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Gaming Market hits 99.6B. Mobile biggest winner, handheld biggest loser. (and more)

L

lowhighkang_LHK

Member
https://newzoo.com/

Important things:

Worldwide Gaming Revenue is at 99.6 Billion. 99.6 billion (USD) is a 8.5% yoy over 2015. Will surpass 100 Billion next year.

Mobile Gaming has passed PC gaming in terms of total revenue. Browser games are down 7.5% yoy.

North America market value for 2016 is 25 billion. Asian Pacific countries 46 billion. China represents 24 billion of that total number for Asian Pacific countries, making it the largest country in terms of gaming revenue (lead by mobile gaming and F2P PC gaming)

Biggest year over year growth is seen in Asia Pacific and Latin America.

2016 Global Market Revenue Breakdown per platform: (United States Dollars)

Console: 29 Billion +4.5% growth
Mobile: 27 Billion +23.7% growth
PC: 26 Billion +4.2% growth
Tablet: 9.8 Billion +6.4% growth
Browser games: 5.2 Billion -7.5% decline
Handheld: 1.8 Billion -24.1% decline

2016 Global Market revenue Breakdown per region. (United States Dollars)

Asia: 46 Billion +10.7% growth
North America: 25.4 Billion +4.1% growth
Europe/Africa/Middle East: 23.5 Billion 7.3% growth
Latin America: 4.1 Billion +20.1% growth

Visuals and Graphs

31018341404_f05594d702_b.jpg


31859133305_c75a2693a3_b.jpg


newzoo_gaming_breakdogzsbz.png


TL;DR: China is lit. Mobile and F2P gaming making big strides year over year. Handheld seeing the biggest drops year over year. Latin America a big focus pushing onward. Non-mobile, F2P based gaming (i.e, the games GAF plays) has stabilized at around 4 percent growth. So no, the kind of shit GAF hates won't take over. It's just, growing faster particularly outside USA and Western Europe. Console gaming is at a stable growth of 4.5%. Digital revenue in the console space (full titles, DLC etc.) rapidly increasing year over year.
 
L

lowhighkang_LHK

Member
acm2000 said:
Hasn't been for a while unless you just count proper gaming
Click to expand...

Yeah, but if anything these reports say 'proper gaming' doesn't really have a specific definition, especially outside GAF.

Btw if a mod wants to close this thread, by all means do so. I thought some of this information wasn't posted here before.
 
A

Alric

Member
Handheld is my biggest market followed by pc, console and don't play mobile at all.
I just hope that doesn't mean less future handheld games.
 
T

Tagyhag

Member
oti xero said:
What will Switch count towards though?
Handheld or Console?

🤔
Click to expand...

Yeah that's what I'm curious about.

I assume handheld since the dock doesn't have any extra hardware in itself but if most markets didn't, that would pretty much be the death of the handheld industry.

At least as far as the market revenue people are concerned.
 
R

Real_Madrid

Member
This shows how healthy the gaming market is nowadays. I think it's great.
Everything grows except handhelds and browser games, which is no surprise to anyone.
 
Stiler

Stiler

Member
This is why the Switch has me scratching my head.

Mobile has really squeezed out the handheld market, and most people I know of that used to game on the ds, etc have moved to just using their phones cause they don't want to lug it around.
 
L

lowhighkang_LHK

Member
Stiler said:
This is why the Switch has me scratching my head.

Mobile has really squeezed out the handheld market, and most people I know of that used to game on the ds, etc have moved to just using their phones cause they don't want to lug it around.
Click to expand...

But in that case the Switch for them can still succeed as a console.
 
A

Atheerios

Member
Stiler said:
This is why the Switch has me scratching my head.

Mobile has really squeezed out the handheld market, and most people I know of that used to game on the ds, etc have moved to just using their phones cause they don't want to lug it around.
Click to expand...

That's why Nintendo is marketing it as a home console.
 
C

cw_sasuke

If all DLC came tied to $13 figurines, I'd consider all DLC to be free
I mean Handheld is just one plattform at the moment with the 3DS about to hit its 6th year - of course it cant compete with the other markets lol.
 
