Posts Tagged ‘GameStop’

IGN and GameStop partner to combine Media and Retail in one-stop-shopping

Friday, January 7th, 2011

Until now, if you’re on the hunt for a new game, there’s always been the ye old, search, alt/tab, search again, read, alt/tab, etc. GameStop and IGN have recently announced a partnership that seeks to keep the alt/tab, search process to the bare minimum. The terms of the deal provide for an exclusive, large-scale partnership that fuses all the best elements from IGN’s video game coverage, including expert game review content from Game Informer Magazine, and GameStop.com’s video game and multi-channel entertainment services.

Yes, obviously GameStop’s motivation behind the deal is to drive sales, but ultimately, they’re looking to provide gamers with a soup-to-nuts service, as the partnership seeks to inform fans about games from the first rumors of development right on through to post-purchase updates, news, etc. The two hope to make the vehicle the new Gold Standard in what it means to be an informed video games consumer.

From IGN’s side, they now have exclusive online advertising and sponsorship rights for GameStop.com as well as GameInformer.com. Clearly a win for IGN, as access to the previously mentioned web properties allows them unprecedented access for advertisers to a highly targeted, highly engaged audience.

“Until now, the games media experience and the games retail experience have been disconnected. Now we’ll be able to connect brands and games publishers with video gamers across the complete game purchase funnel – from discovery and awareness to purchase,” said Charles Barrett, Senior Vice President of Sales for IGN Entertainment.

As part of the agreement, GameStop will begin integrating IGN’s reviews, previews, and other gaming content across their online presence. Readers across the IGN network will shortly see a “Buy Now” feature that specifically drives users to GameStop if/when/should they choose to purchase the game under review.

“This is one of the foundational pieces to our digital strategy as we seek to position GameStop.com as the definitive single destination for gamers who want to discover and purchase new games, play games online and socialize with other players,” said Shawn Freeman, GameStop’s Senior Vice President of Digital Commerce. “As the fastest growing gaming website in the U.S. and second in size only to Amazon.com, we look forward to offering game fans a first look at our integrated site in 2011.”

Of note: GameStop’s online traffic numbers will now be rolled into IGN’s comScore figures. As of November 2010, the combined traffic numbers between GameStop’s properties and the IGN Entertainment network reached 45 million unique users from around the globe. A mighty number for sure, but let’s just hope neither company decides to call the figures their own before advertisers, as distinguishing the two will become increasingly difficult. Or…is GameStop testing the waters of an acquisition? Or perhaps the other way around? Only time will tell.

 

GameStop and Jolt launch Utopia Kingdoms, PopCap launches Zuma Blitz

Wednesday, December 15th, 2010

Nothing says The Holidays more than fresh, fun, and free-to-play, like new games. To this end, both PopCap and Gamestop and Jolt Online have recently launched new titles just in time for the upcoming Holiday season.

GameStop and Jolt Online launch Utopia Kingdoms

Launched yesterday, GameStop Corp. and Jolt Online Gaming have introduced a new free-to-play Facebook based game, Utopia Kingdoms. Built upon one of the longest running browser based games of all time (since 1998), Utopia, Jolt’s newest iteration includes all the classic elements of cunning and guile needed to succeed. As with it’s predecessor, GameStop/Jolt have made the game accessible to all, promising simple, easy-to-understand mechanics that will allow just about anyone to dive right in, and be up and playing in no time.

Players have a choice of 1 of 6 unique races, Humans, Orcs, Dwarves, Avians, Elves or Dark Elves, and are tasked with commanding an army with 16 different battle units with 6 race-specific units. As with most Facebook based games, players can team up with friends and battle together, all the while learning new skills and strategies that ultimately lead to a unique game experience. Players may either focus on their armies and fighting strength, or conquer the world through crop harvesting and trade revenues.

“GameStop is a multi-channel retailer committed to video gaming. Jolt’s Utopia Kingdoms is a great example of how we provide our customers with online games they can play anytime, anywhere and on any device,” comments GameStop Executive Vice President of International Mike Mauler.

PopCap launches Zuma Blitz

If your Plants have versed some Zombies, or your jewels are all Bejeweled, no worries, as PopCap is back with a new installment of Facebook fun. Launched on Facebook yesterday, Zuma Blitz focuses on ball-blasting fun, and this Facebook title is the successful adaptation of PopCap’s hit Zuma franchise. Having already sold over 20 million units worldwide, this iteration of Zuma also features the games’ competitive as well as cooperative modes.

