Loading...

U.S. spending on gaming hardware declines by 40% in the first half of 2024

In this post:

  • A Circana report revealed that in May 2024, U.S. spending on video games dropped by 6% to $4 billion.
  • According to Mat Piscatella, Executive Director & Video Game Industry Advisor at Circana (NPD), consumer purchases of video game content also fell 3% to $3.6B.
  • The report showed a 40% decline in May 2024’s video game hardware purchases compared to the same period in 2023 but a 2% rise to $22.8 billion in year-to-date spending.

The report from market analysts Circana disclosed declines in total video games sales (-6%), video gaming hardware purchases (-40%), and video game content purchases (-3%). However, the data showed a year-to-date 2024 overall spending increase of 2% compared to the same period in 2023. 

Also Read: Ghost of Tsushima Will Require a PSN account for Multiplayer Mode on Steam  

According to Piscatella, the decline in total video game hardware spending could be attributed to Nintendo’s strong launch of The Legend of Zelda: Tears of the Kingdom in May 2023. However, Ghost of Tsushima ranked first on Circana’s top 20 best-selling premium games in May 2024. 

Circana reveals video gaming market trends 2023 to 2024

Sharing Circana’s report on X, Piscatella highlighted year-on-year (YoY) and year-to-date (YTD) changes in the U.S. video game industry. In particular, the data showed that the overall video game sales dropped by $258M (6%) in the past year. However, the year-to-date video game sales in 2024 revealed a 2% increase compared to the same period in 2023. 

According to Circana’s data, consumer spending on video game content, hardware, and accessories declined by 3%, 40%, and 8%, respectively. The year-to-date changes in 2023 and 2024 revealed gains in video game content by 6% and accessories by 8%, while video game hardware fell by 30%.    

“Through May, all current generation hardware platforms are showing double-digit percentage declines year-on-year in 2024, with Switch showing the most significant drop.” 

Piscatella  

Using data from Sensor Tower and Circana, Piscatella pointed out that the 13% growth in mobile content spending was unable to offset the 40% drop in console content spending. He, however, claimed that a 10% growth in headset spending was offset by the 12% drop in gamepad spending.

Video game rankings keep changing

According to Circana’s data, Helldivers II was the best-selling premium game during the year-to-date ending May 2024. However, the data shows that Ghost of Tsushima was the best in terms of tracked dollar sales. Piscatella’s statement on X suggested that Ghost of Tsushima was boosted by the title’s release on Steam.  

Also Read: Aska, the Viking-themed survival game, launches on Steam early access 

Piscatella revealed that while Helldivers II had been placed first on Steam, Fortnite topped both the Xbox Series and PS 5 platforms in monthly active users. xDefiant was also ranked 5th on PS5 and 6th on Xbox Series in video gaming monthly users.

“Other new releases appearing among the top 20 best-sellers of May included Homeworld 3 (14th) and F1 24 (18th).”

Piscatella

The U.S. mobile gaming consumer spending in May 2024 showed a 13% growth compared to May 2023, according to Circana’s data. The data confirmed that the PlayStation Portal was ‘the best-selling accessory’ in dollar sales for year-to-date 2024.

 


Cryptopolitan reporting by Collins J. Okoth

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Share link:

Most read

Loading Most Read articles...

Stay on top of crypto news, get daily updates in your inbox

Related News

Apeiron AGW League
Cryptopolitan
Subscribe to CryptoPolitan