Northfield Retail Study by Jody Gunderson

Bruce Schwartau Phone: 507 536-6308 863 30th Ave SE bwschwar@umn.edu Rochester, MN 55904 www.extension.umn.edu/Retail

Northfield Market Area Profile, June, 2009 Results based on an analysis from multiple datasources, compiled using Business Analyst from ESRI (www.esri.com). See Data and Methodology for more details.

How large is the local retail market ? 38,899 people living in 12,647 households.

The local market area for this analysis encompasses the area 10 miles around Northfield plus the additional zip codes of Webster and Lonsdale (see figure to right).

What do we know about households in the Northfield trade area? Median Household Income Median Disposable Income Households with related children

$71,077 $53,836 39.4%

Median Net Worth Median Age Households with persons 65+

$181,855 32.9 19.0%

What do we know about housing in the Northfield trade area ? Total Housing Units (2008) Median Home Value

10,094 $250,394

Renter Occupied Units

1,948 or 19.3% of total

What types of customers live in the Northfield trade area ? Number Percent of Households Demographics Household type Median Household Income Median Home Value

Green Living 4,214 33%

Sophisticated Squires 2,720 22%

Aspiring Young Families 1,534 12%

Married couple families $65,074

Married Couple Families $86,593

Family Mix $51,805

$197,519

$268,921

$161,871

Learn more about how Extension can help your community shape its future. Visit www.extension.umn.edu/community

Northfield Market Area Profile Introduction: The University of Minnesota Extension created the Market Area Profile (MAP) program to assist Minnesota communities to develop their retail and service sectors. The authors intend existing businesses, potential businesses, and economic development organizations to use the information in this report to better serve their market and develop individual business and main street strategies. University of Minnesota Extension staff created the report through sound secondary data and analysis compiled chiefly through Business Analyst, a GIS software program from ESRI. Report: Created: June, 2009 by Ryan Pesch and Bruce Schwartau, Extension Educators, University of Minnesota Extension Funding provided by the Northfield Enterprise Center, Northfield Downtown Development Corporation, Northfield Area Chamber of Commerce, and Northfield EDA. A special thank you to all business operators who helped develop recommendations.

Table of Contents 1. Customer Profile

Page 3-7

2. Lifestyle Segmentation Profile

Page 8-11

3. Market Potential Summary

Page 12-13

4. Retail Expansion Recommendations

Page 14

5. Retail Gap Analysis

Page 15-16

6. Appendix 1: Data and Methodology

Page 17-18

7. Appendix 2: Full report of Media Market Potential

Page 19-21

8. Appendix 3: Full report of Travel Market Potential

Page 22-23

9. Appendix 4: Full report of Leisure Market Potential

Page 24-26

Customer Profile All data derives from the 2000 census from the US Census Bureau, a division of the US Department of Commerce.

Northfield

Northfield Trade Area

Minesota

2008 Total Population 2013 Total Population 2008-2013 Annual Rate

38,899 42,367 2.00%

5,357,700 5,636,868 1.00%

2008 Households 2008 Average Household Size 2013 Households 2013 Average Household Size 2008-2013 Annual Rate

12,647 2.68 13,987 2.68 2.00%

2,099,737 2.48 2,218,134 2.48 1.00%

$55,165 $71,077 $77,666

$47,143 $62,757 $73,083

$20,970 $28,589 $33,216

$23,199 $31,884 $38,864

2008 Household by Income Household Income Base <15,000 $15,000 - $24,999 $25,000 - $34,999 $35,000 - $49,999 $50,000 - $74,999 $75,000 - $99,999 $100,000 - $149,999 $150,000 - $199,999 $200,000+

12,647 5.8% 5.7% 6.4% 11.7% 23.6% 21.5% 16.6% 5.6% 3.3%

2,099,736 7.8% 8.1% 8.8% 13.5% 22.1% 14.3% 16.6% 4.2% 4.5%

Average Household Income

$82,689

$80,432

2013 Household by Income Household Income Base <15,000 $15,000 - $24,999 $25,000 - $34,999 $35,000 - $49,999 $50,000 - $74,999 $75,000 - $99,999 $100,000 - $149,999 $150,000 - $199,999 $200,000+ Average Household Income

13,988 5.1% 5.2% 4.4% 8.6% 24.2% 17.3% 23.9% 6.5% 5.0% $95,258

2,218,133 6.3% 6.6% 6.3% 10.4% 22.0% 15.6% 21.2% 5.5% 6.0% $97,774

2008 Households by Disposable Income Total Households <$15,000 $15,000 - $34,999 $35,000 - $49,999 $50,000 - $74,999 $75,000 - $99,999 $100,000 - $149,999 $150,000 - $199,000 $200,000 + Average Disposable Income

12,647 7.2% 7.6% 17.7% 31.3% 12.2% 10.9% 1.5% 1.8% $65,335

2,099,736 9.8% 10.7% 17.7% 23.9% 11.7% 9.5% 2.1% 2.4% $63,250

Median Disposable Income

$53,836

$49,570

Income: Median Household Income 2000 2008 2013

Per Capita Income 2000 2008 2013

Source: U.S. Bureau of the Census, 2000 Census of Population and Housing. Forecasts for 2008 and 2013 from ESRI (www.esri.com). Extension Center for Community Vitality, University of Minnesota http://www.extension.umn.edu/community/

Market Area Profile May2009

Customer Profile All data derives from the 2000 census from the US Census Bureau, a division of the US Department of Commerce.

2008 Households by Net Worth Total Households <$15,000 $15,000 - $34,999 $35,000 - $49,999 $50,000 - $74,999 $75,000 - $99,999 $100,000 - $149,999 $150,000 - $249,999 $250,000 - $499,999 $500,000-$999,999 $1,000,000+ 2008 Average Net Worth 2008 Median Net Worth

Northfield 12,647 12.6% 5.8% 4.0% 5.5% 5.1% 10.9% 14.5% 20.1% 13.9%

Northfield Trade Area

Minesota 2,099,736 19.9% 7.6% 4.7% 6.3% 5.0% 9.9% 12.3% 16.0% 10.8%

7.53%

7.54%

$535,488 $181,855

$493,460 $129 686 $129,686

76.2% 19.3% 4.8%

67.0% 23.2% 9.7%

Housing: 2008 Housing Units Owner Occupied Housing Units Renter Occupied Housing Units Vacant Housing Units

2013 Housing Units Owner Occupied Housing Units Renter Occupied Housing Units Vacant Housing Units Median Home Value 2000 2008 2013

75.1% 20.0% 5.2%

66.0% 23.5% 10.5%

$154,532 $250,394 $261,013

$118,064 $187,003 $196,336

10,094 2.5% 2.2% 7.5% 19.1% 34.2% 26.5% 6.6% 1.3% $289,022 $250,394

1,559,119 5.6% 10.6% 18.8% 20.7% 26.5% 13.1% 3.9% 0.9% $219,229 $187,003

10,652 75.1% 4.9% 2.0% 1.6% 2.4% 5.5% 4.6% 3.8% 0.0%

2,065,946 67.8% 5.2% 3.0% 2.3% 2.4% 3.8% 10.7% 4.5% 0.0%

2008 Owner Occupied HUs by Value Total Housing Units <50,000 $50,000 - $99,999 $100,000 - $149,999 $150,000 - $199,999 $200,000 - $299,999 $300,000 - $499,999 $500,000 - $999,999 $1,000,000 + Average Home Value Median Home Value 2000 Housing Units by Units in Structure Total Housing Units 1, Detached 1, Attached 2 3 or 4 5 to 9 10 to 19 20 + Mobile Home Other

Market Area Profile May2009

Customer Profile All data derives from the 2000 census from the US Census Bureau, a division of the US Department of Commerce.

