GameStop shares plummet on reports of lost sales

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Post » Sat Mar 25, 2017 7:01 pm

"Shares of GameStop fell more than 13 percent Friday after the company reported sales declines in almost all of its segments during the fourth quarter.

GameStop reported Thursday that hardware sales declined 29.1 percent, and new software sales fell by 19.3 percent for the quarter — two categories that were once key in boosting revenue for the retailer."

http://www.cnbc.com/2017/03/24/shares-o ... sales.html

Wonder if online gaming is cutting into that?
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Post » Sat Mar 25, 2017 8:58 pm

More info I just read:

Along With A Decline In Fourth Quarter Numbers, GameStop Announced It Will Be Closing 150 Stores

https://www.yahoo.com/news/along-declin ... 45767.html
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Post » Sun Mar 26, 2017 6:08 pm

lamar wrote:"Shares of GameStop fell more than 13 percent Friday after the company reported sales declines in almost all of its segments during the fourth quarter.

GameStop reported Thursday that hardware sales declined 29.1 percent, and new software sales fell by 19.3 percent for the quarter — two categories that were once key in boosting revenue for the retailer."

http://www.cnbc.com/2017/03/24/shares-o ... sales.html

Wonder if online gaming is cutting into that?


You mean online like HTML5 games or digital downloads? I would certainly say digital content is cutting into that. Steam, GOG, Direct2Drive, Humble Bundle, etc. Soooo much easier to buy a game online and use it right away than having to run down to you nearest GameStop to pickup a game. I'm sure sites like Amazon have something to do with GameStop's profit losses too. As technology improves, people become lazier.
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Post » Sun Mar 26, 2017 6:09 pm

Moot wrote:
lamar wrote:"Shares of GameStop fell more than 13 percent Friday after the company reported sales declines in almost all of its segments during the fourth quarter.

GameStop reported Thursday that hardware sales declined 29.1 percent, and new software sales fell by 19.3 percent for the quarter — two categories that were once key in boosting revenue for the retailer."

http://www.cnbc.com/2017/03/24/shares-o ... sales.html

Wonder if online gaming is cutting into that?


You mean online like HTML5 games or digital downloads? I would certainly say digital content is cutting into that. Steam, GOG, Direct2Drive, Humble Bundle, etc. Soooo much easier to buy a game online and use it right away than having to run down to you nearest GameStop to pickup a game. I'm sure sites like Amazon have something to do with GameStop's profit loss too. As technology improves, people become lazier.
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Post » Sun Mar 26, 2017 6:18 pm

Moot wrote:
lamar wrote:"Shares of GameStop fell more than 13 percent Friday after the company reported sales declines in almost all of its segments during the fourth quarter.

GameStop reported Thursday that hardware sales declined 29.1 percent, and new software sales fell by 19.3 percent for the quarter — two categories that were once key in boosting revenue for the retailer."

http://www.cnbc.com/2017/03/24/shares-o ... sales.html

Wonder if online gaming is cutting into that?


You mean online like HTML5 games or digital downloads? I would certainly say digital content is cutting into that. Steam, GOG, Direct2Drive, Humble Bundle, etc. Soooo much easier to buy a game online and use it right away than having to run down to you nearest GameStop to pickup a game. I'm sure sites like Amazon have something to do with GameStop's profit losses too. As technology improves, people become lazier.


Digital downloads are also no overhead for the distributor.

I went to ebooks and digital downloading for my books because it costs me $15 to produce a 355 page book and I have to charge twice that to cover shipping but an ebook of the same material costs me nothing except for a website and dropbox to store the files so I can charge $10 for the same materials and my customers get a great deal and I make more per sale.

Brick and mortar stores have huge overhead and require insurance and employees so everything they sell costs more.

I think stores like gamestop will probably go out of business like the Blockbusters did before long unless they find a new angle.
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