China Video Games & Accessories Industry

An Expert's View about Gifts, Games and Toys in China

Posted on: 29 Mar 2010

China suppliers of video games and accessories are optimistic that the promising outlook for the global gaming industry will boost their exports in 2010.


Spending patterns in North America and Europe indicate many consumers prefer indoor recreation than travel as they recover from the financial slump.


Driven by hardware and software for video game and dedicated portable systems, and PC and online games, China’s export sales have started to pick up in the second half of 2009.


Rosy forecasts aside, roadblocks such as product compatibility and IPR concerns exist.


To circumvent the issue, companies are developing their own platforms and working with IC and solutions providers to produce their own I/O platforms.


Further, manufacturers and traders alike are strengthening core competency in their main product lines to differentiate themselves from competitors.


The general outlook for 2010 is encouraging, and suppliers are confident enough to increase capital expenditure, some by up to 50 percent.


The following are some of the key trends observed in China’s video games & accessories industry:

• Suppliers will continue to beef up their export capability for novel video game consoles and handheld units. Controllers and accessories that work not only with PCs but also with various gaming devices will be the production focus.

• Price projections are mixed with some having raised export quotes by 5 to 10 percent to defray additional costs in the past three months while others dropped prices by as much as 10 percent to remain competitive, especially since the entry-level and mid range sectors are targeted.

• The prevailing overriding goal of China suppliers is improved gaming experience. Leveraging the available technology, makers are rolling out models that deliver a full-sensory effect on the user. Overall, companies focus on adding value through the integration of new features and functions. Design trends are pointing toward innovative housings.

• To broaden their market scope,makers will tap into emerging markets in other parts of Europe and the Asia-pacific region in the coming months. They will continue to increase their presence in the EU and the US, which are the key export destinations.

• Makers are also improving production efficiency and sustaining development activities to strengthen OEM and ODM capability. Several are promoting their own brands.



The above is extracted from the Executive Summary of China Sourcing Report: Video Games & Accessories


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Posted: 29 March 2010

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