2021
9
UK Video Games and Consoles Market Report 2021
2021-09-10T04:13:39+01:00
OX1049565
2195
142285
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Report
en_GB
“The success of the gaming industry has remained strong in 2021 and in fact many consumers are playing games more or the same amount in May 2021 compared to the…

UK Video Games and Consoles Market Report 2021

£ 2,195 (Excl.Tax)

Description

Providing the most comprehensive and up-to-date information and analysis of the UK Video Games and Consoles market, including the behaviours, preferences and habits of the consumer.

Of the consumers who play games on static consoles, 35% said in May 2021 that they were playing more games than a year ago, with 46% reported playing about the same amount. While England removed key social-distancing rules in April 2021, but in the following months the vast majority of gamers had not reduced their usage compared to during the first 2020 lockdown.

These video game console statistics indicates that the COVID-19 lockdown caused such growth in consumers’ gaming habits that the market is set to be significantly boosted even in the longer term. 40% of people who have either a static or portable console say they do not expect to reduce the amount of video games they play post-pandemic. Even though we expect there to be some drop-off as concerns over the pandemic ease, the overall gaming industry is set to be in a much stronger position than it was before COVID-19.

One of the issues that has arisen from the pandemic is that both Xbox and PlayStation have struggled to meet the demand for their latest consoles. Despite the devices being out since November 2020, the PlayStation 5 (PS5) and Xbox Series X remain out of stock at the time of writing. PlayStation has warned that the stock shortages will last until 2022, which is set to limit some of the growth the market could have had in 2021.

Some 73% of console owners who have bought gaming accessories to improve their performance are also subscribed to a game-streaming service. With these accessories helping to provide an edge in gaming on a static or portable console, it is likely these players will want a similar experience when game-streaming on a mobile device. Therefore, it could be appealing if game-streaming platforms were to offer a premium service that included a gaming accessory for a smartphone or tablet upon sign-up.

Read on to discover more details or take a look at all of our UK Technology market research.

Quickly understand

  • The short-, medium- and long-term impact of COVID-19 on video games and consoles.
  • The type of static or portable console owned by consumers and how long they have had them for.
  • How often gamers play video games, whether those habits have changed since a year ago and what their motivations are for playing games.
  • Whether console owners have bought accessories or had energy drinks while gaming and their preference for well-known games or less-known ones.
  • Video game console industry analysis.
  • UK console video game industry statistics.

Covered in this report

Brands:Playstation (PS4, PS4 Pro, PS5, PS Vita), Xbox (Xbox One, Xbox One X, Xbox One S, Xbox Series X), Nintendo (Nintendo Switch, Nintendo Wii, Nintendo Switch Lite), Google Stadia, Microsoft, Sony, Valve (Steam).

Expert analysis from a specialist in the field

This report, written by Zach Emmanuel, a leading analyst in the Technology sector, delivers in-depth commentary and analysis to highlight current trends and add expert context to the numbers.

The success of the gaming industry has remained strong in 2021 and in fact many consumers are playing games more or the same amount in May 2021 compared to the height of the first UK lockdown in May 2020. Additionally, with four in 10 gamers not expecting to reduce their gaming habits once COVID-19 is no longer a concern, there is expected to be a long-term boost to the market brought about by the impact of the pandemic.

Zach Emmanuel - Research AnalystZach Emmanuel
Consumer Technology Analyst

Table of Contents

  1. Overview

    • What you need to know
    • Key issues covered in this Report
    • COVID-19: market context
    • Economic and other assumptions
    • Products covered in this Report
  2. Executive Summary

