Readers of this blog — and both my books — know how much I admire the experience of the Apple retail stores, especially the Genius Bars. Apple's strategy of connecting with their customers one-on-one is certainly paying off, according to this Bloomberg article:
Even more interesting is how valuable the Apple retail space is on 5th Avenue in New York:
That’s the equivalent of selling one Mercedes-Benz C300 sedan per square foot. Apple may be the highest grossing retailer ever on Fifth Avenue, said Faith Hope Consolo, chairman of the retail leasing and sales division at Manhattan-based Prudential Douglas Elliman Real Estate. Apple doesn’t disclose store-specific revenue, said Amy Bessette, a spokeswoman at the company.
By comparison, the sales floor at Tiffany & Co. sells as much as $18,000 per square foot, Consolo said. Another famous Fifth Avenue jeweler, Harry Winston Diamond Corp., sells between $12,000 and $13,000, she said. When asked to comment on Consolo’s estimate, a spokesman at New York-based Tiffany said the number was too high. Toronto-based Harry Winston doesn’t provide individual-store performance figures, said a company spokesman.
So next time a client begins to doubt the experiential engagement model, take a trip to NYC and show them the best and greatest retail operation in history.