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Old 03-24-2017, 11:25 PM   #1
Scarface32 Scarface32 is offline
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Default GameStop is in money trouble (apparently)


Just in case anyone was interested in GameStop
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Old 03-25-2017, 05:52 AM   #2
shinobipopcorn shinobipopcorn is offline
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If I had to guess, I'd say at least one of the stores in my town will get the axe. It makes no sense for a city of ~50k in the middle of cowville PA to have three Gamestops. We don't even have three Taco Bells.
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Old 03-25-2017, 05:59 AM   #3
Chrissaywer Chrissaywer is offline
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They should go out of business I've been to a lot of game stores and GameStop is a rip off. They ask you to be a member and then they want you to pay for your membership. They are way over priced on their used games then they take new games out of the box and try to sell them as new.
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Old 03-25-2017, 06:17 AM   #4
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Years of shitty business practices will do that to you. It's been one of - if not the most - heavily shorted stocks on Wall Street for the last 5 years or so.
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Old 03-25-2017, 06:29 AM   #5
Chrissaywer Chrissaywer is offline
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Originally Posted by Colorado Rockie View Post
Years of shitty business practices will do that to you. It's been one of - if not the most - heavily shorted stocks on Wall Street for the last 5 years or so.
And to mention all the GameStop employees I've dealt with try to insult customers just cause they don't play games like fallout or skyrim.
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Old 04-09-2017, 01:15 AM   #6
Scarface32 Scarface32 is offline
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If you bought anything from them online, check your statements.

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Old 04-09-2017, 03:21 AM   #7
Wingman1977 Wingman1977 is offline
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As the gaming industry moves toward a all digital (at least mostly digital like how it is with PC gaming), it will be adapt or die for them.

Last edited by Wingman1977; 04-09-2017 at 03:44 AM.
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Old 04-09-2017, 04:20 AM   #8
shinobipopcorn shinobipopcorn is offline
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Originally Posted by Scarface32 View Post
If you bought anything from them online, check your statements.
Video author says in the comments that in store doesn't seem affected yet, if anyone needs to know.

I checked my online account and thankfully no stored payment methods. I haven't even ordered from them since the Wii U came out, so that's a breather.
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Old 04-09-2017, 06:01 AM   #9
KillaCam KillaCam is offline
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This is why I try to always use paypal when it's an option.
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Old 04-09-2017, 10:23 AM   #10
Mavrick Mavrick is offline
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Is it any wonder when they use such shitty tactics to sell you pre owned crap at over inflated prices rather than a brand new product?

I think this is the only place I have ever known to tell customers something is OOS in order to sell them a used copy rather than a new copy. It's pathetic, GAME in the UK are not much better and I certainly wouldn't miss them.

New GameStop Program Leads Employees To Lie To Customers

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Have you gone to GameStop over the past few months and tried to buy a new game? Have they told you that it’s not in stock? They may simply be lying to you, fueled by a new program that discourages GameStop salespeople from selling unopened copies of video games.

The program, called “Circle of Life,” gives each GameStop store different percentage quotas for 1) pre-orders; 2) reward card subscriptions; 3) used game sales; and 4) game trade-ins. Each of these quotas is based on the store’s total transactions. Pre-orders and reward cards subscriptions are based on the number of transactions, while used game sales and trade-ins are based on the total dollar value of transactions. If a store’s quota for used game sales is 30%, and the store sells $1,000 worth of merchandise, GameStop expects at least $300 of that merchandise to be pre-owned.

So if someone walks into GameStop and picks up, say, a brand new copy of Yakuza 0 without 1) pre-ordering another game, 2) subscribing for a new rewards card, 3) buying a used game, or 4) trading in some games to help pay for it, then the transaction will knock down all four percentages.

The more new games an employee sells, the more used games they’ll have to sell to make up for it. In other words, according to salespeople speaking to Kotaku and elsewhere on the internet, GameStop is incentivizing employees to stop people from buying new games and hardware. GameStop staff say the company has threatened to fire people who don’t hit these quotas, which is leading to all sorts of scuzzy tactics.

“We are telling people we don’t have new systems in stock so we won’t take a $300 or $400 dollar hit on our pre-owned numbers,” one GameStop employee told me in an e-mail, requesting anonymity because he was not authorized to speak to press. “This is company wide and in discussions with my peers it is a common practice. We also tell customers we don’t have copies of new games in stock when they are on sale—for example, Watch Dogs 2 is currently $29.99 new and $54.99 pre-owned. We just tell them we don’t have the new one in stock and shuffle them out the door.”

The Circle of Life program, which began late last year but ramped up in early 2017 according to staff, attaches a specific “COL” score to each employee and each store. Each of the four categories represents 25% of that total COL score. So if a store hits their quotas for pre-orders and rewards cards, but not for trade-ins and used games, their COL will be 50%. If an employee hits all four of his quotas, he’ll get a COL of 100%.

