Walmart will be entering into the business of trading used-games for store credit and selling refurbished games from March 26 and gamers have welcomed the decision in anticipation of better purchase options and lower prices. Gamers said that Walmart is gaining on the market share of being the most popular one-stop-shop place and it has come as no surprise to them that the giant has now decided to enter into the $2 billion industry of used-games.
Aaron, an avid gamer, said that he was looking towards getting better priced refurbished games at Walmart. “Walmart can be a beast when pricing their products and kicking their competitors out of the game. That is what I am banking on. I mostly buy and sell my games at Craigslist but if Walmart offers better prices, I am going to go there for all my gaming needs,” he said in an interview over the phone.
Aaron also said that since he does all his grocery shopping from Walmart, the option to trade-in old games for store credits can also work to his advantage. “I may not get cash in hand for selling my old games, but a store credit can totally work in my favor. I think it is a win-win situation for me and I feel good about the whole deal,” he said.
Hammad, 14, also welcomed Walmart’s decision to enter into the used-games business. He said that his parents often found games at GameStop and Best Buy to be expensive. “First of all, I have to always beg my parents to take me to GameStop. When they do, which is like in a million months, they always find the games expensive, so if I want four games, I come home with one.”
“Now, I will tell mom that if she buys me games from Walmart, she can later on trade them for her vegetables or whatever, like, when I am bored with the game!” he added, with a glee in his voice.
Sam, 24, said that any new entrant into the market is good for gamers as it creates healthy competition and offers more options to consumers. “I buy games from wherever I get the lowest price option. I am not one of those brand loyal people. If Walmart offers me the lowest price for the game I want, I am likely to go a bit out of my way to buy from them. Similarly, if Walmart buys my games for a better price than GameStop, I am going to sell it to them, whether I get cash or credit. For me, it is all about the money,” he said.
With rising prices of games, the used-games market has been gaining strength and is likely to continue growing. High profile game developers have long tried to curtail the used-games business, which hurts sales of new games, but fans outcry has always put a stop to such plans.
When Walmart enters into the used-game segment, its major competitor will be video games retailer GameStop – which, since Walmart’s announcement has already seen a fall in share prices. Approximately 27 percent, or $2.4 billion, of GameStop’s total sales came from the used-games segment in the last fiscal year.
Meanwhile, Walmart has teamed up with CExchange to build up its market share. The latter will help the giant to determine best prices for the games they buy and sell. Walmart also announced that, though it will commence to buy used games from March 26, they will not sell refurbished games until later this year.
Games will be accepted for trade-in for popular consoles like PlayStation3 and Xbox 360. Customers can then buy anything at Walmart, Sam’s Club or their websites from the store credit they receive. With the option to exchange old games for essentials like grocery items, gamers have welcomed Walmart’s decision to enter into the used-games business as they feel they are getting their money’s worth — if not in cash, then food and clothes!
By Faryal Najeeb