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Wondering why Dave's Hot Chicken is reportedly in talks to sell itself to Roark Capital for $1 billion? One key reason is its strong growth potential. In 2024, chicken chains outpaced the broader QSR category in both new restaurant openings and increased visits per location. Dave's Hot Chicken stands out among them, with Placer's data showing it was one of the top performers in visit-per-location growth among chains with more than 100 locations last year.
The Kroger Company is one of the largest grocery retailers in the U.S, and the company continues to play a key role in the supermarket industry in 2025. We dove into traffic data for the company as a whole and for its leading banners to understand what 2025 may hold in store for the corporation.
Kroger and its variety of banners play a key role in the U.S. grocery landscape, with the company receiving around 16% of all visits to grocery stores nationwide (excluding non-traditional grocers such as superstores and wholesale clubs). And although Kroger’s visit share varies by state, the company receives more than a quarter of all grocery visits in 18 states, including four states – West Virginia, Utah, Colorado, and Kentucky – where Kroger receives more than half of the state’s grocery visits.
It seems, then, that the company is positioned to continue having a major impact on the U.S. grocery market in 2025 – even without the addition of Alberstons’ grocery portfolio.
The company’s recent visit performance also highlights Kroger’s ongoing resilience within an evolving grocery landscape. Traffic data shows that overall visits to Kroger chains held steady in 2024, with yearly visits just 1.3% lower than in 2023.
And the visit stability continued into 2025, with year-over-year (YoY) visits up every week in January 2025 just slightly below 2024 levels in February 2025 – indicating that shoppers are remaining loyal to Kroger’s chains amidst the inflationary environment.
Kroger operates a variety of banners, each catering to different regional markets and consumer segments. And analyzing 2024 visit data for Kroger’s largest chains shows overall stability across the portfolio – although some banners experienced slightly stronger growth while others did post minor visit gaps.
California-based Food 4 Less led the way with a 2.5% YoY visit increase in 2024, and Colorado-based King Soopers posted YoY visit growth as well. Smith’s, which operates in most of the West, Ralphs in California, and Harris Teeter in the Southeast and Mid-Atlantic stayed within one percentage point of their 2023 visit performance. Arizona-based Fry’s and the company’s namesake banner Kroger also remained close to their 2023 traffic levels, while Fred Meyer and Pick ‘n Save saw minimal YoY visit gaps.
Kroger’s steady foot traffic highlights its strong consumer loyalty and adaptability. And as the grocery sector continues to shift, the company’s ability to maintain its stable performance across its portfolio and regions of operations will ensure it maintains its status as a grocery giant in 2025 and beyond.
For more data-driven retail insights, visit placer.ai.
Walmart’s recent acquisition of the Pittsburgh, PA-area Monroeville Mall signals a new chapter for the retail giant, creating opportunities for both Walmart and the mall itself. Why did Walmart choose this particular property, what makes it such an appealing prospect – and what might the company do with the space?
We dove into the data to find out.
Unsurprisingly, shoppers also interact differently with malls – including the Monroeville Mall purchased by Walmart – than they do with Walmart. In 2024, for example, 39.4% of indoor mall visits nationwide took place on weekends, compared to just 33.6% for Walmart. Mall shoppers were also more likely to travel further for their visits and stay longer, partly due to the entertainment and dining options malls typically offer. (Monroeville Mall, for instance, is home to a Cinemark movie theater). By moving into the mall space, Walmart stands to reach a new kind of shopper, both demographically and behaviorally.
Why did Walmart choose to begin its foray into malls with the Monroeville Mall? Foot traffic data points to a unique balance here: The Monroeville Mall audience is different enough to expand Walmart’s reach, yet still similar in ways that could make it easier to convert new shoppers.
Analyzing Walmart’s trade areas with demographic data from STI: PopStats, for example, reveals that, on average, indoor mall shoppers tend to be more affluent than Walmart shoppers. In 2024, the median household income (HHI) of Walmart’s captured market was $64.5K – noticeably below the indoor mall median of $88.5K. But Monroeville Mall’s captured market had a median HHI of $62.8K – slightly below that of local Walmarts in the Pittsburgh, PA CBSA. Monroeville shoppers were also more likely to visit Walmart than shoppers at other malls, suggesting a natural overlap between the two visitor bases.