GameStop staff have told me that corporate managers are monitoring both stores and individual employees, asking everyone to get a COL score of at least 75% by hitting at least three of their four quotas. If a store is hitting their COL targets but one salesperson is not, that salesperson may face punishment or even lose their job, according to company employees.

When contacted by Kotaku, GameStop’s corporate office sent over the following statement: “All of GameStop’s internal programs are designed to provide our customers the best value in all their video game purchases, including new and pre-owned merchandise. With any program, opportunities arise for improvement and we will continue to refine it to equip our knowledgeable store associates to provide a great store experience.”

Customers have long complained about GameStop’s tendency to push pre-owned games and pre-orders, but this new Circle of Life program has taken forcefulness to a new level. Employees across the web are complaining about this new practice, which they say punishes them for doing their jobs. On the GameStop Reddit, employees have gathered to share gripes and tips for hitting their COL numbers so they don’t get fired.

But these numbers are often out of the staff’s control. During game launch events, for example, GameStop employees will usually sell nothing but new games, damaging their percentages and therefore lowering their COL scores.

“The other day working the RE7/Kingdom Hearts launch we were telling walk-in (non-reserve) customers that we didn’t have the games in stock or that they were only for pre-orders in order to not sell new copies of games,” said a GameStop employee. “It’s that bad.”

A second employee also said they found themselves in trouble after selling a bunch of new games last Tuesday, during the launch of Resident Evil 7, Kingdom Hearts 2.8, and Tales of Berseria. “Now I’m ****ed for the week,” that employee said. “Now I have to sell way more pre-owned this week.”

“Circle of Life” has long been a buzzword at GameStop, which makes the bulk of their profits off sales of pre-owned games and hardware, much to the dismay of video game publishers. In GameStop’s eyes, the transaction of video games is meant to be circular: You buy a game, trade it in, and use the extra cash to buy another game—ideally pre-owned.

Over the past few years, GameStop has gone through a number of policies to encourage pre-orders and reward card subscriptions, so some employees are hoping that the Circle of Life program will soon go away. But for now, it’s leading to a lot of stress.

“This has all been under the guise of ‘doing better for the customer’ and ‘giving the customer what they want/a better value’ which is definitely not true,” said a GameStop employee. “Why would I get reserves if it’s going to lead to a new sale? Why would I sell you a new game that you’re excited about if it’s going to hurt my numbers at the end of the day? Why would I sell you a new system if I’m going to be fired for doing so? It doesn’t make sense.”
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Old 04-09-2017, 03:31 PM   #11
Wingman1977 Wingman1977 is offline
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Quote:
Originally Posted by Mavrick View Post
Is it any wonder when they use such shitty tactics to sell you pre owned crap at over inflated prices rather than a brand new product?

I think this is the only place I have ever known to tell customers something is OOS in order to sell them a used copy rather than a new copy. It's pathetic, GAME in the UK are not much better and I certainly wouldn't miss them.

New GameStop Program Leads Employees To Lie To Customers
I will not be suprised if GS disappears in 5yrs. I really feel bad for the employees. Stuff like that can really stress them badly. I'm so glad that I no longer work in retail.
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Old 04-09-2017, 05:54 PM   #12
Scarface32 Scarface32 is offline
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Quote:
Originally Posted by Mavrick View Post
Is it any wonder when they use such shitty tactics to sell you pre owned crap at over inflated prices rather than a brand new product?

I think this is the only place I have ever known to tell customers something is OOS in order to sell them a used copy rather than a new copy. It's pathetic, GAME in the UK are not much better and I certainly wouldn't miss them.

New GameStop Program Leads Employees To Lie To Customers
This right here is the dumbest part

Quote:
for example, Watch Dogs 2 is currently $29.99 new and $54.99 pre-owned. We just tell them we don’t have the new one in stock and shuffle them out the door.”
Who in their right mind would pay MORE for a used game? I'd just tell them to shove it and walk out without buying. The fact that people actually are willing to pay more for a used game is just idiotic.
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Old 04-09-2017, 06:27 PM   #13
Chrissaywer Chrissaywer is offline
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This right here is the dumbest part



Who in their right mind would pay MORE for a used game? I'd just tell them to shove it and walk out without buying. The fact that people actually are willing to pay more for a used game is just idiotic.
me and my nephew went in a gamestop near me and he picked out a bunch of games and all the games he wanted was all on sale on Xbox live. And I'm talking about $20-$40 cheaper then gamestop so I told him we can just go home and download them all for less money and an employee got pissed at me. I told if they didn't try and rip people off that they would be able to sell games. Plus most of their used games are all scratched up.
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Old 04-09-2017, 06:29 PM   #14
Mavrick Mavrick is offline
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It's insane, they are literally throwing away custom. What business in their right mind would turn down a sale regardless of the profit margin? It's really no wonder they are losing money when this is what they force their staff to do.

