Game Retailer GAME Closes Remaining Standalone Stores After Entering Administration

UK video game retailer GAME has announced the closure of its last three standalone stores following its entry into administration last month. The company, owned by Frasers Group, filed a notice of intention to appoint administrators, which temporarily protects it from creditor action while it evaluates its options. This decision effectively marks the end of GAME's presence as a standalone retail entity, although it will continue to operate online and within concessions at Sports Direct and House of Fraser stores.

UK retailer Game is closing its remaining standalone stores, after entering administration

Founded in 1992, GAME was once a prominent player in the UK video game retail market, expanding through acquisitions of Virgin Games, Electronics Boutique, and Gamestation. However, the company faced significant challenges in the 2010s, entering administration in 2012 and closing nearly 300 stores. It was subsequently acquired by Frasers Group in 2019 for £51.9 million. Since then, GAME has gradually reduced its operations, winding down pre-order services, trade-in programs, and reward schemes.

UK retailer Game is closing its remaining standalone stores, after entering administrationUK retailer Game looks like it’s about to enter administration againUK Video Game Retailer GAME Files Notice of Intention to Appoint Administrators

Nick Arran, GAME's Managing Director for nearly nine years, is also departing the company amid these changes. His leadership has been marked by efforts to maintain the retailer's focus on physical video games, despite the industry's shift towards digital sales. Arran previously asserted that gaming remains the core business, emphasizing the importance of physical products for collectors and gift-givers.

UK retailer Game is closing its remaining standalone stores, after entering administration

In light of the recent developments, GAME's management has acknowledged the challenges facing the retail sector. Arran stated, “Gaming is our core business and we will be last man standing selling physical video games,” while also recognizing the need for realism in the face of declining sales. The company has been transitioning its workforce to zero-hour contracts and reducing its management team as part of its restructuring efforts.

UK retailer Game is closing its remaining standalone stores, after entering administration

Critics have expressed concerns regarding GAME's long-term viability, particularly as it continues to close stores and reduce its workforce. The decision to file for administration has raised alarms among employees and industry observers, who fear that the retailer may not be able to adapt to the evolving market landscape dominated by digital sales.

UK retailer Game is closing its remaining standalone stores, after entering administration

While GAME's future remains uncertain, the company operates approximately 240 locations across the UK, including concessions within Frasers Group brands. The exact implications of the administration process and the potential for a turnaround remain unclear, as the retailer navigates its financial difficulties.

UK retailer Game looks like it’s about to enter administration again

• “Gaming is our core business and we will be last man standing selling physical video games,” — Nick Arran, Managing Director, GAME

UK retailer Game is closing its remaining standalone stores, after entering administration

• “But we need to be realistic. We have a business to run and the expectation is this will decline. So we need to fill that gap.” — Nick Arran, Managing Director, GAME

UK retailer Game is closing its remaining standalone stores, after entering administration