The NPD Group: Second Quarter 2022 US Consumer Spending on Video Game Products Decreased 13% to $12.35 Billion – Yahoo Finance

Spending Fell by $1.78 Billion Compared to Q2 2021, Content Declined $1.71 Billion

PORT WASHINGTON, N.Y., Aug. 2, 2022 /PRNewswire-PRWeb/ — According to the Q2 2022 Games Market Dynamics: U.S.* report from The NPD Group, overall total consumer spending on video gaming in the U.S. totaled $12.35 billion in the second quarter (Q2) of 2022 (April – June), a decline of 13% when compared to Q2 2021.

Non-mobile subscription content spending was the quarter’s only growth category, with all other categories falling. Mobile content contributed most to the overall decline. Data from Sensor Tower shows U.S. consumer spending in mobile games during the first quarter fell 12% from Q2 2021.

“While our projections foresaw a downward trend in mobile spending as life in the U.S. began its return to a new normal and consumers had fewer opportunities to engage with these titles, the current economic environment has certainly contributed to a more expediated decline. Still, the expenditure by U.S. consumers in mobile games remains higher than it was pre-pandemic,” said Randy Nelson, head of insights at Sensor Tower. “We originally forecast U.S. mobile game industry revenue in 2022 to exceed that of 2021, but the economic uncertainty of the coming months will undoubtedly impact how that unfolds.”

Overall content spending in Q2 reached $10.97 billion, a 13% decrease over Q2 2021. Subscription content was the only segment to post positive gains. Hardware and accessories declined 1% and 11%, respectively.

Among the best-selling and most played games across all platforms in the second quarter were Among Us, Angry Birds 2, Bingo Blitz, Call of Duty: Warzone, Candy Crush Saga, Candy Crush Soda Saga, Clash of Clans, Coin Master, Diablo Immortal, Elden Ring, Evony: The King’s Return, Fortnite, Grand Theft Auto V, Homescapes, Kirby and the Forgotten Land, LEGO Star Wars: The Skywalker Saga, Madden NFL 22, Mario Kart 8, Minecraft, MLB The Show 22, Pok√©mon GO, Roblox, Royal Match, The Sims 4 and State of Survival.

“Higher prices in everyday spending categories such as food and gas, the return of experiential spending such as travel and attending live events, a lighter release slate of new games, and continued new generation console hardware supply constraints were all likely contributors to the decline seen in the second quarter,” said Mat Piscatella, games industry analyst at The NPD Group. “After a period of sustained growth, consumer spending continues to trend above pre-pandemic levels. However, unpredictable and quickly changing conditions may continue to impact the market in unexpected ways in the coming quarters.”

Video game hardware unit sales were led by Nintendo Switch, while PlayStation 5 hardware generated the highest dollar sales in the second quarter.

Methodology: Games Market Dynamics: U.S. provides a comprehensive measure of the consumer spend on video games in the U.S. including purchases of video games hardware, content, and accessories. It is released on a quarterly basis and provides insight and trending into the broader consumer spend on the industry including physical format sales such as new and used physical retail sales as well as game rentals, and digital format sales including full game digital downloads and downloadable content (DLC), spending on subscriptions and mobile gaming. This assessment of the broader consumer spend on the industry utilizes …….

Source: https://finance.yahoo.com/news/npd-group-second-quarter-2022-110000126.html

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