Game Crazy closing down completely

Remaining game-rental outlets being shuttered along with all US Movie Gallery and Hollywood Video locations, reports the Wall Street Journal.

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In February, bankrupt video renter and retailer Movie Gallery announced it was closing all but 250 Game Crazy locations. The game-rental chain was a subsidiary of Hollywood Video, and its outlets were paired with the movie-rental franchise, which Movie Gallery bought in 2005. Some 545 Hollywood Video locations were also to survive.

Game Crazy is perishing along with parent Movie Gallery.

Now, the Wall Street Journal reports that Movie Gallery, facing its second bankruptcy filing in roughly two years, has decided to shut down entirely. The move will see all 2,415 US Movie Gallery, Hollywood Video, and Game Crazy locations close in the coming months, with about 19,000 people losing their jobs. The fate of the company's 184 Canadian locations is unclear, reports the Journal, citing "people familiar with the matter."

Movie Gallery's closure was blamed on both its $600 million in debt, much of which was incurred by the Hollywood Video purchase, and increased competition from automated Redbox video-rental kiosks. Another major contributor was the rise of Netflix, which rents DVDs via mail, as well as via online streaming to PC, Macs, Xbox 360s, PlayStation 3s, and Wiis.

Discussion

143 comments
tazmuskie
tazmuskie

This Blows (yes I'm a year late) I have a 3 year replacement plan with them for my PS3 and 2 PsPs. And today my Son's PsP is taking a crap and I remembered Game Crazy closed here. So now I'm wondering if there is a way to get my money back or get this replaced

badman11226
badman11226

I think gamestop is going to change their logo to "Power to our pockets" because of this sad news. Sad to see game crazy is leaving no more competition.

nullvision
nullvision

@Egotte I dont know where you get your numbers from, but 21% != "roughly 78%": http://www.shacknews.com/onearticle.x/58454 I'm not sure how you think Gamestop compares in size to Walmart, but Walmart made more than 3 Billion dollars in *profit* last quarter. Gamestop *revenue* "exceeded $2 billion for the first time in a nonholiday quarter" http://www.star-telegram.com/2010/05/20/2205802/gamestop-profit-up-nearly-7-percent.html and made about $75 million in profit. That's about 40:1. Walmart just became the leader in bluray sales, friend. Gamestop sells pc games and software, too. They just suck at it and have all but given up.

krazy-blazer
krazy-blazer

@ ChiefFreeman Just like books disappeared eh?

ChiefFreeman
ChiefFreeman

One day when digital downloads overtake physical media, Gamespot will be gone too. I predict it will happen within the next 6-7 years.

QuistisTrepe_
QuistisTrepe_

Now there's even less competition for Gamestop. Ugh....at this rate I'll be buying strictly from Amazon and eBay.

gDamascus
gDamascus

I saw this coming. My last trip into Hollywood Video was a pretty sorry spectacle.

The-Apostle
The-Apostle

@S_Pac_316: I don't think you can do that at Wal-Mart, and I've never heard of Fred Meyer.

S_Pac_316
S_Pac_316

Oh crap...there's goes the only game store in my neck of the woods. I know I have Wal-Mart and Fred Meyer but I don't know if you could trade or buy used games from them.

The-Apostle
The-Apostle

Wow, does this ever ****ing suck. I used to shop there all the time. I've always thought Game Crazy was much better than Gamespot. This news makes me sad. :(

jp_
jp_ moderator

Wow that really sucks to hear that

Spartan-1775
Spartan-1775

@ StSk8ter29 well at least mine cared. Recently me and a friend of mine got Sonic 2006 just to see how bad the game was. When I grabbed a copy and brought it up to the register the guy there said, " Are you really sure you want to buy this game?" , "It's pretty well how should I say broken." We just replied, "Yeah we are aware of how horrible the game is and that is the reason we are buying it."

