European Console Market Experiences Significant Dip in 2024
The European video game console market faced a challenging 2024, marked by a substantial decline in sales. This downturn, impacting major players like PlayStation, Xbox, and Nintendo, is attributed to market saturation and a shortage of significant new console releases.
The only notable new entry from a major manufacturer was the PlayStation 5 Pro, a performance upgrade to the existing PS5. Despite generating some excitement, this release proved insufficient to offset the overall sales slump. A report from Video Games Chronicle revealed a staggering 21% year-on-year decrease in total console sales across Europe. PlayStation, while performing relatively better than its competitors, still saw a 20% drop. Nintendo Switch sales fell by 15%, and Xbox Series X/S sales plummeted by a dramatic 48%. This decline is largely attributed to the maturity of the current console generation, with the original PS5 and Xbox Series consoles launching in 2020 and the Nintendo Switch in 2017. Further evidence of market stagnation is seen in the US, where the Meta Quest 3S outsold all major gaming consoles on Amazon in 2024.
Shifting Sales Trends: Digital Dominates
While console sales faltered, the overall European gaming market experienced a modest 1% growth in 2024, reaching 188.1 million units sold (PC and console combined). This slight increase highlights a significant shift in consumer purchasing habits. Digital game sales surged by 15%, reaching 131.6 million units, while physical sales dropped by 22%, totaling 56.5 million units.
Outlook for 2025: Anticipation for New Releases
The gaming industry anticipates a more robust 2025, fueled by the upcoming release of the Nintendo Switch 2. However, it's crucial to note that the reported sales figures exclude several major European markets, including the UK, Germany, the Netherlands, and Austria. Inclusion of these markets could potentially alter the overall picture for 2024.
