GameStop, one of the biggest and longest-standing video game electronics retailers in America, has announced that it plans to close at least 150 of its stores as part of its “annual strategy” to shut down non-productive stores.
The company said that its hardware sales declined by 29.1% and new software sales fell by 19.3% during the fourth quarter of 2016. GameStop shares also fell by around 13-percent today. The company is citing weak sales of particular video games as well as more aggressive advertising by competitors as the reason for the decline in the fourth quarter.
The decline has led the company to close down such as large number of its stores, which account for around 2-3% of the company’s stores. However, the company also plans to open a large number of Technology Brand and Collectibles stores as well. A GameStop spokesperson commented that store closures will be “something that will take place throughout 2017.”