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April 01, 2014

(A1) GameStop to open 150 DSLR mini-stores in select US metro areas in next 3 years

This is an April Fool's Day 2014 post... Original post after the jump...

April is the start of a new fiscal year for many companies, and the start of a new quarter for almost all companies. So a lot of exciting and unexpected announcements are saved up for today!

While a lot of brick and mortar stores and chains have closed or reduced their footprint, the management team at Game Stop had the foresight (or luck) to be at the intersection of gaming and mobile, two of the hottest and fastest growing segments in the market. So while other stores are closing, Game Stop is expanding.

Last week, GameStop announced it will open more stores that don't sell games. Today, they are revealing Part IIb of their Expansion Plans.

GameStop has a three year plan that (if all goes well) will see 150 new DSLR focused mini-stores opening in select US metro areas. With more independent and chain stores closing, there is definitely an opportunity here. Their research team hired some of the more experienced data mining teams for this project. Looking at camera prices, they decided that fixed lens cameras are simply not going to work financially and mirrorless is too risky at the moment. So Big Data told them to focus on DSLRs only, trying to find a balance between enthusiast, amateur and professional photographers.

There are also detailed plans for cross-promotions between their other offerings (gaming and mobile). Just like ISPs and telecom companies are offering "Triple Play" bundles, GameStop envisions offering "Triple Plays" of a different kind, Game Console + DSLR + Mobile!

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