The consumption of physical video games has seen impressive growth in recent years, and the period of lockdown during the pandemic accelerated a transition that seems inevitable in the industry. While new generations and some players from the past are letting go of physical formats, it is believed that in the future, Nintendo will be the last stronghold to fall because the allure of having their exclusives in physical form remains strong. However, there are data showing a shift in the consumption trend among Nintendo fans.
The consumption of digital games on the Switch is increasing
A graph shared by Derek Strickland, editor of TweakTown, shows the revenue behavior from physical and digital game sales on Nintendo Switch during its era. As expected, the proportion during the early quarters of the hybrid console's fiscal years showed a dominant consumption of physical games. In 2017 and 2018, digital games were on the rise but not as quickly, and Nintendo's small and quirky game cartridges played a significant role.
Speaking of Nintendo physical sales, here's a look at Nintendo's quarterly physical vs digital software sales revenue by percentage: pic.twitter.com/Ur10qKspwd
— Derek Strickland (@DeekeTweak) July 25, 2023
However, when the pandemic hit and lockdowns became mandatory in many countries, millions of Switch users turned to digital formats. In the fiscal years 2020 and 2021, the proportion of digital and physical sales was almost equal at 50% for each format.
During the following months and years, the percentages of physical and digital consumption on the Switch have remained stable, although physical game cartridges no longer dominate as they did at the start of Nintendo's current generation. The graph takes us to the end of the 2023 fiscal year, which ended in March of this year, with a 43% share for physical sales versus 57% for digital sales – the highest proportion digital sales have reached in Switch's history, and consequently the lowest for physical game sales.
Do you think Nintendo will be the last company to succumb to the advancement of digital games?
Let us know in the comments and stay here, at LEVEL UP.
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