At the same time, Monroeville Mall offers Walmart access to new audience segments. In 2024, Monroeville Mall’s captured market showed significantly higher proportions of “Singles and Starters” and “Suburban Style” visitors (the latter encompassing middle-aged, suburban families with upscale incomes). Meanwhile, its share of the older “Autumn Years” segment – though still high – was smaller than that of Walmart’s base, highlighting the opportunity to engage a wider range of demographics.
Walmart has yet to announce specific plans for its new acquisition – though some have speculated that its partnership with Cypress Equities to “reimagine” the space signals a mix of retail, entertainment, and other amenities. Location analytics hint at several potential directions Walmart might pursue.
As consumers have changed their shopping habits, many malls have doubled down on experiential offerings – including on-site gyms, which deliver regular, repeat visits. And location analytics show that adding a fitness club to the Monroeville property may be especially beneficial for Walmart. Over the past year, Monroeville visitors were more likely to visit leading gym chains like Planet Fitness, Anytime Fitness, and LA Fitness compared to the average mall-goer nationwide.
And examining some of Monroeville Mall’s successful tenants highlights additional potential strategies for Walmart. Malls have faced considerable headwinds in recent years, and the downturn appears to have impacted the Monroeville Mall as well, with overall foot traffic dipping somewhat year over year (YoY) in 2024. But some tenants – including Barnes & Noble and Harbor Freight Tools – saw YoY visit upticks.
Visits to entertainment-focused offerings also increased, with the complex’s Full Throttle Adrenaline Park logging a 6.1% YoY foot traffic boost. And taking a broader look at the consumer habits of Monroeville visitors reveals an affinity for eatertainment: In 2024, 14.3% of Monroeville Mall-goers frequented a Dave & Busters, compared to just 7.4% for indoor mall visitors nationwide.
While Walmart’s ultimate intentions for Monroeville Mall remain under wraps, location analytics reveal a world of possibilities. And as retail continues to shift, Monroeville Mall may stand as a powerful case study of how a traditional big-box brand can successfully bridge into the mall space, capturing new audiences and invigorating a retail property ready for reinvention.
For more data-driven retail insights, visit Placer.ai.
In February 2024, Gap Inc. hired Zac Posen as Creative Director, tasking the designer with revitalizing the companies’ portfolio of brands. A year later, we analyzed the data to understand where the company stands today and uncover untapped opportunities for growth.
In 2024, visits to most Gap brands declined slightly compared to 2023, with the company’s four banners collectively experiencing a year-over-year (YoY) traffic dip of 3.5%.
Athleta outperformed the other three brands as well as the overall apparel (excluding off-price and department stores) average, with yearly visits up 0.2% and positive quarterly traffic growth for two of the four quarters. Old Navy came in second, starting the year strong with a 4.2% YoY increase in Q1 visits and ending 2024 with Q4 visits down just 2.4% – outperforming the industry’s YoY dip of 3.3%. And though Gap did lag slightly behind the overall apparel average, the brand managed to stay relatively close to its 2023 visit levels, indicating that its performance is stabilizing.
Meanwhile, Banana Republic experienced the sharpest visit declines with 2024 traffic down 9.6% YoY – indicating that the brand continues to face significant challenges.
Banana Republic’s 2024 performance continues a multi-year trend of declining traffic, despite the brand’s relatively affluent consumer base – an audience that, in theory, should have positioned the brand to weather the current inflationary environment more effectively.
But the brand may be positioning itself for a comeback. Last year, Banana Republic underwent a leadership change, with Gap Inc. CEO Richard Dixon stating that “2024 will be about getting back to the basics.” The brand has been redesigning select stores and leaning into influencer marketing with the goal of “reestablishing the brand to thrive in the premium lifestyle space.”
And as return to office mandates continue to roll in – reinvigorating the long dormant demand for business casual and office wear – the chain is well positioned for a comeback.
Location intelligence analysis also reveals an additional growth opportunity. Banana Republic is the only Gap banner without a dedicated sportswear line. Athleta specializes in athletic wear, Gap offers GapFit, and Old Navy’s activewear line has been a core component of the banner’s success in recent years.
But the data indicates that Banana Republic shoppers are just as active as visitors of the other Gap banners – in fact, cross-visit data suggests that those who shop at Banana Republic frequent fitness chains at similar rates as Athleta customers.
