Exactly Why Video Games Are Much More Profitable Than Hollywood Movies? - By: Emmanuel Lee

Video games come with a distinctive appeal that takes in legions of followings. Proving its dominant drawing power, global gaming purchases reached a staggering 500 million in 2010. Gaming is considered as one of the most lucrative markets where gamers are collectively spending 3 billion hours every week playing the said platform.

Investigative findings by way of the Association of Psychological Scientific discipline reveal that gaming usually is considered as the ideal platform for players to take on the characteristics of their own "ideal self." Games offer gamers the possibility to play an ideal role or virtually adopt a completely new identity, introducing feelings of enjoyment in the massively social and interactive gaming experience and satisfaction with each victory.

A Formidable Industry

In 2008, the gaming industry - covering all games in all video formats - made much more money than all Blu-ray together with DVD movie releases combined with regard to product sales. Gaming sales were at $32 billion, up by 20 percent from 2007. The show biz industry sales dropped 6%, fixed at only $29 billion.

Good example is Grand Theft Auto IV, which has become a jaw-dropping success when it broke two entertainment industry records, hauling the biggest sales on a single-day and also seven-day basis since its release on 04/29/2008. GTA IV sold 3.6 million copies or $310 million in equivalent sales within the first 24 hours of its availability. Over the first week, the sales figures subsequently skyrocketed to over six million units or an equivalent of $500 million.

The GTA IV first-week earnings are comparable to giant movie releases. In the report by Reuters, the British-produced game has outperformed Harry Potter and the Half-Blood Prince from Warner Bros., which earned $394 million during its opening week in 2009. GTA 4 also beat blockbuster Spider-Man 3 from Sony and Buena Vista's Pirates of the Caribbean: At World's End, which has earned $382 million and $344 million, respectively, right after they opened in cinemas in 2007.

On December 12, 2011, Modern Warfare 3 officially de-throned the number one movie of all time - Avatar, as the fastest entertainment media to attain the $1 billion mark. The former got its first billion dollar earnings 16 days after it was eventually released while the other for 17 days.

Exemplifying effective international business marketing techniques, video games have also amassed profit from its European sector, decisively pulling the limelight faraway from the movie industry. Regarded as "the most valuable purchased entertainment market," video game sales are four times more than cinema earnings, also trumping music and DVD sales combined.

Shedding light over the phenomenal video game following, United Kingdom paper The Guardian notes how video gaming pushes itself to the mainstream consciousness by stimulating the consumer's intelligence, appealing to their imagination and improving constancy in player involvement - something that Hollywood is probably not very successful at.

A Glimpse of the future

Market research firm Gartner, Inc. has shown that in 2011, global spending on the gaming ecosystem can reach over $74 billion, showing an increase of 10.4% from $67 billion in 2010. Vital transitions to gaming technological know-how, company and software strategies are predicted to last further than 2015, and by then, spending will jump to a whopping $112 billion.

The gaming ecosystem covers the game console manufacturers Nintendo, Sony together with Microsoft; software for platforms or game consoles like PlayStation 2 and 3, Wii and Xbox 360 System; portable consoles Nintendo DS and DSi, Game Boy Advance and Sony PSP; computer or notebook software; mobile gaming, and online and social gaming.

Discussing the gaming business and software strategies in general, marketing and advertising firm Zebra Partners Perrin Kaplan tells Gaming Business Review that gamers will tend to respond to new products, in spite of how they are becoming packaged - console, PC, handheld or Internet. With the new games mushrooming on various forms of media, the real challenge for vendors in the gaming industry is to adapt to what insatiable gamers want: to be continuously surprised and interested by a new type of entertainment and new technology that come with video gaming.

About the Author

Costume Designer Sang Manetta enjoys rc vehicles, dolls. Furthermore he loves traveling specially to Thailand. - Mass Effect 3

Article Directory Source: http://www.articlerich.com/profile/Emmanuel-Lee/230200

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