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Death of the LGS

Storyteller01

First Post
I think I am going to open a game shop with a pizza oven/deli counter in the back, game tables out front, and a computer for ordering RPGs online in the middle :)



Wizards tried the computers and gaming tables with the three stores they opened. All it usually garnerd were kids looking to play free games.
 
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jdrakeh

Front Range Warlock
Can you provide some examples? I'm not a huge supporter of conglomerate-shopping, but I'm having a hard time accepting that retailers like Walmart or Target raise their median prices above what smaller, independent retailers used to charge in the same market.

I think it's one of those "Discount stores are eeeeeeeeevil!" fallacies. I'm sure it happens, I've simply never seen it happen on the scale or to the degree that 'Big Box' opponents claim. It seems to be as much hogwash as the idea that all small, family-owned, stores are all decent, good, places to shop with low, fair, prices. Most of the small, family-owned, stores that I've seen fall prey to 'Big Box' price wars were originally selling their stuff at 300% markup over MSRP (or more). Small wonder that the 10% to 20% discount off of MSRP wins over consumers, really.
 

jonjorgensen

First Post
my experience

I am a product of the FLGS. I hope that I am not unique here in saying that, I would never have gotten into RPG tabletop without the FLGS near me.
To me the place has never been "the place to buy books" but "the place where I can meet socially to game with my friends and deveop new friends."

Now maybe it helps that my gaming store is almost as old as 2nd edition, and is kept clean and uncluttered, but I think that what really attracts "old timers" like me is that it's my substitute bar.

I go to my local store 'cuz everybody knows my name, and they are always glad I came. (well maybe not one guy, but we ignore him...)

I think that the idea that the interwebs can claim to be the "cradle for RPG gaming" to be silly. Before Ultima Online, no one I have yet met ever played RPG's on the PC, but all the girls and guys I knew who gamed did so at the store I went to. (Or ran games at lunch in the scholl cafe... that was me)

I just can't fathom shopping around online and seeing a DND 4.0 book on amazon and going "Ohhh...I'll buy that and pitch it to my friends" It simply defies my experience in gaming.

As far as local book stores go, I know one off the top of my head who is still open, but only because of very good support by the publishes of the product and the writers of the works. Bookends, in Ridgewood NJ, does a brisk business but mainly due to their ability to bring writers to sign books on a weekly basis.

I hope that the FLGS does not go the way of the Dodo, it would mean the end of my gaming and the end of an era where smelly fat people and not-so-fat and not-so-smelly people can gather together and interact socially in a way that would not have come otherwise.

BTW. My local gaming store is the gamersgambit, and even if the owner is a strange dark haired irishman in bad need of a haircut, he's very friendly and earnest in his goal to make his FLGS one that you WANT to come back to.

just two cent...rub em together if you like.
 

Mallus

Legend
1) Wal-wart hasn't killed off all competition yet.
In many localities it effective has, except for other corporate big boxes. Anyway, I still find it hard to believe that big corporate retailers will be able to raise the price point on a broad range of items significantly after spending time establishing the low price point for them. Especially not while under pressure from online retailers.

This just strikes me a wrongheaded; not 'voodoo economics' so much as 'Dr. Doom economics'.
 

redcard

First Post
Having grown up in Arkansas, I know a great deal about Wal-mart. Walmart is successful because Sam Walton decided long ago that if you sell more stuff, you can lower your mark-up and present lower prices. He also said that if you sell stuff at higher markups, someone will come in and sell stuff at LOWER markups and you'll be out of a job.

So perhaps they will raise their prices. If that happens, then they die out and someone new comes in. But I doubt it'll happen.
 

Corjay

First Post
Right now, we're doing it in QuickBooks as a credit to the customer's account in the computer. This places recordkeeping in our hands, which as has been mentioned deprives us of the ability to place the onus on the customer to keep track (and thus means that we can't make pure profit when the customer doesn't bring in their piece of paper/card/receipt/what-have-you). I'm not a big fan of that sort of business dealing; hampered by a strong sense of ethics. That may change as time goes on...
The problem with using a database is that, not only are you not making a profit from it, you're essentially losing profit through time spent and program cost. However, you do maintain a small aspect of customer loyalty, which can assist in long term sales so long as your current profits remain lucrative.
 

