The familiar sight of an EB Games store in Dapto Mall is now a thing of the past, marking a significant shift in how Australians purchase and play video games. The store closed its doors for the final time on Saturday, January 17, 2026, leaving local gamers to travel to Wollongong or Shellharbour for their in-person gaming needs.
The End of an Era for Dapto Gamers
A sign placed on the store's window confirmed the closure, notifying the community of the last trading day. For customers with outstanding pre-orders, their transactions were automatically transferred to the EB Games outlet at Stockland Shellharbour. This local shutdown is not an isolated incident but part of a broader pattern of change within the specialty retail sector.
The Dapto closure coincides with the shuttering of other EB Games locations across the country, including stores in Whitford City, Western Australia, and Jesmond in Newcastle, which also closed on the same Saturday. Furthermore, the company announced it would be closing all of its stores in New Zealand by January 31, 2026.
The Digital Dominance in Gaming Expenditure
This retail contraction starkly contrasts with the financial performance reported by the chain's parent company, GameStop. In its most recent quarterly report to the US Securities and Exchange Commission, GameStop noted that its Australian segment, which includes New Zealand operations, had increased net sales by 29.7 per cent over the previous nine months compared to the year prior.
The real story, however, lies in how consumers are spending their money. Data from the Interactive Games and Entertainment Association (IGEA) for 2024 reveals a dramatic pivot towards digital. Sales of full-game physical software in Australia plummeted to $262.5 million, a steep 34 per cent decline from the $397.8 million recorded in 2023.
Conversely, digital full-game sales reached $416.8 million. When in-game transactions and subscriptions are included, the total digital revenue for the Australian market soared to a massive $1.3 billion. This overwhelming consumer preference for digital downloads and online marketplaces is directly impacting the floor space of remaining stores.
Adapting to a New Retail Reality
The surviving EB Games stores in the Illawarra region, located at Wollongong Central and Stockland Shellharbour, are already adapting to this new reality. Visitors will notice these stores have significantly reduced the area dedicated to physical video games. Instead, they are pivoting to focus more on pop culture merchandise, collectibles, and other entertainment-related products.
According to GameStop's latest annual report, the company still operated 336 stores in Australia and 38 in New Zealand prior to the recent closures. The strategic decisions behind which stores close and which remain open are likely tied to this fundamental repositioning of the business model away from physical media.
At the time of the original report, EB Games Australia had not publicly commented on the specific closure of the Dapto Mall location or responded to media inquiries. The closure serves as a tangible example of how global digital trends are reshaping local shopping centres and consumer habits in regional Australia.
