“Apple Computer has shown people will gladly part with money at its candy stores for geeks,” Scott Martin reports for Red Herring.
“But here’s a little-known fact: Apple’s chic stores don’t just sell more per square foot than even Best Buy, they beat some of the best in the luxury retail world silly, according to a report released Tuesday by Bernstein Research analyst Toni Sacconaghi,” Martin reports.
“Apple’s stores have hauled in annual sales per square foot of $4,032, compared with Best Buy’s $930, Neiman Marcus’ $611, and luxury store Tiffany & Co.’s $2,666, according to Bernstein,” Martin reports. “It’s a wild contrast to the failure of Apple rivals such as Gateway to break into the retail market.”
“Mr. Sacconaghi said that Apple’s retail stores have played a significant part in Apple’s success over the past five years,” Martin reports. “The analyst said Apple retail stores also had an influence on brand awareness. That brand awareness is equivalent to $60 million spent on advertising, he noted. Apple has 170 retail locations in four countries. The Mac maker has about 150 U.S. locations.”
Full article here.