Sonicplys
Sonicplys

Why? Now all thats left is......Gamestop. Eww.

mrzero1982pt2
mrzero1982pt2

and all of this is happening and i am broke. darn. i could have racked up on some good games for cheap

BirgitteSilver
BirgitteSilver

"Old Blockbuster ain't in all that great of shape either... we're headed more and more to online, on-demand, download and ultimately media-free content. " Yah, sure. That's why Digital Downloads barely grew at all last year, and the growth they did experience is by taking credit for digital versions sold packaged with DVDs and Blu-Rays. Contrary to pundit opinion, Digital Downloads aren't taking off. There are a myriad of reasons why, but those don't matter. What does matter is that they are still a drop in the bucket of the total market.

ChewWater
ChewWater

As someone who worked and managed a Game Crazy for about 4 years, I am not at all suprised that they are closing down. I was there for the first Chapter 11. They had no idea how to compete with a company like Gamestop. They had better prices and service, but they refused to advertise so no one had ever heard of them. I for one am sad to see them go, I left on bad terms but still liked most things about the company. Need to make sure I use that service contract on my PS3...

demonic_85
demonic_85

I miss Game Crazy. We used to have one and they had better prices on used stuff than Gamestop.

Lum_Yatsura
Lum_Yatsura

This will further drive my business toward Blockbuster. As the closing of several local video stores and pawn shops already has.

Justin_W
Justin_W

"The loss of competition gives major companies like Blockbuster the freedom to be more abusive." Old Blockbuster ain't in all that great of shape either... we're headed more and more to online, on-demand, download and ultimately media-free content. Will be interesting to see how media-based BluRay and DVD games & movies do over time... they won't enjoy the dominance that DVD's movies and games did. Direct distribution of content also cuts out many inefficiencies of the middle man and wastes like excess packaging. Means more profit for less players.

Marky360
Marky360

@MobstarRaven I don't think there all that bad my experience with gamestop has always been a positive one where as with game crazy well I just never really liked there store all that much

BlueFlameBat
BlueFlameBat

I hate when stuff like this happens. The loss of competition gives major companies like Blockbuster the freedom to be more abusive.

Crashbox45
Crashbox45

God, I hope the Movie Gallery near me doesn't close down. It was the best place for me to rent and/or buy games.

acsam12304
acsam12304

but still if you go to a Hollywood Video store they are still renting new released games and movies. im like why dont i rent the new game for $5 or rent all the movies i want for $3 a pop and just keep it till they close down. and never go back to the store ever again. there going out of business anyways they wont have a way to a hold of you. and you got your self a new released game for $5 by the way people they are not giving any really good deals. when i went there a few days ago. they still have movies marked at $9.99 used. and games are marked with the normal price for used games. and mostly the same used price you will see at gamestop. so your not really seeing any real deals there. just over priced used movies

acsam12304
acsam12304

you know the blockbuster in my town all closed so i thought Hollywood Video in my same town will pick up new customers. but like literally a week or 2 weeks later they posted the "store closing" sign i was like omFg. this is sad really sad i mean block buster is still in business but barely. i now use bluckbuster online to rent movies. i know that mostly a lot of big stores like all the wal-marts in my town has the red-box movie rental place. and i know netfilx kicked both companys butts good. but no matter what the very first place i ever went to rent movies when i can even remeber when i was a kid was blockbuster so ill continue to rent from blockbuster even if its online till the very end. i hate netflix with there cocky attitudes about how many movies they rented. and there commercials are just plan stupid.

