GameStop hauls in $7.1 billion in 07'

fhqwhgads said:
It's not something you can disagree, they're making slightly less profit.
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Show me numbers.

That's like me buying a game, then after I beat it, I let my friend borrow it. Therefor, since 2 people are playing it, and will beat it, the company loses out on money. :lol
 
fhqwhgads said:
It's not something you can disagree, they're making slightly less profit.
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wait it's a used game.... so someone already payed for it o_o... hows that losing profit?
 
Strubes said:
Show me numbers.

That's like me buying a game, then after I beat it, I let my friend borrow it. Therefor, since 2 people are playing it, and will beat it, the company loses out on money. :lol
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They do. Instead of making profit on two copies of the game for two people, it's one. >_> Jesus, you don't need numbers, you need common sense. I'm not saying they're all gonna go bankrupt, I'm saying they're making less money.
 
Zidart said:
>_> i don't get why people hate gamestop that much, everytime i go there i buy a cheap game, pay, the guy talks if i want to pre-order something i say no/yes then i get out... simple as that
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Well my reason is mostly because they treat their employees like crap.

@ fhq, GameStop makes more money on used games. When you trade in a game, the most they give you is about $35 if you're lucky, and then they turn around and sell it for $54.99 used (when a new copy is still $59.99), therefore making at least $19.99 profit. But like I said, giving someone $35 for a trade-in is very rare; more often you get something like $20 and then they turn around and sell it for $54.99 used.
 
Mai Valentine said:
@ fhq, GameStop makes more money on used games. When you trade in a game, the most they give you is about $35 if you're lucky, and then they turn around and sell it for $54.99 used (when a new copy is still $59.99), therefore making at least $19.99 profit. But like I said, giving someone $35 for a trade-in is very rare; more often you get something like $20 and then they turn around and sell it for $54.99 used.
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That, and how many times has that one copy of a game been traded in?
 
well even though i buy used games i never ever trade-in games because i suffer from "after a year or so i'll play that game again" heck i haven't even turned in shadow the hedgehog or pokemon colosseum becuase of the fact that someone might temporally trade some games for those 2 XD (someone actually liked shadow)
 
Bluevoodu said:
their used games are crap. They sticker and stamp them. They throw away packaging... technically they are a collectors nightmare.

They over charge on games without packaging... they do not discount games for looking like crap (most of the time). I have MANY examples from when I was in there.

I was going to buy a couple crates of Used Gamestop stuff... Most items were ok, but with the left over stickers and sticker residue, I didn't take them.

That is why I hate Gamestop and MOST used game stores. Call it petty, that's fine. But they do not offer quality items... and I won't buy from them to save a dollar or 2.

†B†V† :hat
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Ding ding ding!!!

Exactly. This is why I use eBay because I can't stand to buy a game unless it's complete and in very good shape. You can get that from GameStop/EB or any other used game store. I have bough new stuff there and they've never bother me about anything else. Still, i buy most my game in eBay unless I'm impatient and have to have a new game now.
 
Mai Valentine said:
@ fhq, GameStop makes more money on used games. When you trade in a game, the most they give you is about $35 if you're lucky, and then they turn around and sell it for $54.99 used (when a new copy is still $59.99), therefore making at least $19.99 profit. But like I said, giving someone $35 for a trade-in is very rare; more often you get something like $20 and then they turn around and sell it for $54.99 used.
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That is where I start to see price gouging. Let's face it: They're basically unopposed in the used game market (aside from ebay or Amazon, but most people I know would rather just walk in in person than buy something online). The fact that they have no real opposition allows them to rip people off when they trade their games in, then sell it off for an equally ridiculous price. They're screwing over their customers and there isn't another big store out there who offers trade-in's that can stop them. It's a monopoly that just plain sucks for consumers who want a plce to sell games to for a fair price.
 
fhqwhgads said:
They do. Instead of making profit on two copies of the game for two people, it's one. >_> Jesus, you don't need numbers, you need common sense. I'm not saying they're all gonna go bankrupt, I'm saying they're making less money.
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So this has happened years before Gamestop then..or any game store for that matter. Just let a friend borrow a game and a company loses money. They don't lose any money from it. They just don't gain any more. You just need, as you said, common sense.
 
Bluevoodu said:
their used games are crap. They sticker and stamp them. They throw away packaging... technically they are a collectors nightmare.

They over charge on games without packaging... they do not discount games for looking like crap (most of the time). I have MANY examples from when I was in there.

I was going to buy a couple crates of Used Gamestop stuff... Most items were ok, but with the left over stickers and sticker residue, I didn't take them.

That is why I hate Gamestop and MOST used game stores. Call it petty, that's fine. But they do not offer quality items... and I won't buy from them to save a dollar or 2.

†B†V† :hat
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QFT
 
Homicidal Cherry53 said:
That is where I start to see price gouging. Let's face it: They're basically unopposed in the used game market (aside from ebay or Amazon, but most people I know would rather just walk in in person than buy something online). The fact that they have no real opposition allows them to rip people off when they trade their games in, then sell it off for an equally ridiculous price. They're screwing over their customers and there isn't another big store out there who offers trade-in's that can stop them. It's a monopoly that just plain sucks for consumers who want a plce to sell games to for a fair price.
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Well it doesn't help that GameStop also offers cash for games. I'm not sure how they are related, but apparently if you go to game stores that do ONLY store credit, they are able to offer more. Of course it could just be because they aren't GameStop that they offer more...I don't really know.
 
