RadioShack reorganizing retail outlets to sell games

[UPDATE] Analysts report that ubiquitous electronics chain to start hawking game software and hardware; online store already offering Halo 3 for in-store pickup.

In the hopes of gleaning income from gamers stopping by to pick up audio splitters and speaker cables, RadioShack is apparently jumping on board the Halo 3 launch. In a recent note, Pacific Crest Securities analyst Evan Wilson said that, starting next Tuesday, the ubiquitous electronics chain will use Bungie's shooter to begin selling games and consoles in dedicated sections of its 6,000-plus stores.

Wilson's findings were confirmed over the weekend, when RadioShack's online store--which has had a catalog of more than 1,000 games for some time--began offering Halo 3 exclusively for in-store pickup. While picking up games ordered online at retail outlets was previously an option, the Halo 3 preorder is tagged as an "in store only" offer (pictured), meaning RadioShack is trying to push people into retail outlets. (Despite the label, the game can still be ordered for standard delivery.)

Other analysts said RadioShack's plans extend beyond Halo 3, a development that brought mixed reactions. Credit Suisse analyst Gary Balter felt RadioShack's attempts to sell games in stories would be stymied by game-specialty retailer GameStop, which controls around 20 percent of game retail sales in the US. "[GameStop would be] the biggest obstacle for RadioShack, given the similar store format and significant store overlap," Balter told the Dallas Morning News.

Goldman Sachs analyst Matthew J. Fassler told the News that he felt a shift to game sales might be hampered by RadioShack's core business of selling electronics hardware. He feared the retailer won't have enough shelf space to carry "the product assortments necessary to establish dominance in video games" while simultaneously displaying the cords, wires, cables, phones, and other items that are its mainstay.

Wall Street traders appeared to also have mixed feelings on RadioShack's reported move, which the company has still not officially announced. On Monday, the retailer's shares slid 6.6 percent--some $1.56--to $22.10, only to rebound 3.85 percent--or $0.85--to close at $22.95 on Tuesday. As of press time, RadioShack shares were down 2.87 percent--or $0.66--in after-hours trading.

75 Comments

  • hatecalledlove

    Posted Sep 22, 2007 7:57 pm PT

    playstation_wii. most of the gamestops have it in thier lease where other stores selling video games as a mainstay aren't allowed in the same shopping center. so my bet is that your radio shack if it does start selling games would be shut down by the gamestop and its lease agrement unless its in a mall...

  • playstation_wii

    Posted Sep 20, 2007 6:25 pm PT

    Wow! There is a radioshack and GameStop right by each other where I live!
    This will be interesting!

  • playstation_wii

    Posted Sep 20, 2007 6:22 pm PT

    Wow! There is a radioshack and GameStop right by each other where I live!
    This will be interesting!

  • playstation_wii

    Posted Sep 20, 2007 6:21 pm PT

    Wow! There is a radioshack and GameStop right by each otherwhere I live!
    This will be interesting!

  • Daffy101

    Posted Sep 20, 2007 1:32 pm PT

    This is interesting. I wonder how much gaming stuff they will eventually carry.

  • smithy1185

    Posted Sep 19, 2007 9:01 pm PT

    I've never liked Radioshack. Never have and probably never will. I haven't been there for years but their products used to be overpriced junk back in the 90s.

  • okassar

    Posted Sep 19, 2007 7:22 pm PT

    Ya,go Radioshack,they finally figured out how to get some money(naw,just kidding,that store helped me alot over the years),but I'm pretty sure there business will rocket compared to its level now due to videogames.Completely blends in with the stores concept too.Should have happened a long time ago.

  • ryanstoy91

    Posted Sep 19, 2007 2:33 pm PT

    In my town there's a Radioshack right next to a Gamestop, which would be cool, because they could compete pricing making my games cheaper.

  • 4quarters

    Posted Sep 19, 2007 2:19 pm PT

    Competition is good. Congrats to radioshack!

  • mernmern

    Posted Sep 19, 2007 1:03 pm PT

    I would have ordered it through Radio Shack if they were doing a midnight release as I am tired of the blank stares offered up by 711 employees... even after pointing out the Halo 3 sign in their windows.

