So I'm opening a video game store...

justinboyd101

CAG Veteran
I will be opening it fall of this year. I think I have some great ideas about how it should be operated but I want your opinion. What do you like in your video game stores. What don't you like?

Any advice or suggestions would be appreciated!
 
As someone who works in the financial/accounting industry, I'd probably say to put it on hold.

Why would you want to open a "Mom & Pop" type of store in an industry dominated by a chain that can easily offer equal or better prices; especially with the way the economy is headed? Buying/selling of used games would be the only service that would rival Gamestops but I don't think that could keep you afloat.

Oh, and I'm not trying to piss in your cereal or anything. There are just way too many businesses going under in today's world and gaming just seems like a bad industry to infiltrate right now.
 
[quote name='xistence']As someone who works in the financial/accounting industry, I'd probably say to put it on hold.

Why would you want to open a "Mom & Pop" type of store in an industry dominated by a chain that can easily offer equal or better prices; especially with the way the economy is headed? Buying/selling of used games would be the only service that would rival Gamestops but I don't think that could keep you afloat.

Oh, and I'm not trying to piss in your cereal or anything. There are just way too many businesses going under in today's world and gaming just seems like a bad industry to infiltrate right now.[/quote]

i agree. with the economy going down right now, i would wait. however, if u want to know what services i like:

older games available (i want to be able to buy a nes game for once)
aside from that, just make sure u dont run out of copies of great games...it took me a while to find bioshock seeing as how i just got it last weekend...
 
If you are still thinking of it though, one of the major things I can think of that would keep customers happy is release dates. I live in Canada and it drives me mental when Future Shop or Bestbuy claim that they will have a game in stock by a date. Now I realize that there are a lot of factors that are out of their control, but on several occasions I went to buy a game and was told it "was still boxed up in the back, come back later...". At that point I went to a "Mom and Pop" store to purchase the game.

Release dates are extremely important in the fast moving gaming industry. Now I understand that there are problems with shipping, dates pushed back, etc., but I just feel that the big box stores are idiots when it comes to gaming.

Also, hire people in your store (if you have to) that know what they are talking about. Gamestop/Ebgames are famous for hiring people who don't know PS3 from 360.

Just my 2 cents.

Good Luck.
 
I understand what you're saying. And that was the first thing I researched. What I found out is that, although video games have not been out for that long, the video game industry never suffered during any type of economic recession. So instead of families going overseas for vacation they can just buy a Wii and a few games for the kids. This is just what I read in a few cnn and other news reports.

Before video games, movie theaters did really well during the previous huge recession. People just wanted to go somewhere and escape the economy through entertainment. Plus I'm going to be working with investors, so none of my money (which is nothing lol) will be affected.

I've been gaming my whole life and I know what I love and hate, especially with Gamestop. But I'm not everybody. I just really want to make a gaming store that gamers will love!
 
My tastes are simple. For starters, be organized. I hate having to go on a scavenger hunt for a game I'm looking for. There are three places nearby that sells video games. Two have their games in neat, alphabetical order. I never go to the third (gamestop).

Next, keep your games in good condition / don't accept games in terrible condition (or just price accordingly). Try to minimize the number of stickers you place on a product. I know one local place keeps just the case on the rack, with a simple price sticker on front. Also on the price sticker is a reference number to where the disk is in their drawers. The disc also has it's price on it, to kill price-tag switching. Makes it a lot easier to clean up the case afterwards.

Finally, pricing. As obvious as this sounds, good pricing is a must. But you already know that, so I won't go into detail.
 
I think you should try to trump GameStop by having a standard of quality. Only accept game trades that are complete and in good condition and don't try to sell opened games as new. Those two things alone are a major reason why I avoid GameStop whenever possible. Another major advantage would be if you choose to carry older games and systems.
 
[quote name='homeland']would "gamers" give you enough of the market for your store to be economically viable though?[/quote]


No. The thing that I think is going to be difficult is designing the place to welcome both gamers and non-gamers, and advertising and marketing to gamers and "soccer moms" without feeling like one or the other doesn't belong. Surprisingly this is something that Gamestop does a really good job of.
 
[quote name='KillingMachine']don't try to sell opened games as new.[/quote]

That is so true.

