01/27/2022

Store Location Selection Foundation Data

  1. Know where your existing consumers are: Geocode Members’ Shipping Address

  2. Know where Commercial/ Trade Zones of the city are: Point/Area of Interest Data

  3. If the Trade Zone is mature - Know how many customer are in the trade zone, and study the customer profiles: Location-based Service Flow and Flow Profile Data

  4. If the Trade Zone is under development - Know how many people live/work within the Trade Zone’s catchment: Location-based Service Population and Population Profile

Geospatial Data

What is Geospatial Data?

  • Any Data with a Geospatial Element is Geospatial Data

  • It can be a point:

  • It can be a line:

  • It can be a polygon:

Geospatial Data Elements

Geospatial Element Sub-element Example
Point xy coordinates Lina Building Point on a Map
Line 2 Points (2 xy coordinates) Average Speed of Road Segment on Minfu Road
Polygon Lines (3 xy coordinates or more) Population within Shangpu Center Boundary

Coordinates Systems

More like units for coordinates. For example, Metric System is used widely in the world, except not in the US.
WGS84 Coordinates System is widely used in the US and globally…

  • But not in China.

  • Here in China, we use GCJ02 (国测局2002, if you are wondering), we call it “Mars Coordinates System” (火星坐标系).

  • Or BD09, Baidu Coordinate System

  • When doing geospatial analysis, first thing to do is to choose the right Coordinate System, otherwise…

Best Example of Using the WRONG System

SH Live Customer’s Online Shipping Address

Geocoding: the process of turning address to coordinates

Geospatial Clustering of Members Who Visit SH Live

And Most of the Customer are Concentrated at…

Location-based Service (LBS) and LBS Data

Location-based Service (LBS) is a software service which uses geographic data and information to provide services or information to users.

  • Navigation: Baidu map, The app need to know where you are to provide navigation.

  • Social Networking: Wechat, Nearby Friend, etc.

  • Location-based Advertising: Dianping, Push some local restaurants when you are in an area.

  • Tracking: Almost every app on your phone.

LBS data is one of the side product produced by LBS providers, by collecting and processing millions of user’s locations from the Location-based services they provide. LBS data contains aggregated user’s information from an area:

  • Flow and Population

  • Gender, Age, Education, Child’s Age, Current Life Journey, Job, Purchase Power, House Price, Favorite Destination, Favorite Apps.

  • Customer Origin…

Jordan 2.0 Study: A Geospatial and LBS Use Case

A new Jordan flagship store is about to be opened in Beijing Sanlitun area in Chaoyang District, and the purpose of this study is to help teams to have a better understanding on current landscape of Jordan related purchases in Bejing Urban area, to illustrate the customer flow within the Sanlitun commercial area, and to model how Beijing Live customers’ Jordan purchasing behavior.
The study focuses on four main aspect of the Jordan store:

  • Exploratory Data Analysis on orders and members within Beijing Urban area (study area).

  • Exploratory Data Analysis on orders and members of Beijing Live store. This store is also located in Sanlitun.

  • A binary model on the probability to buy a Jordan product for Beijing Live customers.

  • A geospatial analysis on the Location-based service data for Sanlitun commercial area.

Jordan Buying Member in Each District

Beijing Urban Area Online Order Category

Member Gender

Model

Algorithm used: Logistic Regression Classification

\(Logit(P(Y = Buy Jordan(1))) = log(\frac{p}{1-p}) = \\ \beta_{0} + \beta_{1} Gender + \beta_{2}Age Group + \beta_{3} Basketball + \beta_{4} Football + \beta_{5} live \dots + \beta_{n}HighValue\)

Logistic Regression is commonly used for binary classification problems. one advantage of this algorithm is that it gives \(\beta\) for each term, and the signs can explain the effect of each term on dependent variable.

Model Result

Variable Log Odds(\(\beta\))
Male 1.053
Basketball 1.305
Live_basketball 0.260
Live_football -0.243
High_value_member 1.501

LBS Data of Sanlitun Taiguli

Huaihai TX Trade Zone Analysis: Showcase the Power of LBS

Night Cats in TX

Huaihai TX Mall Customer Age Distribution

Age Group Compare to City Average

Age Group Ratio Percent of Shanghai Average
18-24 35.7% 183%
25-30 29.6% 143%
31-35 14.6% 81%

Huaihai TX Mall Customer Current Life Journey

Huaihai TX Mall Customer Top Origins

Thank you