EB Games has proposed shutting down its New Zealand business and closing every store nationwide, according to a letter sent to employees. The move would end an era for one of the country’s most recognisable specialist game retailers — but it is not final yet, with staff now entering a formal consultation period.
The proposal has been reported by RNZ and 1News, which said the letter outlines a consultation process before any final decision is made.
What EB Games is proposing
Under the proposal, EB Games would close all remaining New Zealand stores and wind down local operations entirely. The letter indicates the plan also includes the closure of the New Zealand distribution centre that supplies stores across the country.
If the proposal proceeds after consultation, roles across the business would be disestablished — meaning staff could be made redundant. The company has asked employees to provide feedback as part of the process.
Why the company says it’s happening
The letter points to financial pressure and difficult trading conditions in the retail sector. EB Games reportedly told staff its New Zealand operation has suffered significant losses and that the current market environment has not supported a sustainable recovery.
Retailers across New Zealand have faced a tough mix of higher operating costs, weaker discretionary spending, and intense competition from online sellers — trends that have hit specialist stores especially hard.
What it could mean for customers
For shoppers, the biggest immediate question is what happens to pre-orders, warranties, repairs, and gift cards if closures go ahead. Companies typically provide transition information during (or soon after) consultation announcements, including:
- How uncollected pre-orders are handled
- Refund or exchange windows during any clearance period
- Gift card redemptions and final dates
- Warranty support for consoles, accessories, and collectibles
If closures are confirmed, customers often see clearance campaigns as stores prepare to exit leases and reduce inventory. However, until a final decision is made, store operations may continue as normal.
The bigger shift: why physical game retail keeps shrinking
EB Games’ proposed exit would also underline how quickly gaming retail has changed. Over the past decade, a growing share of purchases have moved to:
- Digital downloads replacing boxed copies
- Subscription services and cloud libraries
- Online marketplaces undercutting physical store pricing
- Fewer “midnight launches” as release-day delivery and pre-loads become standard
Even for fans who still prefer physical editions and collectibles, the economics of mall-based retail have become harder to justify — especially when foot traffic dips.
What happens next
The key point for now: this is a proposal, not a confirmed closure announcement. The company has said no decision will be made until it completes the consultation process with affected employees.
If the shutdown is confirmed, EB Games’ departure would leave a noticeable gap in New Zealand’s specialist gaming scene — particularly for customers who rely on in-store trade-ins, collectors’ editions, and quick pickups for new releases.
Tip for readers: If you have a current pre-order or gift card, keep your receipt or email confirmation handy and monitor official store updates while consultation continues.
Make Swikblog your go-to source on Google for reliable updates, smart insights, and daily trends.
