NPD: US game spend for Q2 reaches $2.88 billion

Research group's latest findings show a spending decline of 3 percent compared to Q2 2012 as a result of next-gen looming on the horizon.

The NPD Group today released results from its 2013 Games Market Dynamics: US report, concluding that total United States spend on games for the April-June quarter was $2.88 billion. This is down 3 percent from last year's $2.97 billion, the company said.

The $2.88 billion figure includes $769 million spent during the quarter on new physical console and PC software, as well as used and rental spending of $343 million, and digital content (full game downloads, downloadable content, subscriptions, mobile, and social games) spending of $1.77 billion.

When adding spending from accessories, hardware, and total content, spending fell 9 percent, the NPD Group said, due primarily to hardware declines resulting from gamers holding off in anticipation of new systems in November.

"The decrease in new physical spending is partly due to the decline in the number of new SKUs released at retail (with 37 percent fewer new SKUs in Q2'13 compared to Q2'12) which is to be expected as developers, publishers, and consumers alike prepare for the next hardware generation," NPD Group analyst Liam Callahan said in a statement.

Callahan noted that increases in digital content spending "nearly" offset the losses from declines in physical format spending. He added that digital full-game downloads and DLC saw a combined spending increase of 27 percent over last year.

The PlayStation 4 launches in North America on November 15, while the Xbox One will debut in 13 regions across the world on November 22.

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Discussion

22 comments
soulless4now
soulless4now

It's thanks to the great WiiU software. 

Nah, I kid. 

Hurvl
Hurvl

3 procent doesn't sound that much, although I don't know what an analyst/economist would consider to be much. Sometimes, they seem so very agitated whenever there's not a percentual increase since last year. Whatever the case, things are reeaallyy going to skyrocket once we get closer to the holidays. Hope these analysts don't get to upset when it isn't skyrocketing in the winter season of 2014/2015.

pkosior
pkosior

GameStop R.I.P 2015 digital is the future

bouchart
bouchart

They blame the decline in spending on the new consoles coming out in a few months.  I'd say it's due to poor economic conditions.

Honestly, people rarely save their money now in order to spend it later.  Why would gaming sales work like that, but not anything else?

jeffcliff
jeffcliff

Name three (non-indie, non-mobile) games that were worth buying that were released between April and June. 80-90% of my annual video game purchases are made between august and December year after year, that's when good games get released.

SOLDIER-No2
SOLDIER-No2

Lately, I've noticed that "spend" is used instead of "expenditure" or the gerund "spending."  When did this start to happen?  When I read it, it sounds weird.

de-astroturfer
de-astroturfer

"just think how much we could make if we banned used game sales sharing and giving games to friends, hey the public say no now but we'll find a way to make them accept it, corporate man hugs all round grrrrrrrr"

Oaken-shield
Oaken-shield

The new gaming consoles era looks bright! : )

Poison-tooth
Poison-tooth

Alarm! Alarm! Alarm! The industry is going to crash! Abandon ship! ;)

PixelAddict
PixelAddict

Improving Economy + Next Gen = Record 1st Year Console Sales/Launch*

*By this time next year

Okay, where's my fat paycheck for being a so-called analyst??

jenovaschilld
jenovaschilld

I have been buying consoles since the 3rd gen, and this is a norm when it comes to the life cycles of consoles. While the prolonged 7th gen- I believed hurt things more than anything else- if gaming follows movie making early years (and by all accounts it is), gaming has nothing but a brighter future ahead. 

darius343
darius343

People would be spending more if there were any good game already out. 

Mayleene
Mayleene

So?  Does this industry really believe it will always make more year over year?

Algearond
Algearond

@pkosior In some things, but I still like my physical games on my desk

Mayleene
Mayleene

@jeffcliff OK!  I actually purchased Pandora's Tower, Fire Emblem and Animal Crossing 

VC games purchased:  LoZ: Oracle of Ages and Seasons and also SMB 2.

bouchart
bouchart

@SOLDIER-No2 I heard that business jargon first a few years ago.  Middle managers use it to sound intelligent but it's just bad grammar.

Hurvl
Hurvl

@Oaken-shield When the hordes pour out, looking for the new consoles, you'll have good use of that oaken shield to protect yourself from their onslaught.

Kayweg
Kayweg

@Mayleene Apparently every industry thinks that and every investor expects that.

Unsustainable system in the long run of course, hopefully i won't be around anymore when it all comes crushing down.

jeffcliff
jeffcliff

@Mayleene name three games you thought were worth buying brand new released between april and june