2000 Housing Units by Year Structure Total Housing Units 1999 to March 2000 1995 to 1998 1990 to 1994 1980 to 1989 1970 to 1979 1969 or Earlier Median Year Structure Built

Northfield

Northfield Trade Area

Minesota

10,653 3.8% 9.0% 9.0% 15.0% 20.9% 42.8% 1973

2,065,946 2.3% 6.6% 7.0% 14.0% 18.2% 51.2% 1969

30.6 32.9 34.0

35.4 36.9 37.6

2008 Population by Age Total Population 0-4 5-9 10 - 14 15 - 24 25 - 34 35 - 44 45 - 54 55 - 64 65 - 74 75 - 84 85 + 18 +

38,899 5.8% 6.0% 6.5% 23.7% 10.0% 12.7% 14.8% 10.3% 5.1% 3.4% 1.6% 77.3%

5,357,700 6.8% 6.5% 6.7% 14.1% 13.1% 14.4% 15.2% 10.9% 6.0% 4.1% 2.1% 75.8%

2008 Population by Race/Ethnicity Total Population White Alone Black Alone American Indian Alone Asian or Pacific Islander Alone Some Other Race Alone Two or More Races Hispanic Origin Diversity Index

38,899 94.0% 0.7% 0.3% 1.9% 1.4% 1.6% 4.6% 19.4

5,357,700 87.2% 4.2% 1.1% 3.8% 1.8% 2.0% 3.9% 29.4

22,531 3.5% 5.4% 29.3% 20.5% 7.9% 20.1% 13.4%

3,526,447 3.8% 5.8% 28.8% 22.6% 9.0% 20.6% 9.4%

Population Demographics: Median Age 2000 2008 2013

2008 Population 25+ by Educational Attainment Total Population Less Than 9th Grade 9th to 12th Grade, No Diploma High School Graduate Some College, No Degree Associate Degree Bachelor's Degree Master's/Prof/Doctorate Degree 2008 Population 15+ by Marital Status Total Population Never Married Married, Not Separated Married, Separated Widowed Divorced

31,768 32.2% 57.2% 10.5% 3.8% 6.7%

4,284,069 28.7% 56.9% 14.4% 5.2% 9.2%

Market Area Profile May2009

Customer Profile All data derives from the 2000 census from the US Census Bureau, a division of the US Department of Commerce.

Northfield Trade Area

Household Demographics: 2000 Households by Type

Northfield

Minesota

Total Family Households Married-couple Family With Related Children Other Family (No Spouse) With Related Children Nonfamily Households Householder Living Alone Householder Not Living Alone

10,212 73.5% 63.2% 32.2% 10.4% 7.2% 26.5% 20.8% 5.7%

1,895,127 66.2% 53.7% 25.8% 12.5% 8.5% 33.8% 26.9% 6.9%

2000 Households by Size Total 1 Person Household 2 Person Household 3 Person Household 4 Person Household 5 Person Household 6 Person Household 7 + Person Household

10,212 20.8% 33.7% 15.6% 17.7% 8.5% 2.5% 1.3%

1,895,127 26.9% 33.9% 15.0% 14.4% 6.5% 2.1% 1.2%

Households with Related Children Households with Persons 65+

39.4% 19.0%

34.3% 21.3%

2000 Households by Year Householder Moved In Total Moved in 1999 to March 2000 Moved in 1995 to 1998 Moved in 1990 to 1994 Moved in 1980 to 1989 Moved in 1970 to 1979 Moved in 1969 or Earlier Median Year Householder Moved In

10,212 17.2% 27.7% 17.0% 17.4% 11.0% 9.7% 1994

1,895,127 17.6% 28.4% 17.4% 16.6% 10.0% 10.0% 1994

2000 Households by Vehicles Available Total None 1 2 3 4 5+ Average Number of Vehicles Available

10,213 4.5% 26.3% 42.6% 18.4% 5.5% 2.7% 2.0

1,895,127 7.7% 31.2% 42.2% 13.7% 3.8% 1.5% 1.8

Market Area Profile May2009

Customer Profile All data derives from the 2000 census from the US Census Bureau, a division of the US Department of Commerce.

Northfield Trade Area

Employment: 2008 Employed Population 16+ by Industry Total Agriculture/Mining Construction Manufacturing Wholesale Trade Retail Trade Transportation/Utilities Information Finance/Insurance/Real Estate Services Public Administration

Northfield

Minnesota

19,799 2.6% 7.4% 12.4% 3.1% 8.1% 5.1% 1.7% 4.3% 53.1% 2.2%

2,752,132 1.9% 6.4% 13.4% 3.5% 11.1% 4.8% 2.1% 8.0% 45.8% 3.0%

19,801

2,752,132

60.0% 13.3% 23.2% 8.1% 15.3% 15.8% 24.2% 0.8% 6.1% 3.9% 7.1% 6.3%

62.5% 15.5% 22.4% 11.3% 13.3% 15.8% 21.7% 0.5% 5.0% 3.5% 7.2% 5.6%

2008 Employed Population 16+ by Occupation Total White Collar Management/Business/Financial Professional Sales Administrative Support Services Blue Collar Farming/Forestry/Fishing Construction/Extraction Installation/Maintenance/Repair Production Transportation/Material Moving 2000 Workers 16+ by Means of Transportation to Work Total Drove Alone - Car, Truck, or Van Carpooled - Car, Truck, or Van Public Transportation Walked Other Means Worked at Home

17,401 66.7% 10.7% 0.6% 14.2% 1.2% 6.6%

2,541,611 77.6% 10.4% 3.2% 3.3% 0.9% 4.6%

2000 Workers 16+ by Travel Time to Work Total Did not Work at Home Less than 5 minutes 5 to 9 minutes 10 to 19 minutes 20 to 24 minutes 25 to 34 minutes 35 to 44 minutes 45 to 59 minutes 60 to 89 minutes 90 or more minutes Worked at Home Average Travel Time to Work (in min)

17,401 93.4% 7.8% 22.9% 23.0% 8.5% 11.6% 6.5% 7.9% 4.0% 1.1% 6.6% 20.9

2,541,611 95.4% 4.4% 13.3% 31.0% 14.4% 17.3% 5.4% 5.3% 2.7% 1.5% 4.6% 21.9

Market Area Profile May2009

Lifestyle Profile Summary Community Tapestry classifies US neighborhoods into 65 market segments grouped together according to a detailed national profile. Data souces include Census 2000, Axciom's InfoBase consumer database, and Mediamark Research's Doublebase national customer survey (see appendix 1 for more details).

Top Segments: 17 Green Acres 06 Sophisticated Squires 28 Aspiring Young Families 22 Metropolitans

Number of Households

Percent

Index

4,214

33.3%

1,064

2,720

21.5%

796

1,534

12.1%

516

990

7.8%

658

17. Green Acres A "little bit country," Green Acres residents live in pastoral settings of developing suburban fringe areas, mainly in the Midwest and South. The median age is 39.9 years. Married couples with and without children comprise most of the households and live in single-family dwellings. This upscale market has a median household income of $62,300 and a median home value of $179,700. These do-it-yourselfers maintain and remodel their homesâ&#x20AC;&#x201D;paint, install carpet, or add a deckâ&#x20AC;&#x201D;and own all the necessary tools to accomplish these tasks. They also take care of their lawn and gardens, again, with the right tools. Vehicles of choice are motorcycles and full-sized pickup trucks. For exercise, residents ride their bikes and go water skiing, canoeing, and kayaking. Other activities include bird-watching, power boating, target shooting, hunting, and attending auto races.

