YouTube Version of Two Employees Discuss GameStop Situation

Advertisements

4 Comments

  1. The profit margin on consoles is not as high as you reported in the podcast. It’s closer to 3%. A $400 console will only have about $12-15 profit. When you factor in the shipping and warehousing costs, new consoles are sold at a loss.

    Like

    • While I understand that new consoles may be sold at a loss (our numbers were based on what we gathered from working there since GameStop likes to keep its employees in the dark) it doesn’t change our opinion that their method for selling used games and products isn’t just unethical, it is just wrong. Lying to the customer is one thing, but blatantly telling them that the product isn’t in stock just to keep their numbers up is downright sad. I’m not necessarily blaming the employee, because a lot of gamers want to work at GameStop (trust me I was one of them when I was 18), but I never lied to a customer to keep my numbers or…or ever for that matter. Times have changed since I personally left around six years ago, and so has the economy, but finding a different way to promote their used game sales would be a positive start instead of just deflecting the claims against them. Hope that clears my personal opinion up a little!

      Like

      • I came out of EB, and our management was a lot more open about margins. Different culture. 🙂

        And I agree with you — GameStop shouldn’t be putting its employees in positions where they feel like they have to lie to customers or walk customers because the funhouse stats GS employs make the employee look like a failure. No one should ever be made to feel bad about a 400 or 600 dollar new system sale. Maybe there’s not as much profit in that sale as a 200 pre-owned sale, but it’s also a heck of a lot of dollars in the register drawer toward the store’s sales plan. That’s a sale to be applauded, not feared.

        I think GameStop will circle the drain before too long. Their current “Hot Topic with a pawn shop and video games” model isn’t sustainable.

        Like

      • I agree 100% with everything you just said! When I worked there, it was based on sales dollars, not percentages. So like you mentioned a 400-600 sale was just as valuable as a 50 dollar preowned call of duty title. I wish they would return to that model since it seemed to encourage employees to simply do their job, and sell product in general.

        Liked by 1 person

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s