  • Chaudzff

    Posted Sep 19, 2007 11:51 am PT

    Is anyone else fed up of all the Halo Hype
    It will be a brilliant game but Get A GRIP!

  • MidnightRaider

    Posted Sep 19, 2007 11:44 am PT

    i think this will be great, this will give a chance for more gamers to get the game on the first day

  • willripyouanew1

    Posted Sep 19, 2007 10:41 am PT

    Everyone wants a piece of Halo 3, tsk tsk tsk.

  • reverendyates

    Posted Sep 19, 2007 9:33 am PT

    Maybe they should make you buy the systems one component at a time and you have to build it yourself.

  • SoralinkGS

    Posted Sep 19, 2007 8:56 am PT

    Oh, cool. That would be pretty sweet to go into RadioShack and browse games. I remember when they used to sell games...long ago...

  • CrushedGroove

    Posted Sep 19, 2007 8:51 am PT

    I'm all for retailers carrying video games. I just hope that the prices are reasonable.

  • ghsacidman

    Posted Sep 19, 2007 8:09 am PT

    If RadioShack starts selling games... You can bet they'll be over-priced, thats what RadioShack does best... Sell the same thing you could have bought somewhere else, for twice as much. I think 7-11 should sell games instead of Radio Shack.

  • Derekanthedntno

    Posted Sep 19, 2007 7:38 am PT

    i live in a small town no gamestop no walmart no kmart no target. we do have a radio shack, and i for one hope they do start selling games.

  • deathscythe999

    Posted Sep 19, 2007 6:18 am PT

    Radioshack!?.....where do I know that store name from.....oh yeah they own the small store in the unlit portion of the mall. Now the yare selling games? It sounds like a last attempt to save a sinking ship...and not even Halo 3 can save them. Would you like to get Halo at a Radioshack when the mall opens around noon, or would you like to pick it up somwhere else at midnight?

  • conzar

    Posted Sep 19, 2007 6:05 am PT

    I got my first computer from Radio Shack back in 86 ... the Tandy Color Computer 3. It was great and Radio Shack also sold games for this system. I think Radio Shack got out of the computer selling business and with it the games too.

  • mylsd

    Posted Sep 19, 2007 5:06 am PT

    The Radioshack near me is located right next to Gamestop, HA, good luck shack you'll need it

  • coolguy681

    Posted Sep 19, 2007 3:29 am PT

    that would be nice!!! more copies of Halo 3.

  • cyberakumagt

    Posted Sep 19, 2007 1:26 am PT

    1 think radioshack has good deals cause i got a 4gb stick for my psp for 65 and bestbuy is theres for 90

  • ChrisZewski

    Posted Sep 19, 2007 1:04 am PT

    Haven't been to radioshack since the 80's. I was about 8 and i used to play with the magnets they had in a huge bin near the back of the store. Ah, childhood...

  • syx

    Posted Sep 19, 2007 12:29 am PT

    More like RadioShack, you've got questions, we've got confused employees.

  • felshs

    Posted Sep 19, 2007 12:25 am PT

    radio shack do sell games..........but the crappy one.
    they should sell hots games

  • jdubb831

    Posted Sep 19, 2007 12:06 am PT

    one time i bought something from Radio Shack. I don't remember what it was though.

  • gamist

    Posted Sep 19, 2007 12:00 am PT

    I like Radio Shack because I got some good deals there. I got the Xbox 360 VGA for $18 new, 4ft optical cables for $17, and S-video for $14. All were new and from Monster Cable not Radio Shacks generic brand.

  • krillinish

    Posted Sep 18, 2007 11:46 pm PT

    I'm surprised many people hate Radio Shack. What is there to hate? Are they crushing your small businesses in town or something? I find that they always have the cable connector or whatnot that I need. ...I just don't need to go there all that often.

  • vaejas

    Posted Sep 18, 2007 11:00 pm PT

    Misleading title. Radio Shack nee Circuit City in Canada has sold PC and Console games since the Apple II and NES days. Always at too high a price.

  • diablo_del_bano

    Posted Sep 18, 2007 10:08 pm PT

    Radio Shack used to be alot better. I remember going there to buy parts to build stuff (not just cables). They used to be the store that sold nice RC cars and a huge selection of parts. Now they're the jack of all trades and the master of none. They seem to sell one of every kind of electronic device, but are very lacking in selection. I honestly don't know how they can keep all of those Mall stores open, I never see people in there.

