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Section I Market Analysis

By Ashley Moore,2014-03-13 10:47
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In an attempt to determine the feasibility of building a wellness and sports complex in the City of Waterloo, Iowa, a market analysis that looks at the

     Waterloo Wellness & Sports Complex Market Analysis

    Section I Demographic Summary & Market Review

    In an attempt to determine the feasibility of building a wellness and sports complex in the City of Waterloo, Iowa, a market analysis that looks at the demographic realities of the region and reviews the existing sports and recreation facilities in the market area has been undertaken.

    The following is a summary of the basic demographic characteristics of the greater Waterloo area and a comparison with basic sports participation standards as produced by the National Sporting Goods Association.

    Service Area: The focus of the wellness and sports complex will be to serve the residents of the Cedar Valley. However, depending on the amenities that are included in the facility the market area could vary dramatically. As a result a primary, secondary and tertiary service area has been identified. The primary service area consists of the City of Waterloo, Elk Run, Hudson and Evansdale. The secondary service area expands the primary market to include Cedar Falls. The tertiary service area is even larger and includes most of the Cedar Valley. Use by individuals outside of these identified service areas will be limited to special events or visitors to the area.

    Primary and secondary service areas are usually defined by the distance people will travel on a regular basis (a minimum of once a week) to utilize a recreation facility or its programs. Use by individuals in the tertiary service area will be more limited and specialized in nature.

    Service areas can also vary in size with the types of components that are included in a facility. A center with an indoor pool and other active elements (weight cardiovascular equipment area, gym, track, etc.) will generally have a larger primary service area than a more passively oriented facility. Specialized facilities such as a sports field house will have even larger service areas that make them more of a regional destination.

Based upon the facility’s proximity to major thoroughfares, along with amenities included in the

    facility, the market may increase or decrease. Another factor impacting use is the presence of alternative service providers in the greater Waterloo area. Alternative service provides can have an impact upon membership, daily admissions and the associated penetration rates for programs.

Ballard*King & Associates Page 1 of 51

     Waterloo Wellness & Sports Complex Market Analysis

    1Service Area Statistics and Comparison:

Population Comparison:

     2000 Census 2008 Estimate 2013 Projection Primary Service Area 77,533 76,747 76,907 Secondary Service Area 113,177 113,472 114,304 Tertiary Service Area 184,395 186,180 187,915

    Number of Households Comparison:

     2000 Census 2008 Estimate 2013 Projection Primary Service Area 31,601 32,172 32,445 Secondary Service Area 44,235 45,801 46,424 Tertiary Service Area 71,393 74,293 75,486

Number of Families Comparison:

     2000 Census 2008 Estimate 2013 Projection Primary Service Area 20,273 20,181 19,974 Secondary Service Area 27,722 27,997 27,813 Tertiary Service Area 47,389 48,257 48,183

    Average Household Size Comparison

     2000 Census 2008 Estimate 2013 Projection Primary Service Area 2.40 2.34 2.33 Secondary Service Area 2.42 2.36 2.34 Tertiary Service Area 2.46 2.40 2.38 United States 2.59 2.59 2.59

    Source U.S. Census Bureau and ESRI

     1 Information is based upon the 2000 Census Data and then estimates for 2008 and 2013. The estimates for 2009

    and 2014 have not been released to date. Ballard*King & Associates Page 2 of 51

Waterloo Wellness & Sports Complex Market Analysis

Primary Service Area Map: