                             ARC 20-County Forecasts


8,000,000
                                          Population 65%
7,000,000                                 Increase, 2000-                                                         6.97
    8,000,000
6,000,000          Employment                  2030                                              5.9
    7,000,000                                                                                              6.97
5,000,000
    6,000,000
                   Population
                Employment
                                                                                  5.1                             4.89
                                                                                           5.9
4,000,000
    5,000,000
                Population                                         4.2      5.1
                                                             4.2
                                                                                                 4.0       4.89

3,000,000
    4,000,000                                       3.0                           3.2
                                                                 2.8                       4.0
    3,000,000
2,000,000                           2.0
                                               3.0
                                                             2.8
                                                                            3.2                   Employment
    2,000,000       1.6            2.0         2.0                                               75% Increase,
1,000,000           1.6
                   0.9             1.3        2.0
    1,000,000
                   0.9
                                   1.3
                                                                                                  2000-2030
          00
                 1970           1980        1990          2000           2010           2020           2030
                1970         1980           1990           2000           2010            2020              2030
                                                                                                       Verdict on the Future
6


                                                                 The Metro Atlanta Market




                                                       Cobb                     About 2/3 of the
                                                                     Gwinnett
                                                                                     metro
                                                                 DeKalb             Atlanta’s
                                                                                population lives
                                                                                 in 4 counties.




    Source: 2006 Demographics USA – County Edition,
    www.demographicsnow.com by SRC, LLC 2006; 2000 U.S. Census
7



                               Employment 2000 to 2005




    Source:
    ARC employment estimates
8

                             The metro region gained almost 3 million
                                  people during the same time frame

                                         Metro Atlanta Population, 1960-2000
                      5,000,000



                      4,000,000



                      3,000,000



                      2,000,000



                      1,000,000



                             0
                                  1960          1970       1980       1990     2000



Source: U.S. Census
9
                                The City of Atlanta lost over 100,000
                                        residents from 1970 to 2000
                                                      (16% decrease)
                                    City of Atlanta Population, 1960-2000

                      550,000
                      500,000
                      450,000
                      400,000
                      350,000
                      300,000
                      250,000
                      200,000
                      150,000
                      100,000
                       50,000
                           0
                                 1960      1970        1980       1990      2000



Source: U.S. Census
10

                                        The decline has reversed:
                Atlanta City will grow by 284,000 people by 2030
                                                  (68% increase)

                        City of Atlanta Population Projection, 2000-2030

              800,000

              700,000

              600,000

              500,000

              400,000

              300,000

              200,000

              100,000

                   0
                         2000            2010           2020           2030



Source: ADA
11

                                       Metro Atlanta - Growing older…but
                                             Share of Total Population
                                                                       still young
                                                    ARC 20-County Forecasts
                                                         2000 - 2030
                                           2000    2005   2010   2015    2020   2025   2030
                                70%
                                60%
                                50%
                                40%
                                30%
                                20%
                                10%
                                  0%
                                            0-19                 20-59                 60+    Aging




Source: Atlanta Regional Commission
12


                                                          Becoming more diverse
                    Percentage Change in Population from 2000 to 2004
     Rank                                 Hispanic               Black                  Asian
             1 Cape Coral                    55.4% Las Vegas      22.7% Las Vegas          38.5%
             2 Charlotte                     49.8% Phoenix        19.2% Riverside          31.1%
             3 Raleigh                       46.7% Orlando        18.4% Orlando            30.2%
             4 Nashville                     44.9% Minneapolis    16.2% Atlanta            28.5%
             5 Indianapolis                  44.3% Raleigh        15.2% Stockton, CA       28.4%
             6 Atlanta                       41.0% Atlanta        15.0% Tampa              28.4%
             7 Naples                        38.7% Providence     14.4% Austin, TX         28.2%
             8 Lakeland                      38.3% Riverside      14.3% Phoenix            27.0%
             9 Sarasota                      38.0% Tampa          14.0% Sacramento         25.6%
          10 Las Vegas                       35.1% Charlotte      13.7% Dallas             24.8%
                                                                                       Ethnicity




Source: Brookings Analysis, U.S. Census
13


                                                                     A Well-Educated Region
                                            Percent of those with at least a High School Diploma

                                   88%

                                   86%     85.5%

                                                         84.0%
          Percent of Persons 25+




                                   84%

                                   82%
                                                                        80.4%
                                   80%
                                                                                      78.6%
                                   78%                                                            77.7%

                                   76%

                                   74%

                                   72%
                                         ARC Region    Atlanta MSA   United States   Georgia   South Region
                                         20 Counties   28 Counties                                    Education




Source: Census 2000
14

                HISTORICAL                                            FUTURE
                                                               Growth Going Everywhere




