Sega sells more PC than console games

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#1 Posted by EndlessInfinity (231 posts) -

Article from GS

Sega's latest earnings report reveals the company's packaged PC sales grew tremendously while packaged console game sales crashed. The company's digital sales are also almost equal to its packaged sales now, but all of these pale in comparison to Sega Sammy Holdings' pachinko business.

The company profited almost $50 million from its pachinko business in the nine months period the report covered. By comparison, Sega's "consumer business," which includes all console, handheld, and PC sales both digital and retail, made only $27 million.

Pachinko, in case you haven't heard of it, is a gambling machine akin to a slot machine thinly veiled as an arcade game. It looks like a vertical pinball table without flippers. You fire a ball into the machine and watch as it makes its way down to the bottom. If the ball goes into certain holes, you get more balls, which you can use to keep playing and ultimately trade in for prizes.

Sega's consumer business seems to be leaning towards digital and PC. It's revenues from packaged games now has only a slight edge on digital revenues, and packaged PC sales grew from 770,000 units last year to 2.27 million, while packaged console sales dropped from 2.73 million to just 1.2 million.

While Sega is probably best known for iconic characters like Sonic, PC games like Football Manager and the Total War series are becoming increasingly important to its bottom line.

Avatar image for Shielder7
#2 Edited by Shielder7 (5191 posts) -

Sega sells games?

You also left out a key part of the title.

but pachinko machines eclipse both.

Which leaves me wondering if this is for Japan only.

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#3 Posted by uninspiredcup (24764 posts) -

@Shielder7 said:

Saga sells games?

SAAAAAAAAAAA.... GAAAAAAAAAAAAAAAAA

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#4 Posted by CrownKingArthur (5262 posts) -

this is good news. good financial performance in the pc sector, combined with consumer-led initiatives to increase sega's awareness of demand for their games on the pc platform:

together these factors might precipitate more sega published games on pc. i welcome this.

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#5 Posted by PurpleMan5000 (9263 posts) -

Total War . . .

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#6 Posted by gameofthering (11088 posts) -

I like Sega and I like the PC so this is good news for me if it means more titles from them.

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#7 Posted by IMAHAPYHIPPO (3137 posts) -

This is due to random Steam sales and the better pricing model on PC. I bought Colonial Marines on a whim because it was 1.99$ on PC. That doesn't happen on consoles, hence higher PC sales.

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#8 Edited by TheFadeForever (2649 posts) -

@Shielder7:

No its not only Japan when it comes to the game sector

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#9 Edited by R4gn4r0k (26871 posts) -

@PurpleMan5000 said:

Total War . . .

Total War and Company of Heroes 2, 2 huge games that released exclusively on PC.

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#10 Posted by Shielder7 (5191 posts) -

@TheFadeForever said:

@Shielder7:

what do you mean by only Japan

Do you know of any other place that has pachinko machines? Because apparently they're eclipsing both. I just find it doubt full These machines found only in Japan are making more money world wide than on all their game sales. And if they are why do anything else.

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#11 Edited by lawlessx (48753 posts) -

@Shielder7 said:

Sega sells games?

You also left out a key part of the title.

but pachinko machines eclipse both.

Which leaves me wondering if this is for Japan only.

i see no reason why you'd think..oh wait fanboy..

nevermind

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#12 Edited by lundy86_4 (48529 posts) -

Pretty interesting. I still miss them as a console manufacturer...

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#13 Edited by treedoor (7648 posts) -

The problem with Sega is that Sega of Japan doesn't like to listen to Sega of America which sucks because Sega's Japanese games would succeed if they'd just put them on PC where they'd gain a lot more exposure, and make more money per sale.

Hopefully news of Sega's PC success reaches Japanese headquarters.

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#14 Posted by TheFadeForever (2649 posts) -

@Shielder7:

This is there latest earning reports

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#15 Posted by EndlessInfinity (231 posts) -

@Shielder7:

Irrelevant when it comes to Console and PC sales

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#16 Edited by jhonMalcovich (7090 posts) -

Well, basically Sega sold twice as much on PC than on consoles last year.

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#17 Posted by cfisher2833 (2150 posts) -

@R4gn4r0k said:

@PurpleMan5000 said:

Total War . . .

Total War and Company of Heroes 2, 2 huge games that released exclusively on PC.

Actually, I think the report said their best performer was Football Manager 2013. Gotta love them Europeans and their football.

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#18 Posted by MBirdy88 (12073 posts) -

@Shielder7 said:

Sega sells games?

You also left out a key part of the title.

but pachinko machines eclipse both.

Which leaves me wondering if this is for Japan only.

so what happened to "Console games alway sell more"? poor console peasants... down hill from here.

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#19 Posted by clyde46 (49048 posts) -

@treedoor said:

The problem with Sega is that Sega of Japan doesn't like to listen to Sega of America which sucks because Sega's Japanese games would succeed if they'd just put them on PC where they'd gain a lot more exposure, and make more money per sale.

Hopefully news of Sega's PC success reaches Japanese headquarters.

I do too. Its about time Sega Japan woke up and smelt what the Rock is cooking.

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#20 Posted by R4gn4r0k (26871 posts) -

@cfisher2833 said:

@R4gn4r0k said:

@PurpleMan5000 said:

Total War . . .

Total War and Company of Heroes 2, 2 huge games that released exclusively on PC.

