Wow that conference call is … bad. And pretty damning.
Like so many other chains, they are only as good as the individual store.
My only take away was that he is really annoying. I don’t need the commentary, just play the call.
And why is every YouTube gamer siting in one of those godawful chairs?
That youtube video is actually for EB Games in Canada.
I think they’re the same thing though, mostly. There aren’t many retail shutdowns here so far.
Around the time I posted that our government asked everyone to shut down.
Definitely sounds like they should after seeing this on the news:
“I’m actually like living with my grandparents right now so I have to be a little bit extra careful. I have hand sanitizer in my backpack. Like I’m super careful about stuff,” a woman lining up for ‘Animal Crossing’ told CP24 on Friday. “But I don’t know, something about this game, you just have to come and get your hands on it."
…
It is about time for GameStop to end!
GameStop has announced that it will be closing over 300 stores this year as part of its ongoing effort to “de-densify.”
According to GameStop, it closed 321 stores last fiscal year, bringing its store count to 5,500 locations. That said, according to the company’s CEO, George Sherman, there are plans to meet or possibly exceed this number during this fiscal year
Elsewhere during the earnings call, the retailer revealed that despite coronavirus disrupting commerce across the world and forcing all GameStop stores in the United States to close, there was actually a 2% increase in store sales in March when compared to March 2019. This is likely due to the fact that both DOOM Eternal and Animal Crossing: New Horizon s dropped this month.
That said, while GameStop ended the fiscal year on a somewhat decent note, the year as a whole was a rough one for the retailer. For the final fiscal quarter, GameStop posted a net income of $21 million. However, for the full fiscal year, revenue was down 22% to $6.47 billion, which translated to a net loss of $470.9 million.
5,500 still seems like a crazy amount. It’s 10 times as many as GAME has in the UK and Spain combined, and that’s still too many for GAME.
They are overstored. There’s no doubt about that. That said, with new consoles still apparently arriving this fall, I think they’ll see a big uptick.
One thing people overlook about the game industry in 2020 is that PS4 and Xbox One have really overstayed their welcome. They’re going to be seven years old this fall. That’s just too long for a console generation. Five years is about right.
How far are people willing to travel to go to a GameStop? I have trouble imagining someone driving 45 minutes for one other than maybe a console release. But maybe they would, in which case lower density could increase revenue per store.
I think the bigger question is how much longer are people going to be willing to travel to buy games at all.
The one in Sault St Marie Michigan is dead. That was the only one within like 800 km of me, and I used to stop there whenever we’d do cross-border shopping. Gonna miss it.
Damn…
Apparently they are doing B2G1F on used AND new games (physical only) for Memorial Day.
Can you say “fire sale”?
So when Target has that same sale a couple three times a year you think they’re going out of business too?
I mean, target isn’t circling the drain by every objective measure so
Target isn’t Gamestop, and you damn well know that. I don’t think I have to explain the difference between a loss leader and core business, but you do you.