How to Start a Video game Retail Business like Gamestop and What is Needed

Gamestop is the leader in sales of video games and accessories to the masses of gamers, between their physical store locations and their website customers have access to thousands of titles and accessories. When you purchase used products from gamestop and you are a power-ups rewards member you also get a discount on those purchases that are applied to your account as points. Being the leader in the industry gamestop does not have any real competition and this is why they tend to be able to set the prices how they like to.

Some advantages of gamestop

• Microsoft/Sony/Nintendo certified to fix consoles without voiding the warrenties
• Ability to sell a large number of used game titles at crazy low prices
• With no real competition gamestop can offer exclusives when pre-ordering new titles

With just those three advantages gamestop has become the leader in the used video game industry and with contracts with the major publishers they can garner sales/pre-orders of new titles with exclusive content that you can only get through gamestop. This makes it hard for a new small video game business to hold up against them and make a decent revenue and survive as a retail business.

For a small video game business to survive against the mega-corporate gamestop they must have a little more to offer to the general public in order to gather those loyal customers and keep the word spreading. Another video game store would have to have some type of niche that they could offer customers, being it cheaper on used games than gamestop or that they pay a little more for used games.

If a small business could also offer some sort of rewards card for used purchases that customers bought this would also help to increase the store. With gamestop being so large and being able to offer what they offer at the prices they do a small video game store would need to have better used prices and also be in a location that would be easy for people to get to. Small towns and places where there is no gamestop close would be perfect for that as you could draw in your customers with ease.

Gamesstop is the leader but a small business could make it big and survive in these hard economic times. This would depend on the owner and how they feel about charging less for a used title than gamestop did. The store would also have to pay a few cents more for used titles in order to build up their own inventory and not take a loss. There are to many 'video game' retails located in flea markets as well that sell games for the prices that gamestop does if not for more and this is a mistake and the reason why they aren't making that big.

Video games are a high demand item and customers will pay for them but when they find a store or website that is cheaper they will most likely go to that location more and more. The cheaper the prices the better sales and the better sales you have the more profit you will make.