Synonymous with sallyblam
The phrase comes from BumbleKing Comics Forums, the official forums for the current writer of Archie Comic's Sonic the Hedgehog (as of 2011). In issue #225 of Sonic, the lead female Sally Acorn was killed off-panel by three BLAMs. The issue ends with Sonic running toward her off-panel body only seeing smashed goggles (hence, gogglesmash) on the floor.
Comic Nerd 2: Sounds like he was gogglesmashed.