A Murphy USA location in Gibsonton, FL. (Photo courtesy of D. Wayne Shouppe Construction Co.)

MIAMI—The National Retail Federation is predicting 2016 growth in retail sales to surpass the 10-year average of 2.7%. Current estimates forecast growth of 3.1%, aided by continued job creation, rising wages, and an associated increase in discretionary income, according to CBRE Florida Research's Retail Performance Report for the first quarter of 2016. The report tracks sales trends for national retailers with locations in Florida.

Florida is projected to lead the nation in restaurant sales growth in 2016 at 7.4%, according to a forecast by the National Restaurant Association (NRA). Following Florida are Nevada (7.3%), Washington (7.0%), and California (6.6%). The NRA anticipates that growth in the quick service segment should continue to outpace table service sales.

“Another year of strong tourism is expected to push Florida to the top of the rankings for restaurant sales growth,” Quinn Eddins, Florida's Director of Research and Analysis at CBRE, tells GlobeSt.com. “That's great news for Florida restaurateurs and owners of Miami real estate.”

Companies across many retail segments have sought to reduce store size and experiment with smaller formats over the past few years. CBRE notes Target, Dollar General and Best Buy have embraced the push, making it possible to open stores in more densely populated urban areas.

“While big box retailers seek to increase efficiency and move to smaller footprints, the usual suspects top the list of most efficient retailers in terms of sales per square foot,” the report reads. “Luxury, jewelry, and accessories retailers accounted for 20% of the 50 most efficient firms.”

According to the report, the high price of jewelry coupled with the smaller footprints—2,540-square-foot average—contributed to the strong ranking. Following the luxury, jewelry, and accessories segment, brand manufacturers (10%) and casual dining restaurants (10%) rounded out the top three in terms of space efficiency.

“Drilling down to the specific companies, a leading electronics company recorded the highest sales per square foot figure over the last 12 months, averaging over $5,800,” the report reads. “Convenience store operator Murphy USA also had a strong efficiency showing, coming in at over $3,700 in sales per square foot.”

With an average store size of 500 square feet, Murphy USA has the smallest footprint of all the eMarketer tracked retailers in the CBRE report. Tiffany & Co. registered at over $2,900, also fared well. According to CBRE, Tiffany's, which averages a 4,100 square foot footprint, has made a recent push to better cater to its more affluent customers by introducing additional “ultra-high-end” pieces.

Instant Insights /

Florida Leads the Nation on This Important Metric

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