SAN JOSE SILICON VALLEY CHAMBER OF COMMERCEAlum Rock Business Walk

Alum Rock Business CorridorThursday, Oct. 22, 2015

PRESENTED BY SPONSORED BY

Introduction

Key Findings: • The overall business climate within the ARBC is

considerably worse than in other areas where business walks have been conducted in the past.

• The main benefits that the ARBC provides to business owners are the community, the location, and loyal customers.

• The main areas of improvements, according to business owners, are public safety, construction, and the infrastructure.

Since 2012, the San Jose Silicon Valley Chamber of Commerce has held bi-annual Business Walks to offer its volunteers and partners a valuable opportunity to see first-hand how the business climate is doing in a specific area. In the fall of 2015, the Chamber and its volunteers visited businesses along the Alum Rock Business Corridor [ARBC].

52%33%

15%

Service

Retail

Restaurant

Data: Business Type

During the ARBC Business Walk, 81 businesses were contacted and broken down into three sub-categories:

• Service: Service-based businesses (automobile repair shops, hair salons)

• Retail: Businesses focused solely on the exchange of goods (clothing stores, markets)

• Restaurant: Included bakeries, food trucks, and food stands

40%

31%

30% Good/Improving

Same/Maintaining

Poor/Getting Worse

Data: Business Climate

When asked about the business climate …• 39% of business owners stated their

business was good/ improving• 31% stated it was same/ maintaining• 30% stated it was poor/ getting worse.

This data shows a notable increase in negative business outlooks when compared to previous Business Walks.

59%

35%

6%

Alum Rock/Capitol

57%33%

10%

Alum Rock/White

25%

17%58%

King to Jackson 13%

7%

80%

Good/Improving

Same/Maintaining

Poor/Getting Worse

50%50%

McKee/White

13%

63%

25%

McKee/Capitol

13%7%

80%

Hwy. 101King

Data: Business Climate- Breakdown by Geographical Region

Business Climate- Breakdown by Geographical Region

Dividing the ARBC into six geographical regions reveals some interesting patterns:

• The section on Alum Rock that runs from the Capitol intersection to the White intersection shows a positive business outlook, with almost 60% of business reporting improving business.

• In the intersections of McKee & Capitol and McKee & White more than 50% of the business reported no change in business levels.

• The area that most contributes to the negative business outlook in Alum Rock is the stretch on Alum Rock from the 101 Freeway to Jackson Ave, where an overwhelming number of business owners felt their business was worsening.

Loyal Customers Traffic Community Longevity Location Other0

5

10

15

20

25

Service Retail Restaurant

17.17 16.16

24.24

15.15

19.19

8.08

Benefits of the Area by Business Type

The two main benefits of Alum Rock, according to business owners, are:

• Community (24%) • Location (19%)

Divided by business type, the main benefit of Alum Rock was:

• Service: Community• Retail: Community/Loyal

Customers• Restaurant:

Location/Longevity

Parking Safety Marketing Construction Infrastructure Other0

5

10

15

20

25

30

Service Retail Restaurant

11.48

26.23

12.3

20.4918.03

11.48

Areas for Improvement by Business TypeThe two main areas of improvement within the ARBC were:

• Public Safety (26%)• Construction (20%)

Broken down by business type, the main areas of improvement were:

• Service: Public Safety• Retail: Construction• Restaurant: Public

Safety

Alum Rock & White Alum Rock & Capitol 101 Freeway to King King to Jackson Mckee0

10

20

30

40

50

60

21.4

30.4

8.7

13.3

5.9

10.713.0

8.76.7

17.6

28.6

17.4

26.1

40

11.8

17.9

13.0 13.0 13.3

5.9

21.4

26.1

43.5

26.7

58.8

Loyal Customers Traffic Community Longevity Location

Benefits of the Area by GeographyThe main benefit of the ARBC, based on geography:

• 101 Freeway to King and McKee Road: Location

• King to Jackson and Alum Rock & White intersection: Community

• Alum Rock & Capitol intersection: Loyal Customers

Alum Rock & White Alum Rock & Capitol 101 Freeway to King King to Jackson Mckee0

10

20

30

40

50

60

13.9

0

28

11.8 12.5

27.8

22.7

4

26.5

50

11.1

36.4

0

8.812.5

2.8

9.1

52

23.5

0

41.7

13.6

8

14.7

6.25

2.8

18.2

8

18.75

Parking Safety Marketing Construction Infrastructure Other

Areas for Improvement by Geography • Main area of improvement

along the corridor based on geography: • Alum Rock & White:

Infrastructure

• Alum Rock & Capitol: Marketing

• 101 Freeway to King: Construction

• King to Jackson and McKee Road: Public Safety

Next StepsOn Thursday. January 14, 2016 the San Jose Silicon Valley will be hosting the first Access Silicon Valley Panel of the year—Economic Development in East San Jose. The findings of the Alum Rock Business Walk, as well as those from the Story Road Business Walk earlier in 2015, will be discussed at this panel.

Panelists include:

• San Jose District 5 Councilwoman Magdalena Carrasco• Alum Rock Santa Clara Street Business Association President

Jesus Flores• Hispanic Chamber of Commerce Silicon Valley Executive

Director Dennis King

Seating is limited. Register at sjchamber.com