Home Gaming Research suggests Twitch streams really do lead to increased game sales

Research suggests Twitch streams really do lead to increased game sales

3 min read
25

Punch club

We all know that engagement is important. It’s a word I don’t always like because it feels like marketing or PR terminology that eventually is used so much that it stops meaning anything. But for now, it makes sense – if people are interested in your game, and want to talk about it, watch other people play it, and are aware and engaged with it enough, they will play it, and play it for a while. Twitch is apparently an important part of that, and new research points developers and studios towards the platform with the promise that their sales will increase… never mind the fact that the research was done by a Twitch employee.

I found that when a Steam connected viewer watched a game on Twitch, their odds of purchasing the game within 24 hours went up substantially,” Hernandez wrote. “So I attribute purchases that fit this ‘watch then buy’ pattern to Twitch.

The research looked at an example of TinyBuild’s Punch Club. When it launched the game, it had a novel approach – the game would be released when the people in chat beat the game. So think Twitch plays but with an actual end goal or reward. Within six weeks, 1.2 million viewers watch Punch Club on Twitch, leading 2.8% of Steam-connected viewers to buy the game:

Given the assumption that steam connected viewers, 0.53 percent of views, behave similarly to Twitch’s global viewership, I estimate 25 percent of Punch Club sales are directly attributable to Twitch.

That’s not too surprising – watching games on Twitch is sort of like going to a friend’s house and watching them play something. If it looks really cool, you’ll probably want to go buy it, too. However, the interesting finding from the research is that smaller channels actually lead to more conversions than the massive channels.

Hernandez concluded that 46 percent of sales to broadcasters that average between 33 and 3,333 concurrent viewers on Twitch. This is because, he believes, smaller channels are more like your friend’s couch and less like a stadium.
He said mid-tier broadcasters convert views into purchases 13 times more effectively than top-tier broadcasters. Small broadcasters convert views into purchases 1000 times more effectively than top-tier broadcasters.

It’s not that Twitch simply reminds your potential buyers that a game exists, or the bigger broadcasters would be more likely to make people buy. It seems that the engagement and fun times people have interacting with their favorite broadcasters while they play a cool looking game makes them more likely to purchase it for themselves.

Of course the research concludes that all developers and studios should take a “Stream First” approach to get gamers involved and interested, something I’d take with a bit of caution considering that this guy is researching on behalf of Twitch and would obviously like more games to focus on their Twitch interactions. However, it is really interesting to see that watching a stream can help boost sales. While this might not be true for all games, it certainly is intriguing. It’s almost as if demos have been replaced by let’s plays – giving gamers the chance to see what a game is about without needing to fork out the cash.

I still need to get into watching Twitch streams – they just generally haven’t lured me in as of yet. Do you have favorite streamers? Who you would recommend?

 

Last Updated: July 14, 2016

25 Comments

  1. Ottokie

    July 14, 2016 at 11:34

    I have bought a lot of games if they are popular on Twitch. The only exception is when there is a game high up the list and the first streamer has 90% of total viewers (usually idiots like Lirik) then I know it’s a sellout and ignore the game completely.

    Reply

    • Pariah

      July 14, 2016 at 11:47

      Lirik and Summ1t confuse me. HOW ARE THEY SO POPULAR? They’re literally bottom of the barrel quality, but they have insane viewer counts. I don’t understand it. I always look at streamers between 100 and 500 viewers, generally they give the best quality.

      Reply

      • Ottokie

        July 14, 2016 at 11:48

        My top streamers are also in the 50 – 400 viewer range

        Reply

      • Hammersteyn_hates_Raid0

        July 14, 2016 at 11:48

        How many subs does Pewdiepie have again?

        Reply

        • Ottokie

          July 14, 2016 at 11:48

          *How many kids

          Reply

          • Hammersteyn_hates_Raid0

            July 14, 2016 at 11:50

            There’s millions of kids…. hope they all know about Pokemon GO

        • Pariah

          July 14, 2016 at 11:48

          I don’t know and I don’t care. Another bottom of the barrel “HOW THE FUCK IS HE POPULAR” guy.