     Launch Internet Explorer Brow ser.lnk




                                             Verdict on the Future
15


                                      90% of the metro region growth will come
                                              from households without children

              Projected change in # of
              households (2000-2030)
                     400K
                                                                                       351K

                         300


                                                                          198K
                         200

                                                              109K
                         100                      70K

                                 0
                                                 Families    Non-family   Singles    Families
                                                 with kids   households             without kids



Source: U.S. Census; Projected for Atlanta MSA
16



                                                    Building Permits Trends

                                  Change in Building Permits Issued By County
                                                 First Half 2007

                                                                      Fulto n

                                                                    Gwinnett

                                                                      Henry

                                                                    Do uglas

                                                                    Clayto n

                                                                   Ro ckdale

                                                                       Co bb

                                                                   Chero kee

                                                                     Fayette

                                                                     A tlanta
              % Change
                                                                     DeKalb

     -60.0%   -50.0%     -40.0%      -30.0%    -20.0%     -10.0%           0.0%   10.0%   20.0%   30.0%
17


                             Leading Indicators to Watch
                              Government Incentive Programs



     1.   Livable Communities Initiatives (LCI’s) administered by the
          Atlanta Regional Coalition
     2.   TADs administered by municipalities (by ADA for the City of
          Atlanta)
     3.   Emerging Markets promoted by the Atlanta Development
          Authority
18




      LCI Studies
       Drive the
       Growth of
       Suburban
     Town Centers
19




      TADs Drive
       Growth of
     Intown Mixed
     Use Projects
20


     AtlantaEmergingMarkets.com
21




     Retail Market Segments

              By: Harold Biswas, The AJC
22



     Major Sources of Information

            Consumer Survey:


              Gallup Poll of Media Usage & Consumer
               Behavior, Atlanta CBSA: 2006, 2004
               The Atlanta Journal-Constitution proprietary
               study

              Scarborough Research, syndicated study
                  Multi-Market 2007 Release 1 (Feb. 2006-Jan.
                   2007)

                  Atlanta Market 2005, 2006, 2007 Release 1
                   (previous year’s February-January each year)
23


                                           9th in population size, Atlanta has the 5 th
                                        largest retail per Household among top ten

                                   Millions of people in Metro Markets
                                                                                                                                                            Annual Retail Sales per
        New York                                                                                                                        18.9                     Household
     Los Angeles                                                                                        13.1                                              1.        Miami           $48,329
                                                                                                                                                          2.        Washington DC    $44,728
           Chicago                                                                  9.5
                                                                                                                                                          3.        Los Angeles     $44,288
               Dallas                                           5.9                                                                                       4.        Philadelphia    $43,821
                                                                                                                                                          5.        Atlanta         $42,815
     Philadelphia                                              5.8
                                                                                                                                                          6.        Chicago          $41,797
               Miami                                          5.5                                                                                         7.        Houston         $41,396
                                                                                                                                                          8.        Dallas          $41,351
           Houston                                          5.3
                                                                                                                                                          9.        Detroit         $39,924
     Washington                                             5.3                                                                                           10.       New York        $39,381
             Atlanta                                       5.0

              Detroit                                   4.5

     *CBSA: An Office of Management and Budget (OMB) geographic area that is defined by a significant population center plus its surrounding communities that exhibit a
     high degree of social and economic assimilation with that center.In June 2003, the OMB replaced its Metropolitan Statistical Areas (MSAs) with CBSAs.
     Source: 2006 Demographics
     USA County Edition
24


                                          Metro Atlanta leads nation in
                                                    population growth
                    The Atlanta region added more people from April 2000 to July 2006 than
                    any other of the 361 metro areas in the United States.
                           Atlanta                                      +890,211
                               Dallas                                 +842,449

                         Houston                                     +824,547
                                                                                 Atlanta is the leader in a
                          Phoenix                                   +787,306      national population shift toward
                Riverside, Calif                                +771,314          the South and Sunbelt.
                    Los Angeles                          +584,510                Newcomers from outside the
                                                                                  region drove most of the
                       New York                      +495,154                     increase; approximately one-
                    Washington                       +494,220                     third of the growth came from
                                                                                  births.
                               Miami               +455,869
                          Chicago                +407,133


     Source 2007 U.S. Census
25


                                     Atlanta is #1 in ratio of African-American
                                       adult population among top ten Metros


                                     Atlanta                                                      29%
                 Washington, D.C.                                                           25%
                                      Detroit                                         21%
                          Philadelphia                                            19%
                                       Miami                                      19%        With a total of $34.9 billion,
                                                                                             the buying power of
                                   Chicago                                      17%          Atlanta’s African-American
                                 New York                                       17%          consumers represents 21%
                                                                                             share of metro Atlanta’s
                                  Houston                                  16%               total buying power.
                                       Dallas                             14%
                           Los Angeles                               8%


