Home Gaming The video game industry continues to outperform Hollywood

The video game industry continues to outperform Hollywood

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Those of us who love video games and the industry that they’re wrapped up in regularly love to cite how it earns more money than other entertainment media. We’ve known for years that the video game industry makes more cash than Hollywood does, and that Big, blockbuster games often rake in more cash than big, blockbuster movies.

And it’s happened again. According to Venture beat, Metal Gear Solid V earned more than double the first-day earnings of the likes of The Avengers: Age of Ultron.

Says Venture Beat:

“Metal Gear Solid V: The Phantom Pain made $179 million globally on its opening day, according to Adobe Digital Index’s new report on gaming trends. Compare that to the blockbuster Avengers: Age of Ultron, which made $84 million globally on its opening day.”

There’s no doubt that videogames are a huge industry, and it’s one that’s seeing substantial growth every year. According to Adobe Analytics, gaming is a bigger industry than most realise.

“The gaming industry is a lot bigger than most marketers realize,” said Tamara Gaffney, principal analyst and director at Adobe in the report. “These games get more social buzz on opening day than most movies do, and the revenue for one of the top games this year outdid the highest-grossing movie start [Harry Potter and the Deathly Hallows Part 2 with $91 million] by nearly double.”

Naturally, the first point of contention is that while yes, games can make more money, they’re reaching fewer people. The average ticket price for a movie in the US is just over $8, where the average game price for a new release is $60 – so far more people are watching movies than are playing games. That’s a given, but it’s actually a positive one for gaming, as that shows there’s room for the market to grow even more.

It’s interesting, however, that they chose Avengers instead of this year’s biggest film by far, Jurassic World, which went on to earn over $500 million in its opening weekend once it had been released globally. There are few games that sell through enough to make that money. Games, especially big blockbuster AAA ones tend to be front-loaded, thanks to pre-orders and the like, doing most of their sales in the first week. Of course there are outliers; games like GTA V, Call of Duty and FIFA sell through in substantial numbers all year round, and they’re the sorts of games that earn billions but they’re the exception.

I think they chose Age of Ultron as comparison because like with Metal Gear Solid V, it ultimately ended up being a disappointment.

Last Updated: October 15, 2015

40 Comments

  1. (Umar) Must be Cipher

    October 15, 2015 at 11:39

    “I think they chose Age of Ultron as comparison because like with Metal Gear Solid V, it ultimately ended up being a disappointment.”

    YHOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOORRRRRRRR

    Reply

    • Geoffrey Tim

      October 15, 2015 at 11:39

      😀

      Reply

      • Alien Emperor Trevor

        October 15, 2015 at 11:42

        Reply

      • (Umar) Must be Cipher

        October 15, 2015 at 11:42

        Freaking felt that one lol

        Reply

      • oVg

        October 15, 2015 at 12:49

        Ill give YOU a third chapter!!! 😛

        Reply

    • Dutch Matrix

      October 15, 2015 at 11:47

      We all know Geoff is a disappointment. He knows it too. He’s just projecting today. Also, I am picking up vibes today is going to be a pick on Geoff kind of day for me. I don’t know why though. He is such an amazing guy I have never met.
      Sorry Geoff. Nothing personal ol’ ugly buddy ol’ pal!

      Reply

      • Geoffrey Tim

        October 15, 2015 at 11:49

        No probs, man. Project your hate unto me. I can take it. 😛

        Reply

      • Rodney Dangerfield

        October 15, 2015 at 15:16

        Hey, you know who faces great disappointment daily, your parents, I bet your bath toys as a child were a toaster and a radio.

        Reply

        • Dutch Matrix

          October 15, 2015 at 15:42

          Yeah. And as a way to encourage abstinence, they told me every girl I shag will end up looking like Rodney Dangerfield. In other words a sweaty, googly eyed ugly bastard.

          Reply

          • Rodney Dangerfield

            October 15, 2015 at 15:46

            I know I’m ugly, I was so ugly my mother used to feed me with a sling shot. but if it wasn’t for pick pockets you’d have no sex at all. I bet when you where little your parents moved a lot but you still found them, now that’s determination.

    • Hammersteyn

      October 15, 2015 at 12:12

      XD

      Reply

    • CypherGate

      October 15, 2015 at 14:06

      Over expectations result in 100% disappointments. Thats what i’ve noticed. That always happens. Thats why I try never to get expect loads better than the previous movie or game. Helps me enjoy and appreciate what was made. Although with Age of Ultron I fell in the trap of expecting 100% better than the first and ended up kinda disappointed. It felt rushed and felt like Ultron wasnt really that powerful.

