As store closures mount up, is there hope left for physical games outlets?

[yvanjean]

The_Liquid_Laser said:

yvanjean said:

You think that the Walmart, Costco, Groceries super store and Amazon are going to stop selling hardware. Hardware sales have been switching from mostly brick and mortar to online store like Walmart online, Costco online, Amazon, Ebay & Microsoft store. I personally bought 3 consoles from online store last year, Xbox one S and PS4 slim from Amazon and Xbox one X from Microsoft store.

There always going to be store or online store to sell Hardware because you're ignoring accessories which have a much greater margin compared to Hardware. Have you been to a best buy lately, their gaming section is now a small fraction of the total store space. 

Yes, if you take the games away, then stores won't want to sell hardware.  At least they won't sell it at current prices.  Most likely what you will get is hardware prices shooting way up, and then sales going way down.  Accessories alone aren't enough to sustain the current model without games.

Retailers don't get to assign MSRP that's on the manufacturers. Have you never been to a Costco in your life?, they only have hardware/accessories, gift cards with hardly any software. I won't even call what your saying a theory since it's simply flawed thinking. If there are any profit to be made online or brick and mortar retailers will sell it.  Every store are already shrinking and getting ready to rid of dedicated store space for games. You really think that Walmart and company got to decide how much the Xbox one X was going to cost? They told Sony that the PS4 must cost $399. 5-10% profit margin on a $500 consoles is $25-50 per units sold.