Over the last decade, Western Canada has grown into a hotbed of game industry activity. Many studios, including big names like Electronic Arts Canada, Relic Entertainment, and Capcom Game Studio Vancouver, call the Greater Vancouver Area home. The region also boasts a healthy number of art and film schools that run game-production programs.

One thing you won’t find is an abundance of independent game stores. Over the last five years, almost every brick-and-mortar outlet -- aside from big-box retailers like Best Buy and specialty retailers like GameStop -- has shut their doors.

One store continues to thrive despite the challenges of the global economy, however. Brian Hughes, owner and proprietor of Gamedeals, turned a flea-market games table into a profitable business in just a few short years. And while it’s easy to just blame the poor global economy and big corporations for the death of the little guy, Hughes knows that there’s more to running a successful independent retail outlet than simply being where the gamers are, as evidenced by the dried-up husks of his competition.

I recently sat down with Hughes talk about exactly how he’s been able to stay in business. Most of what he said might seem elementary or obvious, but it’s shocking how many stores ignore these simple tenets of running a solid business.

1. Get a killer location

Gamedeals opened in June 2006 in New Westminster, a city that’s easily reached by a 15-minute Skytrain ride from Vancouver. While most would think that putting a retail store in downtown Vancouver would draw more business, Hughes chose the New Westminster location with a particular strategy in mind.

In addition to the cheaper rent he enjoys by keeping his shop outside of the downtown Vancouver area, Hughes is quick to point out that Gamedeals is also less than an hour drive away from several local communities, such as Maple Ridge, Chiliwack, White Rock, and Abbotsford. And with a major Skytrain station just outside his door, there’s quite a bit of foot traffic passing by every day, which leads to higher conversion overall.

The right location can make or break a business, and this particular spot has contributed greatly to what Gamedeals is today.

2. Out with the new, in with the used

Product, and how to manage it, is one thing Hughes knows all about. He opens up and checks each copy of Gyromite that comes through the store in hopes of finding one of those ever-elusive Famicom converters. He keeps his ear to the ground, following local leads to find the best stock to appropriate for resale. And he’s more than aware of the plight independent stores face when it comes to new and used games.

Gamedeals, like many homegrown outfits, stocks primarily used titles and accessories due to the slim profit margins that new game sales offer. “I can’t imagine another industry with such horrible profit margins,” remarks Hughes, echoing the sentiment of independent retailers across North America. “I would happily not sell used games if new games were profitable.”

Simply put, independent game stores can’t afford to stock only new titles, and those that try tend to disappear quite fast unless they can figure out a way to fleece their demographic. Knowing the pre-owned market -- and how to best work that market -- is a deciding factor in the world of independent game stores, and one every owner should be focusing on.