Deconstruct - #4 - Do Streaming Platforms Influence Gaming Audiences?

Introduction: 

Millions globally around the world don’t just watch media such as sports through traditional means such as on the screens of televisions, but instead watch others play video games online. This is the reality of online streaming platforms such as Twitch (Twitch, 2011) and YouTube (YouTube, 2005), which have gained significant influence over the video game industry in terms of popularity and sales. Such as Twitch, “In the third quarter of 2022…counted around 2.6 million concurrent viewers, more than doubling its audience since the third quarter of 2018.”(“Statista”) This research essay will explore how online streaming platforms influence the sales and popularity of video games

Games are streamed and viewed by millions around the world, especially with Twitch, which has seen a massive spike in growth over the last few years as “…in 2016, there were 292 billion total minutes watched and 2.2 million unique streamers (Twitch, 2016)…followed by over 350 billion minutes in 2017 (Twitch, 2017).” (Johnson and Woodcock). This shows a clear trend that online streaming platforms are constantly growing, gaining access to a larger global audience every year. 

For example, this allows for niche and unusual games to be streamed on the platform, niche and unusual games, such as Rocket League which In the first month after launch”…went from the 165th most watched game to the top 5, resulting in over 5 million download sales” (Johnson and Woodcock). Again, this shows a clear correlation between how successful a game is on a streaming platform and how that popularity online with the global audience will positively impact the sales and popularity of the game.

Furthermore, these streaming platforms were also aided by the onset of the global pandemic in 2020, with a huge majority of the global population at home with gaming showing an increase in “8% growth rate to reach $198 billion” (Schudey et al.). This influenced those at home to seek alternative means of entertainment that could be accessed at home, such as watching streamers play games. Even those who wouldn't traditionally watch or play games found themselves doing so. This in turn would then influence that audience to watch and even perhaps purchase that video game, showing that streaming platforms do influence the sales and popularity of video games. 

This research essay will explore whether these streaming platforms truly influence video game sales and popularity. It is clear that there already is a massive amount of influence being projected upon audiences via online streaming services, but does this influence go as far as to make a video game popular and successful?

Methodology: 

To investigate the influence of online streaming platforms on the popularity and sales of video games through their audience, several mixed-method approaches will be conducted to gather a large range of data and insights.

One such method is to use quantitative forms of data and research gathering. This process will involve directly looking at publicly available data from YouTube and Twitch and cross-examining that data with games that have or had a large following online and determining whether the game became successful through online streaming platforms or not. To cruelty gain data for video games, the use of Steam Charts (Steam Charts, 2012) will also be very useful, as this allows for the accumulation of figures such as player counts and sales on specific dates. This in turn will help back up the research so all the data can be cross-referenced to key dates within the industry and world events. Thus allowing for the identification of trends and correlations in the sales, players and streaming data.

Moreover, another form of data gathering will be qualitative insights.

A survey will be designed and distributed among peers, friends and various online gaming communities. This will ensure a diverse range of responses and a representative sample. The survey will be constructed around the research question as to how members of certain audiences feel if they are influenced to buy or play a game because of online streaming. This collected data will be analysed to help support or disprove the quantitative data and vice versa.

Finally, the findings will be evaluated in the context of existing academic papers and academic research. The papers that would preferably be used will be on the subject of audiences and the media’s influence over the audience.

However, there are some limitations that should be considered when gathering research for this essay. Here is only a certain amount of publicly available data for the streaming platforms, which may not provide a complete picture and some relevant data may not be publicly accessible. Furthermore, with the survey I am conducting, respondents may not accurately report their thoughts and opinions, which may lead to skewed results. Also, the survey may also include a sample bias and so this may not accurately represent the border gaming community. This could limit the generalisability of the survey findings. Finally, there are also factors out of the research’s control such as other factors influencing the sales and popularity of a video game such as marketing campaigns, game quality and or other trends within the industry.

This comprehensive methodology allows for a robust analysis of the research question, combining hard data with personal insights as well as previous academic research. The results from both analyses will be synthesised to answer whether streaming services influence the sales and popularity of video games through their audiences. 

Background Research: 

To effectively research this question, background research into audience and influence theories is to be conducted. Over the last few decades, various models and theories have merged that research how audiences can be influenced through media such as newspapers, movies and TV.

One of the key theories that is relevant to this research topic is Maslow’s Hierarchy of Needs (Maslow, A.H., 1943). This theory puts forward that human behaviour is driven by a series of needs that must be fulfilled in a specific order, starting with basic physiological needs such as food and shelter and culminating in self-actualisation with purpose and meaning. 

The media caters to these needs of audiences, providing content that resonates with the audience’s current level of need fulfilment.

For instance, a news article about a natural disaster may cater to the audience’s safety needs, while a movie or TV show about friendship and love may cater towards the audience’s love and social needs. It is declared by Maslow that “Our most basic need is for physical survival, and this will be the first thing that motivates our behavior…The human body cannot function optimally if physiological needs are not satisfied. Maslow considered physiological needs the most important…”(Mcleod) The media has to concentrate on one of the levels of the hierarchy to influence an audience. 

