Movie Gallery closing 200 Game Crazy stores
By Cindy Spielvogel -- Video Business,09/29/2009
SEPT. 29 | PHYSICAL: Movie Gallery plans to close about 200 Game Crazy stores in October, according to reports.
Located inside Movie Gallery's Hollywood Video locations, the closures won't directly affect the movie rental stores.
Company officials couldn’t be reached for comment, but when last reported on, the Game Crazy chain consisted of about 550 stores.
The news follows Blockbuster’s announcement it will close up to 960 stores by the end of next year.
Game Crazy stores service a videogame industry that suffered its sixth consecutive monthly decline last month, dropping 16% compared to the same month last year, according to NPD Group.
Although the closings have yet to be confirmed specifically by the company, it’s not necessarily bad news for the videogame industry as a whole.
“The videogame industry this year has been somewhat tough,” said Arvind Bhatia, analyst with Sterne, Agee & Leach. But his company is seeing the beginnings of a turnaround, expecting September sales to be up 5% to 10%. Game Crazy probably accounts for only about 1% to 2% of the videogame market now, he said. If the store closings go through, “others, like Gamestop, will pick up market share.”
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| Submitted by: | Go Go Lemon 11/20/2009 10:54:24 PM PT |
| Location: | California |
| Occupation: | Unemployment Statistic |
Happy Holidays HV!
It's time for the annual gift card contest at HV. What a better way to brighten up the holiday season for your "have fun and make the day" DM! What DM wouldn't want the gift of having yet another program/promotion or cut in labor hours to threaten SMs with on a daily basis?
Meanwhile, in the store, it's Black Friday, and in order to make labor, there's one lone associate in the store working frantically at the cash wrap. The guests in line stretching all the way back to the core collection are getting antsy, as they still have lots of other stops to make today. Some are getting loud. A few have walked out. The associate is going as fast as they can.
First they jump on the intranet to print out a didja see sheet. There could be a write up if they don't print a minimum each week. Most go in the trash. We don't recycle.
Then move right into the power play pitch. Hopefully, the guest understands enough English to get a semi-confused idea. If they get power play, the games will surely come back late the first time. At the same time, instead of the four dvds they planned to rent today, they leave one at the counter for the associate to put back sometime later when the crowd lightens up. Who is going to pay an extra $5 for a movie when they already spent $25? One of the kids will not get to see her movie tonight.
But, wait! There's more! How about a gift card? No? Not even $5 for Starlight? There's a contest, and a daily minimum sales goal that if not hit could result in progressive discipline, up to and including termination. Numbers are called in twice a day.
Don't forget concessions. Entertainment Weekly? Eight FREE issues! And for the finale, remember, if you don't get playguard and you damage the game or dvd....
Meanwhile, as the friendly associate engages at the counter, two thugs are in the corners of the store not visable from the cash wrap breaking open dvd cases. If you have high shrink, your store will close.
Unfortunately for the SM, fewer and fewer customers are falling for the scheme. Thier hometown store closed 3 months ago, the next closest one last month. Now, they have to get on the freeway and pass three BB stores on the way. They won't be coming in as often and probably will get Netflix anyhow.
And gift cards? It seems pretty likely that not many customers want to get conned into buying a piece of plastic that has a shorter shelf life than a jar of mayonaise out in the sun.
But on the bright side.... Think of the money store managers can save by handing out written warnings instead of Christmas cards to the associates!
Alas, for me this is just a dream. My store closed last week. Quick closes are a fun time. We get to have a pizza party.
Happy Holidays to my surviving friends at HV, my former team that stuck it out til the end, and our neighborhood customers that helped make my day.
| Submitted by: | None Given 11/16/2009 9:30:02 PM PT |
| Location: | Maine |
| Occupation: | SCSA |
I work in a store in southern Maine that is due to be closed by the landlord in a few days. I know this because he talks to us about not recieving payment for THREE MONTHS and not getting any answer from MG. We are a profitable store, but that isn't stopping it.
Believe me, all stores will be closing, they are merely soaking in money and stalling with negotiations to make as much profit as possible while landlords are gullible enough to let them stay or negotiate their ridiculous deals.
This company is LITERALLY threatening my entire staff with their jobs unless they sell a minimum number of Powerplay, which makes sense because it will get people suscribed on their credit cards days before the store closes on them. We have to call in to our DM with how many opportunities we had to sell Powerplay. It's all he cares about.
When asked why we should worry about that and not the fact that rent hasn't been paid and there are hundreds of comments on the internet supporting that MG hasn't paid rent in ANY store, his answer is "don't stress about that, just worry about Powerplay."
Seriously, don't be duped, MG will not pay rent, they are only taking all they can and running away with it!!! I've worked their for 5 years, and this kind of thing is no surprise compared with how they do business. If they were going under they WOULD come up with a plan to screw over everyone like this.
