GameStop Plans To Close At Least 320 Store In 2020
As many retailers struggle with the uncertainty of the 2019 Novel Coronavirus outbreak(COViD19), GameStop is being hit harder than most due to their already lacking sales over the past few years. With all of this in mind, GameStop is pushing forward with it’s “de-densification” plans for the year 2020.
GameStop executive vice president and CFO Jim Bell recently announced this during an earnings call stating the company anticipates store closures will be equal to or more than store closures in 2019.
“We continue to focus on optimizing our global store fleet in fiscal 2019 and closed a net total of 321 stores inclusive of 333 closings and 12 openings. In fiscal 2020, we will continue in our efforts to de-densify our store base, focused on maximizing product productivity of the entire fleet,” he said.
“[We] anticipate store closures to be equal to or more than 320 net closures we saw in fiscal 2019 on a global basis. Importantly, we want to emphasize that these store closures are a very specific and proactive part of our de-densification plan and they are not related to recent business trends.
Bell has stated that the process has already shown results, and expects future closings to positively affect the companies sales and earnings growth.