Moreover, another model that looks into audiences and how they're influenced is the Hypodermic Needle Theory (Laswell, 1927). This theory suggests that media messages are injected directly into the minds of passive audiences, thereby influencing their behaviour without the audience being aware that they’re currently being influenced at all. Although this theory could be considered to be out of date due to its findings being almost 100 years old and (with the introduction of social media); where the media was in a completely different state and form (Radio and newspapers only) it is still significant to recognise the importance of this research and how audiences can be impacted.

Furthermore, there have also been more modern developments in the Hypodermic Needle Theory (Laswell, 1927) with the introduction of the Two-Step Flow theory (Katz & Lazarsfeld, 1955) with the age and rise of social media, where social media influencers and opinion leaders such as politicians can have a significant impact upon their followers such as their views and behaviours. One way that the Two-Step Flow Theory can be applied is during “… 2017 …Prime Minister Teresa May did not take part in an election debate…An opinion leader may have watched the debate and then told their friends who did not watch…that the Prime Minister…was scared to debate with the other leaders.”

For example, a newspaper article or a TV news presentation can present a particular viewpoint or message such as showing audiences topics within politics and that audience accepts that message without question. One such example is “…during World War II… radio, posters, and other forms of media to spread propaganda and shape public opinion. The Hypodermic Needle Theory would suggest that these media messages had a direct, immediate, and powerful effect on the audience, influencing their beliefs and behaviors.” (M.Arch) and Drew (PhD)). Even with today’s modern audiences and global access to today's media, everyone is constantly being influenced one way or another, everywhere they go.

This background research indicates that audiences can indeed be influenced by what they see in the media.

Given the growing prominence of online streaming platforms and the Hypodermic Needle Theory. These theories provide a theoretical foundation for investigating the impact of streaming platforms on the sales and popularity of video games. In turn, the influence can be understood and explained by using theories such as Maslow’s Hierarchy of Needs and the Hypodermic Needle Theory. These theories help provide a strong basis for exploring whether streaming platforms influence the sales and popularity of video games through their audiences. 

Qualitative Research:

To delve deeper into the influence of streaming platforms on video game sales and popularity, a comprehensive survey was conducted. This survey was distributed among a diverse group of individuals, including friends, peers, and industry professionals. This approach ensured a wide range of perspectives and experiences, providing a rich dataset for analysis.

However, it must be noted, as before, that this survey isn’t an accurate representation and will include biases as the main demographic that was asked was mostly gamers, so this won’t account for those who have smaller amounts of gaming experience.

The survey was designed to gather both demographic information and personal opinions on online streaming services. Participants were asked about their age, gender, and gaming habits, as well as their use of and attitudes towards streaming platforms like Twitch and YouTube and if they feel that streamers influence their buying habits. This allowed for an exploration of how different demographic groups interact with these platforms and whether their experiences influence their gaming purchases.

By conducting this survey, I aimed to gain a first-hand understanding of the relationship between streaming platforms and video game popularity. The insights gained from this research form a crucial part of this essay and provide a solid foundation for further discussion and analysis.

This survey was conducted with 30 individuals for context.

The survey conducted aimed to understand the influence of streaming platforms like Twitch and YouTube on video game awareness, popularity, and sales. The respondents, who varied in their engagement with online game streams, provided insights into their viewing habits, purchasing decisions, and perceptions of the impact of streaming platforms.

The data revealed that 46.7% of respondents watch streamers online play video games for 1-10 hours a week, while 43.3% do not watch at all. This indicates a varied level of engagement with online game streams among the respondents. When asked about the influence of streamers on their awareness of games, the respondents were almost evenly split. About 36.7% became aware of a game because of a streamer, while an equal percentage did not. The remaining 26.7% selected “N/A”, possibly indicating individuals who do not watch game streams or do not play video games. Interestingly, more than half of the respondents (56.7%) have bought a game because of a streamer playing it, suggesting that streamers can significantly influence the purchasing decisions of their viewers. In terms of watching video games on streaming platforms, the respondents were nearly evenly split, with 53.3% not watching video games being played on online streaming platforms and 46.7% doing so.

Finally, a significant majority (86.7%) of respondents believe that streaming platforms have a significant impact on a game’s popularity and sales, while only 13.3% do not believe so.

The data proposes that streaming platforms have a significant presence in the gaming community. A considerable portion of the respondents watch video games on these platforms. However, many respondents have not purchased a game because of a streamer. This suggests that while streaming platforms actively engage consumers and shape viewing habits, they do not necessarily translate into direct game purchases for a significant number of viewers. Therefore, the influence of streaming platforms may be more nuanced, affecting aspects of the gaming industry beyond direct sales.

The influence of streaming platforms and streamers on individual behaviours is not uniform. While a portion of respondents have bought a game because of a streamer, a majority have not, despite still watching video games online. This could be attributed to various factors such as personal preferences, financial considerations, or the type of games being streamed. It’s also plausible that while streamers can generate interest in a game, other factors such as game reviews, word of mouth, or personal research play a more decisive role in the actual purchase decision.