    • Impact of COVID-19 on video games and consoles
      • Figure 1: Short-, medium- and long-term impact of COVID-19 on video games and consoles, 13 August 2021
    • The market
    • Video game and console market valued at £2.1bn
      • Figure 2: Value of the UK video game and console market, 2015-21
    • Xbox Series and PS5 experience major stock shortages since launch
    • Question marks over the direction of Google Stadia
    • Companies and brands
    • Valve Corporation announces Steam Deck
    • Nintendo launches OLED version of the Nintendo Switch
    • The consumer
    • Take-up of the latest static consoles is quite positive despite stock shortages
      • Figure 3: Type of static console owned, 2021
    • Nintendo Switch Lite driving up the ownership of portable consoles
      • Figure 4: Type of portable console owned, 2021
    • Demos of high-intensity games on the latest consoles in-store can appeal to Generation X
      • Figure 5: Timescale on buying or receiving static games console, 2021
    • Middle-income households are more likely to own an older portable console
      • Figure 6: Timescale on buying or receiving portable games consoles, 2021
    • COVID-19 lockdowns drive increase in the amount of avid gamers
      • Figure 7: Frequency of gameplay for static console, 2021
    • PSVR 2 must be lightweight to engage gamers
      • Figure 8: Reasons for playing video games on static consoles, 2021
    • Xbox One owners are more likely to prioritise storage size in their next console
      • Figure 9: Most important aspects of a new static console, 2021
    • Many consumers who have bought gaming accessories are also subscribed to a game-streaming service
    • Nearly eight in 10 Xbox Series X owners drink energy drinks while gaming
      • Figure 10: Attitudes towards games, game-streaming and gaming accessories, 2021
  3. Issues and Insights

    • How COVID-19 is shaping the video game and console industry
    • Xbox One and PS4 are still important consoles
    • In-store demonstrations are the best way to target Generation X with the latest consoles
    • Mobile gaming accessories are likely to appeal as part of game-streaming subscriptions
  4. The Market – Key Takeaways

    • Video game and console market set to rise by 10% in 2021
    • Stock shortages of PS5 and Xbox Series last much longer than initially hoped
    • Removal of internal game development raises questions over Google Stadia
  5. Market Size and Forecast

    • Impact of COVID-19 on video games and consoles
      • Figure 11: Short-, medium- and long-term impact of COVID-19 on video games and consoles, 13 August 2021
    • Video game and console market valued at £2.1bn
    • Mixed software sales compared to 2020 should be put in perspective
      • Figure 12: Value of the UK video game and console market, 2015-21
      • Figure 13: Forecast for the value of the UK video game and console market, 2021-26
      • Figure 14: Forecast for the value of UK video game and console market, 2021-26
      • Figure 15: Forecast for the volume of sales in the UK video game and console market, 2021-26
      • Figure 15: Forecast for the volume of sales in the UK video game and console market, 2021-26
    • Volume of consoles shipments expected to be near level with 2020
      • Figure 17: Volume of games console sales in the UK, 2016-21
    • Market drivers and assumptions
  6. Market Drivers

    • Xbox Series and PS5 experience major stock shortages since launch
    • Question marks over the direction of Google Stadia
    • Internal confusion
    • Google points to different approach to Stadia
    • Impact on Stadia
    • Companies re-entering portable consoles market despite popularity of mobile gaming
    • Some details emerge about the PSVR 2
  7. Companies and Brands – Key Takeaways

    • Steam Deck is the latest entrant into the portable console market
    • Consumers are more likely to recommend PlayStation ahead of Xbox or Nintendo
  8. Market Share

    • Nintendo Switch sales made up half of console sales in 2020
      • Figure 18: Share of UK console sales, 2019-20
  9. Launch Activity and Innovation

    • Latest static consoles in Xbox Series S and X and PS5 launch
    • Valve Corporation announces Steam Deck portable console
    • Shipments begin of premium portable console Aya Neo
    • Nintendo launches OLED version of the Nintendo Switch
    • Xbox adds iOS support for Game Passing cloud streaming
  10. Advertising and Marketing Activity

    • Xbox and PlayStation release launch ads for latest consoles after initial showcase
    • Early interest shown in Steam Deck advert
  11. Brand Research

