GameStop Going Down?

[retro junkie]

I am seeing a lot of talk of GameStop heading down the "spiraling path of death." Locally, if GameStop closed, I don't think it would be much of an impact. When I think of shopping for games they do not even come to mind. As a retro gamer they stepped away from me many years ago. There are other local game stores, some are "mom & pop." Gamexchange is a chain of local gaming stores that has been my goto when it comes to local purchase of games. They carry anything from Atari 2600 through modern games and consoles. Their main focus are games. In the last twenty years I can count on one hand how many times that I have been in a GameStop. Recently have been a couple of those times and then I thought I was walking into a Hot Topic store. If they quickly return to being a gaming store they might survive. But if they stay on the path that they are going, they are nothing but a shadow that will fade into the sunset and become one of those memories in gaming history. In the early days them and Babbages were THE "game stores."

Below are games I grabbed up at my local Gamexchange this weekend. That's my point.

[targetrasp]

The hot topic look is GameStop trying to remain relevant. I think the collectibles have helped slow the bleeding but its not been enough. In the last year their stock price has plummeted and they've just recently stopped paying dividends. They also just trimmed a lot of district manager / HR type jobs. I think they've even tried putting themselves up for sale at some point. The company is in some serious trouble.

I have to give GameStop credit for trying to stay a float. They've tried different things to diversify while still serving their niche audience. Comic books, apparel, collectible, board games, etc. I really enjoyed spending points on comic books and getting exclusive editions (which they've since stopped). There was even a higher tier in their loyalty program that really helped rack up the points, which has also been discontinued.

If the console makers would throw them a bone (multi-generational backwards compatible system) and / or better exclusives (so far the best I've seen is the 3ds One Piece game and the Ghostbusters game for the ps4 and xbone) they'd be in better shape but there's no incentive for Sony, MS, et. al. to keep GameStop around. GameStop also missed the boat on digital and are now having to play catch-up (which they won't be able to).

I think their next effort is going to be similar to how places like shopping malls and movie theaters are trying to stay solvent... They're talking about making the store visit more of an experience. I'm sure they're looking at playing games in nice chairs on big screens, possibly hosting competitions, but their current stores have a really small footprint. That kind of stuff takes up tons of retail space. I'm not sure how they'll produce something significant enough with the size of most of their current stores.

I still use GameStop, but not nearly as much. It's gone from hundreds in line for a copy of Halo 2 at a midnight release to a couple dozen picking up only the most sought after release (just after store closing at 9pm), and that's pretty rare. Amazon delivers the newest game to my door and I don't have to get out of my pajamas... Amazon is a wrecking ball when it comes to brick and mortar stores and I don't know that GameStop has the juice to survive. 

[CreepinDeth]

GameStop also missed the boat on digital and are now having to play catch-up (which they won't be able to).

This is what it is right here. They were never going to catch up to digital in the first place and there are finally enough digital consumers to make a difference. Why pay the same price at GS when you can just go to the source and pay the same amount and not have to go outside? You can't trade in digital games either, so each digital purchase is one more nail in their coffin. They do sell digital goods, but they probably pay a cut to the first parties and developers on top of their razer-thin margins on new items.

Digital is a no-win situation for GS.

[BLUEVOODU]

You know... I never really dug GAmestop.  I've used them at times in the past... however, most mom and pop stores have closed in town.  Game Crazy Is gone.   IF there is going to be a store, I'd at least like a Gamestop to still exist.  There's really nothing else anymore.  It is cool to see other types of gaming products in store too.   Their mugs though... NEED TO BE dishwasher and microwave safe lol... come on

I purposely shop locally for things to give local businesses money.  I also order online.

I know a lot of gamers like their digital copies, but I'm still a fan of having physical copies of games.  There are times I really do like digital copies... but it seems that digital is really starting to kill off stores now.

While In a way I think it's justice... in another way, I hate to see some of the last game stores close.

[retro junkie]

Hmmm maybe this cain of stores are not everywhere. But they seem to be opening up all over the place around here called GameXchange. They are in Arkansas, Kentucky and Illinois, maybe in other areas. They seem to be flourishing and showing success at the moment. At the same time Gamestop is struggling. Maybe it is because of their focus on games like everything from Atari 2600 and including everything into the present generation. They remind me of the old days. But they are making some changes by including some comics, cards, and funco pops. But they are still making games their primary concern. Love this store. Gamestop could learn from them.

[BLUEVOODU]

HM... I don't think they have one here.  That's sort-of what I was trying to do back in the day.  I think there's still a market for retro stuff... but idk how much going into the future.  Right now during decent times, the market for those items are good.  The moment there are economic issues, the products sit for awhile.

@retro junkie … you have me interested... I'll have to look for those stores.

[retro junkie]

I am not sure how a "brick & mortar" game store can survive changes that take place in this type of industry. I really don't help the cause. I am so into retro that I seek out places so that I can funnel my money toward that which I enjoy. I eBay to satisfy those wants. There is at least three places in town that gamers can go and pick up a game, GameXchange, GameStop, and Oddball. I focus on GameXchange because I can walk in there and purchase something within my interests. Anything from Atari 2600 to PS2 sort of stuff. The last time I walked into a GameStop I thought I walked into a Hot Topic, never went back.
There was a time that I can remember, the Genesis, SNES, NES, days, and it was booming for Babbages, GameStop, Kay-Bee, etc. And there seemed to be a period of time thereafter That the "goldrush" lasted. And I am setting here thinking what exacting took place in the industry. And for some reason I think about how Malls are no longer the thing. But maybe it is more than that. Was gaming healthier when it was children that were the point of sales? I know now it is the adults that grew up? And I am thinking it is bigger now. Where are people buying their games and consoles? Walmart is very limited for gamers to walk in and purchase. Where does the industry sell the most consoles?

[BLUEVOODU]

I'm sure this climate has been especially tough for GameStop.  It's been tough on a lot of businesses.  I'm not sure we have any other gaming stores anymore either...  I would have to look.  We used to have a few... and the city is definitely big enough for more than 1.  There are a several Gamestops here in a few locations.. pretty strategically placed.   Maybe a Gamestore would be a good idea again... LOL... and maybe not. 

[targetrasp]

we're one or two generations from completely digital. My most dreaded fear is SAAS and what it'll end up doing to collecting

[CreepinDeth]

The only thing that keeps me from going digital on console is the lack of backup options for the games. Steam and GOG on PC have great backup options, so I know that I can take my games with me into my future builds.

If you can backup from PS3/Xbox 360 and up, please let me know.

As for GameStop, when your bread and butter is used games, you're bound to have a bad time eventually. Amazon, Best Buy, Target, Wal-Mart can all survive because they're not just game stores.

Times always change and so do media formats. You can't stop progress. Not sure what GameStop can do at this point. They pigeon-holed themselves.

[BLUEVOODU]

@CreepinDeth on the PS4 there is an option to backup.  You need to have the right sized Hard Drive to do it... but I've used it to move to newer / larger hard drives.  Is that what you are referring to? Also -   Maybe we should create a topic in PC ... that would be cool to describe what you do with Steam and take your games with you to new builds.  I can explain how I've done it in the past.   

@targetrasp yeah... the new Call of Duty: Cold War ... still odd there's no steel book... etc.

[CreepinDeth]

@CreepinDeth on the PS4 there is an option to backup.  You need to have the right sized Hard Drive to do it... but I've used it to move to newer / larger hard drives.  Is that what you are referring to?

Not necessarily. That's more for transferring purposes. You can't backup and reinstall games individually. You're forced to restore everything with this type of backup. Not really ideal.