This project was originally delivered by Gamma, now part of KatRisk.
Overview
KatRisk* helped a global automobile manufacturer and distributor optimise its national dealer network using gap analysis and location intelligence. By analysing customer data, market share, and geographic demand, KatRisk identified opportunities for new openings, redevelopments, and closures, enabling the client to implement a more strategic, data-led network development plan.
The Challenge
The client wanted to evaluate the effectiveness of its existing dealer network and develop a clear, rational strategy for future optimisation. This included identifying where to open new dealerships, which locations required redevelopment, and where closures might be necessary.
To support these decisions, the client needed a comprehensive understanding of its current market position, including how well its network aligned with customer demand and where gaps or overlaps existed. A key requirement was to ensure that any recommendations were objective, evidence-based, and aligned with real market potential.
The Solution
KatRisk applied a structured gap analysis approach, combining historic customer sales data with proprietary spatial market data to assess network performance and opportunity.
Customer data was geocoded and mapped to reveal geographic sales patterns, which were then analysed alongside market share, demographics, and drivetime accessibility. This enabled the creation of a propensity model to predict performance across different locations based on local market conditions.
Using these insights, KatRisk:
- evaluated each dealer’s performance relative to its market potential
- identified underserved areas and gaps in the existing network
- assessed overlaps and inefficiencies across current locations
- generated recommendations for new sites, redevelopments, and closures
The analysis was visualised through digital maps, catchment areas, and trend surfaces, providing a clear and data-driven view of how well the network served both current and future demand.
The Results
The project delivered a comprehensive network optimisation strategy grounded in robust data and spatial analysis.
Key outcomes included:
- clear identification of network gaps and growth opportunities
- an objective assessment of dealer performance vs. local market potential
- a set of actionable recommendations covering openings, closures, and redevelopments
- a fully supported business case with maps, data, and supporting analysis
The resulting strategy provided the client with a logical, unbiased framework for decision-making and is currently being implemented to improve overall network performance and market coverage