I always imagine Gamestop US to be the exact same as GAME in the UK, I know they aren't owned by the same corp but their customer service and business model seem to be identical.

The whole business of unboxing "new" games and keeping the discs behind the counter is just plain wrong, how do I know that's a new game and not a pre owned game you bought back for £5 and are now selling it to me for full RRP?

And the up-sell you get by the guy behind the counter... I have encountered car salesmen that don't sell as hard as these guys! The worst part is I have been stood there waiting for them to scan my item whilst they are stood there telling me stuff that I either already know myself or is completely incorrect on their part, the worst part is when they are trying to up sell to parents or grand parents that don't know any better, they really do rob them poor souls blind...

I have actually walked out on a purchase because of all the crap they were trying to sell me on top of my original purchase.

That was the last time I ever considered them for a purchase in store.

These days I buy in Supermarkets or whatever online retailer is selling what I want for the cheapest price. I have no brand loyalty whatsoever, it simply just doesn't pay.
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Old 04-09-2017, 06:32 PM   #15
Scarface32 Scarface32 is offline
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Quote:
Originally Posted by Mavrick View Post
What business in their right mind would turn down a sale regardless of the profit margin?
Amazon.

I told them Best Buy had an item cheaper, even linked them to the webpage, and asked for a Price Match. They said they don't do PMs anymore. I said "do you really want to lose a sale? I have no problem cancelling my order and going with Best Buy instead" and they didn't seem to care. So that's what I did. This was a few days ago.
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Old 04-09-2017, 06:34 PM   #16
Mavrick Mavrick is offline
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Quote:
Originally Posted by Chrissaywer View Post
me and my nephew went in a gamestop near me and he picked out a bunch of games and all the games he wanted was all on sale on Xbox live. And I'm talking about $20-$40 cheaper then gamestop so I told him we can just go home and download them all for less money and an employee got pissed at me. I told if they didn't try and rip people off that they would be able to sell games. Plus most of their used games are all scratched up.
This is what I don't get, the guys that work there are probably getting paid bare minimum but they still get upset by comments customers make.

When I'm working I get all sorts of remarks about other places being cheaper etc. as if they want me to hear them say it and that it's going to have an affect on me some how.

I don't control the prices as much as the next guy, corporate HQ dictates that crap I'm just there to make sure things get done.

I've never had a problem telling customers to go elsewhere when something is cheaper, and I have even advised them to go elsewhere if I know something is cheaper at another place whether it's online or in store. I've even used my tablet to show them to Amazon etc.
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Old 04-09-2017, 06:38 PM   #17
Chrissaywer Chrissaywer is offline
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This is what I don't get, the guys that work there are probably getting paid bare minimum but they still get upset by comments customers make.

When I'm working I get all sorts of remarks about other places being cheaper etc. as if they want me to hear them say it and that it's going to have an affect on me some how.

I don't control the prices as much as the next guy, corporate HQ dictates that crap I'm just there to make sure things get done.

I've never had a problem telling customers to go elsewhere when something is cheaper, and I have even advised them to go elsewhere if I know something is cheaper at another place whether it's online or in store. I've even used my tablet to show them to Amazon etc.
Will I didn't say it so they could hear me I was just talking to my nephew. I didn't say anything to the employee until he said something to me. Gamestop employees act like people don't know anything about gaming. I told him just cause you work in a gaming shop doesn't make you an expect about games.
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Old 04-09-2017, 07:23 PM   #18
Blaze_Chamberlin Blaze_Chamberlin is offline
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Has anyone else noticed how Gamestop is quickly becoming the Hot Topic of gaming? It used to be that you would go into GS and talk to "real" gamers but anymore it's casual employees who may or may not play games.
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Old 04-09-2017, 07:36 PM   #19
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Has anyone else noticed how Gamestop is quickly becoming the Hot Topic of gaming? It used to be that you would go into GS and talk to "real" gamers but anymore it's casual employees who may or may not play games.
I notice that really quick. But I don't care if their gamers or not but they shouldn't act like they are.

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Old 04-09-2017, 07:44 PM   #20
Wingman1977 Wingman1977 is offline
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Quote:
Originally Posted by Blaze_Chamberlin View Post
Has anyone else noticed how Gamestop is quickly becoming the Hot Topic of gaming? It used to be that you would go into GS and talk to "real" gamers but anymore it's casual employees who may or may not play games.
That's been the case for quite some time. Luckily, I haven't run into arrogant employees (maybe it's because they know I'm a PC gamer and at least one of the guys at my local GS is one as well).
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