Source: 2007 Scarborough Research, Inc. (Multi-Market, Release 1);
Terry College of Business, The University of Georgia, 2006
26

                                                         Atlanta has THE fastest growth rate
                                                            among top U.S. Hispanic markets

                                      Atlanta            +169,585                                                                31%

                                   Orlando               +156,888                                                              29%

                 Washington, D.C.                        +153,514                                                        24%

                                   Phoenix               +301,725                                                        24%

                                                         +379,481
                                                                                                                                        Hispanic
                                       Dallas                                                                           23%
                                                                                                                                       Population
                                                         +212,871
                                                                                                                                        2006-2011
                           Sacramento                                                                                  22%              projected
                                                         +146,642
                                                                                                                                       growth rate
                                     Denver                                                                      19%

                                                         +346,780
                                  Houston                                                                        19%

                           Philadelphia                   +111,009                                            18%

                                                         +146,508
                                     Fresno                                                             16%
                                                              Source: demographicsnow.com by SRC, LLC 2006 data
       Top 20 Hispanic markets: Los Angeles, New York, Miami-Ft. Lauderdale, Chicago, Houston, Dallas-Ft Worth, San
Francisco, Phoenix, San Antonio, Harlingen-Weslaco-Brownsville-Mcallen T, Sacramento, Fresno, San Diego, Denver, El
                                                   Paso, Albuquerque, Washington DC, Philadelphia, Orlando, Atlanta.
27

                                              Atlanta: 2nd highest disposable income
                                                        among top 10 metro markets

          Median HH Effective Buying Income (income after taxes)

                    Washington, D.C.                                               $56,645

                                   Atlanta                               $47,160

                                 Chicago                                $46,740

                      Dallas-Ft Worth                                  $45,921

                           Philadelphia                                $45,395

                                    Detroit                            $45,326

                                New York                              $44,598

                                 Houston                              $43,660

                           Los Angeles                               $42,966

              Miami-Ft. Lauderdale                                 $39,767

Base: Top 10 CBSA markets
Source: demographicsnow.com by SRC, LLC 2006 data
28

                                                                 Atlanta has the 6th strongest
                                                                          retail market in U.S.
                                                      Top 10 U.S. markets 2007-2011: Retail market strength
                                                   Forecast Scores based on 16 variables on a scale from 0 to 100

                        Washington, D.C. metro                                                                                  82.1

                                 Dallas/Fort Worth                                                                            79.1

                            Los Angeles County                                                                                78.9

                                             Houston                                                                   72.3

                                          Las Vegas                                                                 66.9

                                               Atlanta                                                        61.6

                                             Chicago                                                         59.1

            Riverside/San Bernardino, Calif.                                                                58.4

                                          San Diego                                                         58.2

                              Phoenix/Scottsdale                                                            57.7

          Note: Markets were ranked from 0 to 100 against 16 property, economic and demographic variables


Source: Grubb & Ellis Commercial Real-Estate Co.
29

                                               $75.5 billion retail volume in
                                                               metro Atlanta

                      Food & Beverage Store Sales                         $9.39 billion
                      Grocery Store Sales                                 $8.66 billion
                      General Merchandise Store Sales                     $8.36 billion
                      Clothing & Clothing Accessories Store Sales         $4.15 billion
                      Furniture & Home Furnishing Store Sales             $2.42 billion
                      Electronics & Appliance Store Sales                 $1.89 billion
                      Motor Vehicle & Parts Dealer Sales                  $16.33 billion
                      Building Material & Garden Equipment Dealer Sales   $8.23 billion
                      Health & Personal Care Store Sales                  $3.13 billion




Source: 2006 Demographics USA County Edition
30


                Major retail arrivals and departures
                                         (2002-2007)

                                              Arrivals
                      Rich’s-Macy’s merger                                                            InkStop
                         Bloomingdale’s                                                             American Girl
       Brandon’s       American Signature                      Dick’s Sporting Goods
       Aldi Foods           Furniture                                   IKEA         Forth & Eckerd/Rite Aid
     BJ’s Wholesale    Filene’s Basement BrandsMart USA                Macy’s        Towne Parisian/Belk
     Ashley Furniture       HH Gregg       Fry’s Electronics   (Rich’s-Macy’s name change)           name changes

        2002                 2003              2004                  2005                    2006      2007
     Avondale Mall                             Lord & Taylor        Rhodes                              Forth &
                         Big Screen Store
                                              AT&T Wireless    Save-Rite (Winn-Dixie)                   Towne
                              Macy’s
                                               Just For Feet        Nextel
                                                                   Galyan’s                           CompUSA


                                            Departures
31

                            Clothing & Accessories – Top ten metro
                                                           markets
                                                Ranked by % of market population shopped

        Atlanta Rank                   Product Category


                2                      Men’s & Women’s Shoes
                                       35.3% of metro Atlanta adults bought Men’s shoes past 12 months and 43.7% Women’s shoes.