Corjay

First Post
I just realized another problem with with FLGS vs. Internet sales.

Amazon and other online retailers offset their discounts with ads. Remember the thing after Amazon first came out about how Amazon, by normal standards was completely bankrupt, but how it makes its money back on ads? They're likely still doing that. By selling items at a loss, they bring in more visitors that click more ads and thus earn Amazon more money.

Can an FLGS compete with that? Many here don't think so. But what if the FLGS rethinks its business in a similar way to online sales? By providing services (as mentioned), even such as advertising other products and businesses, they could perhaps earn some money from advertisers. Sure, it's not the same as online, but the more customers they bring in to these companies from their location, the more profit they can make. They can use the products and services in their stores to bring in the customers that can earn them money in a whole different way.

So try this service model:

Standard products and services (includes new suggestions)

  • Rule #1: Put the customer first.
  • Knowledgeable, attentive, well-kempt staff in clean polos (with store logo if possible) and khaki's. Hire women when possible.
  • Great customer service
  • Service Subscriptions (dependent on customers buying products), including:
    • Use of game tables with comfortable chairs
    • Wireless Internet
    • Store game reviews and carefully monitored and organized local gaming scene email updates with sneak peeks and insider information by email
    • Service subscription applied to future products.
    • Piped music, especially if you can do it for each table. If you use a table jukebox system, GM's can customize music to the mood of the campaign while earning money for the store.
    • Small image projector(s) for game maps, game images, and seminars.
    • Affordable (or free) copier service (Have a copier on hand)
  • Computer locked to your website available for staff and customers to order products from your website for online prices.
  • Food & Drinks at reasonable prices, typically in the form of vending machines, but also flavored sodas and espresso/lattes.
  • Rotate merchandise monthly.
  • Online services including forum for local players.
  • Tournaments
  • Sign with 1 hour loitering limit at tables. Customers must play, buy, or leave.
  • Keep a binder up front and near the displays with a quick synopsis of what X or Y game is about.
  • Carefully monitored and organized local gaming scene in-store updates.
  • Free Demonstrations
  • Cork Boards for local games kept clean and up to date
  • The latest Gaming Posters (Both on the walls and for sale)
  • Good lighting
  • Exciting, fun atmosphere
  • Gaming friendly interior (and if possible exterior) design
  • Clean store
  • Clean bathrooms
  • Lots of space for gaming smack dab in middle of the store with product on all sides, keeping the products pressed up against the walls as much as possible. Keep the shelving minimal, against and perpendicular to the wall. Example: _|_|_|_
  • Diverse available products at competitive prices: art books, manga books, comics and graphic novels, board games of all kinds, huge variety of RPG's, huge variety of TCG's (local and imported), minis games, walls of peuter miniatures, t-shirts, figurines, RPG-related fantasy and sci-fi novels, a table of previously owned or outdated materials. Everything that appeals to the hobby gamer. Use the profits from all other services to bring down the costs of the products sold and to pay for the discounts. DO NOT SHRINKWRAP your products (Accept a certain amount of product damage).
  • Keep only 1 sample of each product on the floor and keep the rest in boxes. If you have to, display only the flaship product of a line, while compressing the rest to display their spines.
  • Also sell supplies like paper, dice, pencils, graph paper, battle mats, miniatures paints and glues, and markers.
  • Discount Cards available with memberships in special store events. Total discounts should bring product prices down to competitive with online prices.
  • Offer family discounts on RPG products.
  • Set purchase amount bonuses (When you buy $100 of product, you get...)
  • Hold RPG, actor, and novel signings.
  • Hold celebrity games, where a famous RPG designer GM's or plays in a game.
  • Give one product away with another, such as a single miniature with an RPG book.
  • Hold raffles for free product
  • Family Friendly
  • Sidewalk gaming (particularly if you can do it inside a mall).
  • T-shirt giveaways with the logo of the store.
  • Information on where to find the product if you don't have the product available and the customer needs it NOW.
  • Gift cards for your store
  • Credit accounts (Credit cards if you can. See a bank for small business needs.)
  • Debit subscriptions (For no other service than the customer putting money in so that when they're ready they can just choose a product they want and it's theirs.)
  • Special Events with giveaways.
  • Teaming up with other FLGS to hold public events and help mitigate the costs for the above-mentioned cards and deals.
  • Have a relay system and open communication with other FLGS
  • Increase the speed by which you get products by knowing where local Amazon (and other distributors) wearhouses are.
  • Give sneak peaks and insider information to customers who buy similar products.
  • Hold mini-cons.
  • Have flier campaigns distributed to middle income and upper middle income families.
  • Create ways for helping those in lower income brackets to maintain their hobby.
  • Make all in-store events known on your website.
  • Focus your sales attention. Do you see a mother coming in with her 10 year-old son browsing for any old game? Perfect opportunity to graduate him to roleplaying. Particularly give attention to mentioning that there are regular games in the store that last hours. Is there someone conversing about how he hasn't played RPG's in ages? Encourage him to get back into it and offer him a deal that makes it hard for him to refuse on a product of his choice. You might be taking it at a loss at that time, but if he buys it, you've just snagged a long time customer. Be a gentleman to women (Pretty. Ugly. Whatever). Compliment the ladies. No, don't flirt, just let them know they've been noticed. "Hey, great purse, where'd you get that? My wife likes that style." You can then talk to them about things like playing roleplaying games with their husbands/boyfriends/guy friends/children to get more face time with them.
Now for...

