|
Your donations keep RPGWatch running!
RPGWatch Forums » General Forums » Off-Topic » Video Game Revenue Declining

Default Video Game Revenue Declining

January 29th, 2019, 08:07
Bloomberg has a reverse game sales chart over the last twenty years, and it looks like sales are expected to fall 1 percent to $136.5 billion this year. Here are the details.


Link - https://www.bloomberg.com/news/artic…set-to-reverse
The meteoric rise of video games turned button-mashing into a bigger money-maker than Hollywood, but one veteran analyst is predicting the first industry downturn in a quarter century. Video-game revenue is headed for its first decline since 1995, with sales expected to fall 1 percent to $136.5 billion this year, according to Pelham Smithers, owner of an eponymous London-based research firm. He sees the drag lasting until at least 2020, blaming China’s stricter approach to game approvals, a shortage of big console hits and fatigue among players for battle-royale titles like Fortnite.
--
“Opinions are like assholes, everybody's got one and everyone thinks everyone else's stinks.”
Couchpotato is offline

Couchpotato

Couchpotato's Avatar
Jaded Old-Timer

#1

Join Date: Oct 2010
Location: Spudlandia
Posts: 28,560
Mentioned: 161 Post(s)
+1:

Default 

January 29th, 2019, 08:55
Looking at the mobile share you would have to surmise most of that revenue is microtransactions.
Silver is offline

Silver

Silver's Avatar
Spaceman
RPGWatch Team

#2

Join Date: Feb 2014
Location: New Zealand
Posts: 9,050
Mentioned: 80 Post(s)
+1:

Default 

January 29th, 2019, 09:27
Originally Posted by Silver View Post
Looking at the mobile share you would have to surmise most of that revenue is microtransactions.
Yep that to mobile is overtaking every market in amount of money earned.
--
“Opinions are like assholes, everybody's got one and everyone thinks everyone else's stinks.”
Couchpotato is offline

Couchpotato

Couchpotato's Avatar
Jaded Old-Timer

#3

Join Date: Oct 2010
Location: Spudlandia
Posts: 28,560
Mentioned: 161 Post(s)

Default 

January 29th, 2019, 12:22
FYI:
https://www.superdataresearch.com/ma…ear-in-review/

TL;DR:
  • The games and interactive media industry grew 13% in 2018 as Fortnite disrupted the status quo.
  • Free-to-play titles amassed 80% of digital games revenue in 2018 but premium games still performed well in Western markets.
  • Red Dead Redemption 2 earned $516M in Q4, helping to grow premium games revenue 10% year-over-year.
  • GVC earned $5.2B as viewership hit 850M unique viewers.
  • XR revenue rose from $4.4B to $6.6B as new headsets offset declining earnings from existing platforms.
duerer is offline

duerer

Keeper of the Watch

#4

Join Date: Mar 2008
Posts: 799
Mentioned: 8 Post(s)

Default 

January 29th, 2019, 13:03
Originally Posted by duerer View Post
FYI:
https://www.superdataresearch.com/ma…ear-in-review/

TL;DR:
  • The games and interactive media industry grew 13% in 2018 as Fortnite disrupted the status quo.
  • Free-to-play titles amassed 80% of digital games revenue in 2018 but premium games still performed well in Western markets.
  • Red Dead Redemption 2 earned $516M in Q4, helping to grow premium games revenue 10% year-over-year.
  • GVC earned $5.2B as viewership hit 850M unique viewers.
  • XR revenue rose from $4.4B to $6.6B as new headsets offset declining earnings from existing platforms.
It's based off new data forecasting this year will be less not 2018.

So TLDR & FYI the analysts are forecasting 2019-2020 not 2018.

Update: My other thread talked about 2018.

Link - https://www.rpgwatch.com/forums/showthread.php?t=41588
--
“Opinions are like assholes, everybody's got one and everyone thinks everyone else's stinks.”
Last edited by Couchpotato; January 29th, 2019 at 13:19.
Couchpotato is offline

Couchpotato

Couchpotato's Avatar
Jaded Old-Timer

#5

Join Date: Oct 2010
Location: Spudlandia
Posts: 28,560
Mentioned: 161 Post(s)

Default 

January 29th, 2019, 13:59
Originally Posted by Couchpotato View Post
It's based off new data forecasting this year will be less not 2018.

So TLDR & FYI the analysts are forecasting 2019-2020 not 2018.

Update: My other thread talked about 2018.

