NPD: Consumers Trending Away from Consoles, Towards Mobile
Traditional games market continues slump.
The traditional video games sector is on a rickety bridge as it is, but the latest US figures from NPD Group suggests that things may be worsening for the console market. Video game sales saw a 25 per cent monthly drop compared to a year ago, as more consumers appear to be trending towards mobile devices.
Total sales of hardware, software and accessories in the US were $810 million in February, down from $1.09 billion for the same period 12 months ago, according to NPD. The launch of the Wii U did nothing to spur console sales either, with total hardware figures down 36 per cent.
"These sales figures represent new physical retail sales of hardware, software and accessories, which account for roughly 50 percent of the total consumer spend on games," said analyst Liam Callahan. If you take into account digital sales, subscriptions, mobile apps and social network games, total consumer spending actually hits $1.2 billion.
That means a huge chunk of change is lost to emerging business models and the mobile gaming sector. Indeed, Callahan said that the drop in traditional markets are in fact being offset by the growth seen in these areas.
Of course, the argument is that the reason for the slump is down to a protracted console generation. Sony is getting ready to launch its PlayStation 4 this coming holiday season, so time will tell if the console manufacturers will be able to claw it back.
Source: The Australian
Total sales of hardware, software and accessories in the US were $810 million in February, down from $1.09 billion for the same period 12 months ago, according to NPD. The launch of the Wii U did nothing to spur console sales either, with total hardware figures down 36 per cent.
"These sales figures represent new physical retail sales of hardware, software and accessories, which account for roughly 50 percent of the total consumer spend on games," said analyst Liam Callahan. If you take into account digital sales, subscriptions, mobile apps and social network games, total consumer spending actually hits $1.2 billion.
That means a huge chunk of change is lost to emerging business models and the mobile gaming sector. Indeed, Callahan said that the drop in traditional markets are in fact being offset by the growth seen in these areas.
Of course, the argument is that the reason for the slump is down to a protracted console generation. Sony is getting ready to launch its PlayStation 4 this coming holiday season, so time will tell if the console manufacturers will be able to claw it back.
Source: The Australian
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