                2                      Men’s & Women’s Business Clothing
                                        20.7% of metro Atlanta Adults bought Men’s business clothing past 12 months and
                                        18.4% Women’s business clothing.
                2                      Costume Jewelry
                                       23.3% of metro Atlanta adults bought costume jewelry past 12 months.
                2                      Athletic Shoes
                                       48.1% of metro Atlanta adults bought athletic shoes past 12 months.

                2                      Cosmetics or Skin Care Items
                                       55.1% of metro Atlanta adults bought Cosmetics, Perfume or Skin Care items past 12 months.


     Top Ten metro markets are New York, Los Angeles, Chicago, Dallas,
     Philadelphia, Miami, Houston, Washington DC, Atlanta & Detroit.



Source: Scarborough Research Multi-market 2007 R. 1
32
                                                    Atlanta: Strong Online Banking and
                                                 Convenience store/Personal Care items
                                                                        Sales Potential
        Among top ten metro markets:
                                                               Banking/Financial            Beer & Wine           Cosmetics
                                                                                                              Bought cosmetics,
                                                               Has                 Bought wine Bought beer    perfumes, or skin
                                                              online   Has an        (past 3     at store         care items
                                                             banking investment      months) (past 30 days)    (past 12 months)
                Atlanta                                      2 (34%)     7 (61%)    5 (38%)        1 (43%)        2 (53%)
                Chicago                                             8      3           6              5              9
                Detroit                                             9      8           9              2              10
                Dallas-Ft Worth                                     3      6           8              3              1
                Houston                                             4      9           10             4              4
                Los Angeles                                         5      2           7              9              8
                Miami-Ft. Lauderdale                                7      10          3              7              3
                New York                                            10     1           1              6              7
                Philadelphia                                        6      4           2              10             6
                Washington, D.C.                                    1      5           4              8              5

Base: Top 10 CBSAs by population.
Source: Scarborough Research, Multi-Market Report, 2007 Release 1
33


                                          Atlanta: Great Appliance, Restaurant and
                                                                   Wireless Market
               Among top ten metro markets:
                                                  Large Appliances                  Restaurants           Wireless Communications & Cable
                                                              Any large       Ate at fast   Ate at sit-
                                            Plans to buy      appliance         food          down         Wireless         Broadband
                                           major appliance store bought       restaurant    restaurant    cell phone      (cable or DSL)
                                          (next 12 months) (past 12 months) (past 7 days) (past 7 days)   subscriber   Internet connection
     Atlanta                                     2 (9%)             2 (26%)   2 (71%)       2 (47%)       2 (79%)          2 (57%)
     Chicago                                        5                   4         5             6             9                5
     Detroit                                       10                   5         4             7            10               10
     Dallas-Ft Worth                                4                   6         1             1             4                9
     Houston                                        1                   8         3             3             5                8
     Los Angeles                                    3                   7         7             5             8                7
     Miami-Ft. Lauderdale                           6                   1         8             8             3                4
     New York                                       9                  10        10            10             6                3
     Philadelphia                                   8                   9         9             9             7                6
     Washington, D.C.                               7                   3         6             4             1                1




Base: Top 10 CBSAs by population.
Source: Scarborough Research, Multi-Market Report, 2007 Release 1
34




     Mall Landscape
35

                                                             Mall Foot Traffic
                                                   Past 3 Months (Quarterly)
                                                                                                                        2004 Change
                                                                                                                          22% -2
                            eorgia                                                                                20%
               Mal   l of G                                                                           18%                  n/a n/a
                               tat ion
                At la  ntic S                                                                       17%                   25% -8
                                     e
                            Squar
                 Lenox               ll                                                             17%                   23% -6
                           ter Ma
                P erime                                                                             17%                   18% -1
                                      l
                             e Mal
                  ett Plac                                                                        16%                     18% -2
          Gwinn                 M all
                        Crest                                                                     16%                     18% -2
              St one              ills
                          ver M
                 Disco                                                                          15%                       17% -2
                                     b
                            t Cob
               Ce  nter a                                                                     14%                         16% -2
         T own              nt Ma
                                      ll
              Nor  th P oi                                                                  13%                           16% -3
                                       l
                             e Mal
                So  uthlak                                                11%                                             12% -1
                              P lace
                     Arbor                                              10%                                               15% -5
                                lake
                        North                                                                                             11% -1
                                                                        10%
                               Plaza
                   P  hipps                                             10%                                               17% -7
                                M all
                      erland                                          9%                                                  11% -2
             Cumb               Mall
                    D  eKalb                                        8%                                                    12% -4
            South                    ll
                           iar Ma
               Gr eenbr                                           7%                                                      11% -4
                              eKalb
                  N  orth D                              5%                                                                6% -1
                             t hpark
                no  n Sou
           Shan
     Source: 2006-2007 Gallup Poll of Media Usage and Consumer Behavior—Atlanta CBSA   Base: Adults age 18 plus
36


