The latest data from US tracking firm NPD Group shows that sales of the videogame industry in the US fell by 19% to $1.07 in October. Both hardware and software sales also recorded a decrease this past month, with hardware suffering the biggest decline, down 23% to $380.74 million, while software sales dropped 18% to $572.73 million.

Even accessories experienced a decline, although only a 2% drop to $118.88 million. The Wii Remote and Nunchuk controllers were the top two items for October, in both dollar and unit sales.

According to NPD analyst Anita Frazier “Based on typical industry seasonality, the industry is on track to generate full-year revenues in the range of $20-$21B in the U.S., which would put it just a bit below last year’s sales of $21.3B.”

However, consumers should be wary because “the continued economic turmoil, and in particular the troubling unemployment rate, is undoubtedly impacting industry sales…If consumers’ personal outlook continues to erode, they could very well be much more conservative with their holiday shopping this year.”

Hardware

On the hardware side of things, the Wii was the best-selling console in America for the month of October with 506 900 units (thanks to its new $199 price tag) followed by the Nintendo DS with 457 600 units. The PS3 slipped back to third place with 320 600 units and the Xbox 360 was next with 249 700 units. The PSP sold 174 600 and the PS2 rounded off the chart with 117 800 units.

Frazier commented “Across all categories, the Xbox 360 platform contributed the greatest portion of total industry sales, representing 27% of total industry sales for the month. The PS3 was a close second at 26%, an 8 point improvement over last October.”

“Year-to-date, the hardware category has experienced the sharpest decline in the industry, with unit sales down 10% compared to the same time period last year. Recent price cuts helped spur a one to two-month increase in unit sales, and this month’s Wii sales reflect that boost, but the other platforms have not sustained the sales momentum post price reduction.”

Software

The PS3 exclusive from Naughty Dog, Uncharted 2: Among Thieves, sold an impressive 537 000 copies to take the top spot on the software chart. Wii Fit Plus followed with 441 000 copies, with roughly half the sales generated by the bundled game indicating a large number of newcomers to the franchise. The Xbox 360 version of Borderlands was next with 418 000 copies, proving that Take 2 has a hot new IP in their hands.

Wii Sports Resort continues to perform well in fourth place with 314 000 copies. NBA 2K10 for the Xbox 360 charted at number 6 with 311 000 copies while the PS3 version was at number 7 with 213 000 copies. According to Frazier “The top game for the month across all platforms was NBA 2K10, at 575K units. It was a great launch for the game, outselling last year’s NBA 2K9 by 60% in its launch month. Sales on both the Xbox 360 and PS3 platforms improved substantially over last year.”

Last month’s top seller Halo 3: ODST falls to number 6 with 271 000 copies while another Xbox 360 exclusive, Forza Motorsport 3, debuts at number 8 with 175 000 copies. Kingdom Hearts 358/2 Days gives the DS its only Top 10 entry at number 9 with 169 000 copies while FIFA 10 for the Xbox 360 is new at number 10 with 156 000 copies.

Looking ahead to next month Frazier said, “With the excitement already being generated by Call of Duty: Modern Warfare 2, and the incredible buzz around upcoming titles, New Super Mario Bros. Wii, and Assassin’s Creed 2, November is poised to be a strong month for the industry.”

“The music/dance genre saw big declines this month compared to last year. The genre generated $53 million in sales as compared to $137 million last year. Both Rock Band: Beatles, and Guitar Hero 5 have the potential to be good gifting items for the holidays, so we should expect to see an uptick in sales over the next two months.”

US Videogame Industry Totals for October 2009

Below is a list of the category, followed by the total and the change in brackets.

• Video games - $1.07 billion (-19%)
• Video games hardware - $380.74 million (-23%)
• Video games software - $572.73 million (-18%)
• Video game accessories - $118.88 million (-2%)

Hardware Sales for October 2009

• Wii – 506 900
• Nintendo DS – 457 600
• PS3 – 320 600
• Xbox 360 – 249 700
• PSP – 174 600
• PS2 – 117 800

Top Ten Software Sales for October 2009

• Uncharted 2: Among Thieves (Sony, PS3) – 537 000
• Wii Fit Plus (Nintendo, Wii) – 441 000
• Borderlands (Take 2, Xbox 360) – 418 000
• Wii Sports Resort with Wii Motion Plus (Nintendo, Wii) – 314 000
• NBA 2K10 (Take 2, Xbox 360 ) – 311 000
• Halo 3 (Microsoft, Xbox 360) – 271 000
• NBA 2K10 (Take 2, PS3) – 213 000
• Forza Motorsport 3 (Microsoft, Xbox 360) – 175 000
• Kingdom Hearts 358/2 Days (Square Enix, NDS) – 169 000
• FIFA Soccer 10 (EA, Xbox 360) – 156 000

(Figures include Collector’s Edition and non-hardware bundles)

Source: NPD