06 Sophisticated Squires Sophisticated Squires residents enjoy cultured country living in newer home developments with low density and a median home value of $268,921. These urban escapees are primarily married-couple families, educated, and well employed. They prefer to commute to maintain their semi-rural lifestyle. The median age is 38.3 years. They do their own lawn and landscaping work as well as home improvement and remodeling projects such as installing carpet or hardwood floors and interior painting. They like to barbeque on their gas grills and make bread with their bread-making machines. This is the top market for owning three or more vehicles. Vehicles of choice are minivans and full-sized SUVs. Family activities include playing volleyball, bicycling, playing board games and cards, going to the zoo, and attending soccer and baseball games.

28 Aspiring Young Families Aspiring Young Families neighborhoods are located in large, growing metropolitan areas in the South and West, with the highest concentrations in California, Florida, and Texas. Mainly composed of young, married-couple families or single parents with children, the median age for this segment is 30.6 years. Nearly half of the households are owner-occupied, single family dwellings or townhomes, and over half are occupied by renters, many living in newer, multiunit buildings. Residents spend much of their discretionary income on baby and children's products and toys as well as home furnishings. Recent electronic purchases include cameras and video game systems. Leisure activities include dining out, dancing, going to the movies, attending professional football games, fishing, weight lifting, and playing basketball. Typically, vacations would include visits to theme parks. Internet usage mainly involves chat room visits. 22 Metropolitans Metropolitans residents favor city living in older neighborhoods. Approximately half of the households are composed of singles who live alone or with others. However, married-couple families comprise 40 percent of the households. The median age is 37.7 years. Over half of employed persons hold professional or management positions. These neighborhoods are an eclectic mix of single-family homes and multiunit structures, with a median home value of $215,587. The median household income is $62,812. Residents lead busy, active lifestyles. They travel frequently and participate in numerous civic activities. They enjoy going to museums and zoos and listening to classical music and jazz on the radio. Refinishing furniture and playing a musical instrument are favorite hobbies. Exercise includes yoga, using Rollerblades, and hiking/backpacking.

Source: ESRI, 2008 Estimates and Projections

Lifestyle Profile Community Tapestry classifies US neighborhoods into 65 market segments grouped together according to a detailed national profiles. Data souces include Census 2000, Axciom's Infobase consumer database, and Mediamark Research's Doublebase customer survey (see Appendix 1 for details)

Tapestry LifeMode Groups

2008 Households Number 12,648

Percent

L1. High Society

3,543

28.0%

223

01 Top Rung

0.0%

02 Suburban Splendor

0.0%

03 Connoisseurs

0.0%

04 Boomburbs

0.0%

05 Wealthy Seaboard Suburbs

0.0%

2,720

21.5%

796

823

6.5%

265

5,067 0

40.1% 0.0%

290 0

10 Pleasant-Ville

0.0%

11 Pacific Heights

0.0%

853

6.7%

272

Total

06 Sophisticated Squires 07 Exurbanites L2. Upscale Avenues

09 Urban Chic

13 In Style

100.0%

0.0%

4,214

33.3%

1,064

16 Enterprising Professionals 17 Green Acres

Index

18 Cozy and Comfortable L3. Metropolis

0.0%

990

7.8%

147

0.0%

990

7.8%

658

45 City Strivers

0.0%

51 Metro City Edge

0.0%

54 Urban Rows

0.0%

62 Modest Income Homes

0.0%

20 City Lights 22 Metropolitans

0.0%

08 Laptops and Lattes

0.0%

23 Trendsetters

0.0%

27 Metro Renters

0.0%

36 Old and Newcomers

0.0%

39 Young and Restless

0.0%

L4. Solo Acts

0.0%

14 Prosperous Empty Nesters

0.0%

15 Silver and Gold

0.0%

29 Rustbelt Retirees

0.0%

30 Retirement Communities

0.0%

43 The Elders

0.0%

49 Senior Sun Seekers

0.0%

50 Heartland Communities

0.0%

57 Simple Living

0.0%

65 Social Security Set

0.0%

L5. Senior Styles

Source: ESRI, 2008 Estimates and Projections Data Note: This report identifies neighborhood segments in the area, and describes the socioeconomic quality of the immediate neighborhood. The index is a comparison of the percent of households in the area, by Tapestry segment, to the percent of households or population in the United States, by segment. An index of 100 is the US average.

Extension Center for Community Vitality, University of Minnesota http://www.extension.umn.edu/community/

Market Area Profile April2009

Tapestry LifeMode Groups

Total

2008 Households Number 12,648

Percent

Index

100.0%

0.0%

40 Military Proximity

0.0%

55 College Towns

0.0%

63 Dorms to Diplomas

0.0%

L6. Scholars & Patriots

L7. High Hopes

28 Aspiring Young Families

1,876

14.8%

360

1,534

12.1%

516

342

2.7%

153

0 0 0 0 0 0 0 0 0

0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

0 0 0 0 0 0 0 0 0

48 Great Expectations L8. Global Roots 35 International Marketplace 38 Industrious Urban Fringe 44 Urban Melting Pot 47 Las Casas 52 Inner City Tenants 58 NeWest Residents 60 City Dimensions 61 High Rise Renters

0.0%

12 Up and Coming Families

0.0%

19 Milk and Cookies

0.0%

21 Urban Villages

0.0%

59 Southwestern Families

0.0%

64 City Commons

0.0%

824

6.5%

792

6.3%

239

L9. Family Portrait

L10. Traditional Living

24 Main Street, USA

0.3%

33 Midlife Junction

0.0%

34 Family Foundations

0.0%

0.1%

32 Rustbelt Traditions

L11. Factories & Farms

25 Salt of the Earth

0.0%

0.1%

42 Southern Satellites

0.0%

53 Home Town

0.0%

56 Rural Bypasses

0.0%

334

2.6%

4 0 330 0

0.0% 0.0% 2.6% 0.0%

1 0 175 0

0.0%

37 Prairie Living

L12. American Quilt

26 Midland Crowd 31 Rural Resort Dwellers 41 Crossroads 46 Rooted Rural

66 Unclassified

Extension Center for Community Vitality, University of Minnesota http://www.extension.umn.edu/community/

Market Area Profile April2009

Tapestry Index by Households Index

100

200

300

400

500

600

700

Tapestry Segments

1 2 3 4 5 8 9 10 11 12 14 15 16 18 19 20 21 23 25 26 27 29 30 31 32 33 34 35 36 37 38 39 40 42 43 44 45 46 47 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66

800

900 1000 1100 1200 1300 1400 1500

13 17 22 24 28

Data Note: This report identifies neighborhood segments in the area, and describes the socioeconomic quality of the immediate neighborhood. The index is a comparison of the percent of households or population in the area, by Tapestry segment, to the percent of households or population in the United States, by segment. An index of 100 is the US average.

Market Potential Summary Based on the mix of customer demographics and lifestyles, we have knowledge of their media, leisure, and travel habits from national marketing data. Below are some highlights of this information, although full information on media, leisure, and travel habits is compiled in Appendices 2-4.

