He’s decided to set the record straight… and share the secrets of his success at building a profitable Play N Trade retail units used video game
Meyers is CEO of Gamers Guild Holdings Inc., the “largest franchise holder in the PNT family.” In a comment left on a lively Franchise Pick post (IS PLAY N TRADE A GREAT FRANCHISE OPPORTUNITY?), Meyers defends the Play N Trade franchisor, acknowledging that they have made mistakes, but also that they are working hard to correct them.
One of those mistakes was franchisee selection. Meyers says that “Play N Trade let people buy a franchise that had no business having a franchise,” and that many “went into the franchise underfunded.”
Meyers has stinging criticism for some of his fellow franchisees. These franchisees, says Meyers, “whine and cry and expect Play N Trade to make it all better. Fact of the matter is that you are a self employed business owner. Stop your whining and ‘make’ your business work.”
Franchisee Meyers lists his key tips for building a successful used video game retail store:
As a business owner it is “your” responsibility to make “your” business profitable not corporate PNT. We run 60-70% margins because we are smart and make our business work. I will give you all a few tips on how to do this.
1) Advertise! Advertise to your correct demo first and foremost. Young new age rock stations are perfect. Sustain your marketing efforts.
Second, when you advertise give a call to action. When you first open advertise the fact you are a local business that wanted to invest in your community. Advertise 50% more on trades for a week when you open. This will stock your stores up and allow you to get butts in the door so they can see just how great you are.
Don’t do live radio remotes. They do not provide a good ROI (return on investment).
2) Even before you open your store get yourself a great commercial broker. Interview the hell out of them. Want to know how much we pay to open a store right now? 15,000 max. Why? The landlords are hurting terribly bad and need to fill their space. so we make them pay for almost everything plus give us 6-12 months free rent per location.
3) Don’t hammer on new merchandise. You don’t make money on new. You make money on used. Used comes from trades. Get the picture? Pre orders should be pushed by giving 20% more on trades when they pre-order.
4) market your niche. Trade in cell phones, more for trades, repair systems, disc repair, try before you buy, local business.
5) People People People! No one can get a job… you have the pick of the litter. Look for personality first, game experience second. People come to stores not to just buy games. You can do that all over the place. They will come to interact with the people they enjoy interacting with. Hire a dynamic personality and watch your customer base grow.
6) Hammer your memberships. Membership e-mail and cell phone databases give you free marketing directly to your base.
7) Sign walkers. We use them at every store at peak hours. We hire a sign walker for 20 hours a week at every store. It is well worth the 7.15 an hour you have to pay to get butts in your store. It is simply effective.
8) Signage! Negotiate for the big pylon space on the monument signs! You will get it. If they can’t see you they can’t shop you.
I would be happy to assist and advise any struggling franchisee in the system.
For the rest of you guys smearing play n trade… They are not perfect. The economy is terrible and I frankly don’t know any business that is doing well right now. My corporation is making money even in this environment and I am in Michigan, the worst ecoonomy in America. If we can do it anyone can. SO stop whining and take responsibility for your own failures and shortcomings and stop blaming other people.
Gamers Guild Holdings Inc
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