tehrik-e-insaaf
Member
So as the topic suggests, this thread is designed to engage people in a discussion about the future of specialty retail. Since there are (I'm sure) many of you on this board that work in a Gamestop or an EB or something, feel free to chime in with insightful comments.
Basically as I see it: Both EB and Gamestop (which are now in the process of merging) are pretty screwed next generation if they continue with their current model. The pull these stores once had is slowly diminishing as the Wal Marts and Best Buys of the world continue to expand, buying games from Amazon and the like is easier and more acceptable to the average person, and online delivery of games pulls away the dollars of the hardcore gaming community.
Really the one thing that these shops have is the purchase/resale of used games for which they get very high margins. That is becoming more difficult as eBay is becoming more accepted in the mainstream and the dollar spend on high-priced new games is going down (people will spend 20 bucks and purchase a new greatest hits title rather than buy a used newer game for 35-40)
So what is the future of these retailers? Do they have one? Will they end up being like card shops and comic book stores are today? Run by independent people in a select few areas? What is the value proposition of going out of your way to pay more for a video game?
Basically as I see it: Both EB and Gamestop (which are now in the process of merging) are pretty screwed next generation if they continue with their current model. The pull these stores once had is slowly diminishing as the Wal Marts and Best Buys of the world continue to expand, buying games from Amazon and the like is easier and more acceptable to the average person, and online delivery of games pulls away the dollars of the hardcore gaming community.
Really the one thing that these shops have is the purchase/resale of used games for which they get very high margins. That is becoming more difficult as eBay is becoming more accepted in the mainstream and the dollar spend on high-priced new games is going down (people will spend 20 bucks and purchase a new greatest hits title rather than buy a used newer game for 35-40)
So what is the future of these retailers? Do they have one? Will they end up being like card shops and comic book stores are today? Run by independent people in a select few areas? What is the value proposition of going out of your way to pay more for a video game?