November 13, 2020
Ahead of new-generation video game console launches, consumers spent big in October on hardware, software and accessories, according to new data from The NPD Group. Total revenue spiked 14% to $3.84 billion, from $3.37 billion during the previous-year period. Through 10 months of the year, game spending topped$37.5 billion, which is 20% higher than the same period in 2019.
Despite Sony and Microsoft launching new consoles this month for the first time in seven years, hardware spending in October increased 41% to $259 million, compared with $183.6 million last year. Nintendo again dominated hardware sales thanks to its Switch platform. Year-to-date hardware sales are up 23% to $2.5 billion, from $2 billion last year.
“Mobile, subscription, hardware and accessories were among the largest growth segments,” analyst Mat Piscatella said in a statement.
Indeed, accessory revenue climbed 23% to $148 million, from $120 million — driven in part by sales of the Xbox Elite Series 2 Wireless Controller. Spending through 10 months is up 25% to record $1.8 billion, from $1.44 billion.
Content spending in October — driven by EA’s soccer-themed FIFA 21 — jumped 12% to $3.43 billion, from $3.06 billion, bringing year-to-date spending to $33.2 billion, up 19% from $27.89 billion a year ago. The title passed EA’s perennial chart topper Madden 21.
“Nine of the top 20 best-selling titles of October were published by Nintendo,” Piscatella said.