After two years of shortage, the arrival of substantial stocks of PlayStation 5 consoles boosted French purchases significantly, reaching 6.1 billion euros. However, clouds are looming on the horizon.
"There is a real disconnect between the video game market and the state of the industry," notes James Rebours, president of the Syndicate of Video Game Publishers (Sell). The figures, revealed on Wednesday, regarding French spending in 2023 on games, consoles, controllers, gaming PCs, virtual currencies from mobile games, and other headsets for online gaming, indeed contrast with the waves of layoffs hitting publishers and production studios worldwide. With a 9.9% growth, nearly reaching pre-Covid levels, the French video game market now stands at 6.1 billion euros. The 5-billion-euro mark was surpassed in 2020.
This figure has little in common with the stagnation of the American market (+1% according to Circana) or the modest growth in the United Kingdom (+2.9%). But it can be explained in one word: PlayStation 5. The first two years of the Sony console's life, released at the end of 2020, were marked by insufficient production capacity to meet gamers' strong demand. The Japanese company therefore prioritized its stocks towards the strategic Anglo-Saxon markets at the expense of Europe, where consumers had to show cunning and patience to get their hands on the device.
It wasn't until 2023 that the situation returned to normal in France, where the catch-up effect was spectacular: according to Sell, console purchases soared by 72% in one year, reaching 1 billion euros. It takes us back to 2007, during Nintendo's Wii phenomenon, to find such a level of spending. This growth is almost exclusively due to the PlayStation 5, whose price was exceptionally lowered from 549 to 429 euros during Black Friday to convince the remaining undecided buyers...
The market was also boosted by video game purchases on consoles and PCs, reaching 1.5 billion euros compared to 1.2 billion in 2022 (+25%). The effect is particularly striking on purchases from digital stores integrated into consoles (+46%, reaching 737 million euros), while physical sales in large retail stores resist, a French exception (-1%, at 614 million euros).
Note the PC market shrinking and that it just fell behind mobile, and that even at a single SKU level (i.e. one console vs PC, the 3rd top selling PC game can't even sniff the top 20 console chart).
PC is actually worse off than it was in 2018!!! What growth?
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