Over the last few years, select video game revenues have not only surpassed Opening Week revenues of Hollywood’s hottest blockbuster films, but generated more money in one day than these same movies generated at the box office all year long!
Blockbuster video game revenue is growing 50-60% year-over-year – with a batch of new releases over the last 2-3 years that indicate the industry is just scratching the surface of its potential.
Hottest Video Game Titles Deliver Record-Setting Numbers
Take-Two interactive just released Grand Theft Auto V - and day one sales figures reached $800 million. Yes, $800 million! And the company projects first month retail revenues to surpass $1 billion.
Earlier this year, Treyarch released Call of Duty: Back Ops II, generating $500 million in day-one revenues, with sales figures breaching the $1 billion mark in the first 15 days.
And in 2012, Call of Duty: Modern Warfare 3 – released by Activision – made $1 billion in 16 days.
For perspective: The fastest earning MOVIE of all time, James Cameron’s Avatar, took 17 days to earn $1 billion in box office revenue.
And the growth has been incredible. Back in 2009, Activision’s Guitar Hero III was the first individual video game in history to break $1 billion in sales. BUT, it reached that sales milestone about fifteen months after it was first released. That these new video game releases reach the $1 billion milestone in a 2-3 week time period reflects a consumer market that clearly responds to big budget gaming.
The Video Game Consumer – Some Eye Opening Facts
For those who think gaming is a niche market, you’re wrong. Over 145 million Americans played video games in 2012.
A recent study shows that 58% of Americans play video games and that 51% of US Households own a dedicated gaming console. And 43% of gamers believe that video games deliver the most value for their money vs. DVDs, music or going to the movies.
Most interesting, the demographics of gamers are diverse. The average age of a video gamer is 30 years old (32% under the age of 18; 32% are 18-35 years old; and 36% are 36+ years old) – with a 55% male and 45% female make-up.
So, What’s Next?
It’s Call of Duty: Ghosts – scheduled for release in early November. I’m sure we’ll see more revenue records broken. I’ll buy it for sure – cannot wait!