Massmart, subject to a full buyout offer from parent Walmart Inc, has begun shutting down unprofitable and unviable Game stores across the country.
In December 2021, it announced that it had identified an “initial” “15 stores subject to a possible sale”. This followed the re-lay of 114 Game stores in the country, allowing the retailer to compare sales trends and potential.
Eight stores are now in the process of being shut down. It has begun aggressive markdowns on all stock at these stores, listed on its website.
The stores being closed include Bel Air (Northriding), Greenstone and Mall of the South in Johannesburg, the Cape Town CBD one, the Ulundi and Westwood Mall outlets in KwaZulu-Natal, the Gilwell store in East London and Game in Hazyview.
With very limited exclusions, discounts of up to 40% are being offered on all stock, with the closing down sales beginning at the end of last month already. A letter to customers regarding limits on other discounts and promotions is dated 24 August.
Clothing, camping equipment, laptops/computers, furniture and toys are all marked down by 20%, hand tools, hardware, air conditioning and fans by 25%, while heaters, electric blankets and stationery are less than 40%. Currently, the minimum discount storewide is 10%.
Game vice president Andrew Stein this month confirmed to the media that 10 underperforming stores would be closed.
In one of the stores visited by Moneyweb, even shop fittings and fixtures will be sold. A sign asks interested parties to leave their details with store management.
Certain departments already have noticeably limited stock, with many instances of empty shelves that will not be restocked. The store in question had an oversupply of heaters and Christmas decorations.
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