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After two years of shortages, the arrival of large stocks of PlayStation 5 consoles has driven the French to the top, at EUR 6.1 billion. But the clouds point to the horizon.
“There is a real decoration between the video game market and the state of the industry»,” said James Rebours, President of the Video Game Publishers’ Union. The figures, unveiled on Wednesday, on French spending, in 2023, in games, consoles, joysticks, PC gamers, virtual currencies of mobile games and other headsets for online gambling, contrast with the waves of redundancies that affect publishers and production studios around the world. With an increase of 9.9%, close to Covid years, the French video game market now reaches EUR 6.1 billion. The 5 billion mark had been crossed in 2020.
To be discovered
This figure has little in common with the stagnation of the US market (by 1% according to Circana) or the modest growth of the United Kingdom (2.9%). But it can be explained in a nutshell: the PlayStation 5. The first two years of Sony's console, released in late 2020, were marked by insufficient production capabilities to meet the strong appetite of the players. The Japanese group has therefore given priority to its stocks to the strategic Anglo-Saxon markets to the detriment of Europe, where consumers have had to be deficient and patient in getting their hands on the device.
It was not until 2023 that the situation returned to normal in France, where the catching-up effect was spectacular: according to Sell, console purchases soa by 72% in one year, to EUR 1 billion. It takes place in 2007, back to the time of Nintendo’s Wii phenomenon, to find such a level of expenditure. This growth is almost exclusively due to the PlayStation 5, whose price was exceptionally lowered from 549 to 429 euros during Black Friday in order to convince the latest indecisive...
Read also How the massive arrival of PlayStation 5 could boost the video game market
The market was also driven by the purchases of video games on consoles and PCs, which reached EUR 1.5 billion, compared with EUR 1.2 billion in 2022 (up 25%). The effect is particularly dramatic on purchases from the digital stores integrated into the consoles (up 46%, at EUR 737 million), while sales in the physical format in the retail sector are resisting, a French exception (-1 %, to EUR 614 million).
“FC24” and “Hogwarts Legacy” leading sales
“The game offer in 2023 was particularly qualitative»,” says James Rebours, between the surprise success of the Belgian role-playing game Baldur’s Gate 3, the phenomenon of ZeldaTears of the Kingdom (Nintendo), which marked the best start of the year in France, or the return to consoles of the Harry Potter saga with Hogwarts Legacy (Warner).
With 1.1 million copies sold, the latter marks the second best-selling sale of the year in front of the company (973,000 sales, digital format excluded). The first place goes to the indetro-free football game Fifa, renamed this year EA Sports FC24. However, its 1.4 million sales remain lower than in the previous opus (1.7 million in 2022 for FIFA 23). «“Fifa 23 had benefited from the World Cup effect, so it is difficult to gauge the effect of the name change,” said Rebours.
But the high-level scores of the first class obscure «“many disappointments” in the rest of the rankings, blowing a player in the industry. The fault of overproduction (711 console novelties, 18% more than in 2022), but perhaps also in budgetary trade-offs in times of crisis of purchasing power. On consoles, spending on microtransactions (largely the purchase of virtual currency on online games such as Fortnite) fell sharply by 16% (EUR 234 million). The French also made drastic cuts (-46%) in their PlayStation Plus, Xbox Game Pass or Nintendo Online subscriptions.
The Sell therefore remains extremely cautious in its prospects for 2024. “We expect market normalization, after these exceptional results, which are partly a correction” of the PlayStation 5 shortages anomaly,” says James Rebours. As usual, the lobby does not provide figures for the current year. In the United States, Circana is no longer dissatisdoes. According to its most optimistic scenario, the US market will decrease by 2% in 2024. But the fall could exceed 10%.
Growth/Decline
Marketshare
Console Top 20 Software Physical + Digital All Console (Units)
Console Top 20 Software Physical + Digital Per Console (Units)
PC Top 20 Software Physical + Digital (Units)
Haven't posted all the data, more can be found here https://www.sell.fr/sites/default/files/essentiel-jeu-video/ejv_mars_2024_3.pdf
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