Analyzing cross-visitation to leading sporting goods retailers also indicates high demand for sportswear among Banana Republic shoppers: Consumers who visit Banana Republic visit Dick’s Sporting Goods and Academy Sports + Outdoors at higher rates than Gap Shoppers, and visit lululemon and REI at higher rates than both Gap and Old Navy visitors. This data strongly suggests that Banana Republic customers would likely embrace an expanded product mix that includes premium athleisure and sportswear.
While Gap Inc. already offers premium women’s activewear through its Athleta brand, none of Gap Inc.’s existing brands cater to the growing demand for premium men’s athletic wear. Expanding Banana Republic’s offerings to include a high-end athleisure line – with a specific focus on menswear – could help the brand carve out a niche in this fast-growing segment while leveraging its existing customer base’s interest in performance apparel.
Beyond product expansion, this move could align with Banana Republic’s broader repositioning efforts, reinforcing its identity as a premium lifestyle brand that caters to both professional and active lifestyles. Given the increasing overlap between workwear and athleisure, a thoughtfully designed sportswear line could also strengthen Banana Republic’s appeal to younger, fashion-conscious consumers who seek versatility in their wardrobes.
As Gap Inc. navigates its next phase under Zac Posen’s creative leadership, identifying and leveraging untapped opportunities—such as Banana Republic’s athleisure potential—will be critical for reinvigorating the company’s portfolio. By strategically diversifying its offerings, Gap Inc. can not only address shifting consumer preferences but also carve out a more competitive position in an evolving retail landscape.
For more data-driven retail insights, visit placer.ai/blog.
Department stores continue to adapt to evolving consumer preferences and an ever-changing retail landscape. We looked at the latest location analytics for traditional and luxury department stores to uncover how they are finding success in today’s dynamic apparel space.
Consumers’ prioritization of value has significantly impacted the apparel space in recent years.
Fueled by tepid consumer confidence and rampant inflation, demand for off-price has soared, putting pressure on department stores and traditional apparel retailers. As a result, off-price’s share of total visits to the apparel space steadily increased between 2021 (36.4%) and 2024 (41.5%), while the visit shares of our traditional department stores and other apparel segments declined.
But luxury department stores, which serve a higher-income clientele, appear to have remained relatively insulated from the rise in budget-conscious shopping, as the relative share of visits to this segment held steady over the past four years.
Diving into cross-visitation trends also reveals the impact of a growing off-price segment on the department store space.
Between 2021 and 2024, the share of both Nordstrom’s and Dillard’s visitors that also visited one of the leading off-price chains increased – suggesting that shoppers at both traditional and premium department stores feel the draw of off-price apparel. (Still, the shares of Dillard’s visitors that also visited one of the off-price chains was generally larger than that of Nordstrom’s, suggesting that visitors to the more upscale department store were less inclined to also visit an off-price store.)
And it seems that leading department stores are already trying to meet the growing demand for discounts within their consumer base. Dillard’s emphasis on private-label merchandise helps keep products affordable without compromising quality. Meanwhile, Nordstrom continues to expand its off-price format – Nordstrom Rack – to capitalize on demand for value in the apparel space.
Still, value-seeking behavior on the part of the consumer doesn’t always mean prioritization of discounts, and one way that several department stores are adding value – and finding success – is by investing in the shopping experience.
Bloomingdale’s emphasized experiential events and exclusive product launches to engage consumers last year, including several pop-culture-inspired collections. The department store’s visits increased 1.5% YoY in 2024, perhaps reflecting the demand for Bloomingdale’s immersive and culturally relevant environment.
Meanwhile, Nordstrom’s digital strategy demonstrated how a seamless omnichannel platform can elevate the shopping experience. The brand’s new app uses generative AI to make personalized style recommendations and allows users to check merchandise availability or make a stylist appointment at their local store. The app’s pre-holiday release may have contributed to Nordstrom’s resounding success in 2024, including a 2.2% visit increase compared to 2023.
And the investments in in-store experiences yielding visit dividends are not limited to premium chains. Dillard's, often considered a mid-range brand, has expert stylists ready to assist, and carefully manages inventory so stores are well-stocked but clutter-free, cultivating a classy retail environment. Dillard’s saw 2.3% YoY visit growth in 2024, indicating that its in-store experience is highly valued by shoppers.
Department stores are uniquely positioned to thrive in the current apparel retail landscape. Faced with demand for lower price points, department stores can harness the opportunity with affordable private-label merchandise or off-price formats. And while value-seeking is on the rise, retailers that provide an elevated shopping experience add a different kind of value to their brand.
