GameStop’s CEO is Confident in the Company’s Future Despite a Shift to Digital Sales
During GameStop's latest earnings call, CEO George Sherman is confident in the retailer's future despite a shift to digital sales.
Following news of GameStop shutting down 180-200 stores by the end of this year, GameStop CEO George Sherman is confident in the retailer’s future despite a shift in digital sales.
“I think it’s fair to say that, historically, we probably had a preference for physical games versus digital games and we’ve been clear to say both internally and externally that we’re going to be agnostic and it has to be the customer’s choice, as to which we may sell,” Sherman says.
Sherman goes onto say he expects next-generation games to launch both physically and digitally and that GameStop will continue to be involved in both businesses. Additionally, he says physical games make up a significant share not only at GameStop but in the games industry overall.
GameStop’s CFO Jim Bell points out that since the next PlayStation and Project Scarlet will have disc drives, they expect to generate sales from next-generation titles. Additionally, Bell mentions the company’s restructuring plans have become more difficult due to the timing of the next-generation consoles releasing.
Between plans to reboot their stores, laying off 50 employees and the company’s CFO of nine years resigning, GameStop has had a rough couple years. With their sales going down quarter after quarter, their planned resturturing will feature fewer stores but with more experiences for customers such as e-sports areas and selling more retro games.
As more news comes regarding GameStop’s restructuring, we’ll be sure to let you know.