Many commercial real estate brokers and shopping center managers are used to purchasing a retail tenant database just once a year, so a monthly subscription fee can feel expensive. When compared to the cost of a vacant space, however, Retailsphere is a steal. And because Retailsphere’s location data and retail research is constantly updated, you know you’ll be able to quickly and easily fill vacant spaces throughout the year with accurate contact information.
While some retail leases for major brands will last up to 10 years, the average lease in the United States for retail spaces is 5 years, which we will use in our ROI calculations. Additionally, a small retail space averages around 1,000 sq feet.
On the low end, in Columbus, Ohio a small retail lease would equate to $14,770/year ($1,230/month or $73,850 lifetime value). On the high end in San Francisco, CA a small retail lease would average out to $41,210/year ($3,434/month or $206,050 lifetime value).
Compare this to a basic Retailsphere subscription which includes 3 users for 12 months, the total fee only comes to $2,808/year. That means in Columbus, Ohio your ROI on one small retailer is $71,042 over the lifetime of the contract, and you’ve paid for your subscription after 2 months of the lease life. In San Francisco, your ROI is even better, $203,242 over the life of the contract, and not only is your subscription paid within the first month of the lease, you make $626.
These calculations assume your team is only able to sign one new tenant using Retailsphere. We’re confident that Retailsphere will provide opportunities with brands that your brokers or managers may never have even considered before leveraging our platform. We expand everyone’s network of brands, identifying emerging multi-unit groups and trends that most other tenant databases don’t include. And because we include regional and local brands in the database too, your team now has every retailer in their network of contacts, something rarely available to brokers and managers before Retailsphere.
Plus, you get access to an on-demand, highly-effective research team. When you need additional outreach help, you can simply submit a request to our team and they reach out to brands, delivering a custom information report to you after completion. With a basic Retailsphere membership you effectively create 10x your team’s capacity to fill vacant spaces.
And with our robust tenant profiles, Retailsphere can help you identify those tenants who are more likely to go dark and get ahead of those potential closures. When you’ve built out a list of brands that could be a good fit for your spaces, down time between retailers is shorter and loss of revenue is smaller. Or use Retailsphere to negotiate contracts with tenants already in your spaces. When you have a list of brands interested in your space, you’re less concerned about giving in to all of an existing tenant's demands. Take a look at our in-depth piece on how you can leverage data in a lease negotiation.
If you're a manager, you no longer spend an excessive amount of time on team oversight. Retailsphere’s reports and processes give you simple insights into where your team’s prospects are in the leasing process. This allows you to invest your valuable time on other management tasks or additional outreach opportunities.
Beyond just the simple amount of revenue a quickly executed lease can bring to your shopping center, Retailsphere provides time savings for you and your team which creates an even better ROI on your Retailsphere subscription. Either one of these would be enough to make Retailsphere a great option as your new retailer tenant database, but together the choice is clear - Retailsphere gives you an unbeatable return on time and money.
Interested in seeing how Retailsphere can benefit you or your team? Sign up for a no-obligation demo today.