Media: How to reach your customers A. Magazine Readership Product/consumer behavior: Light magazine reader Light-medium magazine reader Medium magazine reader Medium-heavy magazine reader Heavy magazine reader Read business/finance magazines Read Epicurean magazines Read motorcycle magazines

Expected # of Housholds 2086 2710 2805 2651 2398 2432 711 553

Expected % of Households 16% 21% 22% 21% 19% 19% 6% 4%

MPI 81 107 112 105 96 111 110 119

B. Newspaper Readership Light newspaper reader Light-medium newspaper reader Medium newspaper reader Medium-heavy newspaper reader Heavy newspaper reader Read any daily newspaper Read any Sunday newspaper Read newspaper: business/finance section Read newspaper: home/furnishings/gardening section Read newspaper: travel section

2113 2759 2407 2799 2572 6397 8133 4400 3091 2925

17% 22% 19% 22% 20% 51% 64% 35% 24% 23%

81 108 95 113 104 105 110 117 119 121

2184 2688 2715 2592 2470 2080 1756 1035

17% 21% 21% 20% 20% 16% 14% 8%

86 107 108 102 98 143 123 124

C. Radio Listenership Light radio listener Light-medium radio listener Medium radio listener Medium-heavy radio listener Heavy radio listener Radio format listen to: news/talk Radio format listen to: rock Radio format listen to: soft adult contemporary

Travel: What travel products do your customers use?

Product/consumer behavior: Stayed 1+ nights at hotel/motel in last 12 months Hotel/motel stayed in/12 mo: Holiday Inn Express Hotel/motel stayed in/12 mo: Courtyard Hotel/motel stayed in/12 mo: Embassy Suites Hotel/motel stayed in/12 mo: Fairfield Inn Domestic travel in last 12 months Domestic travel for business in last 12 months Went backpacking/hiking on domestic vacation/12 mo Went to beach on domestic vacation in last 12 mo Played golf on domestic vacation in last 12 months Visited National Park on domestic vacation/12 mo Foreign travel in last 3 years

Expected # of Housholds 6686 596 440 418 391 8154 1371 510 1893 401 947 3419

Expected % of Households 53% 5% 3% 3% 3% 64% 11% 4% 15% 3% 7% 27%

MPI 121 134 139 130 133 118 128 130 132 121 122 113

Leisure: What types of activities do your customers engage in? Played musical instrument in last 12 months Did photography in last 12 months Did woodworking in last 12 months Attended adult education course in last 12 months Dined out in last 12 months Dine out < once a month Dine out once a month Dine out 2-3 times a month Dine out once a week Dine out 2+ times per week Went to museum in last 12 months Went to zoo in last 12 months Did birdwatching in last 12 months Played board game in last 12 months Participated in ice skating Play golf once a month Play golf 2-3 times a month Participated in horseback riding Participated in motorcycling

1155 1905 929 1004 7302 634 879 1647 1860 1490 2155 1844 773 2623 455 255 261 552 479

9% 15% 7% 8% 58% 5% 7% 13% 15% 12% 17% 15% 6% 21% 4% 2% 2% 4% 4%

120 122 129 119 116 109 112 110 125 111 123 122 127 123 125 135 127 138 124

Data Note: An MPI (Market Potential Index measures the relative likelihood of the household in the specified trade area to exhibit certain consumer behavior purchasing patterns compared to the US average. An MPI of 100 represents the US average. Source: These data area based upon national propensities to use various products and services, applied to local demographic composition. Usage data were collected by Mediamark Research Inc. in a nationally representative survey of US households. Please see Appendix 1 for more detail on data and methodology. .

Recommendations: Business Opportunities Introduction: In April, 2009 a retail study group consisting of local retailers and business leaders met and looked over the initial findings of the report and the Retail Gap Analysis in particular. Based on this information and their local knowledge of the market, the retail study group came up with a few preliminary recommendations for retail business opportunities: 1. 2. 3. 4. 5. 6. 7. 8.

Sporting Goods Store Deli/Butcher Shop Family Entertainment Establishment Business Hotel a. With Convention Center Movie Theater Specialty Dining a. BBQ, ethnic Music Store Office Supply

Results of the Market Area Profile were presented on June 3, 2009 at workshop in Northfield. Attendees (n=14) choose their top three store formats from the preliminary recommendations using anonymous voting based on greatest community need and ability to succeed in the local market. The voting prioritized those store formats to identify those of greatest need in the community: • Movie Theater • Specialty dining • Family Entertainment Please rank your top three in your order of what you think would succeed in Northfield Sporting Goods Store Deli/Butcher Shop Family Entertainment Enterprise Business Hotel w/convention center Movie Theater Specialty dining (BBQ) Music Store Office Supply Totals

Responses 4 4 6 4 8 9 2 2 39

10.26% 10.26% 15.38% 10.26% 20.51% 23.08% 5.13% 5.13% 100%

Percent which chose as #1 pick 7% 14% 14% 21% 36% 7% 0% 0% 100%

*These are only recommendations to identify business opportunities in the local market. Any entrepreneur should engage in business planning to vet these recommendations before pursuing a business launch.

Retail Gap Analysis: Northfield This report estimates the potential number of businesses across 73 store categories based on the spending of the area residents (demand) compared to the number of stores in the trade area (supply). Those categores where demand is greater than suppply are oppportunities for businesses development. Demand estimates are calculated from US Economic Census data and supply listings are from InfoUSA, which compiles a national database of businesses (see Appendix 1 for more details).

NAICS 44111 44112 44121 44122 4413 4421 4422 44311 44312 44313 44411 44412 44413 44419 4442 4451 4452 4453 44611 44612 44613 44619 4471 452 44811 44812 44813 44814 44815 44819 44821 44831 44832 45111 45112 45113 45114 45121 45122

Name Vehicle, Furniture, and Building Materials New car dealers Used car dealers ** Recreational vehicle dealers ** Motorcycle, boat, & other motor vehicles** Automotive parts, accessories, & tire stores Furniture stores Home furnishings stores Appliance, television, & other electronics stores Computer & software stores Camera & photographic supplies stores Home centers Paint & wallpaper stores Hardware stores Specialized building material dealers Lawn & garden equipment & supplies stores Food, Health, and General Merchandise Grocery stores Specialty food stores** Beer, wine, & liquor stores Pharmacies & drug stores Cosmetics, beauty supplies, perfume stores** Optical goods stores Other health care (vitamin, medical equip)** Gasoline stations General merchandise stores Clothing Men's clothing stores Women's clothing stores Children's & infants' clothing stores Family clothing stores Clothing accessories stores** Specialized clothing stores (dress, etc)** Shoe stores Jewelry stores Luggage & leather goods stores Leisure Goods Sporting goods stores Hobby, toy, & game stores** Sewing, needlework, & piece goods stores** Musical instrument & supplies stores** Traveler accommodation Tape, compact disc, & record stores

Potential MN No. of No. of Stores Potential Average Sales Stores (Demand Sales per MN Sales in Trade Stores Per (Demand) (Supply)* Supply) Area Store Capita $ 2,596 $ 185 $ 68 $ 211 $ 243 $ 213 $ 191 $ 353 $ 67 $ 19 $ 421 $ 34 $ 114 $ 489 $ 289

$ 23,849,936 $ 660,285 $ 2,031,511 $ 1,425,017 $ 827,757 $ 1,749,541 $ 861,742 $ 2,165,660 $ 1,042,462 $ 1,025,277 $ 14,860,573 $ 1,087,977 $ 1,078,077 $ 2,218,778 $ 2,004,603

$ 100,994,234 $ 7,187,682 $ 2,657,340 $ 8,224,807 $ 9,451,185 $ 8,287,755 $ 7,438,321 $ 13,715,948 $ 2,588,535 $ 742,544 $ 16,363,513 $ 1,326,656 $ 4,437,719 $ 19,037,099 $ 11,244,103

