According to research provided by CoStar, sales per square foot at all but a few public retailers have declined to an average of around $325 in recent years, down from nearly $375 in the early 2000s. There’s little doubt that the online giant Amazon.com, Inc. has been disrupting traditional retailers, however, several companies have managed to grow sales despite the declining trend in brick-and-mortar. Other retail companies watching the trends in the rising costs include Generation Next Franchise Brands, Inc., Tiffany & Co., lululemon Athletica, and Apple Inc..
With sales per square foot viewed as a major component of retail success, according to industry data provided by eMarkter, the #1 retailer in sales per square foot is Apple Inc., which did a staggering $5,546 per square foot. Having launched the first iPhone 10 years ago, it’s speculated that this next milestone iteration of the iconic product could produce Apple’s strongest sales to date.
Leading food service retail with sales of $3,970 per square foot is the Reis & Irvy’s robotic frozen yogurt vending kiosk. Parent company Generation Next Franchise Brands, Inc. has pre-sales of approximately $27,000,000 with mass production and a nationwide rollout into movie cinemas, malls, airports, hospitals and tourist attractions across the US scheduled to begin Q4 2017.
Leading the jewelry retail industry with sales of $2,951 per square foot, Tiffany & Co., through its subsidiaries, designs, manufactures and retails jewelry and other items worldwide. As of January 31, 2016, it operated 125 stores in the Americas, 85 stores in the Asia-Pacific, 55 stores in Japan, 43 stores in Europe, and 5 stores in the United Arab Emirates.
Leading apparel retailers with sales of $1,560 per square foot, was lululemon Athletica, together with its subsidiaries, designs, distributes and retails athletic apparel primarily marketed towards women. As of January 29, 2017, it operated 406 company-operated stores under the lululemon and ivivva brands in the United States, Canada, Australia, the United Kingdom, New Zealand, China, Hong Kong, Singapore, South Korea, Germany, Puerto Rico, and Switzerland.
Source: MarketNewsUpdates.com
MacDailyNews Take: Not too shabby for “a very painful and expensive mistake,” huh? 😉
I give [Apple] two years before they’re turning out the lights on a very painful and expensive mistake. – David Goldstein, Channel Marketing Corp. President, commenting on Apple’s plan to open retail locations, May 21, 2001
SEE ALSO:
The Apple Store’s new redesign celebrates Steve Jobs’ legacy – April 26, 2017
Here’s CBS this Morning’s interview with Apple’s Angela Ahrendts – April 25, 2017
Apple is overhauling its stores, and wants them to be the new Starbucks, says Angela Ahrendts – April 25, 2017
Apple’s retail chief Angela Ahrendts on turning stores into town squares – October 18, 2016
Angela Ahrendts is definately not a diversity hire.
Except for the opinions of the Nattering Nabobs of Negativity crowd she’s worth every penny she’s paid.
What has she done?
I’m waiting patiently for a photo of Angela sitting in a red fitness ball 😍
Angela who? She does’t contribute nearly enough for her highly excessive pay.
How do you know? You work with her?
Knowing is not required. 🙂
We gave enough people here calling Jobs by his first name.
No and clearly you don’t. So show me some proof; where is it? What has she done? I don’t have to work there to see little or no impact from her “work”. Nothing’s really changed in the stores. They were doing just fine w/o her. Steve and Ron created the great machines that are still the current Apple stores.
As long as Angela can keep the buzz alive with upgrades & remakes in the retail end, with these types of numbers, she is going to be terrific for Apple.
Learn from her. Learn from Apple. Pattern your own company in a unique way.
The per square foot revenue is offset by the square foot cost – literally.. in a 2011 WSJ article and book by Walter Isaacson, a senior member of the infamous super secret beta test Apple Retail Store in a hidden location near Cupertino said:
“..Jobs insisted that it (every sq ft of every Apple Retail store) had to be authentic. The gray-blue Pietra Serena sandstone, which has a fine-grained texture, comes from a family-owned quarry, Il Casone, in Firenzuola outside of Florence. “We select only 3% of what comes out of the mountain, because it has to have the right shading and veining and purity,”
Not to be outdone,. Steve Ballmer went with Armstrong’s high end TimberBrushed™ hardwood’esque vinyl flooring for the Microsoft Store. “The touch of replicate amber resin reminds us of the pine forests of the Cascade mountains. The sheen from the fire retardant phthalates is irresistible”.
For you youngsters, father round because this is a classic.
Microsoft had to attempt to copy the of the Apple retail store. CEO Steve Ballmer had no market for the products he was selling but he still opened a Microsoft Store and recreated all the excitement of a new Apple Store (fans camping out to get Apple goodness first). So ..
NO ONE is going to camp out for a Microsoft product. What to do? Ballmer announces Microsoft is giving away Miley Cyrus concert tickets to the first 1000 “Microsoft” fans. In the video you see Ballmer cutting a ribbon on a new Microsoft Store (only 100 ft from a highly successful and established Apple Store).
Next the creepy part. A 60 year old dude touching hands with 1000 preteens in braces who camped out all night (1) go in and then (2) come out 60 seconds later with an empty $4 colorful Microsoft sack and their Mikey tickets (sans Microsoft product).
Apple’s revenue per sq foot never ceases to amaze me.