MCU10/2083 Development Application part 2 - Attachment 4 - Economic Impact and Need Assessment

4.2        CENTRE MARKET SHARES AND TURNOVER FORECASTS

           The centre’s market shares have been formulated under the following
           assumptions:
                 •    The centre will serve as a convenience based retail destination
                      providing a wide selection of convenience retailers in the one location
                      with extended trading hours.
                 •    The convenience store will provide just that – basic convenience items
                      currently underrepresented in the area. In light of its convenience
                      function and role, it would be largely distinct to other retail centres such
                      as Noosa Village which caters primarily for major food and grocery
                      shopping trips.
                 •    It will provide the single largest clustering of fast food outlets with
                      extended operating hours, affordably priced.
                 •    Access to the centre will be off both Gibson Road and Skipper Place.
                      There will also be provision for on-site parking making the centre easily
                      accessible and convenient to patrons.
                 •    It will be within walking distance to approximately half of its resident
                      catchment and also to a large visitor market.
                 •    Noosa Civic will be expanded with the addition of a department store,
                      discount department store, supermarket, and specialty shops.
           Table 4.2 below sets out our estimates of market shares and sales likely to be
           achievable by the proposed centre at 2013. It assumes that the 143m²
           convenience store is accompanied by a number of specialty shops,
           predominantly take away and also a bakery/patisserie and bank (Note that
           approximately 18m² of the convenience store space is allocated to the
           homewares/services commodity group in Table 4.1 to reflect its non-food
           merchandise). Overall, the centre is forecast to achieve sales of $4.5 million
           ($5,647/m²) at June 2013.
           Figure 4.1 shows the origin of the centre’s turnover at 2013 by trade area.
           The centre is expected to draw 7.5% of the take home food spending generated
           by primary trade area households and 3.0% of the secondary trade area’s take
           home food spending.
           The highest penetration would be achieved in the meals out/take away
           spending. The clustering of four national fast food outlets together with a
           deli/café will be highly appealing to the resident and visitor market. The subject
           proposal will be the most convenient fast food retail destination to primary and
           secondary households with provision of on-site parking and extended operating
           hours, thereby enhancing convenience.
           An estimated 34.4% of the centre’s sales (30% of take home food, 40% of
           meals out-take away, and 20% of homewares/services sales) is expected to
           come from visitors to the area and others residing outside the defined trade
           area. The meals out/take away food component is expected to achieve a higher

Noosaville Convenience Centre EIA
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