Trading in games saves you money towards the purchase.of a new game. You ultimately get the game for less than digital dnloading.
Furthermore what kind of idiot would digital dnload a game that sells for less as physical? In many cases Gamestop has had titles at cheaper prices than Steam sold it digital.
Beyond Cannabalization I see digital as no threat at all and cannabalization is not an unsolvable problem.
Barnes and Noble and Blockbuster can't figure it out? So what? I strongly believe Gamestop has the solution. You smply have to share the digital revenues with the bricks stores.
Selling currency cards is just 1 example. JOLT and KONGREGATE. Are examples where Gamestop is becoming a content Creator instead of just a retailer.
Jim has not done his homework on this one in my opinion. Barnes and Noble doesn't know what to do with their bricks stores because they have the Nook.
Gamestop is still selling all kinds of games in all kinds of ways in their bricks stores. They are adding new business. And thus new revenue streams. They are diversifying.
Gamestop doesn't have NOOK dependancy sickness. They sell any manufacturers products they wish to sell. They do not have to mope around. Hoping their Store product sells enough to offset digital dnloading struggles.
Just. look at the potential future in which Gamestop is Hybrid publishing company and retailer and selling any kind.of software product in any kinds of format with Power Up Rewards Program providing incentive to shop at the stores to save.money.
wishfull thinking i like what you have to say but really not wit emotions but with facts Jim Cramer is looking at same thing i am look at last quarteryl report same store sales down digital downloads up 69% look at last quarter on instituational invetment in game stop last quarter a net loss of over 16 million shares yes 16 million shares withdrawn by top money guys on wall st no new big money investors stepping in there quitely leaving awhh and now the video publishing part thats like saying circuit city could go out and build there own tvs and sell them brick and motor or blockbuster culd get some cameras and make there on movies and diversify and sell only the movies they produce... gamestop has over 3000 stores all the disversifying wont and cant support them now becoming a video game producer and make them ... they sell them the digital downloading will become a competion between thoses who that core bussiness belongs to amazon bestbuy walmart gme is not going broke tommorow but there core reason for being around and being taken over by tech there 69% sales on digital downlaods will become even larger and get stronger just like the noke then one day the rent bill comes in for 3000 plus stores same store sales not being the driving force but digital downlaods and then puff what do you need all that overhead for to be a used ipad dealer you can go to pond shop and get cash rather then a instore credit sorry to say but it a wake up call time for smart money to move into something with a future not something with a wing and prayer fighting a losing battle