Video Game Subscription Market Growth Slows: Challenges In Attracting New Subscribers
Portfolio Pulse from Franca Quarneti
Circana's Games Market Dynamics report shows a slowdown in video game subscription spending growth, with only a 2% increase in April 2023 compared to 2022. Major players like Sony's PlayStation Plus and Microsoft's Game Pass are struggling to attract new subscribers beyond the existing console ownership base.
June 10, 2023 | 5:03 pm
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POSITIVE IMPACT
Nintendo's 'The Legend of Zelda: Tears of The Kingdom' has performed well in physical sales, despite the overall slowdown in video game subscription spending growth.
While the video game subscription market is experiencing a slowdown, Nintendo's 'The Legend of Zelda: Tears of The Kingdom' has sold well in physical sales. This indicates that the company's traditional sales channels are still performing well, which could positively impact its short-term revenue.
CONFIDENCE 80
IMPORTANCE 50
RELEVANCE 60
NEGATIVE IMPACT
Microsoft's Game Pass faces challenges in attracting new subscribers, with no updated figures provided since reaching 25 million subscribers in January 2022.
The slowdown in the video game subscription market growth and the lack of updated figures for Microsoft's Game Pass indicate potential challenges in attracting new subscribers. This could negatively impact the company's short-term revenue from the service.
CONFIDENCE 85
IMPORTANCE 60
RELEVANCE 80
NEGATIVE IMPACT
Sony's PlayStation Plus struggles to attract new subscribers, with the number of subscribers remaining unchanged at 47.4 million since the previous quarter.
The stagnation in Sony's PlayStation Plus subscriber numbers indicates challenges in attracting new subscribers, which could negatively impact the company's short-term revenue from the service.
CONFIDENCE 85
IMPORTANCE 60
RELEVANCE 80