Video Games: An Industry in Transition

VIDEO GAMES: AN INDUSTRY IN TRANSITION PHYSICAL RETAIL SALES OF COMPUTER AND VIDEO GAMES ARE CURRENTLY ON THEIR LOWEST LEVEL SINCE 2006. U.S. COMPUTER AND VIDEO GAME SALES (PHYSICAL RETAIL) in billion U.S. dollars 12 10 8 6. 4 2 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 PHYSICAL SALES STILL MAKE UP THE LION'S SHARE OF GAMING SOFTWARE REVENUE, BUT DIGITAL DELIVERY IS BECOMING INCREASINGLY IMPORTANT. DIGITAL VS. PHYSICAL SALES in % Physical Format Digital Format* 2009 80 20 2010 72 28 2011 69 31 * includes subscriptions, digital full games, add-on content, mobile apps and social net work gaming FOR NOW, CONSOLES REMAIN THE MOST POPULAR GAMING DEVICES IN THE U.S. U.S. HOUSEHOLDS THAT OWN AT LEAST ONE OF THE FOLLOWING DEVICES PLAY GAMES ON THEIR. in % 170 165 138 135 126 CONSOLE PC SMARTPHONES DEDICATED HANDHELD SYSTEM WIRELESS DEVICE BUT SMARTPHONE GAMING IS EXPECTED TO GET BIGGER IN THE NEXT FEW YEARS. U.S. MOBILE GAMERS* in millions 200 150 100 50 2011 2012 2013 2014 2015 2016 * mobile phone users who play games on mobile phones at least once per month CASUAL GAMERS ARE SHIFTING TO LOW-COST ONLINE AND SMART- PHONE GAMES. TYPES OF ONLINE GAMES TYPES OF MOBILE GAMES PLAYED MOST OFTEN PLAYED MOST OFTEN in % in % 33 42 41 47 25 12 PUZZLE, BOARD GAME, GAME SHOW, TRIVIA, CARD GAMES ACTION, SPORTS, STRATEGY, ROLE-PLAYING OTHER BUT VIDEO GAME SALES ARE STILL DRIVEN BY CORE GAMERS. VIDEO GAME SALES 2011, BY GENRE in % 4.0 CASUAL GAMES 33.7 ACTION, SPORTS, STRATEGY, ROLE-PLAYING 43.8 SHOOTER OTHER 18.4 SMARTPHONE GAMES SUCH AS ANGRY BIRDS CAN BE EXTREMELY POPULAR, BUT THE BIG MONEY IS STILL IN TRADITIONAL VIDEO GAMES: ROVIO, MAKER OF THE ANGRY BIRDS FRANCHISE, POSTED $106.3 MILLION REVENUE IN 2011. CALL OF DUTY: MODERN WARFARE 3, THE BEST-SELLING VIDEO GAME OF 2011, REACHED $1 BILLION IN SALES AFTER 16 DAYS. statista ©Eommons Oe creative SOURCES: ENTERTAINMENT SOFTWARE ASSOCIATION, NPD GROUP, ROVIO, ACTIVISION BLIZZARD, EMARKETER The Statistics Portal