Retail In Trouble? EA Says Digital Now 40% Worldwide

By James Brightman

The NPD Group is set to release its U.S. retail sales data this Thursday, but in a world where digital is becoming more prevalent, NPD’s numbers are quickly becoming far less relevant, argues EA, according to notes from a management meeting with Sterne Agee analyst Arvind Bhatia. 

EA has been talking about the growth of its digital business for some time now, and according to Bhatia, the publisher is extremely bullish on its continued growth with Playfish leveraging core EA brands, and the expansion of mobile and DLC content. ” Overall, we think the digital growth aspect of the EA story is likely to get even stronger and to impress investors in the coming years,” said Bhatia.

On a global industry basis, EA believes the games revenue mix still favours packaged software but digital is moving fast. It’s estimated that digital revenues now account for 40 per cent of the market. EA CEO John Riccitiello previously told IndustryGamers that digital would overtake retail this year.

NOW WATCH: Tech Insider videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.