It is a strange feeling to look across the Tasman and see a pillar of our shared retail culture disappearing. While we in Australia are used to seeing EB Games in almost every local shopping centre, our neighbours in New Zealand are currently experiencing the “Final Boss” of retail reality.
Earlier this week, the news broke that EB Games is shutting its entire New Zealand operation. All 38 stores and their national distribution centre will close their doors for the final time on January 31. For those of us used to the Australian gaming landscape, where EB seems to be performing ok, the idea of an entire country losing its primary dedicated gaming retailer is a bit of a shock to the system.
The Rush for the Exit
As the nationwide closing-down sale kicked off, the scenes were reminiscent of a major console midnight launch, only with a lot more “everything must go” signage. The retailer has slashed prices by 50% across the board, including retro items for as little as $3, sparking a level of consumer desperation that has quite literally spilled out into the streets.
The Digital Queue
It wasn’t just the physical stores feeling the heat. The EB Games website, which often shares a similar backend to our own Australian site, had to implement a virtual queuing system to survive the traffic surge. Some Kiwi gamers reported waiting upwards of three hours just to get a glimpse of the digital clearance rack. It is a stark reminder that even as physical retail faces challenges, the appetite for a half-price bargain is still very much alive and well.
Why New Zealand and Not Australia?
It begs the question: why is the brand disappearing there while it remains a staple here? EB Games is owned by the US giant GameStop, and according to EB Games ANZ Managing Director Shane Stockwell, the New Zealand market simply reached a point where it was no longer viable.
Stockwell mentioned that while “numerous” third parties expressed interest once the closure was rumoured, none could offer a proposal that made the business sustainable in the long term.
“These parties did not present any proposals or solutions about how to keep the New Zealand business sustainable,” Stockwell explained.
While the Australian arm of the business remains robust, the New Zealand exit highlights the difficulties of maintaining a physical footprint in a smaller market that is rapidly shifting toward digital downloads and subscription services.
A Sad Goodbye
For more than twenty years, EB Games has been the bridge between Australian and New Zealand gaming culture. Many of the staff and managers have moved between the two countries, and the “carrot” of the EB World loyalty program was a shared experience across the Tasman.
Seeing our Kiwi counterparts endure sweaty mall queues for one last $3 treasure is a bittersweet moment. It is a reminder to appreciate our local brick-and-mortar stores while they are still here. If you have mates across the ditch, maybe give them a shout, they might just be stuck in a three-hour digital queue as we speak.