Movie Gallery . . . is DONE! I hate that they are getting away with this on their way out.
| Submitted by: | Nope (jimclark138@gmail.com) 11/15/2009 2:28:27 PM PT |
| Location: | Southern Maine |
| Occupation: | Senior Customer Service Associate, Movie Gallery |
So they might come clear it out during the day, huh? I'm working the day before the landlord is due to lock the doors. Well since I already put in my two weeks because I'm tired of the threats on my job if I don't sell Powerplay (MG loves to threaten their employees) then I'm walking out the door if they show up, I'm not helping them box everything when they are shutting us down with no notice and firing everybody. It's also ridiculous how they leave a notice that any rentals that customers have out have to be returned to the nearest movie gallery or they'll be send to collections. They should lose everything that's rented out. In face, for not paying rent and then disappearing, they should lose the entire store.
| Submitted by: | movies 11/15/2009 10:17:50 AM PT |
| Location: | north west Arkansas. |
| Occupation: | store owner |
In my town we told all the MG employees that we would give them a job if they close, I'm going to need the extra people anyway. Far as the pay I'm sure most of them make min wage so we would beat that plus we offer insurance. I do feel for all the MG and HV emploees, times are hard not many jobs out there.
| Submitted by: | Kate 11/14/2009 10:26:38 PM PT |
| Location: | Canada |
| Occupation: | Manager |
I find it offensive that people continue to bitch & moan about what is going on !! If you hate Movie Gallery, then fine, but at the end of the day there are hundreds of people that are out of a job !! To be so selfish and go on about a 12$ late fee , that you really were probably late on , and angry because MG would only 1/2 it with you, get over it, seriously, all of you need to get on with it !! There are employees that are left trying to find new jobs..in situations that they had no control over !!
| Submitted by: | movies gone 11/14/2009 7:37:29 AM PT |
| Location: | arkansas |
Hi why don't we put what city and state our store was in when they closed or is being closed, I like to see if it's all over or the east or west coast or what. I'll start with the store in Van Buren, AR closed 2 weeks ago. They gave no notice came in on Wed around 2pm they had all movies and games in boxes by Thurs and left the floor and wall units by 3pm
| Submitted by: | None 11/13/2009 2:37:17 PM PT |
| Location: | Southern Maine |
| Occupation: | Senior Customer Service Associate, Movie Gallery |
Yeah, at MG it is pretty much up to the store manager's policy whether or not they allow an employee to remove late fees. At ours they do, at our discretion, so I usually remove fees if someone is a day late or it's their first time being late, but if it's repeat or a lot of money I won't remove a fee for them.
| Submitted by: | Chris Allen (chrisl.allen@yahoo.com) 11/13/2009 8:33:37 AM PT |
| Location: | springfield, missouri |
| Occupation: | apartment manager |
my movie gallery closed last week and personally I couldn't be happier. I have found family video. Free kids movies and no b.s. about charging my credit card every month whether i want power play that month or not. Seriously, the customer service just doesn't compare. Also, I had a late fee last week and they offered to split it with me. Who does that? I fought blockbuster for six months over a 12 dollar charge two years ago. I am never going back.
| Submitted by: | (same employee from a moment ago) 11/12/2009 10:51:01 PM PT |
| Location: | Southern Maine |
| Occupation: | Senior Customer Service Associate, Movie Gallery |
Also wanted to mention that about 5 months ago they stopped sending our gamezone any videogame sell-thru EXCEPT what people pre-order, and now a month ago they tell us that because of lack of sales we're being downgraded to a budget gamezone (had to send all game systems back, no longer sell new games over $20 in price).
Really? They stop sending us anything to SELL, and are shocked that sales dramatically decline!? Oh no, must be our fault, we shoulda sold those overstock copies of Madden 07 and Fracture and Kung Fu Panda the videogame. They're retarded. Movie Gallery is the worst business practitioners I've ever seen. I seriously think it is just to get the expensive stuff outta there before we close down just to be safe.
Next week is the deadline for the doors being locked, not everyone believes it will happen but I don't see them paying rent. Why would they when they haven't in any of their stores?
I'll let you know.
| Submitted by: | No Name (name not given since I still work there) 11/12/2009 10:41:50 PM PT |
| Location: | Southern Maine |
| Occupation: | Senior Customer Service Associate, Movie Gallery |
I work for a movie gallery in Maine that hasn't paid rent in 3 months. The landlord has said he hasn't received word from them after calling the Landlord hotline 6 times and leaving a dozen emails, and the courts have allowed him the right to finally change the locks. Our DM (who's new) tells us MG is negotiating with the landlord. BS. He just said he hasn't heard from them. And then they call us to ask how the landlord has been keeping the place and if there are vacant buildings nearby, basically fishing for dirt to try and get cheaper rent or stall (which I believe) until they close up. I've already gotten a new job, just two weeks to go at MG.
Also, the entire staff has been threatened since a few months ago with termination if we don't sell 5-6 powerplay plans a day. I've been written up once for not selling enough powerplay. Guess what, people don't want to give us their credit cards just to save a measly 30% on rentals at the videostore. I am surprised to read here that other locations are being threatened over powerplay. Here I thought it was local and my DM was just an A-hole, but it must be a company wide plan to get as many signed up before they go under.
Movie Gallery has never been a pleasant place to work because of the upper management, believe me, they know how to make you feel expendable, and they have never given a warning whenever a major change takes place. Hell, we don't even get a warning when certain in store deals change. We'll have customers come up to the register to buy something and only find out that the promotion is over when the computer won't let us discount the movies or games all of a sudden. It's such BS. Powerplay glitches on about 1/4th of the suscribers, either charging them double or not showing that they have it, so we have to credit movies to them and apologize for the missing powerplay we know they paid for.
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