Oakbrook Center Presentation-Final(1)EM

OAKBROOK

CENTER

ANALYSIS

PRODUCT

DESCRIPTION:

OAKBROOK CENTER

PRODUCT

DESCRIPTION

• Oakbrook Center is an upscale super-regional shopping

center located near Interstate 88 in Oak Brook, Illinois

• Primarily accessible by driving, 18 miles from Chicago

Loop

• Originally opened in 1962, is now the second largest

Chicago land shopping center

• 138 store and services

• 25 restaurants and eateries

Source: http://www.oakbrookcenter.com/

METHODOLOGY

• Segments and targeting were determined using a

combination of intercept conversations and loyalty card

surveys

• Mall demographics were determined using a cross

analysis of those tactics

CUSTOMER

SEGMENTATION

SHOPPER SEGMENTING

Core Consumer* Demographics

• Female

• 25 to 54 years old

• Caucasian

• $35,000 - $150,000 income

*Core Consumers make up 36% of total shopper base

SHOPPER SEGMENTING

Non-Core Consumer Demographics

• Other* Female

• All ages

• Caucasian

• All income levels

• 52% of total shoppers

*Other Female consumers includes all non Core Consumer Women Shoppers

SHOPPER SEGMENTING

Non-Core Consumer Demographics*

• Male

• All ages

• 32% are over $75,000 in income

*12% of total shoppers

SHOPPER SEGMENTING

63% of core shoppers visit at least twice per quarter

28%

23%24%

9%

4%

0% 12%

1

2

3

4

5

6

7

2 X Month

1 X Month

1-2 QTR

2 X Year

1 X Year

Don't go

Weekly

SHOPPER SEGMENTING

65% of core shoppers visit 4 of more stores

2%

33%

65%

0%

1

2

3

4

1

2 or 3

4 or more

Friends

SHOPPER SEGMENTING

52% of core shoppers visit for greater than 2 hours

6%

42%

42%

10%

1

2

3

4

1 hour

>1 to 2

>2 - 4

>4

SHOPPER SEGMENTING

57% of core shoppers shop due to deals

12%

12%

58%

18%

1

2

3

4

Know

trends

deals

fun

TARGET SHOPPER

GROUP

TARGET SHOPPER GROUP

Who are the most valuable shoppers?

What made them most valuable?

Find out other potential shoppers.

TARGET SHOPPER GROUP

Characteristics

Variables to identify valuable shopper:

• Recency of visiting the mall **

• Frequency of visiting the mall

• The amount of money spent in the mall

• Household income level

*: see appendix for analysis process

**:lack of information about visiting recency of each shopper

CUSTOMER VALUE GROUP

F-M VALUE

124

203

297

283

182

99

37

0 50 100 150 200 250 300 350

2

3

4

5

6

7

8

Count of Consumers

F-M

Valu

e

Distribution of Customers by F-M Value

CUSTOMER VALUE GROUP

Percentage

210%

317%

424%

523%

615%

78%

83%

Other49%

Percentage of Customer Value Group

TARGET CUSTOMER GROUP

HH Income Level

Targeting on HH Income of $100k and over

Reasons:

1. Draw Effectiveness >1.0, attracted by the Mall

2. SPI > 1.0, contributing more to sales

3. Average of total spend per visit: $255, comparing to the

average of the whole group at $169

MALL SPEND BY HH INCOME

$150

$42

$138 $133

$96

$207$197

$445

$0

$50

$100

$150

$200

$250

$300

$350

$400

$450

$500

<$24k $25k-$34k $35k-$49k $50k-$74k $75k-$99k $100k-$149k $150k-$199k $200k+

TARGET SHOPPER GROUP

Other variables relevant to identifying potential customers

(not strongly related)

• Number of stores per visit

• Length of visit

• Whether shopping with companions

• Age

• Gender

• Household composition

• Location: distance from the mall

COMMUNICATION

STRATEGIES

COMMUNICATION

What message will they be most receptive to?

How often?

By what means?

RECEPTIVE MESSAGE

51.2% I like to find great deals, so I am interested in finding

the best sales and discounts.

CLUB BENEFIT

59.2% Information about upcoming sales.

54.9% special promotions only for Club

members

34.6% Information about upcoming special

events

• Information of sales, discounts and events is more receptive

HOW OFTEN?

Daily12%

A couple of times a week

21%

Once a month21%

Never2%

Once a

week 44%

• Once a week would be more appropriate.