For more data-driven retail insights, visit Placer.ai.
Dine Brands, which owns and operates IHOP, Applebee’s, and Fuzzy’s Taco Shop, is a major name in the full-service casual-dining restaurant segment. We took a look at how its two largest brands – IHOP and Applebee’s – performed in 2024.
The full-service dining segment has experienced its fair share of challenges over the past years, with pandemic-era closures and inflation weighing on restaurant visits. And Dine Brands’ largest chains, IHOP and Applebee’s, were not immune to these challenges, with YoY visits down by 3.6% and 3.0%, respectively, in 2024.
Applebee’s closed a number of locations throughout 2024, a move that likely contributed to the relative stability of its visits per location metrics: Q4 2024’s visits per location were just 1.6% lower than in Q4 2023 compared to a YoY decline of 3.9% in overall traffic. The brand’s emphasis on value may also have helped Applebee’s narrow its YoY visit gap between Q3 and Q4, as its $9.99 Really Big Meal Deal – launched in November 2024 and extended into 2025 – likely drove traffic from budget-conscious patrons.
IHOP and Applebee’s dominate in their own distinct dayparts – IHOP in the mornings and Applebee’s in the evenings. This diversity allows Dine Brands to effectively "own the clock" and cater to a range of dining preferences throughout various times of day.
Perhaps unsurprisingly – the word “pancake” is in its name – IHOP primarily attracts guests during morning hours, with 46.6% of its visits occurring between 6:00 AM and 12:00 PM. In contrast, Applebee’s serves as a popular post-work and dinner destination, with 56.0% of its visits taking place after 6:00 PM.
And recognizing the value of owning the clock in this way, Dine Brands unveiled its newest concept – a dual-branded IHOP-Applebee’s, with the first opening in February in Seguin, Texas and another twelve slated to open throughout 2025. This approach, which Dine Brands already piloted in international markets, allows diners the option to mix and match from IHOP and Applebee’s most popular menu items.
Beyond visit timing, IHOP and Applebee’s also serve distinct customer demographics, further reinforcing their complementary strengths. In 2024, 28.5% of households in IHOPs’ captured market were households with children, compared to 26.7% for Applebee’s. IHOP also saw larger shares of “Singles & Starters” in its captured market – defined by the Experian: Mosaic dataset as young singles and starter families living a city lifestyle.
Meanwhile, Applebee’s attracted visitors coming from captured markets with older audiences, with 9.4% of its visitors falling into the "Autumn Years" category – nearly double IHOP’s 5.0% share.
These distinctions mean that Dine Brands isn’t just spreading its traffic across different times of day – it also is capturing consumers across different life stages. By offering something for a variety of diners, the restaurant group can continue driving visits across multiple dining needs and occasions.
Despite weathering their fair share of challenges in 2024, IHOP and Applebee’s are innovating as 2025 gets underway.
For the latest data-driven dining insights, visit Placer.ai.
Note: This report is based on an analysis of visitation patterns for regional and nationwide grocery chains and does not include single-location stores.
Grocery stores, superstores, and dollar stores all carry food products – and American consumers buy groceries at all three. But even in today’s crowded food retail environment, traditional grocery chains have a special role to play. With their primary focus on stocking a wide variety of fresh foods, these chains serve a critical function in offering consumers access to healthy options.
But visualizing the footprints of major grocery chains across the continental U.S. – alongside those of discount & dollar stores – shows that the geographical distribution of grocery chains remains uneven.
In some areas, including parts of the Northeast, Midwest, South Atlantic, and Pacific regions, grocery chains are plentiful. But in others – some with population centers large enough to feature a robust dollar store presence – they remain in short supply.
And though many superstore locations also provide a full array of grocery offerings, they, too, are often sparsely represented in areas with low concentrations of grocery chains.
For grocery chain operators seeking to expand, these underserved grocery markets can present a significant opportunity. And for civic stakeholders looking to broaden access to healthy food across communities, these areas highlight a policy challenge. For both groups, identifying underserved markets with significant untapped demand can be a critical first step in deciding where to focus grocery development initiatives.
This white paper dives into the location analytics to examine grocery store availability across the United States – and harnesses these insights to explore potential demand in some underserved markets. The report focuses on locations belonging to regional or nationwide grocery chains, rather than single-location stores.
