Will game shops close this year? - Gamestop UK abandons stores

Mr Bloat

There have been a few retail shops closing this year already does anyone think that any of the gaming shops might be troubled? Some people have been anticipating the demise of Xtravision for a while but what about the likes of Game and Gamestop? They always seem busy but you never know what is going on behind the scenes.

I have a small vested interest in wondering this, it was my 40th birthday recently and I got €160 of game shop vouchers. My friends/family know me so well.

Anyway, minor bragging aside, should I let these vouchers sit in a drawer for a few months or should I go and spend, spend, spend? I would prefer to let them sit as I am currently playing SWTOR, have Batman AC (both also gifts ) waiting in the wings and there are a few releases during the year that I would like the vouchers to fund but as vouchers are useless if the company goes under, I will spend them now if there is a feeling that some of the game shops won't last the year.

Mr.Saturn

Gamestop is fine. It owns pretty much every other game store you'll ever encounter internationally. It even owned Game via its merger with Electronic Boutique in the early 00's for a while, but separated in some convoluted manner that I'll need explained to me with fingers and crayons. It's a massive, frothing, ever-expanding behemoth. Good news for your vouchers, bad news for urban/genre diversity.

SeantheMan

Answer to OPs question : No

drunkmonkey

Use those vouchers straight away, don't heistate. it may be there in 10 years or it may disappear forever in 10 minutes.

LostBoy101

Why would Gamestop close? they are making decent money regardless of recession 'cause people will always buy games as they are addictive.

penev10

GAME are in serious financial difficulties. They made a loss in 2010 and have been shutting shops and laying off staff since then.

http://www.guardian.co.uk/business/2010/apr/21/game-group-chief-executive-lisa-morgan-departs

http://www.eurogamer.net/articles/2011-11-23-game-group-interview-is-it-really-that-bad

Should be ok though as they are part of Gamestation

Mr Bloat

Cheers for the replies. I might blow the Game vouchers soon on Skyrim and something else and hold onto the Gamestop ones for a while. Everybody wins!

vicwatson

LostBoy101 wrote: »

Why would Gamestop close? they are making decent money regardless of recession 'cause people will always buy games as they are addictive.

Because they treat their customers like dirt (online anyway) =

http://www.boards.ie/vbulletin/showthread.php?t=2056484721

Overheal

Gamestop owns Impulse now either way. They're going nowhere. Game stores in general going under? lol

ScumLord

Don't forget there's a time limit on most vouchers. Vouchers are a huge con IMO.

The game stores still seem to be able to sell as cheaply as online stores, as long as they can do that they should be ok.

LostBoy101

vicwatson wrote: »

Because they treat their customers like dirt (online anyway) =

http://www.boards.ie/vbulletin/showthread.php?t=2056484721

Yeah I've ordered Battlefield 3 from them online and wasn't impressed on how long it took to arrive. I just pre-order from my local Gamestop from now on.

richymcdermott

Funny staff in hmv ive more problems with , tried to sell mw3 today and a women behind the counter ask me for id , i replied what for , she says i dont look the age and unless i have id she cant do nothing bout it . First im nearly 22 year old and its not like im buying the game im trading it in .. Had no problems buying a dvd that was 18 upstairs no questions ask ... She gave me a dirty look aswell when i ask why ... Cow :pac:

calex71

richymcdermott wrote: »

Funny staff in hmv ive more problems with , tried to sell mw3 today and a women behind the counter ask me for id , i replied what for , she says i dont look the age and unless i have id she cant do nothing bout it . First im nearly 22 year old and its not like im buying the game im trading it in .. Had no problems buying a dvd that was 18 upstairs no questions ask ... She gave me a dirty look aswell when i ask why ... Cow :pac:

They get prompted by the computer to ask I'd say, just doing her job to the letter is all.

richymcdermott

She didnt need to be a bitch bout it though when all i said was why whats the problem .. Probably is doing her job 100 correctly but being more customer friendly i wouldnt have an issue with her tone ..:pac:

cloud493

(i work in HMV) If I was suspicious of your age, and I didn't ask for your ID, and it turned out you were under 18 somehow, I could get into very serious trouble, so we have to ask.

I think xtravision might be in trouble. I'm surprised shops focusing solely on games have lasted as long as they have.

mikemac1

People have been predicting the end of xtravision for years and years.

Ten years ago and me in college we were told it was going under soon.
But it still struggles on

However there have been some closures over the last year, Inchicore in Dublin was one. Strange as it's a busy area, lots of apartments around, built up area

Absolam

LostBoy101 wrote: »

Why would Gamestop close? they are making decent money regardless of recession 'cause people will always buy games as they are addictive.