4.2 10.9 1.3 5.8 11.4 4.7 8.6 6.3 2.5 0.7 1.1 1.2 4.1 8.6 5.6

2 2 0 6 8 2 7 3 4 0 1 1 2 8 6

2.2 8.9 1.3 -0.2 3.4 2.7 1.6 3.3 -1.5 0.7 0.1 0.2 2.1 0.6 -0.4

$ 1,633 $ 44 $ 224 $ 493 $ 19 $ 31 $ 43 $ 1,213 $ 1,888

$ $ $ $ $ $ $ $ $

5,470,174 250,253 1,097,532 4,007,090 77,361 505,027 230,709 2,328,291 9,367,753

$ $ $ $ $ $ $ $ $

63,508,528 1,727,353 8,719,278 19,189,288 750,654 1,186,852 1,674,290 47,180,162 73,452,324

11.6 6.9 7.9 4.8 9.7 2.4 7.3 20.3 7.8

11 9 4 5 0 1 3 10 4

0.6 -2.1 3.9 -0.2 9.7 1.4 4.3 10.3 3.8

$ $ $ $ $ $ $ $ $

22 104 22 217 9 30 66 84 4

$ 710,286 $ 781,287 $ 802,958 $ 2,141,328 $ 166,937 $ 314,183 $ 736,215 $ 562,839 $ 449,951

$ $ $ $ $ $ $ $ $

839,862 4,030,145 842,628 8,434,614 362,706 1,172,544 2,557,157 3,252,713 139,659

1.2 5.2 1.0 3.9 2.2 3.7 3.5 5.8 0.3

0 2 1 3 1 0 0 1 1

1.2 3.2 0.0 0.9 1.2 3.7 3.5 4.8 -0.7

$ $ $ $ $ $

177 55 28 26 56 19

$ $ $ $ $ $

6,890,395 2,128,268 1,084,516 1,002,822 2,170,275 741,183

7.8 4.0 4.3 1.7 5.2 1.3

3 2 1 4 3 1

4.8 2.0 3.3 -2.3 2.2 0.3

880,427 527,447 253,456 603,096 414,203 560,296

NAICS 4531 45321 45322 4533 45391 45392 45393 51213 54192 5321 53222 53223 5323 7131 7139 7211 7212 7221 7222 7224 81111 81112 81119 81141 81142 81143 81149 812111 812112 812113 81219 81231 81232 81291 81292

Name Miscellaneous Retail Florists Office supplies & stationery stores Gift, novelty, & souvenir stores** Used merchandise stores Pet & pet supplies stores Art dealers** Manufactured (mobile) home dealers Motion picture & video exhibition** Photographic services Rental Automotive equipment rental & leasing Formal wear & costume rental** Video tape & disc rental General rental centers** Amusement and Recreation Amusement parks & arcades** Other amusement (bowling, golf, fitness) Accomodation and Food Services Traveler accommodation RV parks & recreational camps** Full-service restaurants Limited-service eating places Drinking places (alcoholic beverages) Auto and Equipment Services Automotive mechanical & electrical repair** Automotive body, paint, interior, & glass** Other automotive repair & maintenance** Home/garden equipment & appliance repair** Reupholstery & furniture repair** Footwear & leather goods repair** Personal goods repair (watch, boat, garment) ** Personal Services Barber shops** Beauty salons** Nail salons** Other personal care services** Coin-operated laundries & drycleaners** Drycleaning & laundry (except coin-operated) Pet care (except veterinary) services** Photofinishing**

MN Sales Per Capita

Sales per Ave. MN Store

Potential No. of No. of Stores Potential Stores (Demand Sales in Trade Stores (Demand) (Supply)* Supply) Area

$ $ $ $ $ $ $ $ $

41 62 84 36 36 11 39 41 75

$ 253,814 $ 1,413,141 $ 218,920 $ 120,809 $ 629,999 $ 134,523 $ 2,113,960 $ 508,869 $ 721,509

$ $ $ $ $ $ $ $ $

1,609,379 2,422,860 3,253,517 1,401,699 1,396,741 434,444 1,515,386 1,609,550 2,927,312

6.3 1.7 14.9 11.6 2.2 3.2 0.7 3.2 4.1

5 1 12 9 2 0 0 1 7

1.3 0.7 2.9 2.6 0.2 3.2 0.7 2.2 -2.9

$ $ $ $

185 4 31 20

$ 5,065,240 $ 271,278 $ 415,012 $ 49,757

$ $ $ $

7,187,138 174,417 1,189,999 795,739

1.4 0.6 2.9 16.0

1 1 2 1

0.4 -0.4 0.9 15.0

$ $

27 230

$ $

1,033,301 8,942,297

20.2 17.6

0 16

20.2 1.6

$ $ $ $ $

460 25 597 491 78

$ 1,673,589 $ 218,442 $ 829,891 $ 499,216 $ 321,765

$ 17,884,300 $ 962,137 $ 23,231,948 $ 19,084,713 $ 3,027,062

10.7 4.4 28.0 38.2 9.4

8 2 36 6 6

2.7 2.4 -8.0 32.2 3.4

$ $ $ $ $ $ $

203 153 47 14 8 1 32

$ $ $ $ $ $ $

242,487 308,050 189,052 90,125 66,137 65,556 36,396

$ $ $ $ $ $ $

7,902,807 5,957,714 1,841,418 539,490 325,517 43,118 1,247,760

32.6 19.3 9.7 6.0 4.9 0.7 34.3

16 8 0 5 4 1 5

16.6 11.3 9.7 1.0 0.9 -0.3 29.3

$ $ $ $ $ $ $ $

6 118 9 22 8 23 9 22

$ $ $ $ $ $ $ $

27,235 74,988 43,930 51,882 122,184 297,567 40,375 291,245

$ $ $ $ $ $ $ $

252,197 4,590,791 353,547 869,198 327,775 903,818 352,986 841,569

9.3 61.2 8.0 16.8 2.7 3.0 8.7 2.9

2 26 3 6 1 1 6 1

7.3 35.2 5.0 10.8 1.7 2.0 2.7 1.9

51,030 508,628

* Existing store records are from a national business database from InfoUSA and compiled from public sources including the Yellow Pages and annual reports. Care should be taken to investigate actual local conditions, including the number of operating businesses in any NAICS category. ** Denotes a store category with a high level of non-employers (over 40% of all MN businesses)

Appendix I: Data and Methodology Tapestry Segmentation Profile: Segmentation systems operate on the theory that people with similar tastes, lifestyles, and behaviors seek others with the same tastes—“like seeks like.” These behaviors can be measured, predicted, and targeted. ESRI’s segmentation system, Community™ Tapestry™, combines the “who” of lifestyle demography with the “where” of local neighborhood geography to create a model of various lifestyle classifications or segments of actual neighborhoods with addresses—distinct behavioral market segments. Segmentation Methodology: Based on the foundation of proven segmentation methodology introduced more than 30 years ago, the Community Tapestry system classifies U.S. neighborhoods into 65 market segments. Neighborhoods with the most similar characteristics are grouped together while neighborhoods showing divergent characteristics are separated. Each neighborhood is analyzed and sorted by more than 60 attributes including income, employment, home value, housing type, education, household composition, age, and other key determinants of consumer behavior. U.S. consumer markets are multidimensional and diverse. Using a large array of attributes captures this diversity with the most powerful data available. Data sources such as Census 2000 data, ESRI’s proprietary demographic updates, Acxiom’s InfoBase consumer database, Mediamark Research Inc.’s Doublebase 2004 national consumer survey, and other sources are used to capture the subtlety and vibrancy of the U.S. marketplace. Source: Community Tapestry Handbook, May 2006. Available at http://www.esri.com

Media, Travel and Leisure Market Potential: These habits are derived from an ongoing, comprehensive study of the adult population of the United States called The Survey of the American Consumer. The survey is conduced by Mediamark Research, a national marketing firm. Conducted continuously since 1979, Mediamark surveys the demographics, product usage, and media exposure of all persons aged 18 and over in the contiguous 48 states. Market Potential Methodology: One adult per household is selected to participate in the survey. Each listed household is predesignated with the sex of the prospective respondent. If the household does not have any adult member of the predesignated sex, then the available respondent is selected. This is done in such a way that men and women constitute, in effect, separate samples of randomly selected individuals.

