Gen Z favors gaming over movies, study shows

Movies have always been a popular pastime, dominating the entertainment scene during the golden age of cinema and for many years after, with millions of people from all over the world captivated by the stories they depict, be it on the silver screen, TV or, more recently, on smart devices. The rise of streaming platforms like Netflix, Amazon Prime, HBO Max, and Hulu proves that people’s interest in watching movies and TV shows remains high despite the many other leisure activities available to them nowadays. 

However, it seems like the longstanding supremacy of motion pictures in the entertainment industry is somewhat waning due to the changing preferences of younger audiences. While watching movies remains a favorite pastime for older generations, Gen Z consumers have shifted their attention to other entertainment venues that better suit their demands. 

So, what do young people like to do for fun these days? A new study shows gaming to be at the top of their preferences, with over 63% of Gen Zers favoring video games over movies. The reasons for the shift are manifold, including social, lifestyle and financial considerations.   

An entertainment divide between generations 

The Entertainment Software Association’s (ESA) Essential Facts report released in 2024 highlights a notable generational gap in terms of entertainment preferences. According to the study’s findings, Millennials (55%) and Gen Z (63%) are more likely to spend their free time playing video games than watching movies. The penchant for gaming seems to drop with older generations, with only 33% of Gen X and 14% of Boomers and Silent Generation being keen on these types of activities.  

In certain countries like Canada, the video game penetration rate stands at 61%, according to the Entertainment Software Association of Canada, with younger Canadians (children and teens between 6 and 17 years of age) being more likely to play video games than adults. 

These discrepancies aren’t just underlining an evolution in entertainment habits but also point towards changes in the way different generations approach social interactions and how they perceive gaming and tech applications as a whole. 

Why gaming? 

The rising popularity of video games is an undeniable fact, but why is Gen Z so fond of gaming? Further data from the report provides some interesting insights into people’s motivations when playing video games, revealing that:

• 68% of respondents use gaming as a pastime or a relaxation method
• 67% play because it keeps them entertained 
• 37% use gaming for mental stimulation, to improve cognitive functions  
• 30% view gaming as a form of escapism  

Therefore, playing video games is no longer labeled as mindless entertainment, as it was once perceived, with more people (73%) becoming aware of the cognitive and educational benefits of this activity, which is reflected by the influx of brain training games and applications. This specific gaming genre can help players improve or develop a variety of new skills, such as problem-solving, teamwork, or creativity. The fact that many parents (72%) engage in gaming activities has also contributed to their normalization, debunking myths and stereotypes about video games. 

From passive to active entertainment 

Video games might not be the most dynamic pastime one can think of, but they are definitely more engaging than movies. One should not forget that Gen Z is the first generation of digital natives and grew up interacting with all sorts of different tech tools and devices. Therefore, instead of being mere spectators and sitting still for hours, as is the case with movies, they prefer to be active participants, and video games respond to their need for interaction and connectivity. 

In a similar vein, Gen Z’s penchant for more active forms of entertainment that require some level of involvement from users is also driving interest in online gambling. That’s one of the reasons why online casinos in Canada and many other parts of the world have become top entertainment venues. 

The social dimension of gaming 

As digital natives, Gen Z individuals are also used to communicating and connecting with others via virtual channels. Unsurprisingly, for 71% of Gen Z players, video games offer an opportunity to socialize and bond over shared interests. This has turned gaming from a solitary endeavor into a social experience that facilitates communication and connection, whether it’s from afar or in person, and helps people maintain strong relationships. The social dimension of gaming is underscored by the emergence of multiplayer games, which serve as social hubs where players gather to chat and exchange ideas. 

Although movies also bring people together and can be used to create opportunities for social interaction, they do that in other ways that don’t offer the same level of convenience as video games do.  

Financial implications

The 2024 ESA study also looked at how video games fit into people’s budgets compared to movies and the perceived value that these two mediums offer. 63% of Gen Z respondents stated that gaming provides the best value for money out of all the entertainment options available. 

Gen Z is known for being the most financially savvy generation yet, having great budgeting skills and spending money responsibly. This means that cost-effectiveness plays a crucial role in their choice of entertainment products, and according to their calculations they can get more out of purchasing video games or paying for video games subscriptions than by going to the movies or attending concerts.  

Mobile supremacy 

Another factor that has fueled Gen Z’s love for video games is the increasing prevalence of mobile devices. Once smartphones became a widespread commodity and tech advances allowed them to support more complex gaming experiences, users gained access to a wide collection of gaming options, and, as expected, Gen Z lost no time in taking advantage of the mobile gaming boom. 

The mobile games market in Canada alone is expected to grow by 7.05% between 2024 and 2027, demonstrating the growing popularity of gaming on mobile devices. Therefore, it’s now easier than ever for players of all types to enjoy games that cater to their specific preferences, and Gen Z seems to appreciate both the ease of use and the large variety of options that come with mobile gaming. 

Gen Z’s predilection for gaming is a clear indication that the entertainment landscape is undergoing profound transformations, with different medias influencing each other and sometimes even blending. The changes we’re witnessing at the moment are bound to shape the future of the entertainment industry and force stakeholders to adapt their practices to align with the shifting dynamics.