Midway through release weekend for Khans of Tarkir and it is
the quiet time of the evening so naturally I got to musing about how the
typical hobby game store has changed over the years and just how uniquely the hobby
game store model has developed compared to other store categories with which it
is typically lumped, such as comic book and pop culture stores. Despite the
fact that we operate using the same basic model of distribution as do Macy’s,
Target, Dollar General, Hibbit’s, even Toys r Us and Olive Garden, the hobby game
store, with the encouragement of manufacturers, has developed a very unique
business plan closely tying sales to events.
In the traditional or full model of distribution, which even
mighty Amazon uses in a modified format, the manufacturer makes the product,
then sells it to the retailer, who then sells it to the consumer, who then
takes it home and uses it. For many products, the distributor also fits into
the channel, positioned between the manufacturer and retailer.
The difference between the hobby game store and almost every
other type of retailer out there is that hobby game stores sell the product and
then are expected to facilitate their use. Take Macys. Macys sells you clothes,
shoes, curtains, bedding, etc. The customer buys them and takes them home, then
wears them, puts them on the bed, hangs them on the windows and so forth.
Contrast that with the typical hobby game store. Not only do
we sell the customer a product but we provide play space for the product and organize
events in which customers can participate, with most stores running events
every day, many of which have prizes and organization provided by the
manufacturer. Structured play has developed into such an important facet of the
industry that we call it Organized Play or OP and most game companies have some
form of OP program in place, with more companies looking to start up their own
OP programs every week or so it seems. I just received an email from Japanime
Games, asking us if we had any interest in starting OP for Tanto Cuore and/or Krosmaster:
Arena. Currently, I can think of
Organized Play programs from WOTC, AEG, Privateer, Alderac, Bushiroad, Konami,
Arcane Wonders, Fantasy Flight Games, StoneBridge, Paizo and probably others
that I cannot think of at the moment.
The thing is, no other retail category (with the possible exception
of the traditional hobby i.e. RC, model railroads, etc.) has developed a model
in which they sell a product to the customer then provides the customer with
places and times in which to use it. We sell customers Magic cards, then are
expected to run Magic tournaments. We sell customers Warhammer 40,000 figures
then are expected to have terrain and table space available. We sell people
King of Tokyo and are expected to host King of Tokyo championships. A common
question from manufacturers when stores apply for OP status is how many players
can the store seat and many stores I have seen run their merchandise displays
along the walls with table space in the center.
We do this because, over time, we, and I mean both stores
and manufacturers, have found that this model promotes more sales. WOTC often refers to studies the company has
done showing that OP boosts sales. It’s a no-brainer for most stores but it is
also a fairly unique model we have developed.
