Discussion in 'General Video Gaming Chat' started by Sly, May 2, 2007.
i hear gamestations been brought out but not by gamestop......
European retailer GAME has acquired its nearest High Street competitor Gamestation for GBP 74 million (EUR 108m).
The market leader now adds Gamestation's 217 stores to its group, and intends to keep the branding of both outlets separate.
"We are delighted to bring Gamestation into our portfolio and believe it has a strong future within the group," said GAME chairman Peter Lewis.
"The Gamestation business is one we have long admired and is complementary to our existing business in terms of both store portfolio and target customers."
"By investing in both brands we will further enhance the group's retail strategy while continuing to deliver and broaden our consumer reach. I am confident that this transaction will add considerable value to GAME and its shareholders over the coming years," added Lewis.
GAME lists Gamestation's standing amongst the more hardcore gamer as a key reason for the acquisition, compared to GAME's more mainstream offering.
GAME has unconditionally acquired the entire share capital of Gamestation for GBP 74 million, on a debt, cash and tax free basis.
For the year ended December 31, Gamestation reported revenues of GBP 203.5 million (EUR 298.7m) and profit of GBP 2.1 million (EUR 3.08m).
Would that class them as a monopoly now?
I would have thought they must be - but I suppose they include HMV/Virgin etc meaning that they will more than likely still have less than 25% of the market share and therefore not considered a monopoly.
It's a great deal for Game. I do wonder about cannibalisation of sales though as you'll now have two/three stores per town.
Ah, of course. There are supermarkets and other big stores selling games. I was only thinking of dedicated game shops. How many of those are there? The only other chains I can think of are CHIPS and Virtual Games.
Do you mean more or less stores? We already have three GAME stores on the same high street.
More stores, especially when you consider that most towns have a Game and Gamestation!
they are being run as seperate identities i understand as they serve two differant demographics (at least in the short term).
So will we see some investment with Gamestations, a lot of the ones I've been in have been in poor nick.
haircuts,regular shaving and clean clothes for staff too!!!
Will Gamestation get a reward card scheme now then? It's the only thing that puts me off shopping there when I'm forced into the high street for something!
This is BAD news for the world of pre-owned games & trade-ins.
Be prepared to get £6 for trading in a Xbox 360...
However, at least the stores won't smell of teenagers having a shuffle...
Fantastic, lol, we already have a Game and a Game(formerly EB) in commercial road, portsmouth, now we'll have a Game(station) there as well!
How come most of the Gamestations I've been in are dimly lit and about three feet wide?
There's one on the other side of town that's inside a big, bright Blockbuster but I've been in a quite few around the country that are all as I said.
In Stoke there are 2 separate GAMEs practically next to each other (1 above the other with an escalator going up to the other) and a Gamestation down the road, plus another in Newcastle Under Lyme!
Crewe also has a Gamestation 50m down the road from a GAME.
well i have got a £100 credit note with gamestation and it better stay valid.
Say goodbye to decent bundles as well. Gamestation were miles ahead of Game when it came to that. Game always stick 2 games or from a list on the front that noone ever wants. The Gamestation near me was doing a PS3 with any 3 of the games for £498
Yay for no competition
I'm just happy there's a CeX in cardiff, otherwise, that would be it for my trading in days as most of GAME's prices are simply crap.
as an example, I traded in 4 games in CeX in march and got £25 for them. In Gamestation I would have got £23, and £18 in Game.
the one in edinburgh is about twice the size of the game thats a few doors along. it's got upstairs for retro and older consoles, and has a stock basement too. has plenty retro and second hand stuff
game on the other hand was pretty crap. it must be nice to have a spare £74m to wipe out the only main competition in one swoop
isn't game part of the group that owns HMV (and also virgin i think, or did at one time)
btw, the comment about shaving, washing and wearing clean clothes certainly applies in edinburgh. the game staff look straight out of dixons, whilst gamestation staff look straight out of compton (or dragged backwards thru a hedge and dressed in barnados rejects, in the dark, with eyes closed). friendly people tho. the folk in game make me feel like i'm there to buy a washing machine, with 5 months extra warranty
This is bad news IMO. Before GAME took over Electronics Boutique that was a good store with some very competitive preowned game prices, that all changed the day the EB sign got taken down to be replaced with GAME
As far as highstreet games stores I've always much perfered Gamestation over GAME(bigger selection of titles and alot more pre-owned at good prices), I guess they'll be two of the same now though even if they keep the original names.
In all honesty, I tend to buy most of my stuff over the internet so this news doesn't really affect me. It's no good that they'll have a monopoly on the high street though.
Actually Tetlee EB took over GAME not the other way around, they just decided to use the GAME name and dropped the EB tag in this country altogether.
Yep and the name change had something to do with a big company in US with same name so legal action was taken and Game lost so they have to pay EB US money anyway.
Game is global company most people think it's just UK/Europe based.
Ashton Under Lyne has a GAME and Gamestation right next to each. I hear they will be closing down the gamestations that are near the GAMEs.
With an 80% drop in profits last year (http://spong.com/article/9934?cb=104) Game is in dire straits really, and I dont think taking over Gamestation is going to help them. Inevitably GS will offer the same ridiculous prices as GAME, but the fact that the PS3 games are region free will probably kill them.
When the PS3 eventually takes its place as number 1, theyll be a million cheap import games out there, half the price of the ones in GAME but GAME wont take them because they dont like imports.
CEX of course do take them, in fact they give silly money on them (mind you, they sell their import DS games at 34.99 !)
As more and more people embrace import gaming from cheap websites, and place like play.com are offering lost planet at 17.99 whilst GAME give 25 on a swap on it, its just leading to the inevitable spiralling desperate death of GAME
That's not what I've heard...
Edit: Actually, I just noticed the date of the Spong article is April 2006.
Although £2.1m profit isn't to be sniffed at, this implies that expenses and taxes and stuff amounts to over £200m - cripes! It's not like they pay their staff loads, either!
I expect that Game will start to close some stores in the coming years - as others have already mentioned, there are some places that already have 2 Game stores plus a Gamestation... can one company really justify cannibalising sales and paying triple rent? Not for long, I reckon...
Not strictly "next to each other" but near enough.
Good to see someone else from Tameside on here, I live in Stalybridge
All i can say is; support you local independant videogames store. Once you know the blokes who run the place you'll get much better treatment than at Game.
Well that's not hard Game sucks for prices and there staff don't know what there talking about half the time.
Least I live near Wakefield, where we have the wonderful Ninja Games!
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