Specifically tailored to Facebook, Zuma Blast is compressed into a short, digestible, format of one minute per game. Players may compete with Facebook friends by clicking (exploding) as many balls as possible within the 60-second time frame.

Building on this competitive theme, Zuma Blitz on Facebook features weekly tournaments and leader boards, with new game levels introduced on a weekly basis. An XP system provides additional power-ups and capabilities, and a healthy dose of time extenders, score multipliers, and other in-game accelerants have been tossed in for good measure. And last, but certainly not least, PopCap has built in an in-game performance and status tool that allows Zuma Blitz players to keep tabs on not only their own, but friends’ status and progress as well. Stats include medals won, achievements earned and experience level.

This is PopCap’s second sociale game on Facebook, now joining the 40 million+ user Bejeweled Blitz.

 

Best Buy puts final nail in GameStop’s coffin?

Tuesday, June 22nd, 2010

GameStop. If you’ve played a game in the past 10 years, particularly a previously owned title, chances are you’ve past through GameStop’s doors. One of GameStop’s major money makers is buying used games and gear at super low prices and reselling said games and gear. The standard buy it cheap at the garage sale, sell it for a bundle on eBay method that millions are utilizing. However, it looks like that buy low/sell high/reap the profits method got some steep competition last week when electronics retailer Best Buy announced that they’d be offering gamers the option to trade in used titles for store gift cards this summer.

gamestop-storeThis isn’t the first time that we’ve heard rumblings from Best Buy regarding cutting in on GameStop’s action. In fact, Amazon.com and Toys-r-us have hinted at similar programs, but until last week, neither of the three had put a solid plan into action.

As a result of Best Buy’s announcement, GameStop stock took an 11% nosedive last week. Currently, GameStop is trading at only 7.3 times the year’s projected profitability figures, and is seeing competition on both fronts: Physical and Virtual.

While GameStop created the position of General Manager of Digital Media last summer, Chris Petrovic has some Goliaths to battle. Not only has Best Buy just undercut GameStop’s major money maker, but digital delivery (never one of GameStop’s specialties) just got a major shot in the arm last week with OnLive going live. And lest we forget, both Sony and Microsoft are carving a slice out of GameStop’s once healthy slice of retail games sales.

That’s not to say that GameStop isn’t going down without a fight. In addition to the aforementioned Digital Media position, they’ve also focused on in-store exclusives. Earlier this year they teamed with Activision Blizzard to promote a free-to-play, web based browser title, Legends of Zork. Am I really the only one seeing the irony in the brick-and-mortar store promoting a browser based free-to-play?

The writing is, and has been for quite some time, on the wall. With new ‘download it now, have it now, play it now’ platforms springing up every few months, some more successful than others, I’m flabbergasted to explain why GameStop hasn’t closed some of it’s underperforming retail stores and reinvest that cash into a robust online delivery platform. Steam, OnLive, Xbox marketplace, PlayStation Store– they’re all the future. When, why, and how GameStop steps up to the plate with these contenders remains to be seen. If at all.

 

New Survey reveals console gamers big on Digital Distribution

Tuesday, October 27th, 2009

While GameStop claims that it isn’t really worried about the rise of digital distribution cutting into it’s brick and mortal retail stores revenues’, a new survey from the TNS and gamesindustry.com titled The UK National Gamers Survey, could have retailers rethinking.

Traditionally, PC and console games were produced to a disk (or cartridge), packed in a fancy box, and sent off to retailers for sale to the general public. One can still find this method alive today, but perhaps not doing so well. A wide variety of factors all contribute to the decline of boxed sales, perhaps most notably the rise of both mobile and web portal based gaming; a scenario where there’s no wait involved. The UK National Gamers Survey 2009, as well as identical surveys conducted in the US and EU markets clearly indicate that digital distribution has arrived, and is a favorite amongst both PC and console gamers.

The survey found that 25 percent of all UK console gamers have paid for and downloaded not only complete titles, but also additional levels for their favorite games. The former being a purchase, the later being a microtransaction. 7 percent of all gamers surveyed indicated that when they’re after a new game, they usually purchase them directly via a digital distribution channel, circumventing a physical retailer altogether. On the PC side of gaming this figure is doubled, with 14 percent of all PC gamers regularly buying and downloading their pixel pleasure directly. In the US market these figures rise even more, with 16 percent of console players purchasing directly, and 23 percent of PC users accustomed to the digital distribution method.