Actually, I think the report said their best performer was Football Manager 2013. Gotta love them Europeans and their football.

How could I forget. SEGA has a pretty nice spot in the PC market with those franchises.

Also, they seem to be one of the few companys left who make RTS for the PC... huh... who could've guessed :p

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#21 Posted by osan0 (14885 posts) -

what was segas output for consoles last year besides yet another poorly executed sonic for the wiiu and 3DS?

football manager, total war and company of heroes 2. 3 anticipated and quality (after some patching for rome 2) PC titles doing the business.

console wise....anything of note?

on a side note hopefully more japanese publishers pay attention. the FF MMO is keeping squares finances in order (and they have upgraded FF7 for the PC..hopefully its a prelude to treatling the PC the same as the console for big FF games in the future. hopefully more of their smaller but awesome games like bravely default and the world ends with you start making the transition also.). Ys actually does decent numbers on the PC and has a following.

japanese publishers are still doing silly things though. capcom release lots of games on the PC but the one game, the ONE game, that may have gotten more PC gamers interested in capcoms offering, dragons dogma, was not released on the PC. its bizarre.

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#22 Posted by CroidX (1555 posts) -

Sega better bring more games

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#23 Posted by Vatusus (7775 posts) -

well, duh. Football Manager and Total War are their biggest franchises atm

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#24 Edited by Jakandsigz (6341 posts) -

@Shielder7 said:

Sega sells games?

You also left out a key part of the title.

but pachinko machines eclipse both.

Which leaves me wondering if this is for Japan only.

Pachinko is Sammy and Not Sega though.

@Shielder7 said:

@TheFadeForever said:

@Shielder7:

what do you mean by only Japan

Do you know of any other place that has pachinko machines? Because apparently they're eclipsing both. I just find it doubt full These machines found only in Japan are making more money world wide than on all their game sales. And if they are why do anything else.

Yes, a lot of countries have pachinki machines.

@Vatusus said:

well, duh. Football Manager and Total War are their biggest franchises atm

Well recently. Sonic was ahead of FB manager until the announcement of lost world.

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#25 Edited by jun_aka_pekto (22100 posts) -

I'd say. I have the Total War games from the first Rome to Napoleon (Rome, Medieval 2, Empire, Napoleon) and whatever expansions they have available. I still have to plans to buy Shogun 2 eventually. All of them have good replay value which is why I haven't gotten to Shogun 2 yet.

That Sonic racing game came free with my laptop and is available in my Steam library. But, I'm not really interested in it.

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#26 Edited by RadioGooGoo (253 posts) -

Football Manager is a dream for any publisher. A guaranteed million plus seller every year for a game that changes very little year to year and appears to have a small development budget and team. The game is known as a "glorified spreadsheet".

Football Manager doesn't even really need to pay for licenses (even though they still do) for teams and leagues because they all end up getting made by a rabid fan community.

It's one of the safest properties in all of gaming I think. It's also one of the most pirated games annually, which shows its potential despite its sales rising with every iteration. FM has the potential to be a 2-3 million seller annually within a decade. Gaming keeps growing in parts of the world where soccer is really popular, so this will become a flagship franchise for Sega, much more so than today.

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#27 Edited by scoots9 (3478 posts) -

Atlus games on PC pls.

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#28 Posted by tempura13 (523 posts) -

Just localize the games already!

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#29 Edited by Rage010101 (5470 posts) -

PC gaming domination!

Console gaming is dying confirmed.

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#30 Posted by DarthRamms (1128 posts) -

consolities are going to pretend this doesn't exist

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#31 Edited by Jag85 (10679 posts) -

Here's a breakdown of Sega-Sammy's revenues for the first 3/4 of their current fiscal year, April-December 2013: (with an exchange rate of $9.83 billion per ¥1 billion, as of 31 December 2013)

  • Pachislot and Pachinko Machines - ¥160.2 billion ($1.575 billion)
  • Amusement Machine Sales (Arcade) - ¥28.0 billion ($275.2 million)
  • Amusement Center Operations (Arcade) - ¥32.4 billion ($318.5 million)
  • Consumer Business (Console, PC, Mobile) - ¥72.3 billion ($710.7 million)
  • Other - ¥10.9 billion ($107.2 billion)

And a further breakdown for some of these segments:

Amusement Machine Sales (Arcade)

  • Code of Joker - ¥2.3 billion ($22.6 million)
  • World Club Champion Football - ¥2.1 billion ($20.6 million)
  • Border Break - ¥1.2 billion ($11.8 million)

Consumer Business (Console, PC, Mobile)

  • Consoles (PS3, Wii U, 3DS, PSP, PSV) - 1.2 million units
    • Sonic Lost World (Wii U & 3DS) - 640,000 units
    • Sakatsuku: Pro Soccer Club o Tsukurou! (PS3 & PSV) - 200,000 units
  • PC - 2.27 million units
    • Football Manager 2013 - 680,000 units
  • "Catalogue etc." (?) - 2.81 million units

Overall, the biggest revenue-generating sectors for Sega-Sammy, during April-December 2013, would be in the following order:

  1. Pachinko & Pachislot ($1.575 billion)
  2. Arcade ($594.9 million)
  3. PC (2.27 million units)
  4. Consoles (1.2 million units)

Not sure where mobile gaming fits in though.