Digital sales show strong growth with the help of mobile games
Market research firm SuperData has released a new study focused on the game industry and the sales therein. The study shows that sales for the month of March have grown somewhat over the level they had been in the same month in 2012. The growth is most pronounced in the field of mobile games, which have become rampantly popular among consumers of various types. The study shows that social games, however, continue to experience a steady decline in terms of revenue.
Digital sales grow 2.9%
According to the study, digital game sales for March grew to $875 million, an increase of 2.9% over the previous year. Mobile games, especially those that have some online and social elements, contributed heavily to this growth. Mobile games were able to capture the attention of consumers with an assortment of in-app purchases and advertisements, all of which contributed to the overall revenue that these games produced.
Social games begin losing ground with consumers
While mobile games saw growth, social games continue to experience a decline. Social games, those found on social networking sites like Facebook, have begun to lose favor among consumers due to lack of innovation and the inherent difficulty in engaging consumers in advertisements and in-game purchases on such platforms. SuperData notes that Facebook insists that social games are on the rise, but there has been a decided lack of competition in the social network’s social gaming environment since Zynga’s fall from grace.
EA pulling out of social gaming space
Large game publisher Electronic Arts announced early this week that it would be closing down some of its social games hosted on Facebook. The publisher has adopted a strong interest in mobile games, considering social to be a thing of the past and mobile to be the future. While EA already has a strong presence in the game industry, the company has found it difficult to compete in the mobile games arena and is keen to devote more focus therein.
Mobile commerce becoming influence by social networking
Mobile commerce is growing more prolific around the world. It is becoming increasingly important for retailers and large brands to begin accommodating the needs of a growing consumer base that is tethered to mobile technology. As businesses begin to focus more on mobile commerce, consumers are also becoming increasingly reliant on the information they can find online, bringing more attention to the concept of social commerce. Social networks and other forms of online engagement are aiding in the continued evolution of mobile commerce by introducing more dynamic aspects to this still emerging sector.
Social commerce begins emerging among consumers
The concept behind social commerce is relatively simple: Consumers are able to find reviews for products on social networks and use this information to make informed purchase decisions. Peer reviews of products and services have long been valuable to consumers. These reviews often determine whether or not a consumer will purchase a particular product or support a particular brand. Bad reviews have, in the past, meant significant loss for a wide range of brands. As these reviews become increasingly mobile-centric, they are beginning to affect the purchasing habits of consumers.
Social media provides new platform for peer reviews
The average consumer relies heavily on social media to stay connected to friends and family as well as attain information of subjects they may be interested in. Consumers tend to share a great deal of information through social networking sites like Facebook and Twitter, and this sharing often includes information concerning the products they purchase. A recent study from Reevoo, a market research firm, shows that a growing number of consumers are accessing product reviews from their mobile devices. The report also shows a major spike in the reviews that consumers are posting from mobile devices. According to the report, reviews from mobile devices have grown by 212% since September 2011.
Social media may become intertwined with mobile commerce
Mobile commerce is becoming a more prominent part of the lives of consumers, which in turn is leading mobile commerce to become a more prominent part of social networking. Mobile commerce itself refers to much more than payments being made from a smartphone or tablet, it also encompasses mobile shopping and banking. Because of the always-connected, always-online nature of mobile commerce, social networking may soon become a major part of the way people use their mobile devices to purchase, review, and search for the products they may be interested in.
