http://www.gamesindustry.biz/articles/gamestop-only-four-publishers-account-for-the-majority-of-new-sales
Matt Martin 12:03 (BST)
03/04/2008
"US retail specialist GameStop has revealed that in 2007, only four of over 40 publishers and manufacturers accounted for the majority of sales of new product.
65 per cent of new product sales were down to the big four – with the continued success of the Wii and DS, Nintendo was the biggest earner for GameStop, accounting for 21 per cent of new product sales, while Sony products were responsible for 17 per cent.
Microsoft product made up 16 per cent, while Electronic Arts accounted for 11 per cent of new software sales.
Last month the retailer revealed 2007 sales of USD 7.1 billion, up 33 per cent, with net earnings of USD 288.3 million, up 88 per cent.
But aside from new product, it's the second hand market that continues to generate "significantly higher" profits for GameStop, according to its latest financial report.
The retailer offers over 3000 used titles for sale compared to 1000 new SKUs, with second hand games selling for an average of USD 16 while new titles have an average price of USD 42.
In 2007, used games brought in USD 772.2 million in profit, or almost 43 per cent of gross profit, while new titles generated USD 581.7 million.
New hardware contributed USD 108.2 million in profit, while "other" products accounted for USD 351.6 million.
The retailer was also honest about its allocation of new hardware from the top three manufacturers compared to its retail competitors, stating, "due to our strong relationships with the manufacturers of these platforms, we often receive disproportionately large allocations of new release hardware products.""
(more at the link)
