Question

Topic: Customer Behavior

Need Help On Location!!!

Posted by Anonymous on 250 Points
Previously i have posted a similar question relating to geographic location for high school Tuition company.
I have taken the initiative to repost this similar question and hope someone would be able to assist me.

The business: High school tuition for english and maths

i have been location a a physical location to open the business and there was a few areas i have in mind.
The BETER location which is near the main city are expensive, and smaller in terms of sizes.

The further locations, which is not the best location, is over 1/2 price lower in rent and bigger in shop area. It is also next to good transport.

Because the service we deliver is educational tuition for high school, I have considered buyer behaviours of customers/ prospect and am a bit stuck on what would they think about High School Tuition in a 'not GREAT' area. (1 = worse, 10 = great, this would be 3.5/10).

Tuition is for high school students (age between 13-17) but the audience would be the parent as they are the financial controller.

- Safety
- location
- success in the past
- convenience

I understand the above basic criteria for a parent's judgment in deciding for their high school teen's to go to tutor. I have also had some bad comment when i told the location to some people and their expression was 'Oh my, that suburb is not good compared to...(some expensive location)'.

I wanted to understand a bit more in buying behaviours, would a increase in effort for PR be able to compensate this mindset?

I will be conducting surveys for further primary research on parents perspective on locations, but at the mean time, i would also like to hear professional opinions such as yourselves as to what you think of our target markets buying behaviours.

Thanking you in advance.
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RESPONSES

  • Posted by marketbase on Member
    In today's commercial real estate climate, YOU as a paying tenant have so much power. Question is, WHERE do you need to be (who/where is your target market), and how much space do you need? I'm surprised brokers aren't clamoring all over you! As the CRE space market continues to fall, you will be in even more control.

    jag
    MarketBase
  • Posted by NovaHammer on Member
    You have chosen the formal definition and might mislead clients because of this use. "--
    In American English, the term "tuition" is often used to refer to a fee charged for educational instruction" Is this business for North American marketplace? That could help with your answers.


  • Posted by Jay Hamilton-Roth on Accepted
    How would the students get to your location?
    How safe is the area - according to the police?

    In general, it's hard to correct a bad location perception, especially for children's safety. How about creating a mobile classroom that comes to the students? It could park very close to the students, be quite visible, and no rent. You'll need to ensure you have the correct licensing, but you won't have the problem of location.
  • Posted on Accepted
    If you are not prepared to go to the students' locations, then you need to be in the best/most convenient location possible. Otherwise it looks to the parents like you don't really respect their kids' safety and [travel] time.
  • Posted by NovaHammer on Accepted
    Often there are business that function at different times than your clients find best. Subsequently they have empty space when yo need it.

    Any Community Colleges etc that would rent a classroom or two to you in the evening? Most would be interested in extra income if the Tutoring Solution is presented professionally to them. There location might help with credibility also.
  • Posted by Chris Blackman on Accepted
    blu-aurora

    I'm in Australia too, I know exactly what you are concerned about. Just positioning your business one street away from what parents consider an acceptable location could spell trouble for your business.

    The factors you must take into account are:

    1. Is the student going to be arriving and leaving using public transport?

    2. Is the location between their school and home, preferably nearer to their home?

    3. Does the area have a reputation for safety, or, rather, does it NOT have a bad reputation?

    4. Are there any procedures you could put in place that might help? e.g. students traveling in groups, or pairs, mini-bus shuttle service to railway station, bus/tram stop, waiting area for parent pick-up, video cameras at entrance to record time of arrival and departure, etc?

    If you are happy to name the city and suburbs you are considering I might be able to give you a personal view based on experience.

    Hope that helps.

    ChrisB

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