          Reply

      • Dresden

        July 15, 2016 at 03:58

        I prefer Cohh Carnage over the other big streamers when it comes to a new game. The chat is civil and he interacts with the viewers on questions, etc that they may have on a game.

        Reply

  2. The Order of the Banana

    July 14, 2016 at 11:39

    I am too old for Twitch. I still buy my games by stalking Geoff’s gaming profiles. Actually, I lie. I am Geoff.

    Reply

    • Ottokie

      July 14, 2016 at 11:40

      I KNEW IT!

      Reply

    • Hammersteyn_hates_Raid0

      July 14, 2016 at 11:40

      Rofl

      Reply

    • Admiral Chief be dangerous now

      July 14, 2016 at 11:50

      This is possible. However, I know the truth Mr X

      Reply

  3. Snowlock2.0

    July 14, 2016 at 11:41

    With the price of today’s games, I find it better to watch it on twitch and then decide if I want to buy it.

    Reply

    • Pariah

      July 14, 2016 at 12:53

      We used to have demos for that.

      Reply

  4. Pariah

    July 14, 2016 at 11:46

    Diabetech is really fun to watch. Dry sense of humour, overall nice guy. Small channel. Then there’s a few big names, but I love Ellohime – he’s a bit crass but smart and funny and entertaining.

    I have a lot more on my watch list, but they’re based on mood and/or what they’re playing rather than watch them any time they’re on streamers.

    Reply

    • Zoe Hawkins

      July 14, 2016 at 12:36

      i will need to check them out. i need to understand this phenomenon – can’t keep blaming it on being “too old” 😛

      Reply

  5. Hammersteyn_hates_Raid0

    July 14, 2016 at 11:49

    Too old for this, if I’m unsure about a game I wait for a review or watch a few vids on Youtube

    Reply

    • Pariah

      July 14, 2016 at 11:52

      I’m 30 and Twitch is my main out-of-game entertainment provider. It’s really not about the games, and I think that’s what a lot of people think it is.

      Reply

      • Hammersteyn_hates_Raid0

        July 14, 2016 at 11:54

        my main out-of-game entertainment provider is the guy serving my beer 😛

        Reply

        • Admiral Chief be dangerous now

          July 14, 2016 at 12:01

          Speaking of which, you need to talk to that guy to put one of our draught machines in your local watering hole.

          I was at the brewery yesterday, and told them I know a guy in [your town] that will easily drink a keg a week

          Reply

          • Hammersteyn_hates_Raid0

            July 14, 2016 at 12:52

            XD

  6. Pariah

    July 14, 2016 at 11:50

    I’ll be honest though – only one streamer has influenced my buying decision, and only on one game. And only because it looked like fun. It was fun. Gave me 60 hours of fun, for a few dota items. Nice trade.

    I watch Twitch mainly for the people though. The games are often what starts the connection, but you come back for the entertainer him or her self.

    Reply

    • Pariah

      July 14, 2016 at 11:55

      In fact I only really watch games I already play, or that entertain me, but I have no interest in playing. That’s about 95% of my Twitch games watched.

      Reply

      • R4ziel

        July 14, 2016 at 12:44

        I am the same, I watch games i am already playing or that I never intend to play. I also use twitch mainly for watching CS:GO and Dota 2 tournaments. Twitch has never convinced me to buy something I havent had.
        Currently im playing Ark: Survival of the fittest and I love watching Typeforced streams, he could be playing anything and I would still watch, as you say, I come back for the person not the game.

        Reply

        • Pariah

          July 14, 2016 at 12:52

          I forgot about tournaments. Yes I enjoy those too. 😀

          Reply

Leave a Reply

Your email address will not be published. Required fields are marked *

Check Also

SpongeBob SquarePants speedrunners discover that dirty discs make the game run faster

Some mornings you wake up and you have a pretty good idea of what you’ll be writing about.…