                                  Stores Shopped by Atlantans
                                                                  Past 3 Months


                                                                                               98%
        Any General Merchandise Store
                                                                                               98%

                                                                                          84%
                            Any Department Store
                                                                                         78%
                                                                                                     2004   2006
                                                                                   51%
              Any Discount/Off-Price Store
                                                                                   54%

                                                                                   51%
                             Any Warehouse Club
                                                                                   51%


 Base: Adults age 18 plus
 Source: 2006-2007 Gallup Poll of Media Usage and Consumer Behavior—Atlanta CBSA
37


                                             General Merchandise and
                                        Off Price - Specialty Stores Shopped
                                                                                   Past 3 Months

                               Wal-Mart                                                            90%
               Target/Super Target                                                           70%
                        Kmart/Super K                                        33%
                            Sam's Club                                      32%
                                     Ross                                 29%
                                TJ Maxx                                26%
                              Marshalls                             23%
         Goody's Family Clothing                                18%
                                  Costco                      16%
                                      BJ's                  14%
          Burlington Coat Factory                           13%

 Base: Adults age 18 plus
 Source: 2006-2007 Gallup Poll of Media Usage and Consumer Behavior—Atlanta CBSA
38

                                    Atlanta is #3 market for Wal-Mart
                                                among top ten metros
                                                     Wal-Mart stores bought past 30 days
                                           Dallas                                                             63.3%

                                        Houston                                                           59.4%

                                          Atlanta                                                     54.3%
                                       U.S. avg.                                              46.4%

                                        Chicago                                           39.9%

                                   Philadelphia                                           39.2%
                               Washington DC                                         35.6%

                                           Miami                                     35.5%

                                          Detroit                                 31.3%           % of Market adult population

                                   Los Angeles                                   28.5%

                                      New York                           14.8%

Source: Top 10 CBSA market:, Scarborough Research Multimarket 2007 R.1
39

                                             Atlanta is #5 market for Target
                                                      among top ten metros
                                                  Target stores bought past 30 days
                                    Chicago                                                        63.3%

                               Los Angeles                                                         59.4%

                                       Dallas                                                      54.3%
                          Washington DC                                                        46.4%

                                      Atlanta                                                 39.9%

                                      Detroit                                                39.2%
                                    Houston                                                35.6%

                                    US avg.                                          35.5%

                                       Miami                                       31.3%      % of Market adult population

                               Philadelphia                                      28.5%

                                  New York                               14.8%

Source: Top 10 CBSA market:, Scarborough Research Multimarket 2007 R.1
40

                                                Atlanta Grocery stores shopped
                                                                     past week
                                                                                                       2004   Ch.
                            Kroger                                                               57%   56%    +1

                             Publix                                                        52%         47%    +5
     Wal-Mart Supercenter                                                            41%               43%     -2
                             Ingles                          13%                                       15%     -2
                   Super Target                         10%                                            9%     +1
                     Sam's Club                         9%
                                                                                                       11%     -2
                            Costco                 6%
                                                                                                       4%      -2
       Whole Foods/Harry's                       5%
                                                                                                       5%      0
               Wayfield Foods                   4%
                                                                                                       3%     +1


     Base: Atlanta Adults, shopped for groceries past 7 days
     Source: 2006-2007 Gallup Poll of Media Usage & Consumer Behavior-Atlanta CBSA
41


                                   Atlanta Audio/Video stores shopped
                                                       past 12 months
                                                                                                        2004 Change
                     Wal-Mart                                                                     52%    51%    +1
                     Best Buy                                                               44%          52%    -8
                  Circuit City                                                        33%                39%    -6
                        Target                                                  26%                      23%    +3
          BrandsMart USA                                                  21%                             4%   +17
         Bj's/Costco/Sam's                                           18%                                 22%    -4
                Radio Shack                                      16%                                     18%    -2
                    HH Gregg                                     16%                                     15%    +1
                         Kmart                              13%                                           8%    +5
                         Sears                           11%                                             11%     0
               Wolf Camera                             10%                                                9%    +1
          Fry's Electronics                          9%                                                   5%    +4