Interestingly, despite this split in personal behaviours, there is a strong consensus among respondents that streaming platforms do impact a game’s popularity and sales. This could suggest an awareness of the broader trends in the gaming industry, even if it doesn’t directly influence their individual actions. Respondents might be considering the impact of streaming platforms on the gaming community as a whole, including other gamers’ behaviours and the buzz generated around certain games.

In conclusion, the survey data suggests a complex relationship between streaming platforms, streamers, and video game sales. While streaming platforms are recognised as influential, their impact varies among individuals and does not always translate into direct sales. This highlights the multifaceted nature of the gaming industry, where consumer behaviour is influenced by a combination of factors. The role of streaming platforms, while significant, is just one piece of the puzzle, and their influence on game purchases is not as direct or widespread as one might assume.

Quantitative Research:

Further research has shown that there have been, in the past, clear correlations between streamers and audiences' buying and playing certain video games. However, it could be said that streamers took advantage of real-world events such as the 2020 global pandemic, forcing the global population inside. With nothing to do, millions turned to playing video games, the perfect opportunity for online streamers. With the pandemic being known as a mental epidemic, millions sort out the comfort of video games.

Immediately it was clear that there was a massive surge in the number of players playing video games “Play time has increased as well, with players in the United States reporting as much as a 45% increase in game time during quarantines (Clement, 2021).” (Yee and Sng).  Streamers, who are often seen as trendsetters in the gaming community, could have introduced their viewers to new games, thereby driving up their popularity and sales, with reports of those “...stuck indoors - spent 40% of their waking hours in front of a screen, on average” (Rajan)

One such game that grew massively due to streamers during the pandemic is Among Us (Innsersloth, 2018) with “The initial growth in users was driven primarily by online content creators…In July 2020, Twitch streamer Sodapoppin made the game popular on Twitch.” (Jain) by “early September, more than 100 million users from all over the world downloaded Among Us, and its player count rose to 1.5 million” (Jain) it was almost as this game blew up overnight with the game reaching record-breaking statics and beating much bigger games in terms of player count. However, streamers weren’t doing it alone, they were teaming up with each other with one such example as being “Streamers with a low following…are being invited to games by popular streamers like Lazar, who has nearly 5.4 million followers and ten times as many people watching him regularly. This exposure is very beneficial to a two-year-old, nearly forgotten game...”(Jain)

Another example of a video game having an increase in popularity is Rocket League (Psyonix.2015). This game has a very niche idea of using cars instead of people in what was essentially a football match. When Rocket League was “launched on Twitch, its unusual combination of football…played with cars…proved sparingly and unexpectedly popular on the platform” (Johnson and Woodcock) with “In the first month after launch, Rocket League went from the 165th most watched game to the top 5, resulting in over 5 million download sales (Twitch, 2015)” (Johnson and Woodcock) Rocket League’s (Psyonix.2015) rise in popularity on Twitch (Twitch, 2011), from being the 165th most-watched game to being in the top 5, demonstrates the power of visibility on these platforms. This visibility is not just about the number of people watching, but also about who is watching. 

The audiences on Twitch (Twitch, 2011) and YouTube (YouTube, 2005) often include dedicated gamers who are likely to purchase and play games they discover and enjoy on these platforms The acknowledgement from the Vice President of the game’s publisher that “Twitch and its streamers have been an instrumental part of our success since we launched’ (Johnson and Woodcock)

These findings strongly support the research question: “Do streaming platforms like Twitch and YouTube influence the sales and popularity of video games through their audiences?” They highlight the significant role of streaming platforms and their communities in driving the success of video games, particularly during extraordinary circumstances like a global pandemic.

 As the landscape of entertainment continues to evolve, the influence of streaming platforms on the video game industry is likely to grow even further. Future research could delve deeper into this relationship, exploring other factors that contribute to the success of video games on streaming platforms. 

Conclusion: 

The research conducted provides compelling evidence that streaming platforms like Twitch (Twitch, 2011) and YouTube (YouTube, 2005) significantly influence the sales and popularity of video games. The global pandemic in 2020, which forced people indoors, created an unprecedented opportunity for online streamers and video games. With millions seeking the comfort of video games, streamers introduced their viewers to new games, driving up their popularity and sales.

The case studies of ‘Among Us’ (Innsersloth, 2018) and ‘Rocket League’ (Psyonix.2015) serve as prime examples of this phenomenon. Both games saw a significant increase in popularity and sales following their exposure on streaming platforms, demonstrating the power of visibility on these platforms.

The survey and quantitative data further underscore the complex relationship between streaming platforms, streamers, and video game sales. While streaming platforms are recognised as influential, their impact varies among individuals and does not always translate into direct sales. This highlights the multifaceted nature of the gaming industry, where consumer behaviour is influenced by a combination of factors.

As the landscape of entertainment continues to evolve, the influence of streaming platforms on the video game industry is likely to grow even further. Future research could delve deeper into this relationship, exploring other factors that contribute to the success of video games on streaming platforms. This research has provided a solid foundation for understanding the significant role of streaming platforms in the video game industry and their potential to shape future trends in gaming.

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