--- title: "The RetailSonar business case: how to optimize your future network footprint ?" url: "https://kb.retailsonar.com/en/article/the-retailsonar-business-case-how-to-optimize-your-future-network-footprint-" language: "en" last_updated: "2025-07-10T15:22:26.810Z" --- # The RetailSonar business case: how to optimize your future network footprint ? ## Possible applications of the platform Once you've mastered the basics (through the platform guides & quick start tours), it will be easier to understand how to combine the use of the several modules and functionalities in the platform to answer your different location strategy business questions. The RetailSonar application helps you to **optimize your future network footprint**. How you can grow towards this optimal future network depends on the following business case; "How to increase your sales by X % and/or reduce your operational cost by Y%?" The answer to this business case is a combination of different aspects such as **location planning** (*Which locations should I close* and w*here do I open new locations?*), **Optimize** (*How do different location scenarios impact my network, and which performs best?*), **location performance** (*For which locations is there still room for improvement and which actions should I take?*) and **targeted marketing** **efforts** to steer your customers towards your goals. How can you approach these questions in a data-driven way using our platform? Which actions should be considered within **Sales, Marketing and Real Estate** to optimize your sales network? The following 3-step approach will elaborate on the processes that can be rolled out parallel. For each step within this business case we constructed several practical useflows that will help you answer underlying business questions. ![image.png](https://content.api.getguru.com/files/view/e0ed2695-a207-4b1f-bec8-7a6f7f5c5b37)   When thinking about how you can evolve from the current situation (AS IS) to the optimal network of the future (TO BE) with higher network performance and reduced costs, you can follow a **targeted and well structured approach** that also **optimally exploits the synergies between 3 departments within your company.** ### **Step 1: Take the right actions per location** The easiest thing to do is to start with your existing sales network. As a first step you should investigate how to improve performances of existing locations so you can reach a higher network performance with limited costs. With some quick wins you can already improve your AS IS situation. #### **1.A Performance management aligned to local opportunities (Sales)** You want your locations to perform optimally. But are your existing locations performing at maximum capacity or is there still room for improvement? How do you identify underutilized locations and which actions can you take to manage them towards higher performance? For which locations is it more interesting to explore real estate opportunities? The following useflows explain how to answer all of these questions on the platform; - [*Analyze the performances of your locations and identify underutilized locations*](https://kb.retailsonar.com/en/article/analyze-the-performances-of-your-locations-and-identify-underutilized-locations) - [*Which actions can you take for underperforming and/or unprofitable locations?*](https://kb.retailsonar.com/en/article/which-actions-can-you-take-for-underperforming-and-or-unprofitable-locations-w-o-growth-potential) #### **1.B Targeted outbound marketing or sales efforts per location (Sales & Marketing)** In step 1A, opportunities for marketing activation campaigns will be exposed. The following useflow describes how Marketing can target the right customers in order to obtain an optimal return on your campaign investment. - [*Activating your (potential) customers: who should you target ?*](https://kb.retailsonar.com/en/article/activating-your-potential-customers-who-should-you-target-marketing) ### **Step 2: Close the right locations with care** In the second step, you can investigate the added value of all locations and discover which closures will have little impact on your network performance. Some poorly performing locations have limited to no opportunities for growth. For those locations it is advised to explore real estate opportunities together with the real estate team. #### **2.A Close locations with the lowest predicted churn (Real estates)** Closing a location will have an impact on your existing sales network. You want to know the added value of each location on your existing network, before deciding which ones need closing. The right data will help you answer this question. For each closure, it is advised to always make a **thorough business case.** The following useflow will guide you how you can identify the total predicted churn; - [*How to measure the impact of a closure or relocation on your network?*](https://kb.retailsonar.com/en/article/how-to-measure-the-impact-of-a-closure-or-relocation-on-your-network) #### **2.B reduce churn with strong retention campaigns (Marketing)** Do not consider this loss of location sales as a given fact. Retailers who know their customers well and have a solid omnichannel strategy are often able to keep churn to a minimum. When targeting your high risk of churn customers with the right retention campaigns, a higher percentage of lost sales might be regained within your own network. - [*Recovering customers & maximizing retention after closure or relocation*](https://kb.retailsonar.com/en/article/how-to-recover-customers-after-closure-or-relocation-marketing) #### **2.C Ensure continuation of brand awareness (Marketing*****)*** Closing an existing location will most likely impact the halo effect of the physical location on your virtual channel due to disappearing visibility and brand awareness in the local environment. We therefore recommend looking for alternatives that maintain your local brand awareness. A billboard, for example, is one of the ways to absorb some of the lost visibility. More future-proof is **digital advertising** in the zip code areas around the closed shop. This way you are able to keep your customers in the long term and at the same time ensure an influx of new customers. ### **Step 3: Open hotspot locations** Now that you carefully closed the right locations and limited the risk on churn, you can look for promising new opportunities. - [*Finding whitespots in your network*](https://kb.retailsonar.com/en/article/finding-whitespots-in-your-network) #### **3.A With outstanding ROI compared to CAPEX (Real estate)** What are the predicted sales of the new location and what is the impact on the total sales network? How much is the new location cannibalizing on your other locations? What's the impact on your online sales? What should you take into account when growing from your quickscan calculations to a final business case? All of these questions can easily be answer when you follow the next useflow; - *How can I calculate the predicted sales and cannibalization for a new potential location?* - *go read:* [*How to simulate a new location*](https://kb.retailsonar.com/en/article/how-to-simulate-a-new-location) - *go read:* [*Grow your quick scan simulations results into a final business case*](https://kb.retailsonar.com/en/article/grow-your-quick-scan-simulation-results-into-a-final-business-case) #### **3.B And outperform by strong activation campaigns (Marketing)** When opening new locations, Marketing will again play a very important role. By targeting your segmented **activation campaigns correctly**, a new location can perform even better than expected. Follow the steps within the following useflow to know how to target an activation campaign for new locations. - [*Activating your (potential) customers: who should you target ?*](https://kb.retailsonar.com/en/article/activating-your-potential-customers-who-should-you-target-marketing) #### **3.C Evaluate multiple locations at once (Optimization)** Testing your locations one by one can be tedious, especially if you're looking for the **best possible locations** within a city, for example. Here, you can simulate the same locations as before, but automatically, by launching a **Hotspot exercise** to evaluate several new potential locations. Each locations will be tested independently (without cannibalization between the tested points) and evaluated based on your platform’s model. You can then visually identify the most promising locations based on their individual impact (predicted sales, impact on your network, etc.) - *How can I test multiple locations in batch and then simulate the most promising ones together in my network?* - *go read:* [*Calculate in batch new locations for optimal network expansion*](https://kb.retailsonar.com/en/article/calculate-in-batch-new-locations-for-optimal-network-expansion) - *go read:* [*Learn how to create a simulation from selected locations*](https://kb.retailsonar.com/en/article/how-to-create-a-simulation-from-selected-locations) The **video** explains how RetailSonar helps businesses optimize their future network footprint through data-driven analyses and simulations: [Embedded content](https://www.youtube.com/embed/wJrW6qCP9s0)