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TERM
Trading Area (TA)
Geographic area from where a store draws shoppers.
Definition
Trading area defines where a store's shoppers live and work.
How to Calculate
Map shopper ZIP codes from loyalty or mobile data.
Why it Matters
Targets media and sampling effectively.
Key Advantages
Improves store-level relevance.
Example
Primary trading area is 5 miles around the store.
Use it to
Define geographic zones reflecting shopper behavior and store patterns. Use TA boundaries to compare performance to local market dynamics.
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