Digital Games Make 3x As Much As Physical In US, Says Report

Digital sales made nearly three times as much money as physical sales in the US during 2016, according to a new report by the Entertainment Software Association.

More precisely, NPD figures say 74% of sales in the US came via “subscriptions, digital full games, digital add-on content, mobile apps, and social network games,” while 26% came from traditional boxed titles. Together, the categories generated a total of $24.5 billion, with an extra $3.7 billion coming from hardware and $2.2 billion from VR.

Digital is making up a larger proportion of video game sales each year; its share has risen every year since 2010, when the digital:physical split sat at 31:69. Total spend has also increased every year over the same period.

By comparison, physical makes up “almost 50% of all the revenue generated from games and games-related items” in the UK, according to GamesIndustry.

In November 2016, EA’s CFO, Blake Jorgensen, said he believes buying physical games from a bricks-and-mortar store might soon be a thing of the past.

“Like everything else, the consumer is ultimately going to default to convenience,” he said. “If it’s a choice of getting in the car and driving to the store and the weather is bad outside, if you want to download it, I think you’ll see more people do that.”

For its part, GameStop–one of the biggest video game retailers in the world–is preparing for a more digital world. The retailer predicted last year that 50 percent of its total revenue will come from items other than physical video games by 2019.

No Caption Provided

Elsewhere in the report, the ESA states that “67% of US households own a device that is used to play video games,” while the average age of a US gamer is apparently 35. Graphics continue to play a huge part in deciding whether to buy a game, meanwhile: 67% of respondents cited it as a factor, making it the single biggest consideration, before even price (65%) or “an interesting story/premise” (59%).

The survey, which was carried out by market research firm Ipsos, gathered data from “over 4000 households,” though the number of individual respondents is not disclosed.

Check out the ESA’s full report for yourself here.

from GameSpot


Author: Adventures Gate

Hey everyone, I'm Jonathan but people will know me as Jon... I enjoy hiking and exploring the outside world as well as getting to see fantastic views. It can bring you to the most beautiful places on earth and into contact with amazing plants and wildlife and can be done all year round which is why I enjoy it so much despite it being challenging sometimes due to the weather - it has allowed me to meet a lot of new people and experience things I wouldn't have before. I also find it relaxing and interesting. I also really enjoy blogging and sharing my experiences with similar people. Hopefully you will read mine. My company Adventures Gate displays my other hobby - gaming! I love collecting items to do with gaming and playing in general. I guess I am a bit of a geek when it comes to this. Adventures Gate now offer free postage options when you spend more than £20 (there may be a small additional charge for larger items). That`s free 1st class post in the UK and free airmail to Europe.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s