Non-service, Non-sales Related Profits:

  • External ads on website
  • External ads on drink cups (paid for by the external company, of course)
  • External products offered with internal products (paid for by the external company, of course)
  • Offer to carry gaming company ads specific to the company, instead of their product (WOTC, Paizo, Topps, etc.; paid for by the company)
  • Keep meetup.com, yellowpages.com, and gaming companies updated with your business information so that they can update their "Local Stores" databases.
  • Associate program
  • Have a discount card exchange with local vendors, costume and prop shops, and computer repair/sales shops where you give away discount cards for them with each purchase and they do the same for you.
  • Participate in various volunteer activities, including charity drives and community service (helping with local improvements, etc.). Be sure to get the tax write-offs. Holding your own such drives is the best way to get your name out as the headlining company.
  • Hold LARP events at parks with your banner ad in full view.
  • Advertise in nationwide gaming magazines and even the free PDF fanzines.
  • Become an online outlet (more than just a web presence, but becoming one of the retailers that sells at a discount. This can help you bring down in-store costs as well).
  • Optimize your website for search engines. Its not hard to find companies to optimize you for 50$ to 100$ rather then the 2 or 3 thousand others charge.
Get a small business loan to carry out any of these things on either list.
 
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ironvyper

First Post
I think I am going to open a game shop with a pizza oven/deli counter in the back, game tables out front, and a computer for ordering RPGs online in the middle :)

Throw in some real comfortable chairs, maybe a couple of projectors on tables near the walls so anyone running a game can put maps on the wall and you'd get my business every week.
 


pg13

First Post
A couple of random memories...

Wizards tried the computers and gaming tables with the three stores they opened. All it usually garnered were kids looking to play free games.

That's true. I was here in Seattle when two Wizards stores opened (one in the U-District and the other in Northgate Mall) and I thought they were the coolest looking places--but I felt so incredibly old compared to everyone else that was there, none of whom were in the retail section of the store.

That was the astonishing thing--the actual amount of space given to the store (and, thus, the amount of stuff they carried to sell) versus the seemingly endless amount of space given over to either empty tables for gaming or computer consoles was striking.

