In a recent financial report, GameStop outlined its future intentions to evolve. Moving forward the video game retailer wants to transition towards becoming a general technology company. That means moving the focus away from just selling games to offering a wider range of products.
Those that have visited a GameStop store recently will have already seen this change start to take shape. The retailer sells plenty of non-gaming products like clothing, electronics, and merchandise. But there are plans in place to push this movement further. And eventually, transition fully into a technology retail chain.
What does the future hold?
The choice to transition into a technology company was listed as a “business priority.” According to GameStop, this change will “connect customers with games, entertainment, and a wide assortment of products.” A comparison to an existing company would be Frys or Newegg.
In order to successfully evolve, GameStop is planning to “increase the size of our addressable market by growing our product catalog across consumer electronics.” Simply, it wants to offer a wider range of products and give consumers more choice as to what they can buy.
Furthermore, the report confirms plans to “expand fulfillment operations to improve the speed of delivery and service to our customers.” This hints at a shift towards online shopping which makes sense given the reason for this change. GameStop is becoming something different in order to stay relevant.
The reality is that every year that goes by physical stores like GameStop become less important. Digital stores are taking over as they are often more convenient and cheaper. By adjusting its practices and identity, GameStop is attempting to future-proof itself. Credit, where credit is due, is a smart move. We all saw with Toys R’ Us what happens when a big company fails to keep up with the times.