U.S. Physical Game Sales See a Boost, Driven by Game-Key Cards

In an unexpected turn of events, consumer spending on new physical video games in the U.S. has actually risen by 5 percent year-over-year so far in 2026, largely thanks to the surge in game-key cards.

The increase is primarily attributed to the significant rise in the availability of game-key cards and the launch of the Switch 2.

According to Circana, this 5-percent growth in new physical software sales is mainly driven by a staggering 631-percent increase in spending on game-key cards, which has helped counterbalance a 3-percent decline in other areas.

Curious about that impressive figure, I reached out to Mat Piscatella from Circana for clarification.

“Last year, there were only 10 titles released as Game-Key Cards,” he explained. “This year, we’ve seen 54 additional Game-Key Card titles hit the market. That’s the primary reason behind the growth. We’re witnessing an increase in new physical software sales for the first time in over a decade, largely fueled by the Switch 2 and publishers focusing more on Game-Key Cards.”

So, with the Switch 2 now available, gamers are eager to pick up more physical titles for it compared to other consoles, and the expanded library of games, particularly game-key cards, is a big factor. (But if Sony inquires, just say it’s all about the resurgence of physical media.)

In terms of overall content spending for August, there was a 10 percent decline, mainly due to a significant drop in mobile spending, although console content spending also took a hit. On the flip side, PC content spending and subscription services saw an uptick. NBA 2K27 topped the sales charts for August, followed by Madden NFL 27, Marvel Tokon: Fighting Souls, Madden’s Kickoff Bundle, and Star Wars Zero Company. It was a big month for new releases! NBA 2K27 has also become the third best-selling game of the year so far.

Elden Ring made a notable jump from 41st in July to 7th in August, thanks to its release on the Switch 2. Piscatella noted that Marvel’s Spider-Man 2 climbed from 31st to 11th, fueled by excitement from the recent film. Kingdom Hearts Integrum Masterpiece also saw a significant rise, moving from 159th to 26th, thanks to major reveals at D23 and a Steam sale.

And look at that! Big Walk has cracked the top 10! That’s pretty impressive for an indie title!

Total spending was down 9 percent year-over-year to $4.3 billion, primarily due to declines in mobile and console content spending, although PC content spending increased.

Spending on accessories rose by 3 percent, while total hardware spending fell by 3 percent. PS5 dollar sales increased by 17 percent, but spending on Xbox and Switch 2 dropped by 13 percent, offsetting that gain. It’s worth noting that this is spending, so price increases are factored in. Unit sales were quite poor, down 15 percent year-over-year, marking the lowest total for an August since 2013. PlayStation hardware sales decreased by 11 percent (also the lowest since 2013), Xbox saw a 31 percent drop (the lowest since 2020), and Nintendo hardware sales fell by 15 percent. The average price for a new hardware unit was $541. Ouch.