  • niteowl74

    Posted Sep 18, 2007 9:56 pm PT

    Yay!! now Ill have 3 stores in town that will sell games

  • yukine

    Posted Sep 18, 2007 9:22 pm PT

    RadioShack does suck, and why would you even go there for batteries and cables? You can get much better prices online for the same stuff.

  • theclaw135

    Posted Sep 18, 2007 9:15 pm PT

    Hm. If they can get in a huge array of more obscure-to-the-masses games like Persona 3, Ar Tonelico, Disgaea, Atelier Iris...

  • durial117

    Posted Sep 18, 2007 8:31 pm PT

    RadioShack sucks, but if they discide to sell games, then thats there problem.

    How about EB Games for the win...

  • Tsuchikage

    Posted Sep 18, 2007 8:29 pm PT

    RadioShack: You've got questions. We've got questions.

  • Tranceplant

    Posted Sep 18, 2007 8:13 pm PT

    Radio Shack sucks. I go there for batteries and cables. That's it.

  • IVIr_Sinister

    Posted Sep 18, 2007 7:47 pm PT

    Interesting... I've never been big on buying anything at RadioShack but I suppose if they really wanna go for it, I say let'em try. As consumers we've nothing to lose by them trying this.

  • Kfoss

    Posted Sep 18, 2007 7:40 pm PT

    now why would raidoshack go an do that...im not going to them for games..there employees are 10 times worse than any GS- STAY FAR FAR away....its like you walk in and just get tackled by those fruit cakes..worse than car sales man..driven by "Spiffis" RUN FOR YOUR LIFE

  • towelie123

    Posted Sep 18, 2007 7:39 pm PT

    well radio shack RULES!!!

  • Dreski83

    Posted Sep 18, 2007 7:23 pm PT

    This could be troublesome for Radioshack to jump into the game software business simply because it is dominated by game stores and places like Best Buy.
    Maybe if they had a small selection of hot new titles and semi-popular games like how Sam Goody did before they closed shop... it could work

  • lamprey263

    Posted Sep 18, 2007 7:14 pm PT

    well, since all the Radio Shacks in my area are hotspots for theft, this is just going to make it worse

  • Atomic_Mutant

    Posted Sep 18, 2007 7:11 pm PT

    The next 2K game:

    Radioshock

    This is not a good move by Radioshack; they've tried this before and was not able to keep up the inventory to fast changing catalogs of games. What they should do is instead of fully stocking up on games, find which of the biggest games are slated to be released, and offer cheaper prices for them at their launch.

  • Pete5506

    Posted Sep 18, 2007 7:09 pm PT

    nice job

  • Mkeegs79

    Posted Sep 18, 2007 6:40 pm PT

    Not as weird as 7-11 having preorders on Halo 3.

  • Enterprise-E

    Posted Sep 18, 2007 6:32 pm PT

    I would never buy games from Radio Shack no matter what. They are going to over charge for everything and the sad part is people are going to go buy it.

  • SuperbGamer

    Posted Sep 18, 2007 6:07 pm PT

    Well, all I can say is...there will be plenty of other video game retailers selling Halo 3.

  • motang

    Posted Sep 18, 2007 5:55 pm PT

    Nice now I walk over a pickup game instead of going across town in traffic. Much less time spent getting the game and more spent playing it.

  • Miracle_Air

    Posted Sep 18, 2007 5:55 pm PT

    If you're a gamer and you 'buy' your consoles and accessories from Radio Shack...

    Then you're not a gamer.

    This is just a cheap way for RS to make some easy money. Because as soon as other stores run out of copies, the select few who didn't reserve/get their copy before the store they went to sold out, they'll go there.

    Radio Shack blows and is a tiny branch of the electronic dealers industry.

    It needs to go. Best Buy can easily replace RS and add a more hardcore/techy chunk of their store with all the hardware, wires, sodering tools and the like for PC makers to get their stuff from.

  • Staryoshi87

    Posted Sep 18, 2007 5:54 pm PT

    Sounds like Radioshacks will be the hotspots for release date-breaking pickups, as they aren't trained to handle software...

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