Demographics captures the fundamental demand-side characteristics of an area: income levels, population density, daytime vs nighttime population, age distribution, and education levels. These are the baseline variables that determine the spending capacity and consumer profile of a trade area.
Demographics form the foundation of site selection. A QSR needs density and moderate income; a luxury retailer needs high income and specific age profiles. Office tenants care about education levels and daytime population. Understanding the demographic profile helps match the right tenant to the right location.
Median household income within the trade area radius.
ACS 5-year estimates at block group level, area-weighted. Normalized using fixed-range scaling.
Residential population per square kilometer.
ACS population at block group level divided by area. Higher density generally means more foot traffic.
Estimated daytime population including commuters, measuring actual activity levels.
LEHD origin-destination data combined with Census residential population. Captures workplace inflows.
Concentration of working-age population (25-54), the primary consumer spending cohort.
Percentage of population in the 25-54 age band. Higher concentration = more spending power.
Percentage of population with bachelor's degree or higher.
ACS educational attainment data. Higher education correlates with higher spending and office demand.
A Demographics score of 80 means this location's population characteristics score 80 out of 100 based on fixed-range national benchmarks. High income, density, and education all contribute positively.