Access the right data. If you provide a service to households, don't use population as your target data for creating territories.
To realise the full potential of your business, you need to identify how many potential customers you need in a territory for it to work.
Once you've identified what this target figure is, you've taken a huge leap forward in defining appropriately-sized territories.
First, you need to learn what the business has achieved so far; How many customers are in an area? Where do they come from?
Then, you need access to the right demographic data for the area you are creating territories in.
The data should best represent your customer base, for example; Children aged 4 to 9, Anyone aged 65 and over, or businesses with less than 50 employees.
In simple terms, what your business has achieved and data on potential customers can be used to calculate your market penetration. Applying this with a little more maths to franchisee expectations will then help you define the opportunity to award.
The exact approach for your business will depend on your model, but if you're getting stuck, we are here to help.
Census data is usually available from your country's statistical organisation. However, accessing it directly from the source requires advanced data manipulation skills, an understanding of geography and boundaries, and a lot of time - and it's rarely published at geography levels used for franchise territory mapping!
Business data is more easily available through third-party providers.
Luckily, there is!
We believe that everyone should be able to easily access demographic data for better business planning. All of the data you'll need to create your territories is available at the click of a button through our online software, Vision®.Find out more about Vision®
Wondering why the data is so important? It's all about getting your territories the right size.Read more
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Opportunity is no good if you can't reach it. Getting the right geographical size requires the right geography.Read more