So, the only things I ever bought from a Wizards store were KODT comic books--because they were the only place I'd found that actually stocked them. And I never ran or played a game there...and found other places to shop for most of the stuff I wanted. So, no matter how cool it looked, I only went to the Wizards location in the U-District three times...and I was disappointed but not surprised when I went back to the Wizards store in the U-District for what would have been the fourth time...only to find it emptied out and locked up.



...and, if I think about the time when I bought the most gaming stuff, ever...it was when there was a Games & Gizmos location six blocks from the Record Store I helped manage. It was corporate and sterile--but it was nearby and decently stocked. I'd go there on my lunch hour and time afte time, I'd come back with a sourcebook or a new game...or, just as often, a trivia/board game.

And, after they closed, although I didn't realize it until I looked back at it...it might have been a few years before I bought any RPG related product. (Instead, I bought more Xbox, and later Wii, stuff from Best Buy or Amazon.) This is how I missed out on 3.x (and how confused I am by jumping back in w/4e.)

You know what's gotten me back into buying stuff? Seeing the low price for the 4e Core Rulebooks from Amazon and being willing to spend that much to satisfy my curiosity. It's reawakened my long dormant interest in gaming--and I suddenly find myself buying a bunch of books for a bunch of systems...some indy PDFs, some from FLGS, some from Barnes & Noble, some from Amazon.

...and my most recent delve into a local FLGS? I felt creepy and old in there...and the shopping experience was as crustily eccentric as most of us have experienced (with my interaction with the proprietor lacking any attempt at answering my purchase-centric questions and more along the lines of an annoying NPC tavern encounter)...and I recognized that I was paying full mark-up for something I might have been able to get cheaper, if I could wait a few days for it to be shipped to me.

...but, when you've got that fever...you want convenience and access, and you're willing to pay more for it.

pg--seattle

PS--Reflections after reading a recent gamersgambit post: Again, I keep going back to my experience in indy-music retail and trying to draw some real world experience in this situation.

Music retail works at around 30-35% mark-up...but, with the lack of volume in the hobby/game industry, I can see where you'd want to expect a 50% mark-up to off-set your overhead.

However, you don't want to get into the trap of expecting EVERY PRODUCT to make you its maximum-mark-up...as if that level of mark-up can make up for low volume (and I'm certain you're aware of that.) That's top down thinking--that's what YOU need (or what you've convinced yourself you need) and consumers don't give a damn what YOU need. You have to figure out how you can give consumers what THEY need in a way that makes it work for you. Start thinking about things that way first--what they want from you and how you can give it to them, rather than always thinking about what you need from them and how they should give it to you.

As anyone who has watched Ramsay's Kitchen Nightmares knows...you can fall into an awful trap if you see your volume of sales become sluggish and hope to make up for that with higher prices. It seems logical--but it will kill a business.

Perhaps you can't compete, across the board, with Big Box or On-Line retailers on price--but in the short term, you can still use you specific item-based prices aggressively in order to generate traffic. In fact, you HAVE to. Telling everyone that you're offering a good price on a desired item for a limited time is a time-honored traditional way of generating traffic--and once you've got them in the store, then you use your superior service and product knowledge to push full-priced add-on sales...or, better yet, be ready by self-bundling products related to what you've put on sale in a point-of-purchase area.

PPS--Gamesgambit, you sound like you're doing well by the customers that you have...you may be getting all of the business you can from your current customer base. Maybe the problem isn't the size of the piece of pie that you're being served--maybe the problem is the size of the pie.

What can you do, other than simply "continuing to exist", to increase the size of your potential market? How can you get people into gaming (or, perhaps just as importantly, BACK into gaming...)???

And recognize that I don't necessarily mean "how do you get the kids to put down their DS's and pick up some dice?"--in fact, I think going the OTHER way is the way to go... How do you sell tabletop RPGing as a social activity
enjoyed by college students or adults?

Rather than spinning it as something that kids do--knowing that everything that kids do, kids eventually grow out of--and back to something that smart, artistic, social adults find enjoyment in doing (and spending money on)???

I think there's a segment on your local "PM Magazine"-style tv show on that, if you can manage it, just waiting to be filmed in your store...and that's valuable free advertising right there.
 

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