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Second Quarter Game Spending Reaches Highest Total in U.S. History, Switch & Animal Crossing: New Horizons Lead The Way

Nintendo's super success

Gaming has seen explosive growth in recent months due to the pandemic, which has millions staying home much more often. Those at home have been spending time playing games, which is bringing in a ridiculous amount of revenue for the games industry. Check out the NPD's full report on Q2 2020 spending on the US below.

According to the Q2 2020 Games Market Dynamics: U.S.* report from The NPD Group, overall total industry consumer spending on video gaming in the U.S. reached a second quarter (April – June) record $11.6 billion, an increase of 30% when compared to the same time period last year, and a 7% increase over the first quarter 2020 (January – March) record $10.9 billion.

Sales of video game content reached $10.2 billion in the second quarter, up 28 percent when compared to a year ago. Gains were seen across new physical content, digital console and PC content, mobile and subscription spending. Strong growth across Nintendo Switch, PlayStation 4 and Xbox One led to an overall hardware category sales increase of 57% to $848 million. Sales of video game accessories including gamepads, headsets, steering wheels and other peripherals increased 50% to $584 million.

Animal Crossing: New Horizons, Call of Duty: Modern Warfare, Call of Duty: Warzone, Candy Crush Saga, Candy Crush Soda Saga, Final Fantasy VII: Remake, Grand Theft Auto V, Mario Kart 8: Deluxe, Minecraft, NBA 2K20, Pokémon Go and The Last of Us: Part II were among the best-performing titles of the second quarter.

“Today, we have more video game players playing for more hours, while spending more in the process; and what gamers old and new are discovering is an industry that has a wide array of experiences available to them regardless of device and budget,” said Mat Piscatella, games industry analyst at The NPD Group. “During the pandemic, many have turned to video games not only to keep them preoccupied, but also to stay in touch with family and friends. This has resulted in an acceleration of what were already established trends towards heightened video game player engagement. I don’t see any signs of this slowing down.”

Comments

It’ll be interesting, or potentially saddening, to see next quarter results given the increasing levels of unemployment and financial struggles now that the pandemic has set in and people have to cut back on luxury items like gaming. At least in the U.S.

I wish people were that prudent with their spending but most people aren't. There'll probably be a dip in sales but unless it's a full blown recession, it's not going to be as bad as one would think.

Mon Aug 10 20 02:50pm
(Updated 1 time)

Isn’t the U.S. economy not in a full blown recession or even depression? Didn’t it report worst GDP numbers since WW2?

Edit: source says it is.
https://www.cnbc.com/amp/2020/06/09/us-officially-in-a-recession-but-its-different-than-2008.html

Who’s source is:
https://www.nber.org/cycles/june2020.html

Yep... that sounds about right.

Yeah, but if put in context, then it's not as bad it seems. The whole world was on lockdown for months. So economies all dipped because they couldn't trade in the normal way.

I'm not an expert but I just don't think we're going to see a massive drop in game sales. Games are like drugs to some people, and they'll do anything to get them.

If anything lockdown improved the game sales for the time. The economy was always going to be fine eventually, It was our health that wasn't going to be so certain.

Exactly. Animal Crossing has a lot to be thankful regarding the lockdown. It was always gonna be successful but it has literally blown up. It was the perfect storm for Nintendo. So happy for them. Now, all they have to do, is not to mess up the next console.

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