Base: CBSA adults who shopped store for audio equipment in the past 12 months
Source: 2006-2007 Gallup Poll of Media Usage & Consumer Behavior
42




     Restaurants
43


                                                                                   Atlanta:
                                                           An attractive restaurant market
                Among top ten metro markets:

                    Past 30 days                                                                                 Top 10 Rank by % of Market

                          Ate at fast food
                            restaurant
                                                                                                                       93%             2nd


                           Ate 5+ times at
                              fast food                                                                    61%                          1st
                             restaurant



                           Ate at sit-down
                                                                                                                      90%              2nd
                             restaurant



                           Ate 5+ times at
                              sit-down                                                          39%                                     1st
                             restaurant
 100 = national average
Base: Top 10 CBSAs by population: Atlanta, Chicago, Dallas, Detroit, Houston, LA, NY, Miami, Phil & Wash
DC. National average is based on Scarborough’s top 64 markets in their survey area – not entire U.S.
Source: Scarborough Research, Multi-Market Report, 2007 Release 1
44


                                                                   Style of restaurants visited in
                                                                                          Atlanta

                Style of restaurants visited at least once in the past 30 days

                                         Fast Food
                                                                                              77%


                                    Family Style/
                                                                                        69%
                                      Moderate
                                     Restaurant

                                                                                       66%
                                                  Pizza



                                                                                 51%
                                      Fine Dining



Base: Atlanta CBSA Adults Age 18+
Source: 2006-2007 Gallup Poll of Media Usage & Consumer Behavior
Restaurants include eat-in, take-out or delivery
45


                                                                   Types of restaurants visited in
                                                                                          Atlanta

        Types of restaurants visited at least once in the past 30 days
                                             Mexican                                                  50%

              Thai/ Chinese/ Japanese                                                           46%

                   Steaks/ Ribs/ Seafood                                                       44%

                                                 Italian                                 35%

                                                     Deli                          27%

                                     Other Ethnic                            15%

                           Yogurt/ Ice cream                               12%

                      Gourmet Food Shop                               6%

                                       Bagel Shop                     6%
Base: Atlanta CBSA Adults Age 18+
Source: 2006-2007 Gallup Poll of Media Usage & Consumer Behavior
46




        Consumer
     Electronics and
     Online Shopping
47


                                                                            Atlanta:
                                                   Great Electronics Sales Potential
              Among top ten metro markets:
                                                                                                                   Atlanta       % of
               Products/Services*                                                                                  Rank      Atlanta Adults
               Shopped at an audio/video store                                                                         1         70%

               Made purchase at an audio/video store                                                                   1         63%

               Bought TV                                                                                               1         31%

               Plan to buy High Definition TV (next 12 months)                                                         1         10%

               Plan to buy electronics (next 12 months)                                                                2         34%

               Shopped at a large appliance store                                                                      2         34%

               Bought large appliance                                                                                  2         26%

               Bought stereo equipment/home music system                                                               2         13%

               Plan to buy major appliance (next 12 months)                                                            2           9%

Note: Baseline Total Survey Area Index 100
*Past 12 months unless noted
Source: Scarborough Research, Multi-Market
GEOGRAPHY: Top Ten CBSA: Atlanta, Chicago, Dallas, Detroit, Houston, Los Angeles, Miami, New York, Philadelphia,
and Washington, DC. Each market is indexed in comparison to the national percentage for the category shown.
48


                                                      Atlanta adults spending more on
                                             Stereo Equipment & Home Music Systems

                                              Dollars spent on stereo equipment, home music system (past year):

                                      5.0%
                                                               4.7%                    2005                 2006           2007
                                      4.5%

                                      4.0%
                                                     3.6%
                % of Atlanta Adults




                                      3.5%    3.2%
                                      3.0%

                                      2.5%

                                      2.0%
                                                                      1.4% 1.5% 1.4%                1.4%
                                      1.5%
                                                                                             0.9%          0.8%
                                      1.0%                                                                                       0.7%
                                                                                                                   0.5%
                                      0.5%                                                                                0.2%
                                      0.0%
                                                $250-$499               $500-$999             $1,000-$2,999           $3,000+

                                                                           $$$ spent (past year)

Base: Atlanta CBSA Adults Age 18+
Source: Scarborough Research, Atlanta Market R.1 (Release 1)
49


                                                         Number of Atlanta adults buying
                                                              large appliances growing

                                                                                                                          50% or 2,102,103
                                                                                         46% or 1,626,804                     adults
                                                                                             adults
                                                            42% or 1,345,330
                                                                adults

