Videogame gross sales fall for eleventh straight month in September (NASDAQ:MSFT)

Videogame gross sales fell year-over-year for the eleventh straight month in September – nonetheless affected by powerful comparisons to a robust 2021 – however as soon as once more, the trajectory continued to enhance because the all-important vacation procuring season neared.

Total, gross sales slipped 4% from the earlier September, to $4.073B, based on NPD Group. That after once more was pushed by the largest class, sport content material gross sales, the place the determine fell 7% to $3.408B.

However that was mitigated by the continuing rebound in {hardware}, helped by new console availability – {hardware} gross sales rose 19% year-over-year, to $490M – and accent gross sales that have been flat at $174M.

In August, total gross sales had fallen year-over-year by 5%; in July, 9%; and in June, 11%.

The figures imply that with 9 2022 months within the books, year-to-date total videogame gross sales are 8% off their 2021 tempo, at $38.4B – with content material down 9%, {hardware} down 1%, and equipment down 13%.

Improved PlayStation 5 (NYSE:SONY) availability gave a lift to {hardware}, analyst Mat Piscatella notes. The PS5 was greatest in unit phrases and greenback phrases for September; Nintendo’s Change (OTCPK:NTDOY) was second-best in unit gross sales, whereas Xbox Sequence (NASDAQ:MSFT) was second-best in greenback phrases.

And it was the primary month the place accent gross sales did not decline since October 2021, helped by a rise in spending on gamepads; the best-selling accent in September in unit and greenback phrases was the Xbox Wi-fi Controller Carbon Black (MSFT).

Turning to the video games: It was a month for brand new releases, with six new video games showing among the many prime eight sellers. These have been led by new No. 1 FIFA 23, the most recent – and final – FIFA-branded soccer title from Digital Arts (NASDAQ:EA). It displaced a fellow EA title: final month’s chief, Madden NFL 23 (EA).

And maintaining the sports-game launch schedule was No. 3, NBA 2K23 (TTWO), simply forward of three different new releases: Splatoon 3 (OTCPK:NTDOY); The Final of Us: Half I (SONY); and Teenage Mutant Ninja Turtles: The Cowabunga Assortment (OTCPK:KNMCY).

Rounding out the dollar-sales prime 10: No. 7, Saints Row (Plaion); No. 8, JoJo’s Weird Journey: All-Star Battle (OTCPK:NCBDY); No. 9, Elden Ring (OTCPK:NCBDY); and No. 10, Mario Kart 8 (OTCPK:NTDOY).

Cell sport spending continues a downdraft, falling 5% year-over-year, and making up a smaller share of cellular app spending (video games right down to 54% of complete spend vs. 60% a 12 months in the past, based on Sensor Tower). New sport installations are seeing a pointy decline even contemplating seasonality, down 3% year-over-year and at their lowest level since earlier than February 2019.

Associated tickers: OTCPK:NTDOY, SONY, MSFT, HEAR, LOGI, CRSR, EA, ATVI, TTWO, WBD, OTCPK:UBSFY, OTCPK:NCBDY, OTCPK:SQNNY, OTCPK:CCOEY, OTCPK:SGAMY, OTCPK:KNMCY, SKLZ, SE, NTES, OTCPK:TCEHY, RBLX. Retail inventory: GME.

ETFs: GAMR, ESPO, NERD