Video Game Sales take hit in September

Video Game software sales fell in September 6% down to $614 Million.

Video Game hardware took a larger hit down 19% to $383 Million.

Non-traditional video game spending is up, though this is hard to measure NPD has released its first report.
The move is, in part, defensive. NPD tracks and publishes monthly data on video game store sales, and has taken flak from video game executives for failing to account for new and increasingly popular ways of buying games.

The study marks the first time that NPD has released non-traditional video game sales figures and provides evidence that consumer spending on video games is 40 percent larger than it previously believed.
It estimated that non-traditional sales are at least $2.6 billion and as high as $2.9 billion, NPD said. The figures include used video game sales.

"This is an industry that is going through some pretty serious dramatic changes to its business model," said David McQuillan, NPD's games president. "We have to change along with them to properly reflect the overall trends going on within the market."
Many customers are buying games through downloads or by visiting online social networks to play games offered by companies such as Zynga.
Apple Inc's iPhone has also become a major gaming platform, with users buying games through the App Store.

JZ