GameStop, the largest video game retailer in North America, has reported its third quarter 2018/2019 financial results this week.
The good and the bad
According to the report, total global sales increased by 4.8%. Across the board, hardware sales, software sales, accessory sales, and digital sales increased between 12.8% and 32.6%.
Well those all sound great and all.
But however, pre-owned sales were down by 13.4%.
You would say sure some wins some losses but despite the overall strong growth in sales, GameStop made a net loss of 488 million dollars in the third quarter. The loss could have been worse if not for the sale of former GameStop company Spring Mobile, which brought up around 700 million dollars.
That is still quite a hefty net loss. Let’s hope GameStop finds a good way to bounce back because well it’s a juggernaut and if something like that can fall, what message does that state for smaller shops?
Do you think the loss could be attributed to a lot more people going digital with their games? I for one always go physical with games whenever possible for a few reasons. One of them is actually backing the store which I bought the game from even if it is via the web.
Anyway what are your thoughts?