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Apple Stores Defy Recession's Bite on Retailers

By Kevin Spak,  Newser Staff

Posted Aug 24, 2009 9:03 AM CDT

(Newser) – Recession or no recession, customers have kept lining up to buy iPhones and other Apple products, Bloomberg reports. Apple’s store revenues grew 2.5% over the first six months of 2009, even as retail sales overall fell 9.2%. In New York, where boutiques on Fifth Avenue are largely deserted, the Apple store enjoyed a 22% surge in traffic in the second quarter, making it the highest-grossing store on Fifth Avenue, probably the biggest grosser of all time.

The Fifth Avenue store is estimated to pull in annual sales of more than $350 million—the . equivalent of selling a Mercedes-Benz C300 sedan per square foot, Bloomberg notes. The iPhone accounts for a huge chunk of those sales, but analysts say the store has more going for it than a must-have gadget. Apple keeps the store overstaffed, ensuring attentive service. It’s also open 24 hours a day, which an Apple exec says pulls in New York’s late-night denizens.

Customers get assistance purchasing the new Apple iPhone 3G S at the Apple store in San Francisco, Friday, June 19, 2009.
Customers get assistance purchasing the new Apple iPhone 3G S at the Apple store in San Francisco, Friday, June 19, 2009.   (AP Photo/Eric Risberg)
A line of people wait outside the Apple store to purchase the new Apple iPhone 3G S in San Francisco, Friday, June 19, 2009.
A line of people wait outside the Apple store to purchase the new Apple iPhone 3G S in San Francisco, Friday, June 19, 2009.   (AP Photo/Eric Risberg)
Customers examine products at the Apple store in San Francisco, Friday, June 19, 2009.
Customers examine products at the Apple store in San Francisco, Friday, June 19, 2009.   (AP Photo/Eric Risberg)
People crowd a genius bar inside the Apple store while purchasing the new Apple iPhone 3G S in San Francisco, Friday, June 19, 2009.
People crowd a genius bar inside the Apple store while purchasing the new Apple iPhone 3G S in San Francisco, Friday, June 19, 2009.   (AP Photo/Eric Risberg)
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COMMENTS
Showing 2 of 2 comments
Newser001
Aug 24, 2009 5:48 AM CDT
Duh moments: increased NOT increase, climb NOT cilme.
Newser001
Aug 24, 2009 5:46 AM CDT
Have watched their stock price...? It keeps going up. I check it everyday and kick myself for not buying when it was in the $60's, months ago. Its increase by over 150% and continues to clime.

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