GameStop has been having a very hard last few years, and unfortunately for it, the upcoming Playstation 5 and Xbox Scarlett consoles from Microsoft and Sony aren’t helping matters. Apparently, GameStop hardware sales are being impacted by the upcoming releases of the two consoles, despite them still being roughly a year from release.
While we haven’t gotten official announcement events for either console (though it’s possible that the Playstation 5 will be getting an announcement event in February), it’s common knowledge by this point that both consoles are slated to be coming out in the holiday of 2020, putting an end to this generation of gaming.
With the new consoles only a year from coming out, it’s likely that most people are willing to wait, either going without games or sticking with their old consoles, until both of those come out. After all, why waste money on a console when a new one is just a year from coming out?
Of course, this isn’t helping GameStop any, since the video game retail chain has been experiencing ever-worsening financial prospects due to a variety of factors like the rise of digital gaming. With this year being one of its worst in a long time, GameStop hardware sales might look to the Playstation 5 and Xbox Scarlett to recover.
Of course, whether it will be enough remains to be seen. GameStop revenues fell 25.7% this year, and its hardware sales fell by 45.8%. The sale of new games fell by 32.6%, with used games having a less but still significant fall of 13.3%.
GameStop has attempted to combat this by branching out into things besides games, such as various video game and pop culture memorabilia like Funko Pop figures and more, but that doesn’t seem to have helped. GameStop hardware sales after the release of the Playstation 5 and Xbox Scarlett may not help much either.
Then again, we’ll just have to wait until the end of next year to really be sure exactly how successful GameStop will be with these new consoles.