A new study from Green Street Advisors and first reported by CNBC shows that total tenant sales in 24 malls with a Tesla store are on average $105 higher per square foot than in malls were Tesla has no retail presence. The study concludes that the effect is not only due to Tesla’s own high average of sales per square foot, but that the automaker is also driving overall mall sales.
The Green Street Advisors reports an average of $940 in sales per square foot in malls with a Tesla store, compared to $835 for those without.
While the report suggests that Tesla is driving overall sales, Tesla’s own sales likely contribute significantly to the difference with other malls.
Historically, Apple Store consistently reached the number one spot for most sales per square foot. According to eMarketer, Apple’s retail locations made $4,798 in sales per square foot on annualized basis at the end of 2014. Tiffany & Co came in second, but far behind Apple with $3,132.
We don’t have access to average annualized sales for Tesla’s stores, but the WSJ reported that Tesla’s retail location at Bellevue Square produced sales of $5,500 per square foot in January 2015 and Tesla CEO Elon Musk said that sales per square foot for Tesla stores are double Apple’s.