      Reply

  2. Alien Emperor Trevor

    October 15, 2015 at 11:39

    Wow, how much pocket money do kids get from their parents in order to spend so much on TV games?

    Reply

    • CypherGate

      October 15, 2015 at 14:12

      I remember many many years ago when I was kiddy I was given R1 to go play games at the arcade. I could play any game 5 times!! was amazing.

      Reply

  3. Geoffrey Tim

    October 15, 2015 at 11:43

    Remember; more people watch films than play games. Many more.

    Reply

    • Dutch Matrix

      October 15, 2015 at 11:53

      If they included pop corn sales in that figure, Hollywood would beat gaming like a red headed step child.

      Reply

      • Geoffrey Tim

        October 15, 2015 at 11:53

        If they did, they’d also have to include sales of Mountain Dew and Doritos.

        Reply

        • Dutch Matrix

          October 15, 2015 at 12:07

          The gaming industry would look like peasants.

          Reply

    • oVg

      October 15, 2015 at 12:50

      and they pay 6X less for admission.

      Reply

    • CypherGate

      October 15, 2015 at 14:13

      and many more watch series than movies and games.

      Reply

  4. Grand Admiral Chief

    October 15, 2015 at 12:02

  5. Hammersteyn

    October 15, 2015 at 12:12

    Movies don’t have MT and DLC. Just saying

    Reply

    • Dutch Matrix

      October 15, 2015 at 12:14

      Also no huge day one patches that have you staring at a screen with drool dribbling down your face.

      Reply

    • Geoffrey Tim

      October 15, 2015 at 12:14

      Just you wait until Hollywood figures out a way.

      Reply

      • Hammersteyn

        October 15, 2015 at 12:22

        Special goggles. Like 3D glasses. But you see extra content on the screen. More characters, explosions and boobs.

        Reply

        • Grand Admiral Chief

          October 15, 2015 at 12:28

          O_O

          SHADDAP YOU ARE GIVING THEM IDEAS!

          Reply

    • Alien Emperor Trevor

      October 15, 2015 at 12:15

      They have preorder DLMunchies.

      Reply

      • Hammersteyn

        October 15, 2015 at 12:20

        True, but the cinemas get that profit.

        Reply

    • Derrich Schleich

      October 15, 2015 at 12:50

      Now with alternate ending,special features including directors comments dlc. only $9.99

      Reply

    • Rodney Dangerfield

      October 15, 2015 at 15:26

      What you call the popcorn and snacks?

      Reply

      • Hammersteyn

        October 15, 2015 at 15:43

        Cinema revenue

        Reply

  6. Nikola

    October 15, 2015 at 14:00

    Hahah nice Geoff I liked the end of the article like I liked the end of MSGV;) (just kidding haven’t played it yet)

    Reply

  7. that side down

    December 1, 2015 at 06:12

    $179 million divided by $60 is 2.98 million. $84 million divided by $15 (average price) is 5.6 million.

    so Metal Gear sold roughly 3 million units, while Age of Ultron sold 5.6 million tickets. outperformed, my ass.

    Reply

    • Holy_Ryu

      May 18, 2016 at 20:22

      They did outperform because they made way more money. If Metal Gear was $15 it would have sold way more.

      Reply

  8. Brians

    May 3, 2016 at 17:32

    There’s a persistent myth that “Games are bigger than the movies”
    This is for a couple reasons:
    1) The revenue numbers for “The Movies” only include “box office receipts” (theater ticket sales). But ticket sales are only about half of ‘movie’ revenue. (rest comes from DVD/Blu-Ray, Streaming, Broadcast, etc)
    2) The revenue numbers for “Video Games” include *everything*: Playstations, Xboxes, Gaming Mice, Games AND games of all kinds, from big Blockbusters like HALO to mobile games like candy crush.

    It should also be noted that the largest grossing movie of all time (Avatar, 2.8B worldwide for just box office receipts) has more revenue than the largest grossing game (GTA-V, 2.2B worldwide). And that Avatar 2.8 doesn’t even include DVD/Blu-ray, Streaming or broadcast revenue..

    http://www.gamesoundcon.com/#!Video-Games-Bigger-than-the-Movies-Dont-be-so-certain/c19u6/3

    Reply

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