15 OCT 2024

USA: Gaming has become a stronger competitor for TV and SVOD

Hub’s annual gaming study shows the critical role of gaming in the lives of young consumers.

Share

The competition between television and video games is becoming increasingly evident, particularly among younger consumers. Hub Research's annual “Gaming 360” study highlights the central role gaming plays in the lives of people aged 16-24. According to the study, 91% of young people engage with mobile, console, or PC video games, with over half (53%) playing on a game console daily and 35% playing multiple times per day. Gaming sessions are also substantial, with 67% of gamers spending at least an hour per session, and 36% typically playing for 2-3 hours at a time. This high level of engagement with gaming leaves less room for other activities, as young gamers estimate that 35% of their total screen time is spent gaming, compared to just 19% watching TV shows or movies.

Gaming is not just a form of entertainment for young people; it serves as a vital community where they create and maintain relationships. Much like how "Must See TV" once acted as a cultural touchpoint, gaming now provides an even deeper connection for today’s younger consumers. Gamers aged 16-24, in particular, spend more time gaming than older players, with the majority of this time dedicated to multiplayer games where they interact with others. In fact, 55% of young gamers report that most or all of their communication with friends occurs within a game. Gaming also serves as the foundation for friendships, with 68% of young gamers playing with friends they know in real life, while nearly half (48%) have online gaming friends they've never met in person.

The community-driven nature of gaming opens up significant opportunities to monetize content. The immersive experience gaming offers creates unique avenues for engagement that other mediums can't replicate. For example, among Fortnite players, 78% reported purchasing in-game downloadable content (DLC) like "skins" to personalize their characters, reflecting how players project their identity into the game. Moreover, games can serve as a platform for content discovery—53% of Fortnite players have participated in in-game festivals featuring artists like Metallica, Lady Gaga, or Billie Eilish, with 20% becoming fans of an artist they first discovered through the game. These interactions highlight gaming’s potential to blend entertainment with commercial opportunities in new ways.

“These results illustrate why it’s so critical for media companies to adapt to the tastes of a new generation of consumers,” said Jon Giegengack, Principal at Hub. “There are ways for video platforms to lean into this change; Disney’s investment in Epic Games and Netflix’s growing gaming capabilities are good examples. But it’s critical to accept that young consumers won’t ‘grow out’ of their passion for things like gaming or social video,” concluded.

Tags
Related News
subscribe

to Señal News Newsletter

MOST READ STORIES