The lights are on
United States consumers have spent approximately $2.88 billion dollars in the second quarter of 2013, according to a new report by the NPD Group. The 2013 Games Market Dynamics: US report shows a drop of about three percent over the same quarter in 2012, but the data reinforces a more important trend.
Physical video game and PC software purchases are down, but nearly offset by a 27 percent jump in digital increase across both segments. This echoes what we've heard from Activision, EA, and Take Two on recent financial calls.
NPD attributes the overall decrease partly to a decline in new products year-over-year totaling 37 percent. NPD also attributes sales declines to consumers preparing for the upcoming November console transition.
Our TakeI expect that purchases will jump in the first quarter of 2014 once more people have next-generation systems (a combination of holiday gifts and the release of Infamous: Second Son and Titanfall). As more consumers acquire additional accessories, update their cross-generation titles, and generally get swept up in the next-gen excitement, sales are going to recover.
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it will pick up around the holidays
I think this should change with the release of GTA V in September. The release of that will result in a global peace period, and will end world hunger lol.
We're closing in on the time when most games will be digitally purchased, and physical copies will become the special editions. All we need it's that digital sharing plan.
Come one Microsoft, wanna score another good point for Xbone? Bring back that part of the original plan.
much as i perfer having physical copies of everything digital is more convieniant at times , i do but for my things but i don't wanna see hard copies go anytime soon if at all
Interesting, with some of the titles launching so far recently.
Whats so funny is I think people forget that some parts of the US don't have broadband internet or any high speed interenet available. Plus I think the drop in sales is because there really isn't a killer game put out recently (one the popularity size of say a Halo, Infamous, Battlefield, etc). This console generation seems to be the longest in my memory at least and I thing people are just waiting for the new Hardware(except the Wii U poor sales performance but again there isn't a killer app for that out yet either). When the blockbuster games do come out (her is looking at you GTA) then we will see increases in sales and the industry will look great again.
I don't see physical media dying anytime soon. The primary target of all consoles is not the hardcore gamers, they already know we will do anything for a game we support. The actual target is parents with no knowledge of gaming. Unfortunately gaming is still considered a child's activity. As long as parents buy into games like sky landers and Disney's infinity physical media will never die. Uninformed parents are a the target consumer for most big companies.