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Market territory defined by radius from store

Posted by Brian Berg Google+


When considering the many descriptors of your market territory, many retail businesses owners will consider the closest population from their store location.  This tool is available with most mailing list providers today and if used properly, can be an effective way to identify potential prospects. A radius is the circumference population defined by distance from the centroid (center).  From your store, you may want to reach out 10 miles in every direction. 


The 10 mile band is called the radii band which identifies the furthest most prospects you may want to consider mailing.  With some mapping programs, the radius function grabs all data contained within the radii band, while others cross through a whole carrier route. 


In crossing through this carrier route, the mapping software either includes all available records within carrier route, or excludes the band cut routes. Ideal businesses using radius geography when building their mailing lists are those which serve the locale population such as restaurants and grocery stores.  The radius geography does nothing more than identify the location of the people you are wanting to mail. 


Should you want to place further restrictions on these people surrounding your business, you can do so by simply adding the additional select. The radius centroid is identified by either the physical address (which is usually converted into a latitude/longitude), a carrier route within the zip code, a zip+4, and the center of a zip code itself.  Which is best for your direct mail program depends on how far out you want to radiate. 


Typically, if your radius measures less than 5 miles, it’s best to use something smaller than the center of a zip code.  However, if you’re reaching out to 15 miles or more, the center of a zip code will usually be sufficient. For multiple store locations you sometimes find store market territories overlapping.  This could be cause for concern for some mailing list programs. corrects this problem easily by parting these counts together before the order process. If you would like more information on how to use this tool to build your mailing list, visit us at or call us at (866) 501-6273.