U.S retail sales of video game hardware (consoles like Xbox), software (actual titles) and accessories summed $1.07 billion in October compared to $1.11 last year. Year to date sales stood at $11.07 billion, an 8% decrease from last year.
Moreover, hardware sales went down 26% to $280 million from $381 million last year. Both Nintendo and Sony were unable to sell as many consoles in the past two years, while Microsoft has actually increased unit sales of its console, Xbox, by 30% to 325,000 units.
Meanwhile, game software sales increased by 6% to $605 million. This figure does not include the latest record shattering release of Call of Duty: Black Ops, which holds the record of the highest release day sales with a shocking figure of $360 million.
Video games have always seemed a small niche market to many people, yet such figures clearly make this industry a lot more significant than the image of teenagers passing time in the basement. At a time where many people have little to spend on leisure, video games actually seem to hold strong sales. Perhaps with the advancement of technology multiplayer gaming is replacing other social activities.
Although quite expensive at first, video games offer a higher bang for the buck than many other pastime activities such as going to the movies when a ticket costs $12.
Obviously the slump in overall sales can be attributed to the lack of new products along with the ongoing affects of the recession, which continue to prevent people from spending money on unnecessary goods.
Video games will continue to revenue enormous sums of money in these troubled times in the retail industry as even the worried consumer can’t say a to a determined kid with the latest & greatest video game on his Christmas list…
Article source: http://www.google.com/hostednews/ap/article/ALeqM5gHaDv9mvelX2WsRRERcGrlQcsgBQ?docId=9c5894761e3442c79954705ad7ea46e1
Written by Michael Milner
So what is your suggestion to video game hardware and software retailers? You say that the slump that they're in is obviously due to the lack of new products along with the affects of the recession. Why is there a lack of new products? Do you believe that there is not enough general investment in the technology necessary to develop new products?
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