EB Games is closing primarily because its New Zealand business has become financially unsustainable in a market that is rapidly shifting toward online and digital game sales, while facing strong competition from larger retailers and ecommerce platforms.

What’s actually closing?

  • All 38 EB Games stores in New Zealand are confirmed to close by the end of January 2026, with the NZ distribution centre shutting down in February 2026.
  • The brand is not completely gone worldwide: hundreds of stores remain open in Australia, although a smaller wave of store closures is happening there too, with at least 10 Australian locations shutting this month.
  • New Zealand customers are expected to be shifted to shopping via the Australian ebgames.com.au website by around the end of March 2026, meaning the retail presence is ending but online access continues.

Why is EB Games New Zealand closing?

Company memos and public statements point to sustained financial losses and a tough retail climate.

  • The New Zealand arm reportedly suffered a multimillion‑dollar loss in the 2024 fiscal year, after “significant and repeated efforts” to turn the business around.
  • Management said they no longer believed the NZ business was viable, even after exploring possible third‑party proposals to keep it going, which ultimately did not offer a sustainable solution.
  • In short: too little revenue, too many costs, and no realistic turnaround plan left on the table.

Bigger forces behind the closures

Beyond the local numbers, EB Games is being squeezed by wider trends affecting game retail and shopping habits.

  • The shift from physical games to digital downloads and subscription services means fewer people walk into stores to buy discs and cartridges, reducing one of EB’s core revenue streams.
  • Competition from online marketplaces and big-box retailers—such as Amazon and local chains like JB Hi‑Fi in Australia—adds pricing pressure and convenience that is hard for a specialty chain to match.
  • Commercial property is under strain in general, with many fashion and specialty retailers also downsizing or closing, which makes it harder for niche chains like EB Games to justify their leases.

What about EB Games Australia?

For now, EB Games in Australia is in a different position, though it is clearly in “adapt or shrink” mode.

  • The Australian business has been described internally as successful and “not impacted” by the New Zealand shutdown, with around 336 stores still operating across the country.
  • However, the chain has already closed stores in previous years and is currently shutting at least 10 more Australian outlets, including some Zing Pop Culture locations, showing that underperforming sites are being trimmed.
  • To stay relevant, the company has pivoted into pop‑culture merchandise and retro‑gaming trade‑ins, trying to be less dependent on new physical game sales alone.

How forums and gamers are reacting

Online discussions add a more emotional, on‑the‑ground view to the business story.

  • Forum posts and Reddit threads from January 2026 show staff and customers dealing with abrupt closures, confusion over opening hours, and questions about when exactly stores will shut.
  • Long‑time customers frame it as the “slow and sad death” of a once‑iconic gaming hangout, where midnight launches, trade‑ins, and browsing shelves were part of the culture, now fading as everything moves online.

“It was our gamer hangout spot. Now it’s just clearance signs and empty shelves.” – common sentiment paraphrased from community discussions.

Quick TL;DR

  • EB Games New Zealand is closing all stores after heavy financial losses and failed turnaround attempts.
  • Global and local pressures—digital game sales, online competitors, and high retail costs—have made the NZ operation commercially unviable.
  • EB Games Australia remains open but is closing some locations and leaning more on merchandise and retro/collectible products to survive.

Information gathered from public forums or data available on the internet and portrayed here.