Posted on March 18, 2014, Mike Sharkey Walmart Going After GameStop with Used Games Push
They’re late to the game, but Walmart wants its piece of the used-games market pie. Given that this is Walmart we’re talking about, it’s safe to say they’ll get it — and a big piece at that.
In a press release, Walmart announced that, starting on Wednesday, March 26, gamers will be able to trade in their used games and receive a credit good for anything sold at Walmart or Sam’s Club, both in stores and online.Walmart will refurbish the pre-owned games it purchases from customers and plans to begin selling used games in stores this summer.
“Walmart already has the second-largest market share in the video game industry, and with more than 110 million gamers in the U.S., we see enormous potential in the $2 billion pre-owned video game business opportunity,” Walmart stated. “This is a new category for us and something our customers have been asking for. Ultimately, when Walmart disrupts markets and competes, our customer wins.”
The used-games category has, up to this point, been controlled almost exclusively by GameStop. Walmart clearly has the infrastructure in place to make a big used-games splash, particularly if they provide even steeper discounts on used games than the competition.
If you’re a GameStop stock holder, today might be a good day to sell.