- German games industry tops the 6-billion-euro mark
- In-game purchases and fees for online services are growth engines
- ‘The dynamic growth shows once again that games are one of the most important drivers of the digital world.’
The German games market registered continued significant growth in 2019: sales of games hardware and software rose by 6 per cent overall, to around 6.2 billion euros. These are the figures released today by game – the German Games Industry Association, based on data collected by GfK and App Annie. Sales of games hardware, including consoles, gaming PCs and accessories, dropped by 2 per cent from the previous year, to 2.4 billion euros. In contrast, the market for games software showed a gain of 11 per cent: in 2019, a total of about 3.9 billion euros was spent on computer and video games and the fees for the respective online services.
‘The German games market developed amazingly well in 2019,’ says Felix Falk, Managing Director of game. ‘Up to now, the years at the end of a console generation have been comparatively weaker economically. But we aren’t seeing any st oe now. Revenue models like in-game purchases and fees for online services have become important columns st oe games market. This means that, alongside the classic purchase of computer and video games, the long-term use of game titles is playing an ever greater role. The dynamic growth shows once again that games are one st o most important drivers st o digital world.’
In-game purchases and fees for online services are decisive growth engines
Sales through fees for online services showed the strongest percentage growth in 2019, rising by 31 per cent, to 461 million euros. These include, among other things, costs st oe online services of games consoles such as Nintendo Switch Online, PlayStation Plus and Xbox Live Gold. Also in this category are subscription services like Origin Access Premiere (EA) and Uplay+ (Ubisoft), which charge a fixed monthly rate for access to a large library of games, as well as sales for cloud gaming offerings like Google Stadia and PlayStation Now. Sales through in-game purchases also grew sharply in 2019: compared to 2018, this submarket increased by 16 per cent, to around 2.3 billion euros. In-game purchases include both small charges – to better equip one’s game character, for example – and more expensive content like whole additional campaigns and season passes. Declines were posted in other market segments, however, such as the one-time purchase of computer and video games (-3 per cent, to around 1 billion euros) and subscription to individual game titles (-10 per cent, to around 113 million euros).
About the market data
When further dedicated games hardware like gaming PCs and the corresponding accessories are taken into account, the market size for 2018 is larger than was communicated last year.
The market data is based on statistics compiled by the GfK Consumer Panel and App Annie. The methods used by GfK to collect data on Germany’s digital games market are unique in terms of both their quality and their global use. They include an ongoing survey of 25,000 consumers who are representative st o German population as a whole regarding their digital game purchasing and usage habits, as well as a retail panel. The data collection methods provide a unique insight into the German market for computer and video games.
Game – the German Games Industry Association
We are the association st o German games industry. Our members include developers, publishers and many other games industry actors such as esports companies, educational establishments and service providers. As a joint organiser of gamescom, we are responsible st oe world’s biggest event for computer and video games. We are an expert partner for media and for political and social institutions, and answer questions relating to market development, games culture and media literacy. Our mission st o make Germany the best games location.
Edict eGaming Celebrates 25th Anniversary
The Hamburg-based company edict egaming GmbH (edict) has celebrated its 25th anniversary.
Founded in 1998 and thus launched as one of the pioneers in online gaming, the developer of casino solutions is today one of the world’s leading industry aggregators. On 7 September, around 100 guests gathered in Hamburg’s Altona district to celebrate the 25th anniversary together. During a harbour tour and dinner, employees, friends and long-standing partners looked back on the company’s history.
Edict egaming GmbH’s CEO Dominic-Daniel Liénard said: “To celebrate this anniversary with so many of you who have been part of this journey is a very special moment for me. Our 25th anniversary is not only a special opportunity to acknowledge our enduring presence in the market and our extensive network of reliable partners, but also to thank our employees who have made this success possible in the first place.”
Since its foundation, edict egaming GmbH has set a number of milestones, starting in 2002 with the development of the first online casino systems in Germany for the casinos in Wiesbaden and Hamburg, edict became the first licensed provider worldwide to stream roulette from a landbased casino on the internet. 2014 saw the introduction of the Game Solution, which enables customers worldwide to integrate the broad games portfolio. In addition, edict has been part of the Gauselmann Group since 2008. Since then, the company has licensed the popular Merkur games in the individual jurisdictions and delivered them via its proprietary Aggregator Solutions to a variety of casino and sports betting platforms.