Last year, grocery chains accounted for 43.4% of nationwide visits to food retailers – including grocery chains, superstores, and discount & dollar stores. But drilling down into the data for different areas of the country reveals striking regional variation – offering a glimpse into the variability of grocery store access throughout the U.S. In some states, grocery stores attract the majority of visit share to food retailers, while in others, dollar stores or superstores dominate the scene.
The ten states where residents were most likely to visit grocery chains in early 2024 – Oregon, Vermont, Washington, Massachusetts, California, Maryland, New Hampshire, Connecticut, New Jersey, and Rhode Island – were all on the East or West Coasts. In these states, as well as in Nevada and New York, grocery chain visits accounted for 50.0% or more of food retail visits between January and April 2024.
Meanwhile, residents of many West North Central and South Central states were much less likely to do their food shopping at grocery chains. In North Dakota, for example, grocery chain visits accounted for just 11.7% of visits to food retailers over the analyzed period. And in Mississippi, Oklahoma, and Arkansas, too, grocery stores drew less than 20.0% of the overall food retail foot traffic.
But low grocery store visit share does not necessarily indicate a lack of consumer interest or ability to support such stores. And in some of these underserved regions, existing grocery chains are seeing outsize visit growth – indicating growing demand for their offerings.
North Dakota, the state with the smallest share of visits going to grocery chains in early 2024, experienced a 9.1% year-over-year (YoY) increase in grocery visits during the same period – nearly double the nationwide baseline of 5.7%. Other states with low grocery visit share, including Nebraska, Arkansas, Alabama, Mississippi, and New Mexico, also experienced higher-than-average YoY grocery chain visit growth. This suggests significant untapped potential for grocery stores and a market that is hungry for more.
Alabama is one state where grocery chains accounted for a relatively small share of overall food retail foot traffic in early 2024 (just 28.9%) – but where YoY visit growth outperformed the nationwide average. And digging down even further into local grocery store visitation trends provides further evidence that at least in some places, low grocery visit share may be due to inadequate supply, rather than insufficient demand.
In Central Alabama, for example, many residents drive at least 10 miles to reach a local grocery chain. And several parts of the state, both rural and urban, feature clusters of grocery stores that draw customers from relatively far away.
But zooming in on YoY visitation data for local grocery chain locations shows that at least some of these areas likely harbor untapped demand. Take for example the Camden, Butler, Thomasville, and Gilbertown areas (circled in the map above). The Piggly Wiggly location in Butler, AL, drew 40.1% of visits from 10 or more miles away. The same store experienced a 23.3% YoY increase in visits in early 2024 – far above the statewide baseline of 6.6%. Meanwhile, the Super Foods location in Thomasville, AL, which drew 52.8% of visits from at least 10 miles away – experienced YoY visit growth of 12.3%. The Piggly Wiggly locations in Camden, AL and Gilbertown, AL saw similar trends.
At the same time, trade area analysis of the four locations reveals that the grocery stores had little to no trade area overlap during the analyzed period. Each store served specific areas, with minimal cannibalization among customer bases.
These metrics appear to highlight robust demand for grocery stores in the region – grocery visits are growing at a stronger rate than those in the overall state, people are willing to make the drive to these stores, and each one has little to no competition from the others.
While significant opportunity exists across the country, many communities still face considerable challenges in supporting large grocery stores. Though South Carolina has a significant number of grocery chain locations, for example, certain areas within the state have low access to food shopping opportunities. And one local government – Greenville County – is considering offering tax breaks to grocery stores that set up shop in the area, to improve local fresh food accessibility.
Placer.ai migration and visitation data shows that Greenville County is ripe for such initiatives: the county’s population grew by 4.8% over the past four years – with much of that increase a result of positive net migration. And YoY visits to Greenville County Grocery Stores have consistently outperformed state averages: In April 2024, grocery visits in the county grew by 6.1% YoY, while overall visits to grocery stores in South Carolina grew by 4.2%. This growth – both in terms of grocery visits and population – points to rising demand for grocery stores in Greenville County.
Analyzing the Greenville County grocery store trade areas with Spatial.ai’s FollowGraph dataset – which looks at the social media activity of a given audience – offers further insight into local grocery shoppers’ particular demand and preferences.