Stiler

Stiler

Member
lowhighkang_LHK said:
But in that case the Switch for them can still succeed as a console.
Click to expand...

Atheerios said:
That's why Nintendo is marketing it as a home console.
Click to expand...

In that case they didn't learn their lesson from the Wii U then, because we saw how that worked.

The switch strengths lie in its portability, but the market for handhelds is tiny compared to what it once was.

Why would someone pick it over their phone when their phone can do a myriad of other non-gaming things on top of gaming?

Why would a home console user pick it over the ps4/xbone ? The only strength they have in that area is first-party exclusives like mario/zelda, but even that wasn't enough to draw in a market for the Wii U.

Which is why it makes no sense either way they market it because of just how the market is these days.
 
C

cw_sasuke

If all DLC came tied to $13 figurines, I'd consider all DLC to be free
Stiler said:
In that case they didn't learn their lesson from the Wii U then, because we saw how that worked.

The switch strengths lie in its portability, but the market for handhelds is tiny compared to what it once was.

Why would someone pick it over their phone when their phone can do a myriad of other non-gaming things on top of gaming?

Why would a home console user pick it over the ps4/xbone ? The only strength they have in that area is first-party exclusives like mario/zelda, but even that wasn't enough to draw in a market for the Wii U.

Which is why it makes no sense either way they market it because of just how the market is these days.
Click to expand...

3DS is still one of the best selling systems this generation and will likely only be outsold by the PS4 - so yeah that the market they are going for. WiiU was a big misstep for Nintendo - but lets not act like WiiU is the Golden Standard for a Nintendo consoles performance.
 
O

OrbitalBeard

Member
Stiler said:
In that case they didn't learn their lesson from the Wii U then, because we saw how that worked.

The switch strengths lie in its portability, but the market for handhelds is tiny compared to what it once was.

Why would someone pick it over their phone when their phone can do a myriad of other non-gaming things on top of gaming?

Why would a home console user pick it over the ps4/xbone ? The only strength they have in that area is first-party exclusives like mario/zelda, but even that wasn't enough to draw in a market for the Wii U.

Which is why it makes no sense either way they market it because of just how the market is these days.
Click to expand...

It's still large enough for Nintendo to succeed, at least in the mid-term. Switch is by far Nintendo's best option.
 
S

Sterok

Member
For handhelds, I imagine the main culprit is the 3DS receiving major price cuts. 2DS is $80 and finally released in Japan, New 3DS $99 BF deal, etc. In terms of sales it's down a bit in Japan, up in the US, and not sure about Europe. Software should be following a similar pattern, but I can't say for sure in the US outside of the holidays. Vita isn't helping much either, but that's to be expected now.
 
G

Genio88

Member
This is weird 3DS has been doing pretty well, though the handheld have been destroyed by mobile...of course we should also take in consideration that mobile gaming include every phone game, even the smaller ones, and of course nowadays everybody has a phone, way more people compared to who have a dedicated gaming device, so for mobile is "easier" to make big numbers.
Happy to see PC gaming and consoles are still doing good, hopefully Switch will help handheld too
 
O

oti

Banned
Real_Madrid said:
This shows how healthy the gaming market is nowadays. I think it's great.
Everything grows except handhelds and browser games, which is no surprise to anyone.
Click to expand...
Sure. Let's just hope those whales don't stop with their addiction. Otherwise the mobile market will collapse like a house of cards and downscale significantly.

Stiler said:
This is why the Switch has me scratching my head.

Mobile has really squeezed out the handheld market, and most people I know of that used to game on the ds, etc have moved to just using their phones cause they don't want to lug it around.
Click to expand...
Nintendo is betting on their IP selling hardware. That's always been their business model. For what it's worth I think appealing to kids - the most important thing to do for Nintendo - works better with a tablet device than with a traditional console. We'll see if that works out for them.
 
U

unapersson

Member
cw_sasuke said:
3DS is still one of the best selling systems this generation and will likely only be outsold by the PS4 - so yeah that the market they are going for. WiiU was a big misstep for Nintendo - but lets not act like WiiU is the Golden Standard for a Nintendo consoles performance.
Click to expand...

