Infographic featured in Digital Spy's Gaming News, May 22, 2013.
In 2013, Microsoft predicted that sales of next generation consoles would experience growth of 28%. However, Nick Statt of cnet reports that despite the strong and steady growth of console hardware, console video games are experiencing a significant drop in sales. This sales decline can be attributed to many causes. The majority of consumers just want fun, easy and quick to play mobile games that can be accessed with their smartphone or tablet. Consumers can access mobile game apps for free or pay as little as $.99 for the game. Mobile games are easily accessed with the device of choice. Console games cost consumers an average of $60 for the game, not to mention additional fees to participate in additional game functions through Xbox Live or PlayStation Network. Console games are not accessed as easily as mobile apps. Mobile game development typically costs far less than enormous production budgets for console game production. Typically, production costs for console games are so high, their creators do not allocate additional funds towards marketing their title but instead spend all of their resources on development alone. Sadly, consumers who would spend the $60 for a well produced console title aren't aware of the game at all. If money earned from a console title does not account for production costs, it may cause the developer to shut their doors permanently.
Video game industry struggles to grow, a year after new consoles launch After months of subsisting on strong sales of new game hardware, overall game spending plummets in November.
Activision Blizzard's newest installment in the Call of Duty military shooter series, titled Advanced Warfare and featuring actor Kevin Spacey, took the top software spot in November. The video game industry managed to reverse an almost year-long trend in November, but the question now is at what cost?
Nearly every month since Microsoft and Sony launched new game consoles in November 2013, hardware purchases have made up for the fact that players just weren't buying that many new games.
Yet last month the industry flip-flopped. Hardware sales at US retail stores fell 23 percent to $1.01 billion from the same time last year, according to a report from industry researcher NPD Group. Game sales, meanwhile managed to almost break even with a 2 percent decline to $1.09 billion. Year over year, overall retail game spending across hardware, software and accessories dived 11 percent to $2.41 billion.
Read more: http://www.cnet.com/news/video-game-sales-flat-in-october-but-downloads-continue-to-rise/
Activision Blizzard's newest installment in the Call of Duty military shooter series, titled Advanced Warfare and featuring actor Kevin Spacey, took the top software spot in November. The video game industry managed to reverse an almost year-long trend in November, but the question now is at what cost?
Nearly every month since Microsoft and Sony launched new game consoles in November 2013, hardware purchases have made up for the fact that players just weren't buying that many new games.
Yet last month the industry flip-flopped. Hardware sales at US retail stores fell 23 percent to $1.01 billion from the same time last year, according to a report from industry researcher NPD Group. Game sales, meanwhile managed to almost break even with a 2 percent decline to $1.09 billion. Year over year, overall retail game spending across hardware, software and accessories dived 11 percent to $2.41 billion.
Read more: http://www.cnet.com/news/video-game-sales-flat-in-october-but-downloads-continue-to-rise/
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