JUPITER RESEARCH FINDS MAJOR SHIFT IN GAMER DEMOGRAPHICS: CONSOLE AUDIENCE "GROWS UP" WHILE HIGH-INTENSITY USER BASE EXPANDS AND LEADS TO UNEXPLOITED OPPORTUNITIES FOR DEVELOPERS(New York, NY - November 6, 2002) - Jupiter Research, a division of Jupitermedia Corporation (Nasdaq: JUPM) (formerly INT Media Group, Inc.), today reported that the electronic game audience is going through a major paradigm shift, creating new revenue opportunities for game developers. This shift is defined along three axes: the average console user is already an adult, the number of high-intensity users is set to grow 40% by 2007, and low-intensity puzzle and board games dominate the favorite genre.
"An older more usage-intense audience is a powerful change for game companies who struggle to adapt hardware and games for profitability in a highly competitive market. As the audience ages, the content will need to mature as well," said Michael Gartenberg, Research Director for Jupiter Research.
The research is covered in two reports recently made available in conjunction with the launch of Jupiter Research's new Personal Computer & Console Games Service. These reports detail the major changes in the demographic composition of the games audience through 2007. "Much is made of the maturing games audience, but the reality is that we are there today - the median age is 23 years old," said Gartenberg.
The first report titled, "Audience Benchmark: Adult Video Game Adoption, Cross-Ownership and Usage" finds that one in ten online adults owns a current generation console - either a Playstation2, Xbox or Nintendo Gamecube - and notes the prevalence of multiple and cross-device ownership. "Cross-ownership metrics are very revealing for game companies. They are vital to assessing the effectiveness of differentiation and upgrade strategies," said Gartenberg. The report also showed the broad appeal of low-intensity puzzle and board games among online adult users: 61% of those surveyed cited this as their favorite genre.
The second report titled, "Market Forecast: Assessing Growth of Games Audience and Revenue" finds that although there are large addressable audiences in general purpose platforms - such as PCs, handhelds, handsets and interactive television - the lion's share of electronic games revenue will be generated from the console. The report deems electronic games a relatively mature sector with the overall audience set to grow a modest 18% with 61% penetration by 2007. The report also says that revenues for the PC and console games market will break the $14 billion mark in 2007, up from $11 billion this year. "We expect the number of gamers that play more than 15 hours per week - those we dub high-intensity users - to grow by 40% from 12 million to 17 million by 2007", said Gartenberg, "This is a very compelling and potentially lucrative market segment for companies developing rich game content".
Jupiter Research recently launched its Personal Computer and Console Game service along with the GameMarketWatch.com (www.gamemarketwatch.com) news site and Jupiter GameMarketWatch Forum Conference & Expo to be held in Los Angeles on April 1-2, 2003 (www.jupiterevents.com/gmw/spring03/index.html).
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