Games Industry Grew 16% in India in 2012 - News
by William D'Angelo , posted on 17 April 2013 / 4,096 Views
The video game industry grew by 16 percent in 2012 to Rs 15 billion ($277m) according to the FICCI-KPMG Indian Media and Entertainment Industry Report 2013.
The report also states that the industry will continue to grow at an average of 22 percent per year and reach Rs 42 billion ($776m) by 2017. However despite the growth, the firm expects mobile gaming to eat into the console sales. This is due to the discontinuation of the PlayStation 2, which is the only entry-level console on the market at this time.
While the industry grew console sales did not meet expectations. Console sales grew just eight percent, well short of the 28 percent that was estimated. This is due to the "overall sluggishness in the economy impacting both unit sales and attach ratios."
Console sales are estimated to grow at 19 percent to Rs 19 billion (351m) by 2017. However this will only happen if the PlayStation 4 is able to take off and if mobile devices take longer than expected to take off.
PC gaming while only a small chunk of the total gaming sales is expected to grow at a constant rate. However the report does not mention if digital services, such as Steam, are taken into account.
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Clearly the console sector is simply aiming for the kids of the wealthy, and not terribly bothered with middle class India. India has such a huge population that aiming purely at the wealthy still makes for a profitable strategy, especially if you never have to drop the price. Makes business sense, but sucks if you're not part of the 1%.
PS2 "the only entry level console", what does that mean? dont they have PS3 or X360?
I guess I can add some insight on this. The reason the Console market does not grow in India is because console(home/handheld) prices are NEVER slashed here.Currently, Wii costs arnd 280 dollars, 3DS at 280 dollars, basic X360 SKU at 250 and basic PS3 at 300. Moreover, most console titles cost what is around 5-10 % of a decent indian monthly salary. Hence anyone looking for Console gaming usually ends up with a modified grey market console. Most Indian gamers(me included) still stick to PCs for their fix since PC titles are priced way more reasonably , though Steam is still not super popular here.
just wondering in india sony is very popular so dies the ps3 hold a stronger market there?
"5-10 % of a decent indian monthly salary." : In France a game cost 5-10 % of the minimum wage (average wage is 1.5xmin), that's not that much at all. Consoles may be costly but games in India seem noramally priced.
