Peru’s games industry has struggled with the steep cost of hardware and software in Latin America, leading to a thriving black market.
PricewaterhouseCoopers lists Peru as one of the games industry’s higher-growth, smaller-scale markets.
The research firm believes that the country’s games business will experience a compound average growth rate (CAGR) of seven per cent or more from 2013 to 2018. but will continue to be worth under $750 million in 2018.
In addition, market tracker Newzoo estimates that Peruvian games industry revenues will total $99.1 million (65.1m) in 2015.
Peru’s sluggish growth is unsurprising when the high price of investing in games in the region is considered.
Local games journalist Alvaro Bernedo reports that, as of 2013, authorised resellers were listing 160GB PS3 consoles for $500 (329), with the latest software at the time priced at $106 (70).
Comparatively, the same PS3 model was available for $385 (253) on the black market, with games costing $70 (46).
When launched, the basic model of Nintendo’s Wii U machine cost $700 (460) in Peru. The same console was priced at 249.99 when it launched in the UK.
More recently, the PS4 launched with a price tag of $678 (446). The UK launch price for the machine was 349.99.
With prices such as these, consumers are often put off from purchasing such premium items – especially when the average monthly salary ranges between $500 to $700 (329 to 460).
With official outlets costing too much for most Peruvians, many gamers turn to illegal hardware and software to get their gaming fix.
The majority of black market sellers in Peru will offer an ‘unlocking’ service when selling consoles, which comprises of a roughly $20 (13) charge to allow the machine to run pirated games.
Capital City: Lima
Currency: Nuevo sol
GDP (Per Capita): $6,819
Arenales, CityGame Store, GameStore
LATAM Games, US-1 America
Bamtang Games, Leap Game Studios, The Boneless
PUBLISHERS IN THE REGION
Sony, Microsoft, Nintendo