Retail Trade Area Analysis Langdon North Dakota

Abstract

This report is intended to provide an indepth trade area analysis of Langdon, North Dakota. Specific analyses included determining Langdon's main and greater trade areas, identifying the demographic profile of Langdon shoppers, examining important and less important services for patron shoppers of Langdon, identifying neighboring cities that area shoppers patronize, determining distances area shoppers traveled to Langdon, and listing popular newspapers and radio stations among area residents. Current trade area information for Langdon was obtained from a statewide trade area survey conducted by the Department of Agricultural Economics at North Dakota State University in 1989. Recent trends (1980 to 1989) in Langdon population, retail sales, per capita income, and pull factors, and in Cavalier County population and employment were identified and discussed. Langdon's trade area population and retail sales along with Cavalier County population and average annual employment have all decreased throughout the 1980s. Although most demographic and economic measurements have decreased, Langdon has experienced population growth and increased its pull factor in the 1980s. Langdon has fared as well as, if not better than other North Dakota cities. with similar populations, and has fared favorably compared to smaller competing trade centers. The economic situation in the 1980s in Langdon and Cavalier County are somewhat typical of the problems found in agriculturally dependent North Dakota communities. Langdon's trade areas were broken down into main and greater trade areas. A main trade area (MTA) was defined as an area where the majority of township residents purchase a majority of selected goods and services in one city. A greater trade area (GTA) was defined as the area beyond the MTA where some township residents purchase some selected goods and services in one city. Langdon's MTA decreased in size by one township, compared to MTA boundaries determined in 1973. The typical household for survey respondents appears to be a middle-aged married couple, who have completed high school, have few children at home, primarily are employed in agriculture and professional/technical professions, and have resided in the area a large portion of their lives. Main trade area residents traveled an average of 16.4 and 17.1 miles to Langdon to purchase selected convenience and specialty goods and services, respectively. One-third of all respondents who purchased 50 percent or more of convenience and specialty goods in Langdon traveled over 25 miles to purchase the item. Langdon appears to be capturing most of the potential market for most goods and services on the survey questionnaire; however, Langdon could capture more of the available market for clothing items, electronic goods, and most agricultural goods and services. Grand Forks, Devils Lake, Grafton, Park River, and Cavalier, along with some smaller towns, were the most popular trade centers for the purchase of nonagricultural goods and services by Langdon MTA residents who did not purchase a majority of the good or service in Langdon. Wales, Osnabrock, Edmore, Fairdale, and Calvin were popular for purchasing agricultural goods and services. Outshopping analysis revealed no substantial demographic or socioeconomic differences between Langdon MTA residents purchasing 50 percent or more and those purchasing less than 50 percent of selected goods and services in Langdon. A slight difference between groups was evident in miles traveled. The Grand Forks Herald was the most popular daily newspaper for both Langdon MTA and GTA residents. Cavalier County Republican and The Walhalla Mountaineer were the most popular weekly newspapers for Langdon MTA and GTA residents, respectively. The most popular radio stations for Langdon MTA residents included KDNK of Langdon, KDLR of Devils Lake, and KFYR of Bismarck. Although economic times have been difficult, Langdon is doing a good job of retaining most of its past trade area and remaining an important trade center in north central North Dakota.