Link - https://www.rpgwatch.com/forums/showthread.php?t=41588
Touchy today, aren't we?
Btw, thanks for the other link, and for the record, here's my business mantra:
all upcoming year forecast is speculation, all past year report is fact
duerer is offline

duerer

Keeper of the Watch

#6

Join Date: Mar 2008
Posts: 799
Mentioned: 8 Post(s)

Default 

January 29th, 2019, 14:36
The revenue up there is calculated not on videogames only. It added $ being spent by whales on phones in pay2win rubbish. Those whales are slowly getting tired of spending dozens of thousands on something that goes offline in a year because everyone left the server 'xcept them.

Videogames revenue is getting higher and higher. It's previously highly profitable scam that's declining.
Note that EA finally decided not to go to Court but to remove lootboxes from FIFA in Belgium.
--
Toka Koka
joxer is offline

joxer

joxer's Avatar
The Smoker
Original Sin 1 & 2 Donor

#7

Join Date: Apr 2009
Posts: 23,468
Mentioned: 230 Post(s)

Default 

January 29th, 2019, 14:43
Yes I'm touchy when people don't read the link but post off-topic links.
--
“Opinions are like assholes, everybody's got one and everyone thinks everyone else's stinks.”
Couchpotato is offline

Couchpotato

Couchpotato's Avatar
Jaded Old-Timer

#8

Join Date: Oct 2010
Location: Spudlandia
Posts: 28,560
Mentioned: 161 Post(s)

Default 

January 29th, 2019, 16:01
I'm just happy to see that PC levels doubled from 2008. Developers & publishers woke up from their console fetish. With every kid on the planet having a phone these days the mobile numbers don't surprise me
--
"For Innos!"
ToddMcF2002 is offline

ToddMcF2002

ToddMcF2002's Avatar
SasqWatch

#9

Join Date: Oct 2006
Location: Boston MA
Posts: 3,592
Mentioned: 7 Post(s)

Default 

January 29th, 2019, 16:31
I'd no idea that people would actually pay so much to play on those tiny devices. I just cannot imagine being that desperate to play something, I'm perfectly fine with waiting until I'm at home to fire up a game. I recently got myself a Kindle though, so I do get the convenience of having thirty books to pick from in my pocket, rather than just one. Then again, I'm a much bigger reader than game player, and I doubt that will ever change.
Carnifex is offline

Carnifex

SasqWatch

#10

Join Date: Oct 2011
Location: Holly Hill, FL.
Posts: 15,222
Mentioned: 66 Post(s)

Default 

January 29th, 2019, 18:36
Kids. My son the other day was playing Witcher 3 on xBox One and said he "burnt out". Two seconds later he fires up some casual phone game while Snap Chatting. Kids play phone games at every available time slice. Usually when being driven somewhere.
--
"For Innos!"
ToddMcF2002 is offline

ToddMcF2002

ToddMcF2002's Avatar
SasqWatch

#11

Join Date: Oct 2006
Location: Boston MA
Posts: 3,592
Mentioned: 7 Post(s)

Default 

January 29th, 2019, 18:59
What I find interesting from the graph over the last twenty years.

1. Arcade games have almost become extinct
2. Handheld sales have plummeted
3. Consoles are still doing well
4. PC Market has grown
5. Mobile is quickly dominating the market
6. VR is steadily growing year by year
--
“Opinions are like assholes, everybody's got one and everyone thinks everyone else's stinks.”
Couchpotato is offline

Couchpotato

Couchpotato's Avatar
Jaded Old-Timer

#12

Join Date: Oct 2010
Location: Spudlandia
Posts: 28,560
Mentioned: 161 Post(s)
+1:

Default 

January 29th, 2019, 19:21
About time it declined a bit if you ask me. Lots of products scream over confidence and under development at the moment.
lackblogger is offline

lackblogger

lackblogger's Avatar
SasqWatch

#13

Join Date: Nov 2014
Posts: 4,353
Mentioned: 91 Post(s)

Default 

January 29th, 2019, 19:25
Nintendo Switch is pretty popular. I'm shocked that the sales segment doesn't describe a bump. Arcade will always have a viable small market given it is now part of the "upgraded" experience of combined upscaled bowling, dining & arcade experience (Pinz, Dave & Busters etc. Happy to see that I still dig arcade games
--
"For Innos!"
ToddMcF2002 is offline

ToddMcF2002

ToddMcF2002's Avatar
SasqWatch

#14

Join Date: Oct 2006
Location: Boston MA
Posts: 3,592
Mentioned: 7 Post(s)