Consumers in Greenville-area grocery store trade areas, for example, are more likely to be interested in “Mid-Range Grocery Stores” (including brands like Aldi, Kroger, and Lidl) than residents of grocery store trade areas in the state as a whole. This metric provides further evidence of local demand for grocery chains – and offers a glimpse into the kinds of specific grocery offerings likely to succeed in the area.
Grocery stores remain essential services for many consumers, providing a place to pick up fresh produce, meat, and other healthy food options. And many areas in the country are ripe for expansion, with eager customer bases and growing demand. Identifying such areas with location analytics can help both grocery store operators and municipal stakeholders provide their communities and customer bases with an enhanced grocery shopping experience that caters to local preferences.
Following COVID-era highs, domestic migration levels have begun to taper off – with the number of Americans moving within the U.S. hitting an all-time low, according to some sources, in 2023.
To be sure, some popular COVID-era destinations – including Idaho, the Carolinas, and Utah – saw their net domestic migration continue to rise, albeit at a slower pace. But other states which had been relocation hotspots between February 2020 and February 2023, such as Wyoming and Texas, experienced negative net migration between February 2023 and February 2024.
Analyzing CBSA-level migration data reveals differences and similarities between last year’s migration patterns and COVID-era trends.
Between February 2020 and February 2023, seven out of the ten CBSAs posting the largest population increases due to inbound domestic migration were located in Florida. But between February 2023 and February 2024, the top 10 CBSAs with the largest net migrated percent of the population were significantly more diverse. Only four out of the ten CBSAs were located in Florida, and several new metro areas – including Provo-Orem, UT, Kingsport-Bristol, TN-VA, and Boulder, CO – joined the list.
This white paper leverages a variety of location intelligence tools – including Placer.ai’s Migration Report, Niche Neighborhood Grades, and ACS Census Data location intelligence – to analyze two migration hotspots. Specifically, the report focuses on Daytona Beach, FL, which already appeared on the February 2020 to February 2023 list and has continued to see steady growth, and Boulder, CO, which has emerged as a new top destination. The data highlights the potential of CBSAs with unique value propositions to continue to attract newcomers despite ongoing housing headwinds.
The Boulder, CO CBSA has emerged as a domestic migration hotspot: The net influx of population between February 2023 and February 2024 (i.e. the total number of people that moved to Boulder from elsewhere in the U.S., minus those that left) constituted 3.1% of the CBSA’s February 2024 population.
The strong migration is partially due to the University of Colorado, Boulder’s growing popularity. But the metro area has also emerged as a flourishing tech hub, with Google, Apple, and Amazon all setting up shop in town, along with a wealth of smaller start ups.
Most domestic relocators tend to remain within state lines – so unsurprisingly, many of the recent newcomers to Boulder moved from other CBSAs in Colorado. But perhaps due to Boulder’s robust tech ecosystem, many of the new residents also came from Los Angeles, CA (6.6%) and San Francisco, CA (3.4%) – other CBSAs known for their thriving tech scenes.
At the same time, looking at the other CBSAs feeding migration to the area indicates that tech is likely not the only draw attracting people to Boulder: A significant share of relocators came from the CBSAs of Chicago, IL (6.1%), Dallas , TX (4.9%), and New York, NY (3.9%). The move from these relatively urbanized CBSAs to scenic Boulder indicates that some of the domestic migration to the area is likely driven by people looking for better access to nature or a general lifestyle change.
According to the U.S. News & World Report, Boulder ranked in second place in terms of U.S. cities with the best quality of life. Using Niche Neighborhood Grades to compare quality of life attributes in the Boulder CBSA and in the areas of origin dataset highlights some of the draw factors attracting newcomers to Boulder beyond the thriving tech scene.
The Boulder CBSA ranked higher than the metro areas of origin for “Public Schools,” “Health & Fitness,” “Fit for Families,” and “Access to Outdoor Activities.” These migration draw factors are likely helping Boulder attract more senior executives alongside younger tech workers – and can also explain why relocators from more urban metro areas may be choosing to make Boulder their home.
Boulder’s strong inbound migration numbers over the past year – likely driven by its flourishing tech scene and beautiful natural surroundings – reveal the growth potential of certain CBSAs regardless of wider housing market headwinds.
Florida experienced a population boom during the pandemic, and several CBSAs in the state – including the Deltona-Daytona Beach-Ormond Beach, FL CBSA – have continued to welcome domestic relocators in high numbers. The CBSA’s anchor city, Daytona Beach – known for its Bike Week and NASCAR’s Daytona 500 – has also seen positive net migration between February 2023 and February 2024.
