Videogame hardware and software weakest sales sector for Toys R Us during holiday 2010

Toys R Us has announced its total sales and comparable store sales for the month of December through 2010 holiday season. Domestic sales were up by 5.4 percent, with comparable store sales growth of 2.2 percent.

The entertainment category, however, which includes videogame hardware and software was the weakest sector for the retailer as it continued to experience a sales decline.

Online sales for the chain saw growth, but sales in the international segment declined by 3.6 percent in December, reflecting a comparable store sales decline of 5 percent.

For the nine-week holiday season, the international segment’s total sales declined 3.4 percent, including a comparable store sales decline of 4.7 percent. International total sales performance for the holiday season varied by country, driven by declines in the UK and Spain, which was partially offset by positive growth in Canada and Japan.

The core toy segment for the chain saw the largest amount of profit for the period.

In comparison, GameStop reported a 3.3 percent increase in new game software sales thanks to high-profile games like Black Ops and Assassin's Creed: Brotherhood, and a 7.4 percent increase in sales of new hardware during the holiday period.

Best Buy reported a 15.4 percent year-over-year decline in sales for the 2010 holiday period, citing a large drop in the software category which it blamed on a “decrease in gaming.”