US Consumer Spending on Video Games Decreases by 5% in March 2023

New data released by Circana reveals that US consumer spending on video games has decreased by 5% in March 2023, with total spending reaching $4.6 billion. While the numbers show a decline, it’s important to note that only one sector was negative for the month, which is software.

Breakdown of the Numbers

Game sales accounted for 83% of total revenue for the month, but it was down 7% year-to-year, reaching $3.83 billion. Sales were affected by the lack of major releases during March. The top-selling game was Resident Evil 4, followed by Hogwarts Legacy (released in February), and MLB The Show 23. Another 2023 release in the top 10 was WWE 2k23, with Elden Ring and The Last of Us: Part 1 ranking high as well.

Hardware spending, on the other hand, increased by 10%, reaching $566 million. The increase was attributed to the strong sales at Sony’s PlayStation 5. Microsoft’s Xbox Series S/X consoles came in second, with Nintendo in third place. Although Nintendo’s major releases are set to come out later in the year, the upcoming release of Hogwarts Legacy for the Switch could give the handheld console an opportunity to gain ground in the console sales market as well.

Accessory spending was also up by 1%, reaching $239 million. The top-selling accessory was the Sony PlayStation 5 Dual Sense Edge Wireless Controller in black, for the second consecutive month.

The Future of Video Game Sales

Nintendo’s sales may be slightly down for the year, but the company’s upcoming release of The Legend of Zelda: Tears of the Kingdom in May is expected to boost sales and help the company claim the top spot. Meanwhile, Metroid Prime: Remastered, which was surprisingly resilient after its sudden release in February, is continuing to hold strong and break franchise records.

With hardware sales on the rise and major releases from various platforms set to come out later in the year, the video game industry could expect an overall boost in sales for the latter half of 2023.