    • Brand map
      • Figure 19: Attitudes towards and usage of selected brands, 2021
    • Key brand metrics
      • Figure 20: Key metrics for selected brands, 2021
    • Brand attitudes: Consumers are much more likely to see PlayStation as consistently high quality than other brands
      • Figure 21: Attitudes, by brand, 2021
    • Brand personality: Consumers see PlayStation as the most fun but Nintendo and Xbox are close behind
      • Figure 22: Brand personality – macro image, 2021
    • Nintendo is deemed the more affordable brand than Xbox or PlayStation
      • Figure 23: Brand personality – Micro image, 2021
    • Brand analysis
    • PlayStation is viewed as prestigious and cutting edge but expensive
      • Figure 24: User profile of PlayStation, 2021
    • Consumers are more likely to see Nintendo as user-friendly than rivals
      • Figure 25: User profile of Nintendo, 2021
    • Over four in 10 people who have heard of Xbox describe the brand as innovative
      • Figure 26: User profile of Xbox, 2021
    • Reading word clouds
  12. The Consumer – Key Takeaways

    • Generation X are most likely to be engaged by in-store demonstrations of consoles
    • Gaming bars should continue to highlight COVID-19 cleaning measures
    • Premium subscription with gaming accessories could appeal to game streamers
  13. Impact of COVID-19 on Consumer Behaviour

    • Vast majority of static console gamers have not reduced their gaming since first lockdown
    • Four in 10 static console gamers expect to maintain their habits
    • Xbox One and PS4 still have an important role to play
      • Figure 27: Time spent gaming compared to last year, 2021
      • Figure 28: Intention to maintain gaming habits post-COVID-19, 2021
  14. Type of Static or Portable Console Owned

    • Take-up of the latest static consoles is quite positive despite stock shortages
      • Figure 29: Type of static console owned, 2021
      • Figure 30: Stock shortages when buying PS5 or Xbox Series X/S, 2021
    • Nintendo Switch Lite driving up the ownership of portable consoles
      • Figure 31: Type of portable console owned, 2021
  15. Length of Ownership for Static and Portable Consoles

    • Demos of high-intensity games on the latest consoles in store can appeal to Generation X
      • Figure 32: Timescale on buying or receiving static games console, 2021
    • Middle-income households are more likely to own an older portable console
      • Figure 33: Timescale on buying or receiving portable games console, 2021
  16. Frequency of Gameplay and Reasons for Playing

    • COVID-19 lockdowns drive increase in the number of avid gamers
    • Sound bars for consoles are likely to appeal to avid gamers
      • Figure 34: Frequency of gameplay for static console, 2021
    • PSVR 2 must be lightweight to engage gamers
    • Gaming bars and studios should keep COVID-19 cleaning habits to build consumer confidence
      • Figure 35: Reasons for playing video games on static consoles, 2021
  17. Most Important Features in a New Console

    • Xbox One owners are more likely to prioritise storage size in their next console
    • Consumers may favour monthly repayments for Xbox Series
    • Many Nintendo users expected to stay with the brand
      • Figure 36: Most important aspects of a new static console, 2021
      • Figure 37: Preference towards well-known gaming titles, 2021
  18. Attitudes towards Gaming

    • Nearly eight in 10 Xbox Series X owners drink energy drinks while gaming
      • Figure 38: Drinking energy drinks during gaming for consumers with specific static consoles, 2021
    • Gaming drink brands should partner with online influencers specialising in Xbox Series gaming
      • Figure 39: Drinking energy drinks during gaming, by generation, 2021
    • Many consumers who have bought gaming accessories are also subscribed to game-streaming
      • Figure 40: Attitudes towards games, game-streaming and gaming accessories, 2021
  19. Appendix – Data Sources, Abbreviations and Supporting Information

    • Abbreviations
    • Consumer research methodology

About the report

This market report provides in-depth analysis and insight supported by a range of data. At the same time, introductory and top-level content is provided to give you an overview of the issues covered.

Market

Mintel provides a range of market information, frequently through the category level, including market size and forecasting, complete with market drivers that illustrate the forces that shape a category or market.

Consumer

Mintel’s proprietary consumer research provides our analysts with the attitudinal and behavioral data used to provide valuable insight to topical issues.

Brand/Company

Mintel provides overviews of the top brands and manufacturers, and uses consumer research to explore attitudes and reactions to brands, as well as insight into what will resonate with consumers.

Data

Market reports provide appendices of data to support the research and insight produced. Our databooks* are easily manipulated and downloadable to support your research needs and covers factors from consumer attitudes to market forecasts.

*databooks not available with UK B2B Industry reports.

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