     Photographer: Emile Wamsteker/Bloomberg News




                                                                        Adults who purchased a large appliance in the past year




                                                                 2002                           2004                              2006



Base: Atlanta CBSA Adults Age 18+
Source: Gallup Poll of Media Usage & Consumer Behavior
50



                                                                Atlanta: 2nd most high-tech city

                                                                                 Metro                                    Score (out of 100)
                                                                                 1.          Minneapolis/St. Paul                100
                                                                                 2.          Atlanta                             98
                                                                                 3.          Washington, D.C.                    96
                                                                                 4.          Boston/Cambridge                    95
                                                                                 5.          San Diego                           93
                                                                                 6.          Chicago                             92
                                                                                 7.          Columbus                            90
                                                                                 8.          Raleigh/Durham/Chapel Hill          87
                                                                                 9.          Seattle/Bellevue/Everett            87
                                                                                 10. Houston                                     86


Popular Science methodology: To determine which U.S. cities can claim the designation ―high-tech,‖ we chose 36
technology indicators—our raw data—based on expert and staff opinion. Items such as ―robotic surgery,‖ ―number of
Wi-Fi hotspots‖ and ―R&D budgets at local universities‖ all qualified. We grouped each indicator into one of six broad
categories: Transportation, Connected Citizens, Medical, Jobs, Education and Energy.
Source: Popular Science, 2006
51


                                                               Atlanta is among
                                                     top ten U.S. cities for Wi-Fi
                                                                               # of Hot Spots    Population
                                             Rank-City            State         as of 9/17/07   Rank (metro)
                                             1.   New York        New York         1,261              1
                                             2.   San Francisco   California       1,073             12
                                             3.   Chicago         Illinois          887               3
                                             4.   Portland        Oregon            837              25
                                             5.   Houston         Texas             622               8
                                             6.   Seattle         Washington        579              15
                                             7.   San Diego       California        553              17
                                             8.   Los Angeles     California        542               2
                                             9.   Atlanta         Georgia           525               9
                                             10. Austin           Texas             523              38



Source: JiWire as of September 17, 2007
Population rank: DemographicsNow.com, CBSA
52

                                                     Atlanta Adult’s Online Shopping
                                                                         Category Growth

                                                                 2006      2007
         Items bought on the Internet past 12                     %         %
             months:                                                               Changes
         Travel reservations (hotels, auto rental, etc.)          17.3      21.8     +4.5
         Airline tickets                                          22.8      26.8     +4.0
         Health and beauty items                                  5.5       8.9      +3.4
         Clothing or accessories                                  18.3      21.1     +2.8
         Flowers                                                  5.1       7.9      +2.8
         Sporting event tickets                                   4.8       7.4      +2.6
         Sports logo apparel                                      3.3       5.2      +1.9
         Cultural event tickets                                   6.6        8       +1.4
         Groceries, candy, or other food items                    2.9       3.9      +1.0
         Toys or games                                            6.3       6.9      +0.6
         Movie tickets                                            6.6       7.1      +0.5
         Consumer electronics                                     6.6       6.9      +0.3




Base: Atlanta CBSA Adults Age 18+
Source: Scarborough Research 2007 R.2 and 2006 R.2
53


                                                     Atlanta Adult’s Online Shopping
                                                                         Category Decline


                                                                  2006      2007
           Items bought on the Internet past 12                    %         %
               months:                                                              Changes
           Books                                                  22.8       22.5     -0.3
           Insurance                                               2.4       1.9      -0.5
           CDs, tapes, or other music                             13.9       13.1     -0.8
           Medicine/prescriptions                                  5.8       4.9      -0.9
           Office supplies                                         7.4       6.5      -0.9
           Pet supplies                                            4.4       3.4      -1.0
           Other products or services                             11.4       9.8      -1.6
           Computer hardware/software                             12.6       10.8     -1.8




Base: Atlanta CBSA Adults Age 18+
Source: Scarborough Research 2007 R.2 and 2006 R.2
54


                                           ajc.com: #1 local web site in the
                                                             Atlanta market
                          Local Market Reach:                                    Local Market Reach:
                             ajc.com is #1                                    ajc.com vs. National Sites
                                                                    27%                                                             53%
                                                                                        le
                             AJ C.c
                                   om                                              Goog
                                                                                                                        40%
                                                       15%                               o!
                                uide                                                Yaho
                    ca l City G
               o! Lo                                                                 ue st
                                                                                                                     37%
          Yaho                                   10%
                            TV.co
                                  m                                              MapQ
                     WSB                                                                                    27%
                                                                                        om
                                    com
                                                8%
                                                                                  AJ C.c
                             ant a.
                   Fo x5 Atl                                                                           23%
                                                                                      r.c om
                                                                               e athe
                                                8%
                                  .com                  % of Atlanta CBSA     W
                        m /W XIA                        Adults Visited Site                           21%
                 v e.co                                                               eB ay
           11 Ali                           7%          (past 30 days)
                                Guide
                    MS  N City                                                          o n          19%
                                            7%                                     Amaz                           % of Atlanta CBSA
                                e.com
                     Mov ief on                                                       MS N
                                                                                                 17%              Adults Visited Site
                                                                                                                  (past 30 days)
                                           5%
                                       m
                               it y.co                                                         14%
                      igita lC                                                        AO L
              uide /D
      C it y G                    h.com
                                           5%
 AO L                                                                                          14%
                    City sea rc                                                  CN N.
                                                                                       com



