SuperData: E3 to be dominated by VR and sequels

Research firm questions whether retail-focused event will adapt to industry’s digital shift
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SuperData Research has released its latest monthly report, predicting that virtual reality and sequels will be the big news at next week’s E3.

While Xbox One and PS4 sales are strong, outperforming the previous console cycle, signs of a price drop from Microsoft this early on are not deemed as an encouraging sign. There is also more excitement around newer platforms.

“Following a slew of hardware announcements during GDC earlier this year, both Oculus and Sony’s Project Morpheus are likely to announce part of its initial lineup and pricing,” SuperData wrote.

The firm added that consumers will be looking for ‘killer apps’ for VR before pre-orders for Oculus go live this Christmas.

When it comes to software, SuperData predicts the emphasis will be on sequels rather than new IP.

“Considering the current install base of around 30 million units, it is an influx of risk-averse consumers rather than early adopters that will continue to grow the market,” the firm wrote. “Consequently, this wave of consumers is generally less willing to take a chance on new content and choose familiar titles and franchises instead. 

“The real question on the table this year, however, is how the traditionally retail-focused event is going to adapt to an increasingly digital market. 

“Simply put: since digital distribution is much less seasonal in terms of consumer spending, how will E3 maintain its position as a platform for publishers to announce their upcoming titles for the holiday season?”

You can read the full report, including insight into Heroes of the Storm’s impact on the MOBA market, here.

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