Default 

January 29th, 2019, 19:28
I gave my Switch away over the holidays, hadn't touched the thing in three months, but the kids it went to give it quite the workout!!! I doubt I'll ever acquire another hand held gaming system. When I got my Switch, I also thought it would have a built in web browsing capability, which it sadly did not. If that had been enabled, I likely would have used it more.
Carnifex is offline

Carnifex

SasqWatch

#15

Join Date: Oct 2011
Location: Holly Hill, FL.
Posts: 15,222
Mentioned: 66 Post(s)

Default 

January 29th, 2019, 19:30
Originally Posted by Carnifex View Post
I'd no idea that people would actually pay so much to play on those tiny devices. I just cannot imagine being that desperate to play something, I'm perfectly fine with waiting until I'm at home to fire up a game. I recently got myself a Kindle though, so I do get the convenience of having thirty books to pick from in my pocket, rather than just one. Then again, I'm a much bigger reader than game player, and I doubt that will ever change.
I have a few games on my cell phone when I travel. They are mostly interactive board games, which I find nice for shorter playtimes and when I'm tired. I prefer playing on the p.c. though. I'm a teacher in primary school, and my daughter is in high school now, and a lot of kids (especially boys) play on their telephones during the breaks in school, underway, or when they are waiting. Every teenager has a cell phones, and many kids do to. I think far fewer have their own computer or console.
forgottenlor is offline

forgottenlor

forgottenlor's Avatar
Font of Useless Knowledge
RPGWatch Team

#16

Join Date: Jan 2014
Location: Vienna, Austria
Posts: 2,590
Mentioned: 60 Post(s)

Default 

January 29th, 2019, 19:35
I'm astounded that all kids have those, as I know I wouldn't let a child of mine carry such a thing around all day long. And schools actually permit them??? Granted, I've not had a child in the school system in almost twenty years, but I recall children that brought electronic devices to school usually had them confiscated shorty thereafter by teachers and such.
Carnifex is offline

Carnifex

SasqWatch

#17

Join Date: Oct 2011
Location: Holly Hill, FL.
Posts: 15,222
Mentioned: 66 Post(s)

Default 

January 29th, 2019, 20:20
To be fair, modern technology and raising kids is not a trivial topic. There's probably a sweet spot somewhere. When / how often do you let them use a computer, a cell phone, etc. Hard to know, I certainly don't have the ultimate answer.

I can just say for myself, if I had started a year or two later getting familiar with computers, I'd probably have a completely different job now. For good or for worse?
Cacheperl is offline

Cacheperl

Cacheperl's Avatar
SasqWatch

#18

Join Date: May 2012
Posts: 2,316
Mentioned: 17 Post(s)

Default 

January 29th, 2019, 20:35
Depends on the kid. My youngest is 15, excellent student, in multiple programs, sports etc so I don’t micromanage his spare time. If he wants to burn some hours with tech who am I to judge. I fondly recall the 100’s of hours burnt with Atari 2600
--
"For Innos!"
ToddMcF2002 is offline

ToddMcF2002

ToddMcF2002's Avatar
SasqWatch

#19

Join Date: Oct 2006
Location: Boston MA
Posts: 3,592
Mentioned: 7 Post(s)

Default 

January 29th, 2019, 23:57
Glad my parents let me mess around on nintendo, atari, C64, etc. It led to my interest in IT and a very nice paying job today.
--
c-computer, r-role, p-playing, g-game, nut-extreme fan
=crpgnut or just
'nut @crpgnut
aka survivalnut
crpgnut is offline

crpgnut

crpgnut's Avatar
Survival Game Nut
RPGWatch Donor
Original Sin Donor

#20

Join Date: Oct 2006
Location: St. Louis, Mo USA
Posts: 8,790
Mentioned: 65 Post(s)
RPGWatch Forums » General Forums » Off-Topic » Video Game Revenue Declining

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump

All times are GMT +2. The time now is 07:54.
Powered by vBulletin® Version 3.8.11
Copyright ©2000 - 2022, vBulletin Solutions Inc.
vBulletin Security provided by DragonByte Security (Pro) - vBulletin Mods & Addons Copyright © 2022 DragonByte Technologies Ltd.
User Alert System provided by Advanced User Tagging (Lite) - vBulletin Mods & Addons Copyright © 2022 DragonByte Technologies Ltd.
Copyright by RPGWatch