Monthly Video Game Sales Decline — Again15 Oct, 2010 By: Erik Gruenwedel
Like a broken record, September sales of video games and hardware fell for the sixth consecutive month — despite the successful launch of Microsoft’s franchise title Halo: Reach, which sold 3.3 million copies, according to The NPD Group.
Sales of new games (not used) totaled $614 million, down 6% from sales of $649 million during the previous-year period. Hardware console sales plunged 19% to $383 million, compared with $472 million last year. Accessories increased 13% to $180 million from $159 million.
Overall sales of software, hardware and related accessories fell 8% to $1.22 billion from $1.32 billion last year.
“While industry sales of new physical retail sales show a decline versus year ago, it's important to remember that there is a growing volume of content being sold digitally, or otherwise outside the traditional retail channel,” said NPD analyst Anita Frazier. “These numbers reflect the largest channel for hardware, software and accessories sales, but there are content sales happening elsewhere.”
Other top selling physical game titles in September included Madden NFL 11 (Electric Arts), Dead Rising 2 (Capcom USA), NHL 11 and FIFA Soccer 11 (both EA), Kingdom Hearts: Birth By Sleep (Square Enix), Mafia II (Take 2 Interactive), Spider-Man: Shattered Dimensions (Activision), Metroid: Other M (Nintendo), and Call of Duty: Modern Warfare 2 (Activision).
The NPD reported that in addition to the $3.7 billion spent in the U.S. by consumers on new physical video and PC game software in the first half of 2010, total consumer spending on content via other monetization methods, including used games, game rentals, subscriptions, digital full game downloads, social network games, downloadable content, and mobile game apps. is estimated at from $2.6 billion to $2.9 billion in the first half.
The report found that when including sales of used games and rentals, the total consumer spend on the industry is nearly 40% larger than new physical retail sales alone.
Indeed, growing interest in game rentals this week prompted Redbox to expand testing of $2-per-day video game kiosk rentals nationwide.