The completed Mediamark sample consists of over 25,000 respondents. Each year the sample is completely redrawn, with 13,000 new respondents entering the survey every six months. 2,400 new clusters are selected yearly from a continuously updated master list. Resulting data is weighted to reflect the probabilities of selection inherent in the sample design and then balanced so that major study demographics match the most recent independent estimates. Weighting and subsequent balancing are accomplished within the male and female portions of the sample. The samples are then balanced on a set of population parameters. For more information, see http://www.mediamark.com and follow The Survey of the American Consumer. Retail Gap Analysis: The retail gap analysis is a basic comparison of the demand for retail goods and services in an area and the supply of retail goods and services in the same area. Store categories where demand is greater than supply hold opportunity for business development and possible investigation. Demand Data and Methodology: Demand is calculated from 2002 US Economic Census data updated for inflation. The US Economic Census is a federally-mandated census of businesses, which surveys all medium, large, and multi-establishment firms as well as compiles data on small firms and select industries from other federal administration records. Of particular note are the gross sales estimates per stores category (NAICS code), which we use to calculate demand. Only Minnesota data were used to represent local consumption patterns and calculate per capita spending. For each Market Area Profile, the population of the target trade area is multiplied by per capita spending across all store categories, giving an estimate of gross sales demand. To best illustrate a store gap, total sales are converted into store equivalents using the average sales per store in each category. Supply Data and Methodology: Supply data is from InfoUSA, a national private business data compiler. The company collects information on over 12 million private and public US companies from various public data sources, including yellow pages, annual reports, and others business directories. For each Market Area Profile, business listings in the target area are sorted according to store category (NAICS code) and matched with the demand estimate in the same category for comparison.

Market Potential: Media Northfield Total 2008 Households: 12,648

Product/Consumer Behavior

Light viewer of daytime TV Medium viewer of daytime TV Heavy viewer of daytime TV Light viewer of primetime TV Light-medium viewer of primetime TV Medium viewer of primetime TV HH watched 15+ hours of cable TV last week Watched 1-9 hours of cable TV last week Watched 10-20 hours of cable TV last week Watched 21+ hours of cable TV last week Watched last week: A&E Television Network Watched last week: ABC Family Channel HH has cable TV available in neighborhood HH subscribes to cable TV HH subscribes to digital cable TV HH has pay TV HH has satellite dish HH watched cable TV last week Medium-heavy viewer of primetime TV Heavy viewer of primetime TV Light magazine reader Light-medium magazine reader Medium magazine reader Medium-heavy magazine reader Heavy magazine reader Read airline magazines Read automotive magazines Read baby magazines Read boating magazines Read bridal magazines Read business/finance magazines Read computer magazines

Expected Number of Households

1250 1016 936 2813 2603 2590 6975 9877 2259 433 2918 2454 11413 8026 1801 3913 2403 9797 2424 2221 2086 2710 2805 2651 2398 787 1737 599 365 502 2432 899

Expected Percent of Households

10% 8% 7% 22% 21% 20% 55% 78% 18% 3% 23% 19% 90% 63% 14% 31% 19% 77% 19% 18% 16% 21% 22% 21% 19% 6% 14% 5% 3% 4% 19% 7%

MPI

99 80 73 111 103 102 101 105 91 76 111 98 99 100 111 103 119 104 96 88 81 107 112 105 96 115 101 88 99 88 111 104

Data Note: An MPI (Market Potential Index measures the relative likelihood of the household in the specified trade area to exhibit certain consumer behavior purchasing patterns compared to the US average. An MPI of Source: These data area based upon national propensities to use various products and services, applied to local demographic composition. Usage data were collected by Mediamark Research Inc. in a nationally

Product/Consumer Behavior

Read Epicurean magazines Read fishing/hunting magazines Read gardening magazines Read general editorial magazines Read health magazines Read home service magazines Read motorcycle magazines Read music magazines Read news - weekly magazines Read parenthood magazines Read science/technology magazines Read sports magazines Read travel magazines Read women`s fashion magazines Light newspaper reader Light-medium newspaper reader Medium newspaper reader Medium-heavy newspaper reader Heavy newspaper reader Read any daily newspaper Read one daily newspaper Read two or more daily newspapers Read any Sunday newspaper Read one Sunday newspaper Read two or more Sunday newspapers Read newspaper: business/finance section Read newspaper: classified section Read newspaper: comics section Read newspaper: editorial page section Read newspaper: fashion section Read newspaper: food/cooking section Read newspaper: general news section Read newspaper: home/furnishings/gardening section Read newspaper: movie listings/reviews section Read newspaper: science & technology section Read newspaper: sports section Read newspaper: travel section Read newspaper: TV/radio listings section Light radio listener Light-medium radio listener Medium radio listener Medium-heavy radio listener Heavy radio listener Radio format listen to: adult contemporary Radio format listen to: all news

Expected Number of Households

711 1787 619 6218 1664 4753 553 1300 5452 1744 926 2086 1263 650 2113 2759 2407 2799 2572 6397 5186 1211 8133 6968 1166 4400 4519 4042 4476 1887 3467 7954 3091 3689 2584 4752 2925 3305 2184 2688 2715 2592 2470 2526 598

Expected Percent of Households

6% 14% 5% 49% 13% 38% 4% 10% 43% 14% 7% 16% 10% 5% 17% 22% 19% 22% 20% 51% 41% 10% 64% 55% 9% 35% 36% 32% 35% 15% 27% 63% 24% 29% 20% 38% 23% 26% 17% 21% 21% 20% 20% 20% 5%

MPI

110 108 103 102 103 108 119 83 101 95 108 108 109 81 81 108 95 113 104 105 107 96 110 110 109 117 102 108 113 102 107 107 119 112 118 110 121 107 86 107 108 102 98 111 84

Product/Consumer Behavior

Radio format listen to: all talk Radio format listen to: alternative Radio format listen to: classic hits Radio format listen to: classic rock Radio format listen to: classical Radio format listen to: contemporary hit radio Radio format listen to: country Radio format listen to: Hispanic Radio format listen to: jazz Radio format listen to: news/talk Radio format listen to: oldies Radio format listen to: public Radio format listen to: religious Radio format listen to: rock Radio format listen to: soft adult contemporary Radio format listen to: sports Radio format listen to: urban Radio format listen to: variety/other Radio listening: auto racing (NASCAR) Radio listening: baseball playoffs/World Series Radio listening: baseball (regular season) Radio listening: basketball (college) Radio listening: basketball (pro) Radio listening: football (college) Radio listening: football-Monday night (pro) Radio listening: football-weekend (pro) Radio listening: golf Radio listening: ice hockey Radio listening: NFL playoffs/Superbowl Listen to Radio: 6:00 am - 10:00 am weekday Listen to Radio: 10:00 am - 3:00 pm weekday Listen to Radio: 3:00 pm - 7:00 pm weekday Listen to Radio: 7:00 pm - midnight weekday Listen to Radio: midnight - 6:00 am weekday Listen to Radio: 6:00 am - 10:00 am weekend Listen to Radio: 10:00 am - 3:00 pm weekend Listen to Radio: 3:00 pm - 7:00 pm weekend Listen to Radio: 7:00 pm - midnight weekend Listen to Radio: midnight - 6:00 am weekend

