What is Market Potential Index (MPI)?
An Esri metric measuring the likelihood that consumers in an area will exhibit specific behaviors compared to the national average.
Definition
The Market Potential Index (MPI) is a metric provided by Esri that quantifies the likelihood that adults in a given trade area will exhibit specific consumer behaviors relative to the U.S. average (indexed to 100). An MPI of 120 for 'eating at fast food restaurants 9+ times per month' means residents are 20% more likely than the national average to exhibit that behavior. MPI data is derived from GfK MRI's Survey of the American Consumer and covers hundreds of behaviors across food, shopping, fitness, media, technology, and more. In CRE site selection, MPI is invaluable for matching a specific concept to a trade area's consumer propensity. While demographics tell you who lives there and spending data tells you how much they spend, MPI tells you what they're likely to do — making it the most directly actionable metric for concept-specific site selection.
Example
A trade area with an MPI of 140 for 'belongs to a health club' and 125 for 'participates in yoga' is an exceptionally strong location for a premium fitness or yoga studio concept.
Related Terms
Learn more about market potential index (mpi) in practice
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