Location Planning :
+44 (0)20 7602 6000
TJX

Assessing potential new sites across Europe

The Challenge

Launched in 1994, TJX Europe is one of the 4 divisions of the TJX Companies, Inc. They have introduced the off-price retailing concept to the UK & Ireland through brands such as T.K. Maxx and HomeSense, and today, are the only major off-price retailer in Europe. After expanding into Germany in 2007 and Poland in 2009, TJX ended 2011 with 332 stores, which average approximately 32,000 square feet in size. Their plan is to expand through store openings in their current European markets with a long term objective of 650-725 stores.

TJX Europe was searching for a consultative partner to support their ambitious growth strategy. 

The Solution

CACI licenced TJX Europe our market leading analysis and mapping software, InSite, alongside a number of proprietary datasets. These datasets include Acorn – the UK’s leading geodemographic classification, Retail Footprint – the UK’s most widely used retail gravity model and Retail Markets – the leading international retail model available.

TJX use Retail Markets (Germany & Poland) and Retail Footprint (UK) alongside CACI’s geodemographics to help assess catchment potential for new stores and evaluate potential cannibalisation of opening new stores in existing store catchments.

TJX also compare their store catchments, based on customer postcodes, against retail catchments to identify gaps in their coverage. This is further enhanced by the use of shopping population and purchasing power. CACI’s data and software are used as the foundation for their target town list/ acquisition strategy, where target towns or markets now have to meet minimum thresholds in terms of size, whilst ensuring they do not cannibalise the existing estate.

The outputs allow TJX to add other information they know about the towns to create a database of potential opportunities.eir ambitious growth strategy. 

The Results

CACI software and data enables in depth catchment analysis which has provided a complete toolkit for the whole business to assess the potential for new sites across the UK, Germany and Poland. This approach across all 3 regions provides TJX Europe a consistent set of metrics to measure the potential of new sites, regardless of the region.

Further information

If you want to hear more about how CACI's Retail expertise can help you with your location strategy, get in contact now +44 (0)20 7602 6000

"Knowledge about our market performance is all very well but without the ability to benchmark this we can’t build as an informed investment strategy. CACI’s solution gives us these performance benchmarks through a detailed understanding of the markets across the UK and Europe. It’s invaluable in supporting our market strategy."

Scott Stevenson
Head of Business Planning & Analysis
UK Headquarters
Kensington

Kensington Village
Avonmore Road
London
W14 8TS View Kensington office map

 

Evaluate catchment potential for new stores

TJX