GameStop is in need of some major changes and it needs to make them fast if the used-game retailer wants to survive the digital era.
I'm no fan of gamestop and dont shop there myself but imagine the neck of an author of some minor league website telling you how you should run a business. I wouldn't be taking any advice from a writer that uses the word "crap" in their opening lines
You would be surprised how many people are the top of any business that don't have a clue what goes on at the bottom level, the ones bringing the money in. All they see is pound signs and when that money starts to dip, it's not their mis-management that gets the blame, it's the people doing the working, brining the money into the business. We don't GameStop in the UK but we have GAME which is just as poorly managed as GS and alot of their problems are common sense to people who don't need a degree in business studies to realise that.
They know exactly what goes on at a lower level bud. They just dont care. It's also not unique to GameStop. Copy and paste that issue under any number of other business names. Game went bust on these shores some time ago. They were a desperate retailer anyway. The most expensive and incredibly poorly stocked stores around
In GS case, they're up against a new market which has cut into their sales enough that they aren't able to operate given the cost to run a retail establishment. People may criticize how they do business, but the fact that they've stayed in business so long, when many others have failed in similar markets, having much less to contend with, is actually a mark of them doing something right. People may not like what they're doing to stay afloat, and not everything they do works, but I don't think their problem is clueless upper management. Their problems aren't even their policies or how people perceive they conduct their business. The criticisms against them are just people who think they need to give everything away for next to nothing, because they don't understand how retail, or business works. GS biggest problem is that their business operations are bloated, which they've been trimming the past couple years. The margins for new games are too low to operate a retail outlet on that alone. Huge increase in online marketplaces, which they've actually adapted to pretty well. Increase in digital distribution taking up to 25% of their revenue away. Only a couple of those things are things they can control. They adapt where they can, like with online marketplaces. They trim where they can. They can't change the course of DD gaining traction, or the wholesale price, although they can negotiate given their buying power. Everything GS does is to try and remain profitable, yet people complain they don't give trade in credit equal to what GS can buy the game new for. Did you know, new releases cost GS $40 to buy shrinkwrapped? They offer up to $30 for those new releases on trade in. Then sell them for $10 cheaper with a PUR card. But there are those who act like GS should give them more, take less of a profit margin on it, and use it to base their entire criticism of GS trade in policies on. I agree with some of the criticisms of GS, mostly how they fill their store with a lot of stuff....which luckily they seem to be backing off of at my local GS at least. But this constant talk about how piss poor they are, or advice on how to stay alive in the market are just petty and from people who have no clue what's going on.
I'd love to see gamestop take on board gaming. Stock for sales and late night openings with tables for groups to rent. Both hobbies already mould together quite nicely
I don't think retro selling games is going to help in the long run. but somehow they need to be more price competitive with digital, which would be difficult and have to work out deals with the publishers.
True, the digital game sales have gotten so crazy, every time I price match with the physical version, I'm saving massive amounts of money and amassing a huge games library (except for the Switch). Regular digital price still sucks though, physicals always seem to beat them there. There's not many good brick and mortar stores to buy physical games from anymore anyway. I mainly use them to buy consoles and accessories since the pricing is more competitive in that area (I tried Ebay, but Big W is priced better for accessories).
Gamestop is dead in Scandinavia by the year. I don't think they will last very long elsewhere.
Make them into gaming hubs and sell games on the side along with Food and beverage. Hold tournaments and make deals to keep it going. Do promotional events and get the advertising money from publishers. This is what i like to be able to attend as a gamer so i think im probably not the only one.
Sounds good, I feel like A LOT of people just buy games online now or download them because it's so convenient. Some people probably still go to get used or new games but I'm pretty sure they've probably lost tons of money due to digital downloads.
I wonder how their executives felt when Battlefield 1943 came out. The first major AAA downloadable game.
Managing at a local gamestore(not gamestop) for 5 years i can tell you there's no simple answer. The main thing i would say that helps is you have to be a one stop shop for all things gaming at least to a small degree. What i mean by that is you can't rely on one "bread and butter" solution, you have to deliver in as many aspects of the gaming market as possible, a jack of all trades (king of none)if you will. Yes that includes retro, modern, collectible, rare, obscure, and old faithful games whilst dabbling in the enthusiasts products like HDD upgrades, AV/HDMI converters, niche input cables and general memorabilia. Thing is you can't depend on any one of these too much, hints Jack of all, king of none. If you can gather enough of a community to hold successful events and tournaments, thats a MAJOR step towards cementing your business's security, and be sure to offer plenty of concessions, sales, and impulse buy items on those days to really boost revenue. Issue that comes with all this is space, once you start holding events you need seating and accommodations that won't impede regular shoppers too much, and thats hard to pull off and cost quite a bit. Also they can do without having 3-4 locations per town and instead more product at fewer, bigger locations. TLDR, There's a lot they CAN do, but it's no simple solution and requires more than they can likely, actually do.
Well... GameStop here is a joke. New games cost more than other shops and used games cost about like a new game. I would never buy a game that came out 2 years ago spending €65 when the new one costs €69. I get the same game from Amazon or other places and i pay it €39. Just sometimes they have good offer for games that just come out but it's very rare. To be honest i can't understand how GS is still alive with those prices. And i met a guy that works there, he told me that the game business is out since some years ago, they stay alive with FunkoPop, gadgets, some digital cards (XBL, PSN, WoW, etc) and merchandise or when a new console comes out. No idea if it's real or not but it's sad.
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