TG_Digital_Distribution

The survey also indicates that over half (55 percent) of the UK population (as defined by 8 years of age or older and access to an internet connection) play on consoles. 27 percent of this demographic indicated that they regularly download either complete games or additional levels for their existing games. Almost all respondents indicated that they have experience paying for this. When broken down by console, Sony’s PlayStation 3 takes the lead with over half, again 55 percent, of owners regularly obtain content via digital distribution, 51 percent of Xbox 360 users, and 25 percent of Nintendo Wii owners are downloading.

“With the growing part of games being played and paid for online, a key way to monitor the complete games business is by asking consumers directly about their overall game behavior and spending. An additional advantage of this approach is insight across all platforms as the traditional divide between the online casual and core console market has evaporated,” adds Peter Warman from gamesindustry.com.

 

GameStop creates new position: General Manager of Digital Media

Thursday, August 6th, 2009

America’s best known brick-and-mortar retailer of all things digital gaming, GameStop has announced that they’ve recently appointed Chris Petrovic to fill the newly created position of General Manager of Digital Media.

gamestopThis new appointment clearly indicates that the retailer can no longer ignore the proliferation of digital downloads and game acquisition, even though the company has downplayed the mechanism previously. Heck, even David Perry has called GameStop COO Dan DeMatteo’s “the era of full digital distribution is 12 to 17 years away,” comment ridiculous, pointing out that the vast majority of the Asian market is dependent on digital distribution. In regards to Petrovic’s appointment, and GameStop’s interest in digital distibution, DeMatteo states that the retailer is well-positioned to “[identify] and effectively [participate] in emerging trends in casual, browser, and mobile gaming.” Sure, there’s no harm in showing up to the party after dinner is served, right? Further to this, DeMatteo stats, “We are … committed to supporting our unique and vast footprint of brick-and-mortar stores and knowledgeable associates with a smart digital business platform.”

Petrovic’s appoint comes on the heals of last Friday’s announcement from GameStop that they’ve launched an online digital casual game store, and revised the overall digital distribution store for the bread and butter PC games market. Direct from GameStop: “Petrovic will be responsible for building on the company’s ongoing efforts to integrate digital media into the company’s multi-channel strategy, as well as overseeing the development and execution of a digital acquisition strategy.”

Prior to coming to GameStop, Chris Petrovic served as VP of digital media at Playboy enterprises, where he was responsible for leading online and mobile projects. He’s also filled executive shoes at the interactive division of greeting cards firm American Greetings, as well as theglobe.com and Prime Ventures.

Is it just me, or does it sound like all the cards are not on the table here? On one hand we’ve got a COO stating that full digital distribution isn’t going to happen for another 12 to 17 years, and that the company is confident in it’s market stance to remain right where they are. On the other hand, GameStop opens an online digital casual games store, only to be followed by the creation of the position of Head of Digital Media. Granted, in today’s market, diversifying your offerings and methods is the smartest way to stay competitive, so why not get the messaging straight here folks? Either GameStop is committed to a digital distribution method, and will put the same type of support behind it that they do with their brick-and-mortar retail divisions, or just leave it alone. The conflicting messages aren’t exactly demonstrating the “We’re all on the same page” message one would like to see from a major retailer. I’m all for GameStop providing a digital distribution service. It certainly saves me a trip to the store, and puts the product in my hands in a matter of minutes, not hours or days – but can’t we all just agree to agree?

 

Perry predicts cloud gaming, the rise of free-to-play, and the death of single player games

Friday, February 20th, 2009

This year’s DICE event which wraps up today in Las Vegas wouldn’t be complete without video games industry veteran David Perry’s take on the current state of play, and what he sees as ‘the next big thing’. We’ve covered some of Perry’s predictions in the past, but for those out there that don’t remember or know of David Perry, he’s the founder of Shiny Entertainment which was responsible for Earthworm Jim, and Messiah to name a few along with MDK, Wild 9 and Enter the Matrix.

Taking a page from his standard presentation playbook, Perry started out his DICE talk by showing some old marketing collateral from his first computer, the Sinclair ZX81, noting that at the time the mainstream consensus was that computers would be used solely as a productivity tool. “I, like everyone else, however, used it to make and play video games,” he said.

Looking forward, Perry notes how far and fast computing technology has progressed since its humble beginnings. Specifically, Perry speaks to increased storage space and read/write speeds. He foresees a future with unlimited storage media delivered via fast, ‘available everywhere’ wi-fi. Not limiting future options just to storage, Perry also predicts cloud processing, i.e. the end of in home owned single or multi-core processor platforms.