Rumour has it they closed all their shops in Northern Ireland over the weekend, can anyone confirm or deny?

Overheal

Netflix will end up killing xtravision. Blockbuster went bankrupt in the states, and after restructuring only a fraction of it remains anymore. Blockbuster actually owns Xtravision. What used to be several thousand stores is now reduced to around 1700, with current talks to reduce that to as few as 600. The year before last they were discussing trying to keep 3300 stores open... the chain has been in rapid decline.

Mr.Saturn

Blockbuster sold Xtravision in 2009. It's now owned by Birchhall Investments. It's in examinership, though. I'm told that's a bad thing.

LostBoy101

Absolam wrote: »

Rumour has it they closed all their shops in Northern Ireland over the weekend, can anyone confirm or deny?

I wouldn't know myself as I don't live in Northern Ireland but I could get some confirmation from my cousins in Donegal.

Skerries

Donegal is in the Republic

degrassinoel

Mr.Saturn wrote: »

Blockbuster sold Xtravision in 2009. It's now owned by Birchhall Investments. It's in examinership, though. I'm told that's a bad thing.

not sure it is anymore, there was talk of them going digital, same as netflix about 6 months ago. Wether it materialises or not is another story

LostBoy101

Skerries wrote: »

Donegal is in the Republic

Ah I know that but they should know as some shop in Derry.

kearneybobs

The gaming liberty have confirmed that Gamestop have pulled out of the UK. Well at least their shops. Closed in Northern Ireland. Seems as though they're moving it ALL online.

http://thegamingliberty.com/index.php/2012/01/23/gamestop-pulling-out-of-northern-ireland-effective-immediately/

https://www.facebook.com/GameStopUK/posts/10150511350905819

Pacing Mule

Stand by for the Irish stores to be closed too.

He added

He added: "The stores in the Republic of Ireland are not affected at this time"

But at what time ?

Cherry_Cola

kearneybobs wrote: »

The gaming liberty have confirmed that Gamestop have pulled out of the UK. Well at least their shops. Closed in Northern Ireland. Seems as though they're moving it ALL online.

http://thegamingliberty.com/index.php/2012/01/23/gamestop-pulling-out-of-northern-ireland-effective-immediately/

https://www.facebook.com/GameStopUK/posts/10150511350905819

It will inevitably happen here too as their online operation is undercutting their retail operation by a decent enough margin and I have seen instances where customers are at the counter claiming "It's cheaper on your site" and there's nothing the manager or staff could do.

Pacing Mule

They are spending "huge funds" on a marketing budget that involves selling games discounted and even below cost online to gain momentum online. Gamestop store managers here are being told that they should concentrate on trade ins and pre owned sales as their strategy. The "huge funds" quote was the exact term used by a manager I know who was getting more and more pissed off with people coming in asking them to price match the websites offers.

kearneybobs

Cherry_Cola wrote: »

It will inevitably happen here too as their online operation is undercutting their retail operation by a decent enough margin and I have seen instances where customers are at the counter claiming "It's cheaper on your site" and there's nothing the manager or staff could do.

The problem with moving it all online though is that they are simply removing one of their biggest forms of income USED GAMES. Seems odd but surely it has to be cost effective for them to do it.

Pacing Mule

The market here is skewed in such a way that:

New games make too little / a loss. Invariably sold at discounts of up to €20 on the RRP as the market here is saturated.

Used games / trade ins sustain the stores staying open but even that is starting to bite now - some of the recent threads here about game trade in prices show that there is an attempt to get more and more margin from the pre owned games. Plus you have ongoing growth of digital distribution and publishers moves to stifle the pre owned market with online passes etc.

So on paper you could actually find that it makes economical sense to:

• Close retail stores sooner rather than later.
• Transfer business to one online site better placed to embrace digitial distribution and with a fraction of the overheads.
• That business could possibly go down the line of the hut, sendit etc and base in the channel islands VAT free. (not that this helps the customer with delivery times and potential customs charges)
• Possibly continue trade ins online - all be it at a reduced level.
• Be able to increase prices if needed back to towards the publishers intended pricres (not trying to grab short term cash / money to pay leases etc)

I believe there isn't one profitable games retailling chain in the UK and Ireland at the moment and this is further evidence of it.

Retr0gamer

Not sure how true this is but if it is then it's big news:

http://www.escapistmagazine.com/news/view/115457-GameStop-Abandons-U-K-Stores

cloud493

I lived in England for 17 years, don't ever recall seeing a single gamestop.