Americans planning for retirement or retirees operating on a fixed income are likely particularly interested in optimizing their living expenses. And given Daytona’s relative affordability, it’s no surprise that the median age in the areas of origin feeding migration to Daytona Beach tends to be on the older side.
According to the 2021 Census ACS 5-Year Projection data, the median age in Daytona Beach was 39.0. Meanwhile, the weighted median age in the areas of migration origin was 42.6, indicating that those moving to Daytona Beach may be older than the current residents of the city.
Zooming into the migration data on a zip code level also highlights Daytona Beach’s appeal to older Americans: The zip code welcoming the highest rates of domestic migration was 32124, home to both Jimmy Buffet’s Latitude Margaritaville’s 55+ community and the LPGA International Golf Club, host of the LPGA Tour. The median age in this zip code is also older than in Daytona Beach as a whole, and the weighted age in the zip codes of origin was even higher – suggesting that older Americans and retirees may be driving much of the migration to the area.
Looking at the migration draw factors for Daytona Beach also suggests that the city is particularly appealing to retirees, with the city scoring an A grade for its “Fit for Retirees.” But the city of Daytona Beach is also an attractive destination for anyone looking to elevate their leisure time, with the city scoring higher than Daytona Beach’s cities of migration origin for “Weather,” “Access to Restaurants,” or “Access to Nightlife.”
Like Boulder, Daytona’s scenery – including its famous beaches – is likely attracting newcomers looking to spend more time outdoors and improve their work-life balance. And like Boulder and its tech scene, Daytona Beach also has an extra pull factor – its affordability and fit for older Americans – that is likely helping the area continue to attract new residents, even as domestic migration slows down nationwide.
Although the overall pace of domestic migration has slowed, analyzing location intelligence data reveals several migration hotspots amidst the overall cooldown. Boulder and Daytona Beach each have a set of unique draw factors that seem to attract different populations – and the success of these regions highlights the many paths to migration growth in 2024.
The Fitness industry was a major post-pandemic winner. Visits to gyms across the country surged as stay-at-home orders ended and people returned to their in-person workout routines. And even as consumers reduced discretionary spending in the face of inflation, they kept going to the gym – finding room in their budgets for the chance to embrace wellness and get in shape while interacting with other people.
But no category can sustain such unabated growth forever – and as the segment inevitably stabilizes, gyms will need to stay nimble on their feet to maintain their competitive edge.
This white paper takes a closer look at the state of Fitness as the category transitions into a more stable growth phase following two years of outsize post-pandemic demand. The report digs into the location analytics to reveal how the Fitness space has changed – and what strategies gyms can adopt to stay ahead of the pack.
*This report excludes locations within Washington state due to local legislation.
Monthly visits to the Fitness category have grown consistently year over year (YoY) since early 2022, when COVID subsided and gyms returned to full capacity. And the segment is still doing remarkably well. Even in January and March 2024 – when visits were curtailed by an Arctic blast and by the Easter holiday weekend – YoY Fitness visits remained positive, despite the comparison to an already strong 2023.
Still, recent months have seen smaller YoY increases than last year, indicating that the Fitness category is entering a more normalized growth phase.
By keeping a close watch on evolving consumer preferences, fitness chains can uncover new opportunities for growth and adaptation within a stabilizing market – including leaning into increasingly popular dayparts.
Examining the evolving distribution of gym visits by daypart over the past six years shows that major shifts were brought on by the COVID-19 pandemic.
Between Q1 2019 and Q1 2021, as remote work took hold, gyms saw their share of 2:00 PM - 5:00 PM visits increase from 15.8% to 18.6%. Though this trend partially reversed as the pandemic receded, afternoon visits remained elevated in Q1 2024 compared to pre-COVID – likely a reflection of hybrid work patterns that leave people free to take an exercise break during their workdays.
At the same time, the share of morning visits to fitness chains (between 8:00 AM and 11:00 AM) dropped from 20.5% in Q1 2019 to 17.2% in Q1 2024, while evening visits (between 8:00 PM and 11:00 PM) increased from 11.3% to 13.2%.
Gyms that recognize this changing behavior can adapt to new workout preferences – whether by incentivizing morning visits, scheduling popular classes mid-afternoon, or offering extended evening hours.
