GameStop Competitors

Many consider GameStop to have a near-monopoly on video game retail stores. Nevertheless, there do exist some major competitors which include: Best Buy, Amazon, Sony and Nintendo, Valve, Game Retail Limited, and JB Hi-Fi.

Best Buy

A North American big-box retailer founded in 1966. Though not an exclusive dealer in video games, Best Buy operates around 1,000 stores in the United States alone.

Amazon

The eCommerce giant has an extensive range of video games, consoles, legacy systems, and related equipment. Amazon can likely offer the same titles for a more competitive price than GameStop.

Sony and Nintendo

These companies are major GameStop partners. But since they also sell video games and game consoles direct to consumers, they are also competitors.

Valve

Digital game developer Valve was founded in 1996 and is known for the Steam gaming platform and titles such as Counter-Strike and Team Fortress. Valve does not operate physical stores, but it remains poised to benefit as consumers shift toward online gaming.

Game Retail Limited

A significant player in the British and Spanish market with approximately 250 stores is Game Retail Limited. The company was acquired by Frasers Group in 2019 and soon after shifted its focus on online video game sales.

JB Hi-Fi

An Australian retailer with more than 300 locations in Australia and New Zealand. The company operates several superstore outlets that only sell video game-related products for PlayStation, Xbox, Nintendo, and PC gaming. The company acquired retail chain The Good Guys for $870 million in 2016 and obtained a 24% market share in consumer electronics.

Key takeaways:

  • GameStop is an American retailer of video games, consumer electronics, and gaming merchandise. The company was founded in 1984 and was recently the subject of a short squeeze by Reddit investors.
  • GameStop operates a mass-market business model with no significant variation between customer segments. The company has a value proposition comprised of four parts: accessibility, innovation, convenience, and brand/status.
  • GameStop may enjoy a near-monopoly in video game retail stores, but it still competes with big-box retailer Best Buy and eCommerce giant Amazon. In the United Kingdom and Australia, the company faces strong competition from Game Retailed Limited and JB Hi-Fi respectively.

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