New Era Optical Technology from Scientific Games Will Enhance Lotto Hessen Retail Experience in Germany
Company’s Advanced Retail Terminals and New Gaming System Support Lotto Hessen’s Ongoing Tech Modernization
Scientific Games will bring the company’s camera-based lottery retailer technology to Lotto Hessen in Wiesbaden, Germany through a new contract. Moving the lottery retail experience beyond reliability to maximum transactional transparency for both retailers and players, 2,200 of the company’s Contour.v terminals will be installed at Lotto Hessen retailers. Lotto Hessen’s gaming system is currently being converted to Scientific Games’ advanced SYMPHONY system as part of the Lottery’s ongoing technology modernization initiatives.
Offering both clerk and player HD screens, contactless player interactions and mobile scanning, the Contour.v terminals represent Scientific Games’ new era lottery retailer technology. The Contour.v was innovated by the company as its newest, high-performance terminal to meet evolving market demand in the lottery retail environment.
Martin J. Blach, Managing Director for Lotto Hessen, said, “For 20 years, Lotto Hessen has successfully led with Scientific Games’ support to continually offer our retailers and players a modern lottery experience. The camera-based Contour.v terminals are part of our overall plan to continue innovating that experience and responsibly adapting to retail trends and consumer behavior.”
Lotto Hessen is one of the first in-market implementations of Contour.v globally. The camera-based terminals feature an open and transparent ticket scan area and HD screens configurable for both clerk and player view. The company’s new line of Contour terminals was designed with durability and an unparalleled user experience in mind. A sleek, uni-body eliminates unnecessary parts, making Contour terminals extremely reliable. Unique, advanced optics technology enhances speed of service. The Contour terminals also offer easy processing and a variety of options for ongoing software upgrades.
“The lottery ecosystem is increasingly complex and Scientific Games’ global innovation teams continue to respond with advanced retail and digital systems technology that we have become known for in the lottery industry. We have invested in the best camera-based terminal solution for international markets with the Contour.v technology,” said Matthias Müller, VP of Sales & Marketing for Scientific Games. “Our modular solutions and third-party integrations, coupled with state-of-the-art technology allow lotteries flexibility without diminishing quality and reliability. The Contour.v terminals signify a new era for Scientific Games with the most advanced optics and pattern recognition software.”
In addition to retailer technology, the company provides Lotto Hessen’s gaming systems technology, instant game management system and sports betting solution, as well as instant scratch games and the Scientific Games Enhanced Partnership, a technology-driven instant game management program that drives sales performance.
PRAGMATIC PLAY SCALES SWISS OPERATIONS WITH GAMRFIRST PARTNERSHIP
Pragmatic Play, a leading content provider to the iGaming industry, has bolstered its Swiss market footprint following a commercial agreement with GAMRFIRST operated by Casino Barrière Montreux (Barrière Group).
Pragmatic Play’s acclaimed Slots portfolio is now live on GAMRFIRST.ch, the online arm of the established land-based casino provider.
As part of the agreement, 50 titles are live on the operator’s platform, including the popular titles Sweet Bonanza ™ and The Dog House™.
Following on from a string of successful partnerships, the latest deal is set to be a catalyst for continued growth for the provider.
Irina Cornides, Chief Operating Officer at Pragmatic Play, said: “Casino Barrière Montreux is highly regarded in Switzerland, where Pragmatic Play continues to expand its presence.
“We’re delighted to welcome the operator’s GAMRFIRST brand to our growing customer base in this key regulated market. The online casino shares our commitment to creating safe and enjoyable gaming experiences, and its players can now access our entire portfolio of premium Slots.”
Patrick Ballestraz, Head of Online at GAMRFIRST.ch, added: “Pragmatic Play’s industry-leading Slots portfolio makes a wonderful addition to GAMRFIRST, with its captivating titles already proving a success with players throughout Switzerland.
“The announcement will undoubtedly go down well with our customers who will be familiar with the studio’s games, as well as build momentum and leverage our position in the Swiss market.”
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