As of Sep 30, 2017, Select Comfort operated 553 Sleep Number stores in 49 states.
In fiscal 2016, the company opened 72 new stores and closed 20 stores. The company opened 30 stores and closed 17 stores in the first nine months of 2017.The company expects a 5% to 7% increase in store count, annually.
All stores are leased, and generally provide for an initial lease term of 5 to 10 years with a termination option if certain minimum annual sales thresholds are not achieved. Additionally, mall-based retail store leases may require payment of contingent rent based on net sales in excess of certain thresholds.
Store average approximately 2,500 square feet. Historically, all company-owned stores were in shopping malls. In 2010, Select Comfort began operating in non-mall locations. As of year-end in 2015, 44% of locations were non-mall stores, up from 40% and 31% in 2014 and 2013, respectively. Non-mall stores are located in highly-visible, well-traveled locations intended to complement the existing mall store base.
|Total gross square feet (M)||1,445||1,399||1,214||1,106||949||759|
|Total gross square feet growth||6.8%||15.2%||9.8%||16.5%||25.0%||24.4%|
|Avg store gross sq ft||2,200||2,600||2,500||2,400||2,200||1,900|
|Avg store gross sq ft growth||1.8%||4.1%||4.1%||10.8%||16.5%||15.6%|