Kentucky’s Retail Sector by Area Development District (ADD)

retail_sector_thumbnailCEDIK has released the fourth county profile in our data series.  This profile reports county level data on the retail sector of the county economy.  Our goal was to provide economic analysis of the retail sector, and to also provide explanation of the economic analyses used.  You can find all four of our county profiles on our website.

Data at the Area Development District (ADD) level was reported on each county profile as well.  However, the data for the 15 ADDs cannot be easily compared from the county data profiles themselves.  So we have provided some comparison of the retail sector across the ADDs in the tables and graphs below.

Let’s start by taking a look at the share of employment the retail sector provides for each ADD.  In the graph below, we see that as a whole, the retail sector in Kentucky provides 10.7% of all employment for the state.  The orange line across the chart shows us the statewide percentage.  There are only a few ADDs that have a higher share of their employment coming from the retail sector than the state average. Big Sandy ADD in particular stands out has having the largest share of employment coming from their retail sector of all the ADDs.


Now let’s take a closer look at the ADD retail sector pull factors.  To refresh everyone’s memory, a pull factor measures a county’s ability to attract shoppers in the retail sector. If the pull factor is less than 1, its own residents are shopping in other counties. If greater than 1, the county is pulling in retail shoppers from other counties.


As you can see, most ADDs are able to attract shoppers into their area to make retail purchases (ADDs with a Pull Factor >1).  There are four ADDs though that are not able to capture enough retail shopping to equal their average resident’s spending on retail purchases (ADDs with a Pull Factor <1).  This means that these four ADDs have residents meeting some of their retail needs outside of the ADD.

This points to an opportunity for economic development for these ADDs.  How might an ADD work to attract more shoppers into their retail establishments?

CEDIK can assist communities with developing a retail strategy that attracts more shoppers. Contact us if you are interested in learning how.


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