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Gamestop: 'We Don't Like Being in the Used Business"

Ex: Gamestop: retail video game giant, slayer of publisher margins, and the store gamers love to hate (until they buckle to an insane trade-in offer). The company doesn't exactly have a wave of goodwill washing over them at the moment, and a new comment from Gamestop's Niall Lawlor won't help that image.

Update:

Various sites are now amending their articles, citing contact from a Gamestop spokesperson saying: “These comments from an unnamed and unknown person claiming to be a GameStop employee are inaccurate." We're not buying it.

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CrAppleton2708d ago

BS. They LOVE it. I used to work for EB games. They pushed us so hard to sell used that if we didn't offer a used version we could get written up. That's a load of crap.

NecrumSlavery2708d ago

Used games makes so much money. GS makes about $3-5 off a new game. They make 50-60% more than they trade in on a used game. When you trade a used game in for $25, GS turns around an sells it for $55.

working4games2708d ago

Does anybody also notice that school bookstores do the same thing by buying used books for like half price and turning around and selling it for almost double that? That's why I shop online for everything.

ThatArtGuy2708d ago

Yeah, but they're already highlighted for ease of use! Think about it, man! ;)

Darkstorn2708d ago (Edited 2708d ago )

The video game industry is driven by creativity. It's important to give developers their due, even if publishers suck up more than their share of new game sales (at least it's better than giving 100% of the money to Gamestop).

Cars and textbooks will be produced no matter how many copies are bought, but it's not the same with video games. We must support the industry we love, and used games are an obstacle to supporting our favorite developers.

maawdawg2708d ago (Edited 2708d ago )

Considering the massive portion of their quarterly profits that come from used game sales this is blatant PR speech. Used game sales is their money maker and they aren't going to stop anytime soon.

Take a look at their quarterly report, 31% bump in used game sales from last year due to people trying to save a few bucks in a bad economy.
http://online.wsj.com/artic...

Here is an article about their profit margins in a cents on the dollar comparison. They make about 5 times more profit per dollar on used games than new.
http://kotaku.com/352790/ga...

DuneBuggy2708d ago (Edited 2708d ago )

That I have no problem believing that CrAppleton as I recall several occasions where I was offered a used game..Or promotions on used games....
I personally dont have issue with it.Sell whatever you want. But dont try to act like its a "burden" to do so.

sikbeta2708d ago

Yeaaahh...Riiight... you wan to tell me you don't love to sell used games @ $55 per unit and keeping the money to yourself?

Please...

Boody-Bandit2708d ago (Edited 2708d ago )

This is flat out BULLSHIT!
Anyone that knows thing one about the retail side of the gaming industry knows there is next to no money in selling new games. Used is where the big profit is and has been for years! Gamestop is flat out lying their asses off and just trying to appease the publishers and developers that have been bitching about the used market in gaming.

Christopher2708d ago

Also heard today:

Activision: "We don't like being in the business of making games that rely on peripherals."

Blizzard: "We don't like that the majority of our profit comes from online subscriptions."

Microsoft: "We don't like that the majority of FPS gamers enjoy gaming on the Xbox 360."

Sony: "We don't like that people feel encouraged to buy HD TVs because of Blu-ray."

Bethesda: "We don't like that gamers rely on us for more Oblivion games."

killyourfm2708d ago

Best comment here. Bubbled up.

Sitdown2708d ago

and say that in some ways I can understand. Just because you do something, and you make money off it...does not necessarily mean you like doing it. For example........not everybody likes going to school, but they go, knowing the future implications of going. So if Gamestop feels that the used business is a lot to manage, but they understand that them staying afloat is tied to their used game division......then guess what, despite not liking it, they are stuck doing it because of now their existence depends on it.

harrisk9542708d ago

GS is full of it... they make the vast majority of their profit from used games. There is more margin because they create the margin. It is not controlled pricing like you have with new games.

+ Show (5) more repliesLast reply 2708d ago
Queasy2708d ago

Funny, I thought they liked being in the business of making money.

Neco5122708d ago

Yeah, give me 5 bucks and sell it for 30. You don't like that? Of course you do

DaRockSays2708d ago

Whaaa??? My ass gamestop. That's your money maker. Without used games you'll close in a month

CrAppleton2708d ago

I wouldn't say a month.. but I imagine without the extra revenue of used games, they'd probably go under rather quickly.

wiggles2708d ago

Have some balls gamestop... stop trying to play all nice and political....

They really waisted a golden opportunity...

The developers were saying how used games should be banned, and are crying that they aren't getting any share; even though their games are already over priced with a noticeable decrease in quality.

Gamestop could have said how they were sticking up for us (which is half true) and they could have even won people over....

But alas they want to play political and now again the gamers have really no one to root for except for the few good publishers left out there...

killyourfm2708d ago (Edited 2708d ago )

Bobby Kotick may be a d!ck, but at least he's bullish and crystal clear about the fact that his job is to make Activision's shareholders happy.

Baka-akaB2708d ago (Edited 2708d ago )

your way would be as much bullsh*t , as political and as devious .

Had they claims they were defending us , it would be very hard to believe

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