When I became a researcher and an analyst, no one told me the analytical skills you obtain never rest. They don’t sleep. They are always stuck there, at the top of my mind, like some perverse thinking alien from a bad sci-fi story.
One time, I sat in the parking lot next to a busy intersection and concluded the traffic light would operate at peak efficiency if it took into account the sales patterns of the strip malls that surrounded it. It not only needed to be timed with the rest of the lights of the arterial, but also the businesses who had a vested interest in keeping traffic flowing properly so people could get to their parking lot and shop.
But I digress.
Trends in entertainment fascinate me. I’ve finally done enough self-research to hypothesize about retail bookstores. Here’s what I know:
GameStop is kicking your ass. I’m talking to you, Borders, Barnes & Noble.
GameStop is a chain of video game stores and they sell video games for the video game systems, such as the Xbox 360, PlayStation 3, the Wii and PC. They also have an online presence, with an easy to use website. If you order a popular game, they will ship it to you so it arrives the same day as you can buy it in the store. They also sell video game systems themselves, although most of their money comes from content.
Sound familiar? It should. It sounds like Barnes & Noble.
When I go into GameStop, unless they are super busy, a sales associate will ask me if I need any help. Always, 100% of the time. Never fails.
If I am at the counter, they will always engage me in a conversation about the software I am purchasing. Always. They are very knowable about video games. They will talk about related content I may be interested in purchasing. They will give me an honest assessment if I ask for it, sometimes when I don’t even ask for it. They will always point out any potential problems, such as a family member may be frustrated because the game style is different from their favorite game.
This happens to me, they already know me in the store, and they still provide this level of service. However, more telling, is they bump up the interaction a notch when dealing with moms (and let me tell you, many moms shop there), and even further when talking to teens and tweeners. Far from overselling, their conversational tone with video games is low-key, but always passionate.
All these sales associates are aged 17 to 24. Sometimes younger, rarely older.
And the customers. Eat. It. Up.
GameStop is a large corporate entity. GameStop is a brick and mortar store. They are not independent.
Yet, they operate exactly like an independent bookstore, with some key differences.
One is they have the pre-order cha-cha down to a science. Without getting at their books, I believe GameStop enjoys the vast benefits of a stocking model based off the pre-ordering habits of their customers. They most likely feed this data to the game companies, who also use it to predict, with a fair degree of accuracy, quarterly sales. Combined with the elaborate industry review system, the data available to a channel analyst must be legion.
Another key difference from the independent bookstore to GameStop is the promotional activities exclusive to GameStop. Like Target with some of their books they purchase, there are games and promotions available to the customer only obtained at GameStop. In
Mass Effect 2, the GameStop purchased game came with a weapon that pretty much caused me to giggle every time I used it. Like a little girl. Just ask my wife.
But I digress.
There are differences between the content, obviously. A book is not a video game and a video game is not a book. That is orthogonal to my observations.
My kids love books, and they love video games. Not once, not a single time since I have been taking my kids to a bookstore, has someone working for the bookstore engaged them in conversation. Nor have they attempted to engage a sales associate on their own.
However, in GameStop, this is a regular occurrence.
As a writer, I frequent bookstores. They only time I am engaged in an intellectual conversation about books is when I am talking to other customers. The. Only. Time.
Things are better in the independent bookstore, but only if the person helping you is familiar with the genre you are interested in.
My little analyst brain is making theories now, about bookstores, large chain models in specific.
Amazon isn’t killing bookstores.
eBooks are not killing bookstores.
The glut of content isn’t killing bookstores.
The recession isn’t killing bookstores.
Brick and mortars are not doing well because they don’t understand their modern customers.
At all.