If we apply the $10,000 average installation price to straight-up interest levels among console and PC gaming households, we arrive at the astronomical figure of nearly $150 billion. Clearly, this is nothing more than pie in the sky. In addition, there is no time measurement attached. We can do better.
CEA research has repeatedly shown only a fraction of consumers who express interest in or plan to buy a CE product actually follow through. Applying a reasonable ‘purchase adjustment’ of 25 percent along with our average cost estimate yields a total of $37.3 billion. This is a more reasonable figure, but still lacks a time element. However, if we distribute this total figure over the normal CE consumer adoption curve we can calculate 10 percent of consumers will pay for a custom gaming room within the first year.
With this methodology, CEA estimates the custom game room installation market may be worth up to $3.7 billion within the next year. This figure is roughly 60 percent of the $6 billion in home theater installations CEA measured last year. Keep in mind, even though we use the term ‘dedicated gaming room’ it is likely some gamers would use these spaces for other media entertainment purposes like home theater. In addition, a portion of $3.7 billion figure could stem from simple delivery and set-up gaming installations (i.e. console and display).