Mobility Data: Shaping the Future of Retail Strategy
- Mark Freeman
- Dec 30, 2024
- 2 min read
For decades, retailers have relied on traditional methods like census data, socio-demographics, and gravity models to make critical location and proposition decisions. While these tools served their purpose in their time, they often fell short in delivering the nuanced, dynamic insights needed to stay competitive in today’s fast-moving retail landscape. Enter mobility data—a revolutionary, near real-time tool that provides unparalleled accuracy and insight into human behaviour.
Mobility data doesn’t just represent the present—it’s a gateway to the future of retail strategy.
How Mobility Data is Created
Mobility data originates from the digital breadcrumbs we leave behind in our connected world. Derived from anonymised GPS signals, mobile apps, and other location-enabled services, it captures the movement of people in near real-time. Every trip to the supermarket, stroll through a shopping centre, or commute to work generates a data point that, when aggregated, reveals powerful patterns.
Unlike static data sources, mobility data is dynamic. It reflects the actual flow of people over time, offering a snapshot of behaviours across days, weeks, or even months. This makes it possible to understand not just where people live or work but how they move, when they travel, and why certain locations draw more footfall than others.
The Innovation of Near Real-Time Insights
Traditional methods like census data are updated infrequently—sometimes only every ten years. While these datasets offer a foundational understanding of population demographics, they’re inherently outdated by the time they’re available. Gravity models, meanwhile, rely on assumptions about where people should go, based on distance and attraction factors, rather than reflecting where they actually go.
Mobility data, on the other hand, is continuously refreshed. Retailers can see the immediate impact of seasonal trends, major events, or even unforeseen disruptions like road closures. This near real-time view enables decisions to be made with confidence, armed with the latest insights.
For example:
Opening a new store: Mobility data can reveal emerging hotspots of activity, helping retailers capture untapped demand ahead of competitors.
Optimising an existing network: By tracking shifts in footfall patterns, mobility data highlights stores that are losing relevance due to changing consumer behaviour or competitive pressure.
Defensive strategies: Retailers can spot competitor incursions early and act to protect their market share.
Why Mobility Data is Superior
Mobility data surpasses traditional methods because it’s fluid, precise, and reflective of real-world behaviour. While socio-demographics can tell you who lives in an area, mobility data tells you who visits—critical for retailers in destinations where shoppers come from far beyond the immediate catchment.
Similarly, catchment and gravity models rely on theoretical assumptions, whereas mobility data provides empirical evidence. It’s the difference between guessing where your customers might be and knowing where they are.
The Future of Retail Strategy
As technology continues to evolve, mobility data will only become more powerful. Improved accuracy, broader coverage, and deeper insights are already transforming the way retailers approach location strategy. By adopting mobility data, businesses aren’t just keeping up—they’re positioning themselves at the forefront of a smarter, faster, and more customer-centric future.
At h3hex, we specialise in turning mobility data into actionable insights that drive success. Whether you’re planning your next store or optimising your current network, mobility data is the tool that ensures your strategy is rooted in reality—and ready for the future.
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