In fact, the data indicates that gyms that are leaning into the evening workout trend are already finding success: Of the top 12 most-visited gym chains in the country, those that saw bigger increases in their shares of evening visits also tended to see greater YoY visit growth.
EōS Fitness and Crunch Fitness, for example, have seen their shares of evening visits grow by 5.5% and 3.4%, respectively, since COVID – and in Q1 2024, their YoY visits grew by 29.0% and 21.8%, respectively. Other chains, including 24 Hour Fitness and Chuze Fitness, experienced similar shifts in visit patterns. At the same time, LA Fitness saw just a minor increase in its share of evening visits between Q1 2019 and Q1 2024, and a correspondingly small increase in YoY visits.
As the evening workout slot gains popularity, gym operators that can adapt to these new trends and encourage evening visits may see significant benefits in the years to come.
Diving into demographic data for the analyzed gym chains sheds light on some factors that may be driving this heightened preference for evening workouts at top-performing gyms.
The four fitness chains that experienced the greatest YoY visit boosts in Q1 – Crunch Fitness, EōS Fitness, 24 Hour Fitness, and Chuze Fitness – all featured trade areas with significantly higher-than-average shares of Young Professionals and Non-Family Households. (STI: PopStat’s Non-Family Household segment includes households with more than one person not defined as family members. Spatial.ai: PersonaLive’s Young Professional consumer segment includes young professionals starting their careers in white collar or technical jobs.)
In plainer terms, these consumer segments – typically young, well-educated, and without children – and therefore more likely to be flexible in their workout times – are driving visits to some of the best-performing gyms across the country. And these audiences seem to be displaying a preference for nighttime sweat sessions – a factor that gyms can take into account when planning programming and marketing efforts.
Leaning into emerging gym visitation patterns is one way for fitness chains to thrive in 2024 – but it isn’t the only marker of success for the segment. Even after years of visit growth, the market remains open to new opportunities and innovations that meet health-conscious consumers where they are.
STRIDE Fitness, a gym that offers treadmill-based interval training, has sparked a trend among running enthusiasts. This niche player is finding success, particularly among a specific demographic: runners and endurance training enthusiasts.
Between January and April 2024, monthly YoY visits to STRIDE Fitness consistently outperformed the wider Fitness space. A standout month was January, when STRIDE Fitness’s visits soared by an impressive 33.6% YoY, surpassing the industry average of 5.7% for the same period.
Psychographic data from the Spatial.ai’s FollowGraph dataset – which looks at the social media activity of a given audience – suggests that STRIDE Fitness’ trade areas are well-positioned to attract those visitors most open to its offerings. Residents of STRIDE Fitness’s potential market are 24% more likely to be, or to be interested in, Endurance Athletes than the nationwide average – compared to just 3% for the Fitness industry as a whole. Similar patterns emerge for Marathon Runners and Triathlon Participants. This indicates that the chain is well-situated near consumers with a passion for endurance sports and long distance running, helping it maintain a competitive edge in the crowded gym market.
Pickleball, a game that blends elements of tennis, ping pong, and badminton, is the fastest-growing sport in the country. And recognizing its broad appeal, some fitness chains have begun incorporating pickleball courts into their facilities.
Arizona-based EōS Fitness added a pickleball court at a Phoenix, AZ location – and early 2024 data highlights the impact of this addition. Between January and April 2024, the location drew between 9.1% and 33.3% more monthly visits than the chain’s Arizona visit-per-location average.
And analyzing the demographic profile of the chain’s location with a pickleball court reinforces the game’s increasingly wide appeal. Young consumer segments have been embracing the game in large numbers – and the Phoenix EōS Fitness location’s potential market includes a significantly higher share of 18 to 34-year-olds than the chain’s overall Arizona potential market. Residents of the pickleball location’s trade area are also less affluent than the chain’s Arizona average.
Pickleball has typically been associated with more affluent consumer segments, and it seems like this may be shifting. With more people than ever embracing the game, gyms that choose to add courts to their facilities may reap the foot traffic benefits.
The Fitness industry has undergone a significant transformation since COVID-19. The category’s outsize post-pandemic visit growth has begun to stabilize, and gyms are staying ahead by adapting to changing consumer preferences. Evenings are emerging as crucial dayparts for gym operators, likely driven by younger consumer segments. And niche fitness chains are seeing visit success, proving that there are plenty of ways for the Fitness segment to succeed.