Base: Atlanta CBSA-28 counties
Source: Scarborough Research, 2007R1
55




     Media Usage
      Behaviors
56


                                     Types of advertising prompted store
                                                   visit in past 3 months
                    ―In the past 3 months, which, if any, of the following types of advertisements prompted you to visit a store?‖


                                                                                                                                 38%
                                                                               s
                                                                          nsert
                                                                 c ular i
                                              ing         ad ci r
                                    , incl ud                                    ail
                                                                                                                     30%
                               paper                                       the m
                       News                                 ce     ived i
                                                                         n
                                               i ng re
                                     Ad verti s                                   TV
                                                                                                                27%


                                                                                                  11%
                                                                               Radi o                                       Metro Atlanta
                                                                                                                            Adults
                                                                                             9%
                                                                               nli ne
                                                                   Inte rnet/O
                                                                                             8%
                                                                               zines
                                                                          Maga
                                                                                        6%
                                                                                   es
                                                                          ll ow Pag
                                                                     Ye
                                                                                        6%
                                                                            tdoor
                                                                   a rd/ ou
                                                            Bi llbo
                                                                                        5%
                                                                            Other
Base: Atlanta CBSA-28 county Adults Age 18+
Source: 2006-2007 Gallup Poll of Media Usage & Consumer Behavior
57


                                                                  Reader Engagement:
                                                                   Newspaper Inserts

                                                         Saved it until visited store           85%


                                                         Clipped & saved a coupon               85%


                                                         Used it to compare prices            80%


                                    Compared one circulation/flyer to another                 79%


                                               Saved it until needed to purcahse              79%


                                                     Took the circular/flyer to store     76%

                                            Saved it & showed to spouse/family
                                                                                          76%
                                                      member/friend

                                                     Used for unplanned purchase          74%


                                           Gave it to a family member or friend         69%



Source: Scarborough Research 2006 Engagement Study
58



                                    Types of Coupons used by Atlantans

                                                  Store coupon - Grocery, HH
                                                                                                           55%
                                                           product



                                                       Manufacturer's coupon -
                                                                                                           55%
                                                        Grocery, HH product



                                                             Restaurant coupons                      44%




                                                    Department store coupons                   37%




                                                                   Auto services         19%



                                                      Entertainment - movies,
                                                                                   13%
                                                     bars, attractions coupons


Base: Atlanta CBSA-28 county Adults Age 18+
Source: 2006-2007 Gallup Poll of Media Usage & Consumer Behavior
59


                                                     Sunday Newspaper: #1 Coupon
                                                          source for Atlanta adults
                                               How household usually obtains cents-off coupons

                                                                                         r                                            46%
                                                                                 spape
                                                                        a   y new
                                                                   Sund                                                         37%
                                                                                     Mail
                                                                                                                          28%
                                                                                    pons
                                                                           r e co u
                                                                    In-sto                                          23%
                                                                                    car d
                                                                      ard/l oyalty
                                                               me r c
                                                          custo
                                                                                                              19%
                                                                                      lars
                                               Pre ferred                   re cir cu
                                                                     In-sto                                  18%
                                                                                     g es
                                                                          ct  packa
                                                                  Produ                                14%
                                                                                      nes
                                                                             M agazi
                                                                                                      12%
                                                                                aper
                                                                           ewsp
                                                                      day n
                                                                 Week                                 13%
                                                                                   et
                                                                             Intern
                                                                                                 4%
                                                                                     urce
                                                                          Oth   er so
Base: Atlanta CBSA-28 county
Source: Scarborough Research, 2007 Release 1
60


           Services offered to Retailers/Advertisers by
              The AJC’s Market Research Department

        • Atlanta’s competitive positioning in different retail categories

        • Site analysis with economic factoids and consumer
          shopping trends

        • Local shopper profile analysis and niche customer
          segments for individual retailer

        • Media consumption behaviors of local shoppers

        • Distribution opportunity of marketing messages – print & online


     Email: hbiswas@ajc.com
61




     Thank You

				
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