2016 Gaming Report ADOBE DIGITAL INSIGHTS

Where our data comes from

• Comprised of 2.5B visits to retail gaming and gaming-related websites between January2015 and March 2016 (all aggregated and anonymous)

• Specific to computers: based on transactions for about 80,000 products• Specific to consoles: based on transactions for about 4,000 products• Social data based on 20+ million social engagements from June 2015 and July 2016 from

variety of sources including Facebook, Reddit, Twitter, Instagram, YouTube

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Gaming sales on the rise

$25.3B U.S. gaming sales overall projected to reach $25.3B in 2016, up from $23.5B in 2015

Millennials and Gen Xers spent more time engaging in financial services than older generations (Boomers and 70+) 42% online revenue growth YoY between Q1 2015 and Q1 2016

$11.1B U.S. online gaming and sales will account for $11.1B in 2016, 44% of total sales

32% heavily seasonal; 32% average revenue increase between September and December (2015 Q4 revenue accounts for 35% of sales)

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Prices for consoles see deflation

10.13% 5%While high-end computers show little deflation (2.68%), consoles show 10.13%

decrease YoY

The best time to buy a console is in November, with average month-over-month

price reduction of 5%

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Open betas help sales

1.7x

4.2x

Games that featured open betas sold:

More than non-open beta games one day prior to game release

More than non-open beta games 60 days before game release

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Virtual reality (VR) gaining steam

Social mentions for biggest VR players (Hololens, HTC Vive, Playstation VR, Oculus) increased 14% QoQ (Q2

2016)

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HTC Vive rising above competition

HTC Vive increase in QoQ mentions (QoQ (Q2 2016)115%

-3%

Hololens decrease in QoQ mentions-20%

Oculus decrease in QoQ mentions

-63% Playstation VR decrease in QoQ mentions

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eSports continues strong momentum

eSports has a larger social following than the NFL, NHL and MLB

40% increase in NA mentions YoY; Europe sees most growth

Counter Strike Global Offensive leads eSports communities; DOTA 2 comes in 2nd

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Glossary

• Open Beta – Game testing that is open to any user for set amount of time, prior to it’srelease

• E3 – Electronic Entertainment Expo in June• Gamescom – Game expo hosted in Cologne Germany• VR/AR – Virtual Reality/ Augmented Reality• Social Sentiment – Emotional tone behind a series of words, used to gain an

understanding of the attitudes, opinions and emotions expressed within an onlinemention

• eSports – Competitive tournaments/ leagues comprised from video games

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E3 losing relevancy

While Gamescom doesn’t have any major publishers skipping event, Sony and

Microsoft are not doing press briefings (which drives social mentions)

E3 social mentions down 35% YoY as many large names were absent (Activision, Disney Interaction, EA all skipped booths in 2016)

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VR maintains excitement, games see drop off

AR and VR net more total mentions and see less decline: -19% in July compared to May

Video games drop off in terms of conversation: -49% in July compared to May

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Vive vs. Oculus

VIVE:

Released April 2016

Multiple sensors for room scale VR

Launched with VR controllers

50 games at launch

Price point: $799

Partnered with Steam

Oculus:

Released March 2016

Single senor for room scale VR (Q4 update to 4 sensors)

Launched with Xbox Gamepad

30 games at launch

Price point: $599

Purchased by Facebook