Pitney Bowes Business Insight Forecasts Top Five U.S. Metros Most Likely to Experience Greatest Retail Success
LAS VEGAS, May 15, 2009 - Pitney Bowes Business Insight (PBBI), the leading global provider of location and communication intelligence solutions, today announced research findings that predict the top five U.S. metropolitan areas most likely to experience quarterly retail sales growth for the remainder of 2009 and into 2010. Pitney Bowes Business Insight compiled the data using MarketPulse™, a market analysis tool that uses current macroeconomic variables to understand and predict store performance.
To predict which U.S. metros are most likely to experience the best relative health in the retail sector, Pitney Bowes Business Insight first identified the top five best performing metros based on comparative sales history and their ability to remain relatively stable for the past six quarters (1Q 2008 – 2Q 2009). Pitney Bowes Business Insight used trend data to determine the U.S. metros most likely to experience sales growth over the next six quarters (3Q 2009 – 4Q 2010). The research analyzed various retail sectors, including drug stores, high-end retailers, mid-tier retailers and value retailers. The following metros have the greatest potential to fare better than others for retail sales recovery and/or growth in 2010:
Austin, TX: This market shows consistent healthy growth in gross metropolitan product, personal disposable income and consumer expenditures, coupled with a decline in personal bankruptcies.
Seattle, WA: Although Seattle’s housing and employment indicators will continue to be soft through 2010, this market was able to maintain respectable comparative sales for the last six quarters. With increasing personal expenditures, disposable income and gross metro product, this market ranks just below Austin in the drug store sector.
Dallas, TX: Despite the fact that employment growth stagnated in this market through 2009, Dallas compares favorably in all retail sectors. Buoyed by declining bankruptcies, the growth of disposable income in 2009, increased housing construction and an increase in gross metro product by the second half of 2010, Dallas ranks in the top five for comparable sales growth for both the drug store and value retail categories for the next six quarters.
San Antonio, TX: Along with other Texas markets, San Antonio enjoyed a relatively stable economic environment. Sustained by growth in personal expenditures and consistent growth in gross metro product heading into 2010, San Antonio is expected to be a top market in the drug store and value retail sectors.
Houston, TX: This Gulf market showed strong comparative sales growth in the drug store and high-end retail sectors. Going forward, steady employment and gross metro product will keep Houston in a relatively good position in the value retail sector.
“We designed MarketPulse to provide retail network executives with a real-time estimation of the macroeconomic events impacting retail markets,” says Devon Wolfe, managing director, Americas strategy & analytics services, Pitney Bowes Business Insight. “Our reports enable real estate professionals to track the economic variables that affect store performance in local markets, helping them make more profitable decisions about lease re-negotiations, capital re-investment, store closures, inventory management and budget allocations.” The Pitney Bowes Business Insight Strategy & Analytics team consists of consulting professionals who produce research and decision-making tools for major retail, restaurant, real estate and financial services companies worldwide.
For additional information on which cities ranked the highest within the high-end, mid-tier, value and drug store retail concepts, visit us at booth #2016 at this year’s ICSC RECON in Las Vegas, NV. For general information on MarketPulse, please visit www.mapinfo.com/products/solutions/predictive-analytics/marketpulse.
About Pitney Bowes Business Insight
Pitney Bowes Business Insight (PBBI), a division of Pitney Bowes Software Inc., provides a unique combination of location and communication intelligence software, data and services that enable organizations to make more informed decisions about customers, competition and market expansion. Pitney Bowes Software is a wholly-owned subsidiary of Pitney Bowes Inc. (NYSE – PBI). With the industry’s most comprehensive set of solutions for maximizing the value of customer data, PBBI provides the tools required to more effectively locate, connect and communicate with customers in today’s global markets. Leading organizations rely on PBBI solutions to increase the accuracy and effectiveness of customer information delivery and drive profitable growth. Visit www.pbbusinessinsight.com and www.pb.com for more information.