Tag: mobile games sales

Mobile games may dethrone handheld games by the end of 2013

| April 30, 2013

Mobile Games - Handheld games lose groundMobile games establishing a formidable presence

Consumers are expected to spend more money on mobile games than those on traditional handheld systems by the end of 2013, according to forecasts from the International Data Corporation (IDC). The research firm has tracked the sales of handheld games for some time, finding the market somewhat volatile and relatively devoid of consumer interest. Even Nintendo, which has long reigned in the realm of handheld gaming, has been seeing lackluster sales for its 3DS platform. Mobile games seem to be replacing traditional handheld gaming as smartphones and tablets become more technologically advanced.

IDC predicts decline in handheld sales through 2017

The IDC anticipates that sales for the Nintendo 3DS and the Sony PS Vita will fall by 7% year-on-year through 2017. Mobile games are expected to pick up the slack due to their rampant popularity and the widespread availability of free-to-play titles. The IDC notes that handheld games will still be able to produce higher levels of revenue, however, due to the fact that many mobile games are either free or available at a very low price. This advantage is considered modest due to the fact that most mobile games have in-app purchases and advertisements, which account for the majority of the revenue generated by these games.

Android expected to become ideal platform for mobile games

Android is considered to be the most promising platform in the mobile games sector, according to the IDC. The firm notes that the Android platform is somewhat fragmented, making it difficult for game developers to find traction through the platform the same way they can find success with the iOS platform. Nonetheless, Android has been growing to become more intuitive and accommodating to the gaming environment. So much so that the IDC expects Android to beat out all other platforms in the mobile games field in the near future.

Free-to-play model continues to grow

Free-to-play mobile games will likely be the key to dominance over handheld games. The IDC predicts that the game industry will become more adept in fashioning free-to-play business models that allow consumers to enjoy mobile games for free while also offering valuable services for a fee. Consumers remain somewhat dubious concerning in-app purchases, often called microtransactions, but the IDC anticipates that consumers will grow more accommodating as this business model becomes the norm for the game industry.

Mobile games may soon dominate the game industry

| March 19, 2013

Mobile games versus consolesMobile games picking up the slack of conventional consoles

The game industry in the U.S. is facing a slump, according to a study from the NPD Group. According to the market research and analysis firm, the trend of declining hardware, software, and accessories sales in the U.S. persists, sending ripples throughout the game industry. The study suggests that consumers are beginning to move away from conventional gaming systems, such as consoles, and have been more inclined to participate in mobile games. Much of the money that seems to be exiting the game industry, on the consumer level, seems to making its way to these mobile games rather than traditional gaming media.

Console and software sales are down in the US

NPD Group notes that total sales of hardware, software, and accessories in the U.S. game market were $810 million in February of this year. This is a decline from the $1.09 billion that the game industry had seen in the U.S. market only a year previous. Hardware sales, in particular, have dropped 36% over the past 12 months, despite the launch of new gaming systems, such as the Nintendo Wii and the Playstation Vita. Where consumers are no longer purchasing physical products, they are spending money on mobile games.

Mobile games and digital distribution eclipse hardware sales

Mobile games have come to account for a significant portion of the revenue being generated within the game industry. According to the NPD Group, mobile games, as well as digital distribution platforms and subscription services, now account for $1.2 billion in sales within the game industry. Several large publishers, like Electronic Arts, have seen significant success through digital distribution, as is the case with Dead Space 3. Mobile games, in particular, continue to generate a great deal of revenue for their developers and the publishers of these games.

Game industry begins to take mobile more seriously

Mobile games are expected to continue playing a large role in the U.S. game industry. They may one day come to dominate the industry as consumers continue to favor digital distribution and mobile gaming applications over conventional consoles and physical products. Many companies within the game industry have taken note of this trend and have been focusing much of their efforts on supporting mobile games so as to solidify their continued presence in their given market.