As digital sales of video games take a bite out of its bottom line,GameStop is dipping its toes into potential new revenue streams that are a bit outside its comfort zone.
The retailer announced Thursday it will act as the publisher for the new title from storied game developer Insomniac Games, creators of the "Ratchet and Clank" series and "Sunset Overdrive." In practical terms, that means it will be the exclusive brick-and-mortar retailer for "Songs of the Deep," though players will be able to purchase digital copies through PC distribution services, the Xbox Marketplace and the PlayStation Store. GameStop will receive a portion of those digital sales as well.
"We love the work that Ted [Price] and his team at Insomniac have created over the years," said Mark Stanley, GameStop's VP of marketing. "This partnership started as a series of casual conversations with Ted about a year ago. They had a passion project they wanted to bring to market, and we are always interested in exploring a new way to bring exclusive content to our gamer base. ... It just seemed like a natural fit."
GameStop shares have lost nearly half their value since early November, in part because sales of new software have been weak as more and more of GameStop's biggest buyers — hardcore gamers — have begun purchasing games directly from console makers. In the holiday quarter, sales of new games fell 9.7 percent.
Analysts don't expect deals of this sort to reverse the slide or fill the gap created by slowing physical sales of video games, but they said the partnership between Insomniac and GameStop makes sense.