It seems odd comparing handhelds and consoles directly. Handhelds, much like phones, are solo devices, while consoles are designed to be shared. So the sales behaviour is always going to be different. When handhelds and console sales are at a similar level it merely shows how bad things have gotten for handhelds.
 
O

Oddish1

Member
unapersson said:
It seems odd comparing handhelds and consoles directly. Handhelds, much like phones, are solo devices, while consoles are designed to be shared. So the sales behaviour is always going to be different. When handhelds and console sales are at a similar level it merely shows how bad things have gotten for handhelds.
Click to expand...

Haven't handhelds always sold similarly to consoles? I'm not going to dispute that handhelds are in a bad place now but that's kind of an odd example to use.
 
A

Asd202

Member
No wonder Nintendo said Switch is a home console if you look at the data that's what should be marketed at least that's what investors would look at.
 
U

unapersson

Member
Oddish1 said:
Haven't handhelds always sold similarly to consoles? I'm not going to dispute that handhelds are in a bad place now but that's kind of an odd example to use.
Click to expand...

Surely that's merely co-incidental.

It tends to be regional, handhelds sell much better in Japan, consoles in the west. Though I think the gameboy etc. did well in the west.

If the markets aren't different then why does so much of the analysis differentiate them?
 
S

ShadowFox08

Member
oti xero said:
What will Switch count towards though?
Handheld or Console?

🤔
Click to expand...
Home Console. Its a portable home console. I'm sure Nintendo knew that the handheld market is losing install base to mobile phone market, since it just can't compete with price of games.

Tbqh, all handheld consoles should just fit in the console category though.
 
G

gtj1092

Member
Isn't 3DS Nintendo's worst selling handheld? Selling even worse than the PSP which was a failure. The Wii U gets a lot of crap but it's not like the 3DS was burning the charts up. I mean GBA was able to make up for the GameCube but Nintendo's profits in this era have been light to non-existent.
 
nkarafo

nkarafo

Member
HawthorneKitty said:
Why isn't it really gaming?
Click to expand...
Most people don't buy smartphones to play games. Having a smartphone is like a necessity these days. Everyone has one.

Nobody in my cycle use these devices for games (i only have one game myself. And that exists on PC too). They do download many games but only play them for a few minutes before they uninstall them. There are a few games they do keep and play from time to time. You know, the more popular and better ones. But they only play them when they can't do anything else (like when they are on the bus).

If we have the choice to play on any device, we always prefer a console, a PC, or even a hand-held. I feel like smarphone gaming is only popular because you always have the device on you and lets you kill time when you don't have access to your actual game machines. So it doesn't really compete with the traditional gaming machines.
 
C

cw_sasuke

If all DLC came tied to $13 figurines, I'd consider all DLC to be free
unapersson said:
It seems odd comparing handhelds and consoles directly. Handhelds, much like phones, are solo devices, while consoles are designed to be shared. So the sales behaviour is always going to be different. When handhelds and console sales are at a similar level it merely shows how bad things have gotten for handhelds.
Click to expand...

Compare how much money is being invested on consoles compared to Handhelds - expecting similar or even better performance when there is little support outside of Nintendo themselves and a couple Keypartner + Niche games is not realistic.

Circinus said:
And why do you think it's just one platform with little direct competition?
Click to expand...

I guess the Handheld market was also dead during the GameBoy and GBA era as well when we only had one performing plattform with little direct competition ? Not very much has changed, the market got way bigger but many of the people who play on Smartphones or Tablets nowadays would have never picked up a handheld to begin with. DS was an exception with its approach and access to a broader market - which got eaten by Smartphones quite fast.
 
D

dracula_x

Member
cw_sasuke said:
I mean Handheld is just one plattform at the moment with the 3DS about to hit its 6th year - of course it cant compete with the other markets lol.
Click to expand...

And? Console market is just two platforms at the moment (PS4 and XOne), but see the difference:

Console: 29 Billion +4.5% growth
Handheld: 1.8 Billion -24.1% decline
 
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