MegaDrive20XX said:
QFT
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ok ok... I can't figure out QFT... and I know it. My mind is drawing a blank.


@ FHQ. They sold the game in the 1st place. They made profit from that game the 1st time aroung. SINCE the 1st party company does not deal in selling used games, they only profit from selling new games. They do not lose money *SO-TO-SPEAK* from someone purchasing a used game. SURE, the lose an opportunity to sell a new game when someone buys a used game.

Remember this, when the 1st party companies sell, they sell in bulk to retailers that "sell" these games to us. The majority of these retailers sell used games as well. So technically... the sale for the new games bought in bulk are done, the 1st party company has made their profit. The only company that would technically lose is the retailer... and giving their customers the option to buy used or new.

Does that make sense?

@Zidart, there is a chance you have a perfectly run Gamestop. The majority I've seen, aren't good.

But seeing how customers get treated with products at GameStop was one of the reasons I started my business... plus I gave very good trade-in and credit amounts (don't judge off the past year though :lol too many troubles & I'm trying to close down). Makes me sort-of angry tohave to close down... and seeing some of the crap businesses get away with... INCLUDING treating their employees bad.

†B†V† :hat
 
Bluevoodu said:
@ FHQ. They sold the game in the 1st place. They made profit from that game the 1st time aroung. SINCE the 1st party company does not deal in selling used games, they only profit from selling new games. They do not lose money *SO-TO-SPEAK* from someone purchasing a used game. SURE, the lose an opportunity to sell a new game when someone buys a used game.
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Yeah, that's why I said 'lose', because I couldn't come up with didn't make as much as they could or something to that extent, I had it earlier and lost it.
MegaDrive20XX said:
Quote of Today= QFT :)
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Actually...it's quoted for truth, of doesn't start with f.
 
MegaDrive20XX said:
Quote of Today= QFT :)
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:hh that's what 4 hrs of sleep a night does to me :lol I start forgetting things about this time of ... morning... :lol

It's not losing though (in the terms of red versus black, or losing money on materials and overhead because they had to do a recall)... it would be more along the lines of an opportunity cost lost.

†B†V† :hat
 
Bluevoodu said:
:hh that's what 4 hrs of sleep a night does to me :lol I start forgetting things about this time of ... morning... :lol

It's not losing though (in the terms of red versus black, or losing money on materials and overhead because they had to do a recall)... it would be more along the lines of an opportunity cost lost.

†B†V† :hat
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Yeah, they're not making as much as they could.
 
fhqwhgads said:
Yeah, they're not making as much as they could.
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Technically that's not "realized" and the loss "didn't technically happen."

BUT IF YOU look at it from this point, someone traded in that game to buy another game (perhaps new), or they took cash for it. If that person (who traded in their game) did't trade in their game, they may not have had the money to buy the other *potential* new game.

So really, buying and selling of older games allows buyers to have more disposable cash (or credit) to use on new games... and the new games are already a sunk cost to the retailer and to the 1st party company. They only way 1st party companies make money is if a store ordered more cases of that game to sell at retail.

†B†V† :hat
 
Bluevoodu said:
@ FHQ. They sold the game in the 1st place. They made profit from that game the 1st time aroung. SINCE the 1st party company does not deal in selling used games, they only profit from selling new games. They do not lose money *SO-TO-SPEAK* from someone purchasing a used game. SURE, the lose an opportunity to sell a new game when someone buys a used game.

Remember this, when the 1st party companies sell, they sell in bulk to retailers that "sell" these games to us. The majority of these retailers sell used games as well. So technically... the sale for the new games bought in bulk are done, the 1st party company has made their profit. The only company that would technically lose is the retailer... and giving their customers the option to buy used or new.
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The biggest problem with this method, from the developer standpoint, is the way Gamestop uses pre-orders and used games to artificially decrease sales. If you want a game from Gamestop within the first week or two the game comes out you usually have to pre-order it. This is because retail businesses profit directly off efficient use of shelf space, that is, the quicker they can ship games in and put them in the customer's hand, the less time the game spends sitting on a shelf, and the more money they make quicker. So by forcing people to pre-order the game they know exactly how many units they can sell the day they receive the games at the store.

This is all well and good, but Gamestop generally doesn't order much more than what their pre-orders require. They tell people who did pre-order the game that if they trade it back in within a week they'll get x amount of store credit. Because of this Gamestop doesn't have to order more from the 1st party seller, they just keep reselling the same copy every week. They buy up the minimum amount from the first party and keep recycling those copies. So while EB or Gamestop might resell a copy of CoD4 three or four times, Insomniac only ever records and earns money off of the first sale.

To say 1st party sellers don't lose money is misleading. The same could be said about downloading movies, music, and games, or illegal bootlegging of those items, in that the creators, producers, and distributors of those items don't lose money every time someone obtains them illegally. The problem is not that they're losing money, the problem is that someone else made money off of their creation.The wealth that EB and Gamestop create through this process is something that game developers are missing out on and are entitled to at least a portion of.

Note: This doesn't apply to your store BV. You specialise in rare and hard to find games, usually games that are old or did not sell well initially, that's different than a chain of stores which purposefully aims to bypass paying the creators for their creation.
 
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