"Ok here's your new game."
"Oh I didn't want a used copy"
"Its not used, its a 'display' copy, the last we have"
"Go Die...:bomb:"
 
- I know that it is a bit labor intensive, but I like being able to try games out in the store a la PnT.
- Used strategy guides. I really enjoyed picking up used guides from Rhino games before they were swallowed by GS. (I remember picking up a slightly worn copy of the Dead Rising guide for about $2.50:bouncy:)
- If your knowledgeable enough console repairs in-store for both previous and current gen consoles. Consoles do break and rather than paying a ridiculous amount to the original manufacturer or trading them into GS I would rather have a local shop I can walk in and deal with someone in person.
- In store disc resurfacing.
- Game tournaments. They don't need to be free, but you should have some staples like: Super Smash Bros. Melee/Brawl, Super Street Fighter 2 Turbo, Halo 2/3.
 
Advertise! Flyers, radio, TV, mailings and newspaper adds are all an extremely effective way of letting your potential customers know that you exist. It might be spendy at first (2-5K a month) but you would be amazed how much it increases foot traffic, especially when you annouce awesome deals.

Used games and accessories are going to be your bread and butter. Give customers a reason to trade games into you rather than Gamestop (higher values, rewards, promotions) while also charging slightly less for resale values, your profits will be slimmer but your core customers will become more loyal.

Also don't be afraid to use ebay, if you've managed to pick up too many copies of a game reselling it on ebay can reduce your loss or even give a little profit as upposed to holding on as the official retail price drops from $60 to $50 to $30.

With the economy going the way it is a used game store might fare well, certain sectors of the entertainment industry have done very well in previous recessions (movies did very well during the great depression after all). With people more interested in saving a few bucks interest in buying and selling back used games should be greatly increased this year.
 
Don't limit your self to video games for one. There is this store in by my house that buys/sells movie swag, collectables, games, movies, ext. It is pretty cool place.
 
[quote name='kurokubushi']Don't limit your self to video games for one. There is this store in by my house that buys/sells movie swag, collectables, games, movies, ext. It is pretty cool place.[/quote]


I was thinking about that. But I was also afraid if people would think, "oh it's not a gamers store anymore...they sold out."
 
[quote name='zionoverfire']Advertise! Flyers, radio, TV, mailings and newspaper adds are all an extremely effective way of letting your potential customers know that you exist. It might be spendy at first (2-5K a month) but you would be amazed how much it increases foot traffic, especially when you annouce awesome deals.

Used games and accessories are going to be your bread and butter. Give customers a reason to trade games into you rather than Gamestop (higher values, rewards, promotions) while also charging slightly less for resale values, your profits will be slimmer but your core customers will become more loyal.

Also don't be afraid to use ebay, if you've managed to pick up too many copies of a game reselling it on ebay can reduce your loss or even give a little profit as upposed to holding on as the official retail price drops from $60 to $50 to $30.

With the economy going the way it is a used game store might fare well, certain sectors of the entertainment industry have done very well in previous recessions (movies did very well during the great depression after all). With people more interested in saving a few bucks interest in buying and selling back used games should be greatly increased this year.[/quote]


Definitely! I graduated with a degree in advertising so I know exactly what you're talking about.
 
[quote name='will52']That is so true.

"Ok here's your new game."
"Oh I didn't want a used copy"
"Its not used, its a 'display' copy, the last we have"
"Go Die...:bomb:"[/quote]


I know what you're talking about. And I'm trying to think of a way to get around that. I don't want to put unopened games on the shelves (if I did I'd be another "the exchange" and have to put everything behind glass, which is really annoying). But I also don't want to make some sorry photo copy of the game to put on shelves.
 
And I COMPLETELY AGREE that Gamestop screws the customer by selling incomplete used games at the same price as complete used games! There is no way that will be going on in my store.
 
reading this thread gets my brain going as this is kinda my dream here, to open a video game store. And not really just a video game store, but more a video game store/arcade. A quick run through here, I'd still sale the newest games along with trade ins and used games, but the other part of the store I want almost a lounge type area. Maybe a few arcade machines and pin ball machines in the corner, I'd sell snacks and drinks, and what I'd really like is 3 nice "living room" displays. Basically a nice couch and a decent sized LCD with the newest console hooked up to it. SO I'd like a couch and a TV with a 360 hooked up to it and have the newest popular game up to play. Say for instance the 360 with some gears of war 2 to play, a ps3 with little big planet to play and wii with just wii sports or smash bros. playing. I'd also allow people to bring in their own game to play with a group of friends if they'd like. Thats where the sale of drinks and food comes in. Let them stay and hang out, they will get thirsty or hungry.

So really my dream video store I want to run one day is a video game lounge, that sells new and used games.
 
An ebay store in cooperation with your actual store is a great idea. Especially since it seems current gen games hold their value longer on ebay than they do in stores.

Guitar Hero/Rockband tournaments (or even just a running leaderboard w/ a prize at the end of a certain period) would probably generate some traffic. I'd avoid Madden though, it may attract customers, but if you've ever seen any of the shows showing those tournaments, they aren't customers you necessarily want in your store.