Expected Number of Households

472 1481 692 1577 594 2321 2782 311 577 2080 1684 393 753 1756 1035 625 1216 1119 803 1273 1554 821 758 1283 810 1331 302 559 827 7488 5051 6193 2037 620 4113 5575 4206 1905 530

Expected Percent of Households

4% 12% 5% 12% 5% 18% 22% 2% 5% 16% 13% 3% 6% 14% 8% 5% 10% 9% 6% 10% 12% 6% 6% 10% 6% 11% 2% 4% 7% 59% 40% 49% 16% 5% 33% 44% 33% 15% 4%

MPI

93 121 122 116 119 97 104 43 101 143 116 105 111 123 124 115 77 104 104 114 122 113 102 117 101 113 90 126 104 110 104 109 101 92 102 104 100 91 90

Data Note: An MPI (Market Potential Index measures the relative likelihood of the household in the specified trade area to exhibit certain consumer behavior purchasing patterns compared to the US average. An MPI of Source: These data area based upon national propensities to use various products and services, applied to local demographic composition. Usage data were collected by Mediamark Research Inc. in a nationally

Market Potential: Travel Northfield Total 2008 Households: 12,648

Product/Consumer Behavior

Member of 1 frequent flyer program Member of 2 frequent flyer programs Member of 3+ frequent flyer programs Stayed 1+ nights at hotel/motel in last 12 months Hotel/motel stayed in/12 mo: Best Western Hotel/motel stayed in/12 mo: Comfort Inn Hotel/motel stayed in/12 mo: Courtyard Hotel/motel stayed in/12 mo: Days Inn Hotel/motel stayed in/12 mo: Econo Lodge Hotel/motel stayed in/12 mo: Embassy Suites Hotel/motel stayed in/12 mo: Fairfield Inn Hotel/motel stayed in/12 mo: Hampton Inn Hotel/motel stayed in/12 mo: Hilton Hotel/motel stayed in/12 mo: Holiday Inn Hotel/motel stayed in/12 mo: Holiday Inn Express Hotel/motel stayed in/12 mo: Marriott Hotel/motel stayed in/12 mo: Motel 6 Hotel/motel stayed in/12 mo: Ramada Inn Hotel/motel stayed in/12 mo: Super 8 Domestic travel in last 12 months Spent on domestic vacations last 12 mo: <$1000 Spent on domestic vacations last 12 mo: $1000-1499 Spent on domestic vacations last 12 mo: $1500-1999 Spent on domestic vacations last 12 mo: $2000-2999 Spent on domestic vacations last 12 mo: $3000+ Domestic travel for business in last 12 months Domestic travel for personal reasons in last 12 mo Domestic travel for vacation/honeymoon last 12 mo Took 3+ domestic trips by plane in last 12 months Took 3+ domestic business trips by plane/12 months Took 3+ domestic non-business trips by plane/12 mo Airline used for domestic trip/12 mo: American

Expected Number of Households

1379 693 504 6686 1119 921 440 706 249 418 391 638 477 971 596 777 315 338 483 8154 2025 1210 668 594 645 1371 2173 5780 1146 430 580 574

Expected Percent of Households

11% 5% 4% 53% 9% 7% 3% 6% 2% 3% 3% 5% 4% 8% 5% 6% 2% 3% 4% 64% 16% 10% 5% 5% 5% 11% 17% 46% 9% 3% 5% 5%

MPI

121 109 113 121 116 127 139 109 93 130 133 126 106 120 134 123 98 95 117 118 111 128 128 124 129 128 108 124 117 120 107 104

Data Note: An MPI (Market Potential Index measures the relative likelihood of the household in the specified trade area to exhibit certain consumer behavior purchasing patterns compared to the US average. An MPI of Source: These data area based upon national propensities to use various products and services, applied to local demographic composition. Usage data were collected by Mediamark Research Inc. in a nationally

Product/Consumer Behavior

Airline used for domestic trip/12 mo: Continental Airline used for domestic trip/12 mo: Delta Airline used for domestic trip/12 mo: Northwest Airline used for domestic trip/12 mo: Southwest Airline used for domestic trip/12 mo: United Airline used for domestic trip/12 mo: US Airways Rented car on domestic trip in last 12 months Visited on domestic trip last 12 mo: Northeast Visited on domestic trip last 12 mo: South Visited on domestic trip last 12 mo: North Central Visited on domestic trip last 12 mo: West Went backpacking/hiking on domestic vacation/12 mo Went to beach on domestic vacation in last 12 mo Played golf on domestic vacation in last 12 months Visited National Park on domestic vacation/12 mo Foreign travel in last 3 years Spent on foreign vacations last 12 mo: <$1000 Spent on foreign vacations last 12 mo: $1000-2999 Spent on foreign vacations last 12 mo: $3000+ Foreign travel for personal reasons in last 3 yrs Foreign travel for vacation/honeymoon last 3 yrs Took foreign trip w/all-inclusive travel pkg/3 yrs Took foreign trip by cruise ship in last 3 yrs Took 3+ foreign trips by plane in last 3 yrs Took 3+ foreign vacation trips by plane last 3 yrs Airline used for foreign trip/3 yrs: American Airline used for foreign trip/3 yrs: British Air Airline used for foreign trip/3 yrs: Continental Airline used for foreign trip/3 yrs: Delta Airline used for foreign trip/3 yrs: Northwest Airline used for foreign trip/3 yrs: United Visited on foreign trip last 3 yrs: Canada Visited on foreign trip last 3 yrs: France Visited on foreign trip last 3 yrs: Germany Visited on foreign trip last 3 yrs: Hawaii Visited on foreign trip last 3 yrs: Italy Visited on foreign trip last 3 yrs: Mexico Visited on foreign trip last 3 yrs: United Kingdom Bought travelers checks in last 12 months Took cruise of more than one day in last 3 years Member of any frequent flyer program

Expected Number of Households

354 711 576 671 499 478 850 1749 4472 2463 2847 510 1893 401 947 3419 838 483 496 499 2603 1201 665 522 394 618 187 286 484 343 459 660 353 314 333 303 773 373 1138 1171 2629

Expected Percent of Households

3% 6% 5% 5% 4% 4% 7% 14% 35% 19% 23% 4% 15% 3% 7% 27% 7% 4% 4% 4% 21% 9% 5% 4% 3% 5% 1% 2% 4% 3% 4% 5% 3% 2% 3% 2% 6% 3% 9% 9% 21%

MPI

100 124 152 112 107 120 122 113 120 134 123 130 132 121 122 113 125 96 103 91 115 113 118 99 98 107 92 109 111 128 107 123 100 112 102 97 103 100 125 119 121

Data Note: An MPI (Market Potential Index measures the relative likelihood of the household in the specified trade area to exhibit certain consumer behavior purchasing patterns compared to the US average. An MPI of Source: These data area based upon national propensities to use various products and services, applied to local demographic composition. Usage data were collected by Mediamark Research Inc. in a nationally