Driving this prediction, Perry explains that he’s been looking into technology that’s powered by remote storage and processing, thus removing the need for players to own powerful software or processing power. The end goal is to deliver the final rendered frames to gamers via Flash video.

“It’s like going back in time to when we had terminals instead of desktops.”

Speaking to distribution mediums, Perry didn’t waste any time aiming a canon at GameStop, who’s COO Dan DeMatteo recently stated that the era of full digital distribution is 12 to 17 years away. Perry’s thoughts consider this timeline ridiculous, and he’s quick to point out that much of the Asian market is largely dependent on digital distribution. And we all know how the Asian market is hurting in the video games department.

With perhaps his most startling statement of the day, Perry also sees the end of single-player games. Instead, he sees free-to-play, mulit-player online games as the absolute future, “I personally think the days of single-player games are numbered. Without question, our focus is entirely on multiplayer.”

Duly noted, Perry serves as Chief Creative Officer with Acclaim, a completely free-to-play, microtransactions based game developer/distributor, so it’s fair to say that his view might be slightly biased.

Using imagery of some of the greatest game designers of all time, Shigeru Miyamoto and Hideo Kojima, Perry notes that Japan has turned out some of the best games and designers the world has ever seen, and asks, “would you be willing to bet China will never produce one of those names?”

A highly relevant question, as David warns that if and when this level of talent starts popping up in China or Korea, both areas where free-to-play is rapidly becoming the de facto business model, traditional game developers with traditional business models may find themselves on the outside looking in.

Summing up his presentation, Perry says, “The key trend is that we are going to be closer to our audience than ever before. We must listen to them at every step. … Your entire executive team must speak with them, not to them.”

Amen to that statement Mr. Perry. Got anything to say to us? We’re listening. Talk to fatfoogoo on twitter.

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Zune: Zoon? Roon? Rune? Ruin? Ruined?

Tuesday, May 27th, 2008

While it might not be the final nail in the coffin, it certain looks like the iPod of Redmond is starting to sing its swan song.

Major US retailer GameStop announced that it’s pulling the plug on Zunes during a quarterly earnings call last Thursday. The man with the money at GameStop CFO David Carlson said that the Zune would soon be pulled from all of its 5,400 stores worldwide (they will however continue to warehouse the Zune and sell them online until inventory is cleared). He offered no further details, but a company spokesperson told TheStreet.com that the decision was made based on insufficient demand. “We have decided to exit the Zune category because it just did not have the appeal we had anticipated” and, “It did not fit with out product mix”. In other words dear readers, the Zune at GameStop was just joining it’s all brothers out there: sitting on shelves collecting dust.

Let’s look at some numbers shall we? The Microsoft Zune launched in November of 2006. Since this date, approx. 2 million Zunes have been sold. In comparison, Apple sold 10.6 million iPods in the last quarter. Ummmm… really, need I say more?

Was he inebriated? Do you even know anyone who owns a Zune? Steve Jobs in response to Robbie Bach‘s enthusiasm regarding the Zune at the 2008 ICES in Vegas.

Microsoft was quick to respond to the blow. Adam Sohn, director of marketing for Zune said, “We will continue to invest in deep retail partnership, and have seen good momentum online and at retail over the last few months including a great response to our recent spring update.”

 

Despite a slumping economy, gaming industry remains strong

Monday, May 5th, 2008

With the cost of Gas creeping higher every day, the housing market mired in turmoil, and an estimated cost of $3 trillion for the war in Iraq, the American consumer confidence index (a survey on how the average American views their economic health, both past and present) is at an all time low.

So really, let’s forget about the “real world” and delve into a far more exciting one: games!

America’s biggest specialty retailer of both video games and the associated hardware required to run these games GameStop is expecting double digit growth this year. Growth is forecasted by a number of factors but the accelerating demand for next-gen hardware such as the PS3 has boosted GameStops numbers by a mile. Janco Parterns Mike Hickey explains that success for GameStop is

“highly attributable to video game play attracting a mainstream audience,” with the demographic expansion having much to do with “new consoles like the Wii, which pull back on the geekish complexity of typical content aimed at hardcore gamers.”

Hickey also goes on to attribute massive growth to upcoming new releases and expansion packs. The upcoming (April 29th) release of Rockstar Games’ Grand Theft Auto IV could net the company an expected $100 million in a single week. Tack on the much anticipated 2nd expansion to Blizzard’s “World of Warcraft: Wrath of the Lich King” and GameStop could post record breaking numbers this year. Blizzards first expansion pack “The Burning Crusade” sold 2.4 Million copies in 24 hours and 3.5 Million copies in the first month.