BY WHAT MEANS?

76.4% don’t like a text

message from mall

76.6% never heard of QR

code

BY WHAT MEANS?

1.

3.

2.

91.9% daily use

0.6 % don’t use

44.8% daily use

29.5 % don’t use

39.4% daily use

37.3 % don’t use

6.3%

84.1 %

0.4%

93.4 %

20.0%

70.6 %

1.2%

95.1 %

• Email, Facebook and Groupon are the main means.

RECOMMENDATIONS

OF SERVICES

OFFERED

SHOPPING PACKAGE

• Shopping

• Dinning

• Beauty & Spa

SHOPPING

Fashion Stylist Available for Private Shopping Appointments

• Schedule Online/Phone

• Before & After hours available at selected retailers

• Received Gifts or Discounts

DINING

Special Treatment at Fabulous Restaurants

• No Waiting In Line

• Chef’s Table Seating

• Private Dinning Spaces Available

BEAUTY & SPA

Special Offers on Spa and Beauty Treatments

• Anthony Vince Nail Spa

• Mario Tricoci Hair Salon & Day Spa

IN STORE EVENTS

Partnerships with at least one key tenant

• Store Events and Specials

• Provided discounts for shoppers to buy products at its stores

THANK YOU!

APPENDIX

Correlation among variables

Correlations

numstores numhours spend gender age income

numstores

Pearson Correlation 1 .485** .250** .101** -.169** -.058**

Sig. (2-tailed) 0 0 0 0 0.004

N 2764 2756 2755 2540 2748 2499

numhours

Pearson Correlation .485** 1 .423** .131** -.082** -0.018

Sig. (2-tailed) 0 0 0 0 0.359

N 2756 2762 2753 2540 2745 2497

spend

Pearson Correlation .250** .423** 1 .057** .057** .314**

Sig. (2-tailed) 0 0 0.004 0.003 0

N 2755 2753 2763 2542 2746 2500

gender

Pearson Correlation .101** .131** .057** 1 -.066** 0.018

Sig. (2-tailed) 0 0 0.004 0.001 0.394

N 2540 2540 2542 2557 2541 2317

age

Pearson Correlation -.169** -.082** .057** -.066** 1 .213**

Sig. (2-tailed) 0 0 0.003 0.001 0

N 2748 2745 2746 2541 2763 2502

income

Pearson Correlation -.058** -0.018 .314** 0.018 .213** 1

Sig. (2-tailed) 0.004 0.359 0 0.394 0

N 2499 2497 2500 2317 2502 2513

**. Correlation is significant at the 0.01 level (2-tailed).

Coefficiency of

gender/age/income and spend

ANOVAa

Model Sum of Squares df Mean Square F Sig.

1

Regression 1103.612 3 367.871 79.142 .000b

Residual 10649.157 2291 4.648

Total 11752.769 2294

a. Dependent Variable: spend

b. Predictors: (Constant), income, gender, age

Coefficientsa

Model

Unstandardized CoefficientsStandardized

Coefficientst Sig.

B Std. Error Beta

1

(Constant) 2.783 0.287 9.689 0

gender 0.316 0.128 0.049 2.467 0.014

age 0.012 0.031 0.008 0.378 0.706

income 0.484 0.033 0.3 14.714 0

a. Dependent Variable: spend

TARGET SHOPPER GROUP

VARIABLES

Frequency recode

How often do you visit Oakbrook Court?

Weekly ----48 days a yearAt least twice a month ----30 days a yearOnce a month ----12 days a yearOnce or twice every three months ----6 days a year Twice a year ----2 days a year Once a year ----1 days a year I don't go to Oakbrook Court. ----0 days a year

Monetary recode

When you go to Oakbrook Court, how much do you spend on average?

0 - $25 ----$12.5 one time $25.01 - $50 ----$37.5 one time $50.01 - $75 ----$62.5 one time $75.01 - $100 ----$87.5 one time $100.01 - $125 ----$112.5 one time $125.01 - $150 ----$137.5 one time $150.01 - $175 ----$162.5 one time $175.01 - $200 ----$187.5 one time More than $200 ----$225.5 one time

TARGET SHOPPER GROUP

FM=Frequency*Monetary

Segment 1 Segment 2 Segment 3 Segment 4 Segment 5

FM <$150 $150.1-

$1000

$1000.1-

$3000

$3000.1-

$4500

>$4500.1