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Study: Retail Game Revenue Declines As Digital Sales Increase In U.S.

Study: Retail Game Revenue Declines As Digital Sales Increase In U.S.

June 10, 2011 | By Tom Curtis

A report from the Entertainment Software Association revealed that retail video game sales in the U.S. declined in 2010, while money earned from digital delivery platforms increased to help fill the gap.

The report, titled "2011 Essential Facts About the Computer and Video Game Industry," indicated that the video game industry saw a slight decline in overall game sales, with revenue falling from $16 billion in 2009 to $15.9 billion in 2010.

These numbers combined revenue from retail video game and computer game sales, as well as sales from "other delivery formats," which include game subscriptions, digital sales, social games, mobile apps and "other physical delivery" methods.

While retail game sales fell from $9.9 billion to $9.4 billion between 2009 and 2010, according to the report, the dip was offset by revenues from other delivery methods, which rose from $5.4 billion to $5.8 billion. Retail computer game revenue barely fluctuated from $680 million to $700 million in that time.

The report also pointed out that digital sales now comprise 24 percent of overall game sales, up 4 percent from 2009.

Overall, the ESA said the total consumer spend on the games industry in 2010 reached $25.1 billion, with $15.9 billion going toward content, $6.29 billion towards hardware, and $2.94 billion going towards accessories.

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