From Halo and Fallout to the brand itself, Xbox has become a bridge connecting players worldwide with the franchises, stories and characters they love. Through immersive storytelling, exceptional brand engagement, authentic omnichannel extensions and intellectual property adaptations, Xbox is redefining the gaming experience.
John Friend, head, Xbox Gaming Consumer Products, took the stage at Brand Licensing Europe to discuss the evolving landscape of gaming, its monumental role in the entertainment industry and what it means for licensing and consumer products.
Gaming’s Dominance in Entertainment
Friend began by establishing that gaming is now the largest vertical in entertainment, surpassing industries such as music, film and sports combined. Highlighting data from IDG, he emphasized that the gaming B2C market is growing and not expected to slow down. The global gaming audience is estimated at 3.2 billion people, with 100 million new players joining annually.
The number of gamers and their playing hours has consistently increased over the past decade. Gamers now spend an average of nine hours a week playing, with engagement more than doubling over the last nine years. “People spend a lot of time in these worlds, in these games,” says Friend. And the durability of these virtual spaces will only deepen over time as gaming becomes even more ingrained in modern culture. For example, “When you finish your homework, you get to hang out with your friends,” says Friend. “You may not be able to go out, but you can still play a game, do a raid or beat a challenge together.”
Understanding the Audience: More than Just “Gamers”
Friend tackled the stereotype of the “gamer” by pointing out that almost everyone interacts with games to some extent. An important note Friend made was, “We are all in one way or another, gamers. If you look at the stats, most people play games at least a little bit every month.” From Gen Z to older generations, gaming has become a pervasive part of everyday life. He made the point not to look at gaming as having a narrow audience of just “gamers” in the traditional sense. Just as watching movies doesn’t make someone a “movie-er,” gaming is another way people consume entertainment and connect socially.
This insight is critical for licensing partners. Companies need to understand why people play games to resonate with this vast audience. Friend encourages businesses to dig deeper into the “why” of gaming – why gamers are so engaged and how these behaviors extend beyond the digital realm. “I’d encourage you not just to look at big statistics,” says Friend. “I’d actually love to see you ask, ‘Why do people play games?’”
Understanding the “why” behind gaming behavior allows brands to craft experiences and products that align with their audience’s desires, whether for relaxation, competition or social connection. It is also important to ask who they are engaged with and who they are sharing their gaming with.
Friend noted a successful collaboration was the Xbox Celebration Cake with Tesco. The creativity to bring something celebratory to fans beyond the games allows them to celebrate what they love with those they love.
Xbox’s strategy for building fan engagement through consumer products also lies in celebrating heritage and nostalgia. Friend cites Xbox’s recent efforts to connect players with franchises from decades past. “We’re seeing a lot of teenagers celebrating fandoms that are 30 years old,” he says. “It’s amazing, because they’re connected by the same motivations – whether through their parents or simply by appreciating something from back in the day.”
Durability and Fandom in Gaming
License Global’s Ben Roberts joined Friend on stage to discuss the longevity and durability of gaming franchises, noting that many players return to the same games because of the emotional and social connections they’ve built around them. These franchises have become digital meeting places where players hang out with friends, even if they’ve moved away or grown older. This creates opportunities for brands to market products that reflect the games themselves and the relationships and memories formed through them.
He advised brands to focus on cultivating long-term relationships with gaming communities and look to durable franchises rather than short-lived trends that may be a flash in the pan. Friend says the key to success in gaming is giving fans tools to celebrate their fandom so they can share it with their friends and family. An example would be an Xbox jersey, he notes. It is about sparking that initial interest for new growth and fueling existing fandoms.
Keys to Successful Partnerships
A central theme of the keynote was the importance of knowing your partner. Friend urged companies to align with brands and developers that have staying power and resonate with their audience. Successful partnerships, he explained, are built on understanding why developers and content owners want to expand beyond the game itself.
For Xbox, the goal is to help fans celebrate their fandom. Whether through merchandise or immersive experiences, the aim is to enhance fans’ emotional connection with their favorite games. Friend pointed out that Xbox’s approach is to meet fans where they are, actively listening and adapting to what they need and want, citing the Series X mini fridge, which came about from a meme, as a successful example.
No two audiences are the same, as Friend noted Xbox’s approach to tailoring products to fit the unique needs of each franchise, joking that there’s no matching luggage when it comes to gaming IPs. Whether launching heritage collections or creating deeply immersive products for upcoming titles, Friend emphasized the importance of meeting fans where they are and creating opportunities for them to engage with their favorite worlds on a personal level.
Looking ahead at gaming and licensing, Friend encouraged the potential for partnerships to create experiences for fans that resonate beyond the console.
Text: Gianna Rosenbach
Pictures: License Global