Well I dont see physical media dying at all.
Its death is inevitable. It's just a matter of time when.
There are still a lot of people who want to have the disk so they can play the game any time. If 15 years down the road they want to play a game that they bought digital but the servers are gone how do they download it?
They don't. Too bad for them; they represent an irrelevant segment of the market and no massive business will hang around to support this tiny subset of people.
There is also a good number of people who want to have the collection with the cases and artwork and maybe the steelbook special editions etc.
Again, most people don't care, so these people will be pushed aside.
It did not win movies. Look at how many movies come on blu-ray. The quality of the digital movie is not the same either. Again, there will continue to be a market. Not to mention that some movies cannot be found streaming but you can buy it.
Internet not only won movies, it eviscerated them. Many people literally cannot even rent movies now. The only access I have in my entire city is Redbox. Not long ago there were multiple movie stores. These are GameStop's future. Undeniably the percentage of movies watched each year over the net vs physical media grows by leaps and bounds. I'm an example. I watch more movies than ever before and only a couple/year on a disk. Many people are like me. Physical media means nothing to me and I've moved on. Everybody else will eventually, too.
We have years to go before it goes all digital. They have plenty of time to figure out a plan for then. I don't see GameStop going out of business. As long as you can buy and sell used systems they'll be open
No, they won't. Their business cannot possible go from what it is now to doing nothing but selling increasingly old and uninteresting hardware & games.
5 years is where my money is, barring a (successful) overhaul of their business model. A couple people chirping up in defense of GS without digesting the facts or the trends of similar businesses/models in the past. No matter... we'll know soon enough.
Dying businesses can sputter along for a VERY long time, but your time line seems realistic to me. The absolute best case for GS is that this generation does well for them. The next they are done. That's best-case.
The fact is everybody here knows the future is digital. We just don't agree on a time line. But we must agree that GameStop can't use retail stores to compete in a digital world. CD stores couldn't, Blockbuster (and all the others) couldn't. Nobody can. Hell, not even Best Buy can (their future is grim) and their products aren't even digitized. Internet kills old business models and GameStop is dead.
Mark up? They lose money when they buy a new product and have it sitting unsold. Every game is paid for prior to it getting on the shelf.
Yet another mark against them. This isn't even a factor with digital products.
----------
The title of this thread is a misnomer. I am not the only one predicting the end of GS who doesn't hate them. I don't hate them; I'm saying their future is dire.