GameStop Closing 120 Stores

Demon_Skeith

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Famous games retailer GameStop is looking to expand its reach in what it deems more viable markets while shedding some weight from its traditional brick-and-mortar GameStop stores.

GameStop CEO Paul Raines gave a presentation at GameStop's 2014 Investor Day -- as reported by Games Industry International -- and revealed his plan for what he's calling GameStop 3.0, "a new phase of the company's lifespan that will see it aggressively expand its footprint into gaming-adjacent tech fields," according to the article.

As such, GameStop has its collective eyes set on mobile, and specifically on Apple-branded devices, like iPhone and iPad. GameStop-owned brands -- like Spring Mobile and Simply Mac -- will expand at a significant rate in the fiscal year to fulfill Raines' goals for the company.

At the same time, GameStop will close between 120 and 130 of its nearly 6,500 global brick-and-mortar locations.
source

my store is pretty popular and a hot spot, it shouldn't be on the chopping block. What about your local store?
 
Just another way GameStop is becoming a douche chain. Closing stores to focus on mobile gaming? Seriously? Are they giving up on traditional, hardcore gamers that are the core of their business, or were, to focus on the steadily growing, expansive, mobile gaming that includes people of all types.
 
I read the stores which are closing are low performing stores where they don't sell many games.

I think Amazon, Craigslist and eBay are more popular places for many hard core gamers to buy video games, and fewer gamers are going to Gamespot to buy games because of the higher prices. Many gamers are more tech savvy, and know how to use the internet to buy cheaper video games from online stores.

Never knew Gamespot is so dedicated to mobile devices. Gamespot probably wants to earn some of the money from iPads, and iPhones which sell many millions of devices each year.
 
Enigma said:
Just another way GameStop is becoming a douche chain. Closing stores to focus on mobile gaming? Seriously? Are they giving up on traditional, hardcore gamers that are the core of their business, or were, to focus on the steadily growing, expansive, mobile gaming that includes people of all types.
actually the core of their business and what has allowed them to stay in business and flourish is used games and that market is slowly being killed with next gen. 
 
I think Gamespot also makes some money from used consoles, and used controllers and other accessories for consoles.

I think these mobile stores which Gamespot are opening also make most of their money by selling used iPhones, and iPads which people are still willing to buy for $300+ dollars because it is cheaper than a new iPad, or iPhone which can cost $500-1000.

A lot of people also don't pay full price for iPhones, iPads, tablets, and smartphones because they subscribe to cell service for 2 years at $40 or more per month where they slowly pay for the full price of the device over time, so Gamespot can get more sales selling subsidized devices where people are more willing to pay for a device with monthly payments of $40 or more a month for cell service, and paying off the device.

Selling new stuff is not as profitable because they have to split the profits with the game makers, console makers, and mobile companies like Apple for GS mobile stores. But, selling used stuff is more profitable because Gamespot buy cheap used games, consoles, and mobile devices for less money, and sell them for very high prices.
 
froggyboy604 said:
Selling new stuff is not as profitable because they have to split the profits with the game makers, console makers, and mobile companies like Apple for GS mobile stores. But, selling used stuff is more profitable because Gamespot buy cheap used games, consoles, and mobile devices for less money, and sell them for very high prices.
That's pretty much their business standard. They also give you little money on returns unless it's a recent high profile product.
 
Demon_Skeith said:
actually the core of their business and what has allowed them to stay in business and flourish is used games and that market is slowly being killed with next gen. 
No, it's the fact that they give you almost nothing for it; whereas, Best Buy and some of the other chains which have taken up buying used games are giving more in return.
 
Demon_Skeith said:
well this is the other side of the coin for their business. .
I agree, it's part of their business, and some gamers maybe willing to get less money back for used games because of the convenience of the many locations close to where they live, and the convenience of finding old games at Gamespot's used games sections where other places don't sell them anymore.
 
froggyboy604 said:
I agree, it's part of their business, and some gamers maybe willing to get less money back for used games because of the convenience of the many locations close to where they live, and the convenience of finding old games at Gamespot's used games sections where other places don't sell them anymore.
I mean they have value as a gaming business where you can get some awesome things through pre-ordering with them or spending a little more to get special packages and stuff. I think they're willing to give you more for trade-ins if you accept in-store credit.
 
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