GM Thought of The Week: “The Heart of Gaming” is beating stronger than ever
Gamescom 2019 was attended by an estimated 373,000 visitors hailing from more than 100 countries. To put this into some kind of mainstream context, this is almost twice as many people as Glastonbury! The impact of Gamescom is of course much broader in scale in the Digital age, with press releases unofficially estimating livestream streams in the millions, and reportedly more than 100 million Gamescom related videos being posted online.
The implications are clear – Gaming is bigger than ever, and the UK stats live this out. According to Newzoo, the UK is the 6th largest Gaming market in the world (ranked by total revenue), however this rises to 4th largest when ranked by average revenue per capita. This is despite the UK ranking 7th for total GDP, and 23rd for GDP per capita (according to www.statisticstimes.com).
UKIE estimated the 2018 Games Industry value at c.£5.7bn – inclusive of Software (£4bn), Hardware (£1.6bn) and associated sales (£110m – merchandise, soundtracks, magazines, events, etc.). This was a result of an enviable 10.0% growth versus 2017. Gaming is now so popular, and as a result profitable, in the UK that it now accounts for over half of all entertainment market sales (51.3%) according to The Entertainment Retailers Association.
It remains to be seen if 2019 can match the growth of 2018, there will of course be returning favourites FIFA and COD however the absence of a Red Dead Redemption style release (Borderlands 3 might argue otherwise if the size of the Gamescom stand was anything to go by). What is for sure from the show however is that 2020 has the potential to be break all records all over again. Alongside the annual franchise behemoths, Cyberpunk 2077, Final Fantasy VII Remake, Marvel Avengers plus more left field announcements (Disintegration anyone?) promise to make it another strong year for Software sales (especially Digital). That’s not even taking into account the rumoured next generation of Hardware from Sony and Microsoft, plus the growth and adoption of Google’s Stadia.
It might be said every year, but it’s a good time to be in the Gaming industry!