There's been a major blow to the video game trade in France: Micromania has officially been put up for sale by its American owner, GameStop.

It's no secret that the physical video game market is in trouble. This is due to the rise in popularity of dematerialised products, which offer regular promotions and immediate accessibility, the success of subscription-based services such as Game Pass and PlayStation Plus (not to mention PC-based offers), and the growth of cloud gaming, which is becoming increasingly relevant with the roll-out of fibre.

Against this backdrop, GameStop has decided to refocus its activities on the United States. Already weakened by its near bankruptcy in 2021, the American giant recently sold off its shops in Italy, which have found a buyer, while in Germany the shops were forced to close for lack of a buyer.

Founded in 1983, Micromania has established itself as a leading video game retailer in France. Bought out by GameStop in 2008 for $700 million, the store tried to adapt to dematerialisation by diversifying its activities with Zing, a range of derivative products dedicated to video games and pop culture.

But this strategy has not been enough to turn around sales in the 300 or so shops across the country. This is due to very low margins, which even the release of the Switch 2 will not be enough to compensate for. As for GTA VI, it doesn't seem to have convinced GameStop either. One of the reasons? The fact that Micromania shops are located in the shopping malls of large supermarkets, where the big names slash prices as soon as blockbusters are released to attract customers.

What does the future hold for Micromania ?

Micromania was keen to reassure its customers in a message published on X:

"Hello, the announcement by our parent company GameStop that the French structure Micromania-Zing has been put up for sale in no way affects our operations. Our activities are continuing as normal, and we are continuing to develop our range of video games, merchandising and services. Past (and future) pre-orders will of course be honoured. Credit notes and vouchers will continue to be valid."

The situation is bound to change over the coming weeks. If GameStop finds a buyer, the business will be able to continue, but potentially at the cost of a reduced shop network and some closures. On the other hand, if no buyer comes forward, the outright disappearance of Micromania would mean the closure of its shops and the loss of many jobs.

Finally, France is not the only country affected by this decision, as GameStop shops in Canada are also affected.