Market Potential: Leisure Northfield Total 2008 Households:

Product/Consumer Behavior

Cooked for fun in last 12 months Did crossword puzzle in last 12 months Flew a kite in last 12 months Did furniture refinishing in last 12 months Did indoor gardening/plant care in last 12 months Bought lottery ticket in last 12 months Bought lottery ticket in last 12 mo: Daily Drawing Bought lottery ticket in last 12 mo: Instant Game Bought lottery ticket in last 12 mo: Lotto Drawing Played lottery: <2 times in last 30 days Played lottery: 2-5 times in last 30 days Played lottery: 6+ times in last 30 days Played musical instrument in last 12 months Did painting/drawing in last 12 months Did photography in last 12 months Read book in last 12 months Surfed the Internet in last 12 months Played video game in last 12 months Did woodworking in last 12 months Member of business club Member of charitable organization Member of church board Member of fraternal order Member of religious club Member of school or college board Member of union Member of veterans club Attended adult education course in last 12 months Attended auto show in last 12 months Went to bar/night club in last 12 months Went to beach in last 12 months Attended dance performance in last 12 months Danced/went dancing in last 12 months Dined out in last 12 months Dine out < once a month Dine out once a month Dine out 2-3 times a month Dine out once a week Dine out 2+ times per week

Expected Number of Households

2297 2041 537 680 2316 4879 548 2085 3455 1712 1713 1454 1155 974 1905 5705 4340 1777 929 378 789 569 592 1100 242 790 430 1004 1171 2889 3694 518 1535 7302 634 879 1647 1860 1490

Expected Percent of Households

12,648

MPI

18% 16% 4% 5% 18% 39% 4% 16% 27% 14% 14% 11% 9% 8% 15% 45% 34% 14% 7% 3% 6% 5% 5% 9% 2% 6% 3% 8% 9% 23% 29% 4% 12% 58% 5% 7% 13% 15% 12%

112 105 115 119 106 103 83 98 107 107 108 93 120 107 122 113 127 106 129 115 108 99 104 111 98 113 96 119 113 109 118 106 100 116 109 112 110 125 111

Product/Consumer Behavior

Gambled at casino in last 12 months Gambled at casino 6+ times in last 12 months Gambled in Atlantic City in last 12 months Gambled in Las Vegas in last 12 months Attended horse races in last 12 months Attended movies in last 6 months Attended movies in last 90 days: < once a month Attended movies in last 90 days: once a month Attended movies in last 90 days: 2-3 times a month Attended movies in last 90 days: once/week or more Prefer to see movie after second week of release Went to museum in last 12 months Attended music performance in last 12 months Attended country music performance in last 12 mo Attended rock music performance in last 12 months Went to live theater in last 12 months Visited a theme park in last 12 months Visited Disneyland (CA) in last 12 months Visited Disney World (FL)/12 mo: Animal Kingdom Visited Disney World (FL)/12 mo: Epcot Center Visited Disney World (FL)/12 mo: Magic Kingdom Visited Disney World (FL)/12 mo: MGM Studios Visited any Sea World in last 12 months Visited any Six Flags in last 12 months Visited Universal Studios (FL) in last 12 months Went to zoo in last 12 months Played backgammon in last 12 months Played billiards/pool in last 12 months Played bingo in last 12 months Did birdwatching in last 12 months Played board game in last 12 months Played cards in last 12 months Played chess in last 12 months Participated in hunting with rifle Participated in hunting with shotgun Participated in ice skating Play golf once a month Play golf 2-3 times a month Participated in horseback riding Participated in jogging/running Participated in motorcycling Participated in roller blading Participated in roller skating Participated in snorkeling

Expected Number of Households

2389 256 275 733 400 8372 4331 1477 1090 432 3934 2155 3586 711 1446 2236 3213 309 419 476 552 408 388 807 337 1844 312 1273 428 773 2623 3070 571 728 609 455 255 261 552 1443 479 519 312 326

Expected Percent of Households

MPI

19% 2% 2% 6% 3% 66% 34% 12% 9% 3% 31% 17% 28% 6% 11% 18% 25% 2% 3% 4% 4% 3% 3% 6% 3% 15% 2% 10% 3% 6% 21% 24% 5% 6% 5% 4% 2% 2% 4% 11% 4% 4% 2% 3%

102 82 62 100 115 109 114 107 104 101 116 123 118 113 114 119 105 73 117 118 116 114 90 92 101 122 99 113 79 127 123 113 104 108 106 125 135 127 138 114 124 128 108 111

Product/Consumer Behavior

Participated in soccer Participated in softball Participated in swimming Participated in target shooting Participated in tennis Participated in volleyball Participated in walking for exercise Participated in water skiing Participated in weight lifting Participated in yoga Spent on high end sports/rec equip/12 mo: <$100 Spent on high end sports/rec equip/12 mo: $100-249 Spent on high end sports/rec equip/12 mo: $250+ Attend sports event: auto racing (NASCAR) Attend sports event: auto racing (not NASCAR) Attend sports event: baseball game Attend sports event: basketball game (college) Attend sports event: basketball game (pro) Attend sports event: football game (college) Attend sports event: football-Mon night game (pro) Attend sports event: football-weekend game (pro) Attend sports event: golf tournament Attend sports event: ice hockey game Attend sports event: soccer game Participated in aerobics Participated in archery Participated in auto racing Participated in backpacking/hiking Participated in baseball Participated in basketball Participated in bicycling (mountain) Participated in bicycling (road) Participated in boating (power) Participated in bowling Participated in canoeing/kayaking Participated in downhill skiing Participated in fishing (fresh water) Participated in fishing (salt water) Participated in football Participated in Frisbee Participated in golf Play golf < once a month

Expected Number of Households

436 633 2725 524 590 527 4835 293 1685 538 345 395 497 623 525 1972 723 876 1096 329 894 463 737 453 1335 298 291 1330 762 1238 746 1546 978 1553 682 606 1937 641 677 607 1897 708

Expected Percent of Households

MPI

3% 5% 22% 4% 5% 4% 38% 2% 13% 4% 3% 3% 4% 5% 4% 16% 6% 7% 9% 3% 7% 4% 6% 4% 11% 2% 2% 11% 6% 10% 6% 12% 8% 12% 5% 5% 15% 5% 5% 5% 15% 6%

108 107 118 132 109 107 118 120 125 109 103 128 119 106 105 120 109 117 121 93 121 116 122 103 113 113 105 134 110 104 143 126 117 107 120 126 110 101 107 104 129 130

Bruce Schwartau Phone: 507 536-6308 863 30th Ave SE bwschwar@umn.edu Rochester, MN 55904 www.extension.umn.edu/Retail

Northfield Market Area Profile Tapestry Lifestyle Analysis The Northfield retail study group requested more information about three Tapestry segments within a 100-mile radius of Northfield. The group considered these Tapestry segments their target market : • 7 : Exurbanites • 9 : Urban Chic • 22 : Metropolitans

Methodology : Those Census Tracts where these three select Tapestry segments are dominant (meaning a majority of the households), were selected, counted and mapped (see following maps).

General Statistics about select Tapestry segment in Minnesota

7: Exurbanites Number of Tracts Number of People in Tracts Number of Households in Tracts Distribution

9:Urban Chic 32

22:Metropolitans 4

124,101 15,757 136,746 48,255 7,101 61,413 Exurban communities of Twin Select SW Twin Cities South MPLS and St. Cities, Rochester Communities Paul

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