lu-cix key facts and trends on the ever- changing global games market
TRANSCRIPT
The Bigger Picture
Peter Warman | CEO Newzoo | [email protected] Luxembourg, September 2012
Key Facts & Trends on the Ever-changing Global Games Market
© 2012 Newzoo www.newzoo.com
Yesterday in Luxembourg Taking distance and looking at the bigger picture…
Today in Luxembourg Sharing my findings & toughts on the total picture…
Today in Luxembourg Sharing my findings & toughts on the total picture…
players
time payers
money
© 2012 Newzoo
Today in Luxembourg Sharing my findings & toughts on the total picture…
players
time payers
money
© 2012 Newzoo
Key Trend
Key Trend
Key Trend
Key Trend
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
7
North America $20.7bn
+1% CAGR
Europe $21.3bn +3% CAGR
Latin America $5.4bn
+14% CAGR
Middle-East & Africa $1.4bn +21% CAGR
Asia-Pacific $19.3bn +13% CAGR
Total
$68bn +7% CAGR
Source: Newzoo 2012 Games Market Revenue Repor
Global Market Size 2012 | Regions Based on Financial & Consumer Data Analysis 2012 ($bn)
8
Mobile Devices $6.3bn
+32% CAGR
MMOs $11.6bn
+21% CAGR
Consoles $20.2
-2% CAGR
PC/Mac Download $8.1bn +2% CAGR
Casual Websites $7.7bn
-1% CAGR
PC/Mac Boxed $8.7bn -11% CAGR
Social Networks $5.5bn
+5% CAGR
Global Market Size 2012 | Segments Based on Financial & Consumer Data Analysis 2012 ($bn)
Total
$68bn +7% CAGR
Source: Newzoo 2012 Games Market Revenue Report
Breaking news: Kingdoms of Camelot Number one grossing iOS game in August*
Revenues aggregated from nine countries
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
*
* As aggreate of the UK, Germany, France, Netherlands and Belgium
Source: Newzoo 2012 Consumer Research / Newzoo Data Explorer
67.9M 54.3M 68.0M 35.1M 73.9M 74.7M
Only Boxed
Only Download
Both Boxed and Download
MMO
PC/Mac
Both Browser and Client
Only Browser
Only Client
44%
25%
31%
50% 34%
16%
Players per market segment | EU* % of online population (10-65) that plays games, per market segment
Casual Social
Mobile Console
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
Source: Newzoo 2012 Consumer Research / Infographic
Time Spend | Fastest Growing KPI Total number of hours spent on playing games | 2012 vs 2011
Time Spend | Fastest Growing KPI Total number of hours spent on playing games | 2012 vs 2011
Source: Newzoo 2012 Consumer Research / Infographic
North America Europe Asia-Pacific
Total*
$24.1
Total*
$24.8 Total*
$22.5
Regional Differences 2012 | Segments Total Gross Consumer Spending per Market Segment 2012 ($bn)
time time time
Source: Newzoo 2012 Games Market Revenue Report / Custom
* Depending on scope definitions. Numbers shown are maximum scope.
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
Consumers vs Screens Newzoo Screen Segmentation Model TM
22% of US gamers (2012) play on all four screens
21% of EU gamers (2012) play on all four screens
market growth All Screens Connected By: • Social Networks • The Cloud • The Real World
*
* As aggreate of the UK, Germany, France, Netherlands and Belgium
The Computer Screen | 2012 | EU Newzoo Screen Segmentation Model TM
*
*
* As aggreate of the UK, Germany, France, Netherlands and Belgium
*
The Entertainment Screen | 2012 | EU Newzoo Screen Segmentation Model TM
*
* As aggreate of the UK, Germany, France, Netherlands and Belgium
*
The Personal Screen | 2012 | EU Newzoo Screen Segmentation Model TM
*
* As aggreate of the UK, Germany, France, Netherlands and Belgium
*
The Floating Screen | 2012 | EU Newzoo Screen Segmentation Model TM
Cross-screen Gaming | Franchises Newzoo Screen Segmentation Model TM
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
*
* As aggreate of the UK, Germany, France, Netherlands and Belgium
Source: Newzoo 2012 Consumer Research / Newzoo Data Explorer
18.2M 12.5M 21.8M 17.0M 43.4M 36.4M
Only Boxed
Only Download
Both Boxed and Download MMO PC/Mac
Both Browser and Client
Only Browser
Only Client
47%
18%
34%
55% 28%
17%
Paying Players per market segment | EU* % of players per market segment that spend money
Casual Social Mobile
Console
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
free
biz
z m
od
els
The Effect of Free-to-Play | Total US Market Stable total market, more paying gamers, lower average spending
31 Source: Newzoo 2012 Games Market Revenue Report / Custom
(Paying) Players Avg. Spend / Month
© 2012 Newzoo/Distimo – Strictly Confidential
The Effect of Free-to-Play | Mobile Games Continuous revenues | Infinity Blade vs Kingdoms of Camelot
© 2012 Newzoo/Distimo – Strictly Confidential
The Effect of Free-to-Play | Mobile Games Continuous revenues | Infinity Blade vs Kingdoms of Camelot
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
free
biz
z m
od
els
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
free
biz
z m
od
els
organisation
services
“free-to-play is not a business model but a way
to run your business” - Peter Warman, CEO Newzoo
Quote of the month Why big publishers struggle amidst all the change
Just check out how Star Wars the Old Republic was launched compared to League of Legends (Wikipedia)
The biggest games publisher in 2020… Managing big data,making big money
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
free
biz
z m
od
els
organisation
services
pro
fit
valu
e
Luxembourg, here we are This place is about more than money….
© 2012 Newzoo
screens
access
bizz models
free
organisation
service
profit
value
Consumers want continuous access games that are, in principle, free. Ideally, their game continuously improves and expands, as a service. If the game gives them value, they have no problem to spend money.
Game companies need to make their games accessible via all screens as well as adapt their business models. The latter requires organisational change. Hard but it is the only way to remain profitable in this competitive market.
Luxembourg, here we are This place is about more than money….
players
time payers
money
© 2012 Newzoo
access
screens
free
biz
z m
od
els
organisation
services
pro
fit
valu
e
Newzoo Company Two complimentary lines of business
international partners
B2B Marketing Tools
business decisions
When you are surrounded by …
And you are seeking your …
In a world where everything is possible…
Look at the bigger picture now and again..
There will always be Consumers...
There will always be Screens...
People will always want to have Fun...
And everything (and everyone) will end up in the Cloud.
So Luxembourg. Prepare yourself.
And that is excatly what you’re doing.
The Bigger Picture
Peter Warman | CEO Newzoo | [email protected] Luxembourg, September 2012
Key Facts, Trends and Mechanics on the Ever-changing Global Games Market
© 2012 Newzoo www.newzoo.com