U.S. Video Game Sales Crash Again in June

by Christopher Freeburn | July 13, 2012 9:39 am

June wasn’t a good month for video game consoles and games[1].

According to industry research firm NPD Group, sales of video game equipment and game titles tumbled 29% to $699.8 million last month, down from $989.5 million during the same time last year. Hardware sales — including gaming consoles — dropped 45% to $201 million.

That marks the seventh consecutive monthly decline, the Associated Press noted.

NPD’s numbers include newly purchased consoles, games and peripherals, accounting for between 50% and 60% of the overall market. A significant aftermarket exists for second-hand and rented games.

Also excluded from NPD’s numbers are games directly downloaded from online sources, especially for mobile devices including Apple‘s (NASDAQ:AAPL[2]) iPhone and iPad and smartphones and tablets running Google‘s (NASDAQ:GOOG[3]) Android operating system.

Social media-based games, including those offered by websites like Facebook (NASDAQ:FB[4]) also aren’t included in NPD’s data. If social media and downloads were included, NPD calculates that June’s video game-related spending would almost double[5] to $1.36 billion, Bloomberg noted.

Sony (NYSE:SNE[6]) didn’t report June sales numbers for its PlayStation console. However, Microsoft (NASDAQ:MSFT[7]) said it sold 257,000 Xbox 360 consoles, down from 507,000 in June of last year. Nintendo (PINK:NTDOY[8]) reported sales of 155,000 3DS consoles and 95,000 Wii consoles for the month.

  1. for video game consoles and games: http://www.washingtonpost.com/business/technology/npd-says-us-retail-sales-of-video-games-fell-29-percent-in-may-7th-month-of-decline/2012/07/12/gJQA1rkPgW_story.html
  2. AAPL: http://studio-5.financialcontent.com/investplace/quote?Symbol=AAPL
  3. GOOG: http://studio-5.financialcontent.com/investplace/quote?Symbol=GOOG
  4. FB: http://studio-5.financialcontent.com/investplace/quote?Symbol=FB
  5. video game-related spending would almost double: http://www.bloomberg.com/news/2012-07-12/u-s-video-game-sales-tumble-29-in-june-npd-says.html
  6. SNE: http://studio-5.financialcontent.com/investplace/quote?Symbol=SNE
  7. MSFT: http://studio-5.financialcontent.com/investplace/quote?Symbol=MSFT
  8. NTDOY: http://studio-5.financialcontent.com/investplace/quote?Symbol=NTDOY

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