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Geography & Demographics
Possibly the most obvious reason to use ZIP codes for small area demographic and economic analysisis that the analyst has other ZIP Code-based data.Typically those data are addresses or address-based data.The analyst seeks to assign demographic and economic data to the ZIP code records/locationsso that more can be known about the demographic-economic characteristics of individual addressesor address vicinity.
ZIP Codes are well known to all of us. They are used by the U.S. Postal Service as a means to more efficiently deliver mail.Census tracts may be less familiar.Census tracts are defined by the Census Bureau and organized as sub-county building blocks. More about census tracts.
Census Tract-ZIP Code Area Comparative Analysis Profiles
The sample S&O Profile shows side-by-side comparison demographic-economic views of two census tracts and associated ZIP Code Tabulation Area in the Scottsdale, AZ area.See more about .See related section about equivalencing census tract and ZIP Code area geographyhttp://proximityone.com/ziptractequiv.htm
10 Reasons to use Census Tract Versus ZIP Code Geography & Demographics
1. Census tracts are polygons and cover a well-defined geographic area.
ZIP codes are clusters of lines; the U.S. Postal Service does not define ZIP Code boundaries.A very large number of 5-digit ZIP Codes are P.O. boxes or specific street addresses andthus represent points not even one line.
2. Census tracts provide more granularity (73,000 areas) than ZIP Codes (43,000).
3. Census tracts are non-changing static geography from decennial census to census.
ZIP codes may change at any time; new ZIP codes may be created or eliminated at any time.
4. Census tracts cover the U.S. wall to wall.
ZIP codes exist only where U.S. mail service is provided.
5. Census tracts align coterminously to county boundaries.
6. Census tracts have well known/exact boundaries.
ZIP codes are groups of lines whose exact structural definition is not officially established.
7. Census tracts provide more statistical uniformity averaging 4,000+ population.
The population of a single ZIP code can exceed 100,000.
8. Census tracts have a large and richer set of associated, more reliable demographic-economic data.
True ZIP Code data are only delivery statistics developed by the U.S. Postal Service.
9. The total land area and water area are known for each census tract, to the square meter.
The total area covered by a ZIP Code is not known, let alone water area.
10. A unique set of census blocks, and hence demographics, can be associated with each census tract.
There is no good way to associate census blocks with ZIP codes.
11. It is entirely feasible to develop and analyze time series data for census tracts.
Time series data by ZIP code is risky due to the inherent potential for changing geographic scope.
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ProximityOne develops geographic-demographic-economic data and analytical tools and helps organizations knit together and use diverse data in a decision-making and analytical framework. We develop custom demographic/economic estimates and projections, develop geographic and geocoded address files, and assist with impact and geospatial analyses. Wide-ranging organizations use our software, data and methodologies to analyze their own data integrated with other data.Follow ProximityOne on Twitter at www.twitter.com/proximityone.