A fair selection of new release DVD's that are in your target demographic would also be a good idea.

Maybe a pair of consoles set up with the newest demos downloaded onto them, a good demo can go a long way, especially if they are in your store already. Not sure if there's an issue with that but i suppose it wouldn't be a problem unless you were using something like gamestop's KZ2 pre-order one.
 
[quote name='justinboyd101']I know what you're talking about. And I'm trying to think of a way to get around that. I don't want to put unopened games on the shelves (if I did I'd be another "the exchange" and have to put everything behind glass, which is really annoying). But I also don't want to make some sorry photo copy of the game to put on shelves.[/QUOTE]

There was a company Toys R Us used while I was working there that we got display cases from. While it may cost a little bit, you should really only need 2-3 tops of each case (I say this since they tend to disappear every now and then) and I am sure they aren't very expensive which will keep people happy not buying an opened "new" game. Sorry I am not much more help on that, but I can't remember the name of the place we ordered from to save my life right now, try doing some internet searches for that type of thing.

I would price most games individually unless you are only taking in good/great condition and complete games. What I mean by this is that if you have a copy that is a little scratched, knock off a couple of dollars than a better conditioned copy, missing the instructions, take off like 50 cents or something. Honestly I don't buy a lot of used games do to many of those reasons, especially when it is possible that I get a non-working copy due to scratches for the same price as someone that can get a like new copy.

Don't take in too many copies of a used game after a certain time frame. Newer games If you take them in will likely turn around and sell fairly quick (assuming you price decently) where as an older game like say madden '08 will just take up space and be more trouble than it is worth. While that may sound a bit unreasonable to some, you can't constantly take in games that aren't going to sell, you will simply lose money on them, even if it isn't a whole lot.

Only hire people that know what they are talking about. While it may cost slightly more to employ them, customers will come back to someone that was actually able to help them. On this same note, hire an array of people that can cover many types of games. I personally was never too big on RPG style games, so I wouldn't have been a lot of help with those types of games, yet I don't know a whole lot of people that have the vast knowledge of first and third person shooters that I have played, so if I were to have someone that plays a lot of RPG games working next to me, the majority of games would be fairly covered.

Like someone else said, keep the place organized. I hate wasting time searching through a lot of clutter only to not see what I was looking for. Make sure to keep a display case out on the floor as well, many customers will not come up and ask for a title if they don't see a display, so that will end up losing some customers.

Personally I find demo units to be a bad idea, I have rarely ever had someone come into the store, play a demo and actually end up buying it. Instead they waste 10-15 minutes on the game and usually end up buying nothing, that is not the kind of people I would want in the store. If you are going to have some type of demo unit, it needs to be a try before you buy type of deal.

Last, I would suggest some type of reward or loyalty program. If I know I am going to get something in return for spending the majority of the money I use on games at your store, I am going to be a lot more willing to come back. Usually I will just go to whatever place has the best deal on the game (so price matching may be a good thing as well), but if I were to get something like a card that would help me discount a future game by giving me like $2 back for every new game I purchased I would be much more inclined to spend a little extra for the discount card and the service of the employees (I would make a variety of prices given as a credit dependent on the price of the game).
 
Some things to remember:

-It's hard to get distributors lined up if you're an independent shop.
-You WILL NOT get 90% of games by their release date, it sucks but thats the truth of it.
-You will lose money on new games.
-It's great to satisfy gamers needs but they are a VERY small percentage of your customer base.
-Expanding beyond video games is not "selling out", the store i work at recently got into magic, miniatures, board games, and D&D and we're finding they bring in a lot of new business.
-Ebay/Amazon definitely help a small business but they're finicky and you wont be unloading tons of new games for a profit through them.

Do you have a business plan? It's hard to just jump right in. The owner of the shop i work for started about 7 years ago by selling games on a table in front of a drive thru and making house calls, then moved into a small (tiny) store, then 3 years ago finally got a large space that feels like a real store.

Going in with at least a decent selection of used stuff would be an immense help. Even if you have "investors" don't plan on this costing you nothing, videogame retail is a harsh environment and certain times of the year you will lose money when you first start, have some cash tucked away.

best of luck,

Jacques
 
I would definitely look into exclusivity during title releases. Think beyond just the game and look at how business like book stores have book signings. I'm not sure how accessible you are to developers, but I would definitely start networking and try and get game developers, artist, reviewers, etc. to be a strong part of your business. Build a strong community, work the online side as well, perhaps look into rental services; do everything that the competition isn't doing.
 
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