Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


NZ Video Games Industry Doubles Exports

NZ Video Games Industry Doubles Exports

Revenue from New Zealand-made video games and game apps more than doubled to $80.2 million in the year to 31 March 2014, according to an independent survey of NZ Game Developers Association members. 90% of those earnings were digital software exports, primarily through the Internet and app stores.

Digital distribution platforms like the AppStore and Steam mean that New Zealand no longer has any significant disadvantage in the international games market due to distance. “Interactive entertainment software is a hi-tech weightless export industry that creates New Zealand-owned IP and competes on a global scale,” says NZGDA Chairperson Ben Kenobi. “With smart digital exports there is no upper limit on how many physical copies you can sell.”

The majority of earnings were recurring New Zealand-owned Intellectual Property, with only 12% of revenue coming from contract work for other companies. 50% revenue came from direct sales, 22% from advertising, with 9% being licensing and royalties.

“The growth reported in our survey comes from a cluster of studios who are now well-established with global reputations and are six years old on average. However, the Developers Association is concerned at a lack of new globally-successful studios and the next generation of startups,” says Ben Kenobi.

“With the right infrastructure and support, New Zealand’s interactive entertainment sector could be far larger again.” For instance, the interactive game development industry in Finland - a country with a similar population to New Zealand - was worth over three billion US dollars last year.

To address this, the Developers Association launched its own $25,000 business startup competition, the Kiwi Game Starter. Three finalists will pitch their prototypes and business plans to a panel of judges during the New Zealand Game Developers Conference at AUT University on 19 September.

“Unfortunately existing business startup or creative sector programmes don’t quite suit the nature of games businesses who must compete globally from day one in order to succeed,” said NZGDA chairperson Ben Kenobi. “The competition aims to raise awareness about the challenges facing NZ game developers and attract investor and sponsor funding for future initiatives.”

“Exports from interactive entertainment now exceed local film or music exports. Domestically New Zealanders spend over $295 million on interactive games each year, far more than we spend on music or watching movies. The reality is that interactive games are a serious business for New Zealand.”

Mr Kenobi says there are also exciting opportunities in the areas of games for health, education and social change.

The survey also found there were 450 fulltime equivalent professional game developers in New Zealand, with several hundred other part-time developers.

30 video game development businesses were independently surveyed with figures as of 31 March 2014. This is the fourth year of the survey with the methodology based on Statistics New Zealand’s Screen Industry Survey.

Highlights from New Zealand interactive software businesses this year include:
Grinding Gear Games’ Path of Exile has over 7 million players and won PC Gamer’s 2013 Game of the Year.

PikPok’s Into the Dead had over 30 million downloads and its Dreamworks licensed title, Turbo FAST, crossed the 50 million download mark. Over 100 million users are registered on PikPok’s game platform.
Gameloft Auckland’s Ice Age Adventures has been downloaded over 10 million times in the last month.

NinjaKiwi’s Bloons TD Battles had over 10 million downloads.
Outsmart Games’ social game Smallworlds grew by 6m registered users in 2013.
Runaway’s Flutter: Butterfly Sanctuary was the #1 top grossing iPhone educational game in 38 countries.

Majic Jungle’s The Blockheads crossed 10 million iPhone downloads.

- ENDS -

© Scoop Media

Business Headlines | Sci-Tech Headlines


Statistics New Zealand: COVID-19 Sees Record 12.2 Percent Fall In New Zealand’s Economy

Gross domestic product (GDP) fell by 12.2 percent in the June 2020 quarter, the largest quarterly fall recorded since the current series began in 1987, as the COVID-19 restrictions in place through the quarter impacted economic activity, Stats NZ said ... More>>


Climate: Scientists Release ‘Blueprint’ To Save Critical Ecosystems And Stabilize The Earth’s Climate

A group of scientists and experts produced the first comprehensive global-scale analysis of terrestrial areas essential for biodiversity and climate resilience, totaling 50.4% of the Earth's land. The report was published in Science Advances ... More>>


MPI: Independent Review Launched Into Assurances For Safe Transport Of Livestock By Sea

The Ministry for Primary Industries (MPI) has launched an independent review of the assurances it receives for the safe transport of livestock by sea. MPI Director-General Ray Smith says Mike Heron QC has been appointed to lead the review, which is expected ... More>>


Computers: New Zealand PC Market Grows Nearly 40% Due To Work From Home Demand

COVID-19 had large impacts on demand for PCs as businesses prepared for lockdowns by purchasing notebooks to mobilise their workforce. In the second quarter of 2020, New Zealand's Traditional PC market experienced a 39.7% year-on-year (YoY) growth ... More>>


Mediaworks: Reaches Agreement To Sell TV Operations To Discovery, Inc.

New Zealand’s largest independent commercial broadcaster MediaWorks and the global leader of real-life entertainment Discovery Inc. (“Discovery”) are pleased to announce they have reached a binding agreement regarding the sale of MediaWorks’ ... More>>


Ministry of Health: Public Transport Distancing Requirements Relaxed

Physical distancing requirements on public transport have been reviewed by the Ministry of Health to determine whether they are still required at Alert Level 2 (or below). The Ministry’s assessment is that mandatory face covering and individuals tracking ... More>>


NZHIA: New Zealand Hemp Industry Set To Generate $2 Billion Per Annum And Create 20,000 Jobs

A new report says a fully enabled hemp industry could generate $2 billion in income for New Zealand by 2030, while also creating thousands of new jobs. Written by industry strategist Dr Nick Marsh, the report has prompted calls from the New Zealand Hemp ... More>>


Stats NZ: One In 14 Employed People Report High Risk Of Losing Jobs

About one in 14 workers say they expect to lose their job or business by mid-2021, Stats NZ said today. A survey of employed people in the June 2020 quarter showed 7 percent felt there was a high or almost certain chance of losing their job or business ... More>>

ASB Quarterly Economic Forecast: NZ Economy Doing Better Than Expected, But Challenges Remain

August lockdown estimated to have shaved 8% off NZ’s weekly GDP, and 0.5% off annual GDP Economy now expected to shrink 5% (year-on-year) by end of 2020 Unemployment rate now expected to peak at 7.2% The latest ASB Quarterly Economic Forecast is less ... More>>


SAFE: Live Export Ship Carrying 5,800 New Zealand Cows Goes Missing In East China Sea

Livestock carrier Gulf Livestock 1 sent a distress signal at 4:45am NZT yesterday in the East China Sea. The area is affected by Typhoon Maysak. At 4pm a patrol plane spotted a lifeboat - with no people in it - and a man in lifejacket nearby. The ship ... More>>


FMA: Kiwisaver Fees Don't Match Performance

The Financial Markets Authority (FMA) today published an independent report into the passive and active investment management styles [i] used by KiwiSaver providers. The FMA commissioned MyFiduciary to test the extent that KiwiSaver providers were ... More>>