SDBusDriver1979
SDBusDriver1979

Yeah the cage in fence theme wasn't exactly friendly to customers and whats up with the no return on used items.

akiwak
akiwak

Time to go scavenging for deals....

lanmanna
lanmanna

That stinks. GameCrazy's deals were always better than GameStop's.

deadlysilence82
deadlysilence82

i don't like gamecrazy as much as gamestop . i knew there about to close it down . mostly people's shop online or visit the local gamestop retailer store

sebetai
sebetai

I've been to gamecrazy but i prefer gamestop. first i like getting my games in cases since games these days have good cases. their website doesn't give prices for games so i can't price compare with gamestop.

lamprey263
lamprey263

I don't think they got much attention being crammed in the corner of Hollywood Video stores. I much prefer to go to stores with large game sections. Though I have to admit that Game Crazy was good for finding used hard to find games, or from time to time they had new copies of hard to find games that were cheap because nobody bothered to buy any copies from them. And I guess I owe my Wii to them. I never bothered to put my name on one of those wait lists, but within a couple months after the Wii launch I came in cash in hand going "got any Wiis... will you sell it to me", and they did, even though they had countless people on wait lists ahead of me. Plus, since Game Crazy shops are really slow employees were more open to making nerdy conversation with customers. Now that I think of it, I'm kinda sad I didn't shop there more when I had the chance.

TheLemonGelati
TheLemonGelati

One thing I've always respected about Hollywood Video was their customer service, the one near me they always had such nice people working there. Not like some of those brats at blockbuster.

ltcolfuryx
ltcolfuryx

@taxonomic if you know pre-ordering will get you a copy, why not...just...pre-order? I'm sure it must make the store look good, plus you get your games and any bonus swag from pre-order.

dragonfoxmem
dragonfoxmem

Blockbuster will lose more business since some of them are carrying Game Crazy.

WalterPeck
WalterPeck

I remember going to the local independent shop back in the early 80s until the mid 90s to rent video games and movies with my parents. Then Major Video and Blockbuster came around and put the guy out of business. I was sad to see the place go. Now it seems what goes around comes around.

subyman
subyman

I haven't been to a video rental store in years. Walmart, Target, and other places now have DVDs for around 5 bucks. I just pick something up when I am out shopping if I have a craving for a movie, then I don't have to worry about getting it back.

Sefrig
Sefrig

I'm in Canada and the Movie Gallery near me seems to be fine.

JDWolfie
JDWolfie

If like Blockbuster goes out of business, Gamestop and Gamefly will have a total monopoly as well as Netflix.

thom_maytees
thom_maytees

I have never heard of Game Crazy until someone on the System Wars forum mentioned the retailer, but it is unfortunate that it was forced to close. However, I have heard of Hollywood Video, its parent company because a local store recently closed down near where I lived. That is also unfortunate. One retailer closing its doors means less competition and diversity.

mykel77
mykel77

thats really sad, if game crazy was its own company it would still be here, but the video store drug it down. i preferred game crazy to gamestop, cheaper.

redskinStu
redskinStu

I knew they'd include the "internet killed the video rental star" even though there's no evidence that is the case. Poor management doomed this chain. Plenty of local video rental places still do extremely well.

JDWolfie
JDWolfie

I mean, let's look at it this way. I can pay like 9 bucks to rent one movie at hollywood video or I can pay $12 to get two dvd's at a time and get as many as I want in addition free instant streaming through my xbox or computer. See the difference?

Elvis4576
Elvis4576

That sucks, it was like 5 dollars to rent a game for a week.

JDWolfie
JDWolfie

[This message was deleted at the request of the original poster]

JDWolfie
JDWolfie

Netflix killed Hollywood Video and e-bay and gamefly killed Game Crazy. Also selling used games at Gamestop destroyed it as well.

Cowboy-Bebop
Cowboy-Bebop

Now if the very crappy Blockbuster will die off. It is sad about all those jobs though.

odst_trooper117
odst_trooper117

thats a bummer because its the closest and only videogame store besides fredmeyer or wallmart where i live, though i rarely buy games at wallmart or fredmeyer because gamecrazy always had better deals...

James00715
James00715

It's sad to see that many people losing jobs. Hopefully they will find another company that's doing well. We could see this coming for years though. The last time I went to Hollywood+Game Crazy, there were only 2 other customers there during primetime movie night.

chibi-acer
chibi-acer

I never rented anything from Game Crazy or Hollywood Videos. Might have just been the one near me, but it was pretty shady looking inside.