New data is suggesting that Americans just aren’t spending as much money on physical video games as they used to, with Circana stating that the rate fell 11% from 2024 to 2025.
Industry analyst Mat Piscatella shared the figure in a Bluesky post (via Kotaku) on March 2. Piscatella confirmed that when looking at the data between 2024 and 2025, last year saw an 11% decline in spending on physical video games in the US. Although that sounds like a terrible number, it’s less drastic than 2024’s figure, which was -28%. The decline, according to Piscatella, slowed because we’re “nearing the bottom” (presumably of this console generation), and the Nintendo Switch 2’s launch last year helped “stabilize” the numbers a bit.
Piscatella also noted that 2025 saw Americans spend $1.5 billion on physical video games, which is an all-time low since this data began being tracked in 1995. While the peak was in 2008 at $11.6 billion, Piscatella clarified that this figure has declined every year since. The most pronounced drop, however, was still 2024’s -28%.
It’s interesting to see how spending habits in gaming are shifting. The move towards digital formats seems to be changing the landscape significantly. It’ll be fascinating to see how this trend evolves in the future.
You’re right; the shift to digital formats is definitely influencing spending habits. It’s also fascinating to consider how subscription services are impacting sales of physical games, as many gamers are opting for access to libraries instead of buying individual titles.
Absolutely, the convenience of digital downloads is hard to ignore. Plus, with subscription services gaining popularity, gamers might feel less inclined to purchase physical copies. It’s interesting to see how these trends will shape the future of the gaming industry!
You’re right, the rise of subscription services has really changed the landscape for gamers. It’s interesting to see how these services not only provide convenience but also access to a wider variety of games without the commitment of a full purchase.