Home News GameStop Closing Locations in the United States

GameStop Closing Locations in the United States

Author : Scarlett Jan 25,2025

GameStop Closing Locations in the United States

GameStop's Silent Store Closures Spark Concern

The video game retailer GameStop is quietly shuttering numerous US stores, leaving both customers and employees reeling. The closures, often announced with little or no warning, represent a significant decline for the once-dominant physical retailer. While GameStop hasn't publicly acknowledged a widespread closure initiative, social media platforms like Twitter and Reddit are abuzz with reports from affected customers and employees.

GameStop, originally known as Babbage's, boasts a 44-year history. Reaching its zenith in 2015 with over 6,000 global locations and $9 billion in annual sales, the company has faced a dramatic downturn in recent years. The shift to digital game sales has significantly impacted its business model. By February 2024, ScrapeHero data indicated a nearly one-third reduction in GameStop's physical footprint, leaving approximately 3,000 stores in the US.

Following a December 2024 SEC filing hinting at further closures, anecdotal evidence of store closings has surged online. Customers express disappointment, citing the loss of convenient, affordable game and console options. Employees also voice concerns, with reports of unrealistic sales targets amidst the ongoing store closures.

The Ongoing Decline of GameStop

The recent closures are merely the latest chapter in GameStop's ongoing struggle. A March 2024 Reuters report painted a grim picture, highlighting a 287-store closure in the preceding year and a nearly 20% revenue drop in the fourth quarter of 2023.

Various attempts to revitalize GameStop have been undertaken over the past few years. These efforts have ranged from expanding merchandise to include toys and apparel to venturing into unrelated sectors like phone trade-ins and collectible card grading. The company also received a temporary boost in 2021 from a surge in interest from Reddit-based amateur investors, a phenomenon documented in the Netflix documentary Eat the Rich: The GameStop Saga and the film Dumb Money. However, these efforts haven't been enough to stem the tide of store closures and declining revenue. The future remains uncertain for this iconic retailer.

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