Analyst: Guitar Hero Has Reached its Peak

December 9th, 2008 Posted in Business, Music, PlayStation 3, Wii, Xbox 360

Analysts often say things that most people don’t take seriously, but this analyst is talking some damn sense: the Guitar Hero brand is “reaching its peak”, according to Electronic Entertainment Design and Research analyst Jesse Divinich.

“Currently, we expect [World Tour] unit sales to decline by more than 50 percent series-over-series for November. This is coming off the October month where series-over-series units declined by more than 60 percent,” said Divinich.

Divinich further pointed out sub-retail prices of Guitar Hero World Tour – the fourth game in the series – as an indication that “demand and supply are currently in equilibrium.” While he believes the series has reached its peak, Divinich notes that it doesn’t mean the whole plastic guitar-playing fad will fade away – just the rapid expansion of its growth has burned out.

“We expect Guitar Hero and Rock Band releases for the next 10 years as they will always have a large and loyal market base, just as [Dance Dance Revolution] is still today a very profitable franchise for Konami, even though that series reached its peak a long time ago,” he explained.

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