In the South Africa that we now live, post COVID-19, the fast food industry has seen significant growth according to data provided by Statistics South Africa. What this means is that fast food brands will want to expand their store networks to take-up opportunities in the market. Gone are the days that fast food brands can do simple feasibility studies or gap analysis to determine how many new sites they can open and whether a site is suitable or not.
What is needed is a proper accessibility study that looks at the optimised location of new fast food stores using a multivariate approach. To do this, information is required on the size of the fast food market and the market share of the different brands. It is only through information provided by the Market Research Foundation's (MRF) Marketing All Product Survey (MAPS) that this is possible. As the geospatial partner of the MRF, GeoScope was able to define Hungry Lion’s target market in the Eastern Cape province as well as their market share. This information is essential to conduct an optimization study of their stores in the province.
GeoMAPS allows data in the MAPS to be spatialised to get an understanding at a granular level of market share, basket size, frequency of spend and what retail facilities are brand attractors or detractors. Statistical analysis of the MAPS data allows fast food brands to define who their customers are and what is their consumer purchasing behaviour. More importantly, using accessibility modelling, the capacity and travel time to reach fast food outlets can be quantified. This in combination with other key layers of information, such as the location of competitors and prime sites allows store networks to be optimally defined.
Hungry Lion is the second fast food brand that GeoScope and AfricaScope has done a network optimization strategy for. In 2018, a similar study was done for McDonald's South Africa. Geoscope is a specialist in the development of geospatial data and the conducting of accessibility studies in the private and public sectors.