Week 2 EOC: Boston Consulting Group - Video Game

Like any other industry the video game industry is starting to see changes. People are not going out to the stores unless there is something new and worth their time. “Nintendo had a glorious year for the Wii and handheld DS system in 2008, but it has seen sales decline since that peak” (http://venturebeat.com/2011/09/07/with-online-sales-growing-video-game-market-to-hit-81b-by-2016-exclusive/) While in the next coming years it is expected to see a turn around recently the economy has taken it’s toll on the industry. Companies are competing more than ever for customers. For the consumer this could be great news the games could be getting a lot better and new consoles may be on the market soon. The United States is not the only market in which the viedo game market is falling. “Japanese game industry revenue fell 8 percent in 2011, due primarily to a lack of software hits and a steady decline in a major console game sales.” (http://venturebeat.com/2012/01/05/japanese-game-industry-revenues-fall-8-percent/) Japan still does not have a good variety of games and consoles offered by all of the gamming companies. Japan is the second biggest video game market behind the United States. Antoher market that is being affect is the United Kingdom. “Add it all together and the UK video game market made £2.52 billion in 2011 - 13 per cent less than 2010.” (http://www.eurogamer.net/articles/2012-01-05-uk-boxed-video-game-market-fell-in-2011) Some professionals think the down turn is do in part of games being available on peoples pones a lot more easier than times of the past. Also people are spending less and video games are one of the things that end up being cut in home budgets. With all of this being said companies are trying a lot harder for their market share. Counsels are expected to have buddle packages in the soon future to help encourage consumers to buy them. The video game market seems to be ever changing and is not as easy as times of the past to sell expensive counsels, games and add-ons.