Game Marketing Tips, Analysis, and News

Monday, April 9, 2012

Video Game Sales Expected Down Again

Michael Pachter at Wedbush Securities sent out a note this morning, saying they expect NPD figures for March to be nasty once again. They expect software sales to be down 23% over last year, following similar declines in December, January, and February. Hardware sales were down, too, but only by 8%.

Grim numbers for traditional videogames sold in traditional retail channels. Yes, DLC helps, but not enough. Gamers are getting more careful about what they buy on disc, at least new games on disc. There's so many other options these days. Numbers for May, when Diablo II comes out, will doubtless look pretty good, but the overall trend is pretty scary. Declines of a few percent here or there can be handwaved away; declines in the 20% range month after month cannot be dismissed so easily.

1 comment:

  1. It’s really no surprise to me that video games sales are plummeting each year, especially now with so many rental services around and the prices being so high. I used to purchase a lot of games, until I found about the Blockbuster @Home package through my Dish subscription. It’s only $10 a month and gives me on top of games; DVD’s (including Blu-rays) by mail, streaming to my TV/PC and premium channels like EPIX. After I rent a game is when I decide if I want to spend my money to purchase it or not. I think it’s the best way to play as many games I want, so I was ecstatic when I first heard the news of Blockbuster @Home from my coworkers at Dish. It’s been an excellent way to save money through the months. :)