Recently acquired by Related Companies and Vornado Realty Trust, Virgin Megastores has announced an above-expectations second quarter, showing its games sales spiking nearly 70 percent, far ahead of its other media sales.
The company showed a 3.1 percent increase in music sales, 15.9 percent in DVD sales, 11.7% in book sales, 39.1% in fashion sales, and a 24% rise in electronics sales, all well below the growth in games.
The company says CEO Simon Wright "continues to support the brand's diversification strategy as sales in various departments are still climbing," and that its sales successes are attributed to both strong marketing and that strategy, which "has made the Megastores an entertainment lifestyle store, rather than solely a music retailer."
The company was recently acquired by realty and investment firms Related Companies and Vornado Realty Trust. Wright said, "Consistent with Virgin Group's approach taken with partners elsewhere across the globe, we found an ideal partner in Related and Vornado, who have outstanding reputations and a shared belief in creating value to the consumer experience at Megastores."
