Reading Demographic Projections
Where the Data Comes From
Our demographic data is sourced from the US Census Bureau and the Bureau of Labor Statistics. We use multi-year estimates to establish historical baselines, which we then project forward using compound annual growth rate (CAGR) calculations.
Understanding the Charts
In the Demographic Profile tab of your report, you will see a chart with two types of lines:
- Solid lines represent actual historical data points collected over several years.
- Dashed lines represent projected estimates based on CAGR extrapolation from the historical trend.
Projections are mathematical trend continuations, not predictions. They assume current growth rates continue unchanged.
Key Metrics Explained
Median Household Income
The midpoint income for households in the zip code. This helps gauge the spending power of local consumers for your industry.
Population & Household Counts
Total population and number of households, showing whether the area is growing, stable, or shrinking.
Homeowner vs. Renter Rates
The split between homeowners and renters can indicate the type of services in demand. Home services tend to do better in high-homeownership areas.
Industry-Calibrated Cohorts
Depending on the industry you selected, we highlight the most relevant population segment. For childcare, this is children under 5. For home services, this is pre-1980 housing stock. These cohorts provide a more targeted demand signal than raw population alone.
Market Demand Score
A 0–100 score that synthesizes the demographic factors most relevant to your specific industry into a single demand signal.
⚠️ Important Disclaimer
Demographic projections are mathematical extrapolations, not forecasts. Actual population and economic trends can diverge significantly from projections due to policy changes, migration patterns, economic shifts, and other factors. These figures are provided for informational purposes only and should not be the sole basis for business decisions.