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Japan's Game Market Saw Steady Growth in 2023, with the Console Market Increasing by 27.5% and the PC Game Market Expanding by 25%

Thick Thighs Save Lives

NeoGAF's Physical Games Advocate Extraordinaire
Via Automaton West

On August 22, Kadokawa ASCII Research Laboratories released its comprehensive report on the Japanese game market in 2023 (as reported by Gamebiz). Sales of consoles and PC games in particular rose significantly, with overall active player numbers starting to recover from the previous year’s slight decline.

In 2023, sales of home consoles in Japan grew by 27.5% compared to the previous year. The report highlighted the PlayStation 5 and Nintendo Switch as the drivers of this increase. Despite being 7 years old and with a successor on the way, the Switch recently sold 2 million units in just 3 months, according to Nintendo’s Q1 financial results. PC game sales were also up, increasing by 24.9%.

20240823-35852-001.jpg

Bar graph showing the growth of the game market in Japan between 2004 and 2023 in units of a hundred million yen. Blue: Online platforms, Green: Software for home usage (including online games), Pink: Home consoles. (image source: Gamebiz/Famitsu Game Hakusho 2024)

With all these extra hardware purchases, it’s no surprise that the number of active gamers in Japan has also increased, rising by 2.8% to approx. 55.5 million people. This number includes console gamers, PC players and app game users. Notably, the number of app game users increased by 10% and console game users rose by 4% in 2023. The coronavirus pandemic set off a trend of people in many countries worldwide taking advantage of social distancing measures to focus on gaming and other entertainment. Japan was no exception, however, the gradual removal of social distancing advisories caused active gamer numbers to drop a little in 2022. However, it seems that these numbers have recovered somewhat in 2023.

20240823-35852-002.jpg


Venn diagram of active gamers in Japan in 2023. Overlaps indicate people who play games on multiple platforms. Pink: Home console users, Blue: PC game users, Green: App game users (image source: Gamebiz/Famitsu Game Hakusho 2024).

In online gaming, Japan’s game app market declined for the third year in a row, dropping by 0.7% compared to 2022. With these slight year-on-year decreases, the app market appears to be flatlining. However, overall revenue from game content across online platforms has continued to grow year-on-year in 2023, with a 3.9% increase compared to the previous year.
 

00_Zer0

Member
It's good to see this growth, because a healthy Japanese market mean's more Japanese developed games will get a release here in the the West too.I especially like this since I am foremost a PC gamer and also play games on my Switch too.

Nowadays, most of my favorite games are coming out of Japan, and since Japan is no longer afraid to release on platforms like Steam on day one, I get to enjoy these games on my platform of choice just like my console owning brothers and sisters do.

Next week Shadow of the Ninja Reborn releases on Nintendo Switch, PlayStation 4, PlayStation 5, Xbox Series X/S, and Steam.

Then on September 3rd, Bakeru, the GoodFeel developed spiritual successor to Ganbare Goemon, releases on Switch and Steam with a localized English version. I'm going to be double dipping for both of those Japanese developed games.

Overall, looks like it's a great time to be a gamer if you love Japanese developed games. Love to see it!!
 
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Felessan

Member
Great to see this. Hopefully PC/home consoles can claw some of the marketshare there.

More premium games from there would be welcome.
More probable than not it's other way around, games that were only in mobile category now also boosting console/PC further threatening premium games (as they now compete even on big screen gaming)
 
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