CURRENT STATE OF CASUAL GAMES IN AFRICA — A DEEP DIVE
Africa’s casual gaming market has undergone a transformative evolution, fueled by increasing smartphone accessibility and an increasing interest in mobile gaming. The market exhibits a robust blend of local and international developers, contributing to a diverse and competitive ecosystem. Key players have capitalized on the rising demand, fostering a dynamic industry landscape.
The data reflects a notable surge in downloads for popular casual games in Africa. This trend can be attributed to a growing user base and heightened mobile connectivity across the continent. Noteworthy is the prominence of games that align with local preferences, such as puzzle and trivia genres, indicating a shift towards culturally resonant content. While global giants like Subway Surfers hold their own, local products are claiming their share of the market.
In the revenue generation front, in-app purchases have emerged as a lucrative revenue stream, showcasing an increasing willingness among African gamers to invest in virtual enhancements. Cosmetic upgrades, power-ups, and virtual currency transactions feature prominently in user spending habits. The success of in-app purchases underscores the potential for developers to tailor offerings that align with consumer preferences. Rewarded video ads have also proven to be an effective monetization strategy without compromising the user experience. Integrating seamlessly into gameplay, these ads not only engage users but also contribute substantially to developers’ revenue streams. The data indicates a positive response to this ad format, positioning it as a sustainable avenue for financial success.
Casual gamers in Africa span a broad spectrum of age groups and genders, highlighting the inclusive nature of the gaming community. Understanding these demographics is imperative for developers and businesses seeking to tailor their products and marketing strategies to specific segments, thus ensuring maximum market penetration.
While the industry sees robust growth, challenges such as regulatory uncertainties, structural limitations and market saturation pose considerations for stakeholders. However, these challenges are counterbalanced by abundant opportunities, particularly in leveraging local cultural elements and exploring new cutting-edge technologies. Strategic navigation of these challenges can unlock untapped potential for sustained industry growth.
In conclusion, the African casual gaming industry stands at a pivotal juncture, presenting an enticing blend of challenges and opportunities. Stakeholders armed with a nuanced understanding of local preferences, coupled with adaptive strategies, are poised to navigate this dynamic market successfully. This executive summary serves as a gateway to a detailed exploration of the findings, recommendations, and actionable insights outlined in the full report.
I. AFRICA’S GAMING LANDSCAPE
Africa’s gaming market is not just rising — it’s exploding. With a young and tech-savvy population, rapidly increasing internet penetration, and a growing preference for mobile gaming, this region presents a unique and exciting opportunity for developers and investors alike. Let’s delve into the key characteristics that make Africa’s gaming landscape so distinctive:
Demographics:
- Young and Growing Population: Africa boasts the youngest population in the world, with over 70% under 30 years old (United Nations, 2023). This demographic is naturally inclined towards mobile gaming, as smartphones become increasingly accessible.
- Urbanization on the Rise: Rapid urbanization concentrates potential gamers in cities, making it easier for developers to reach them through targeted marketing and distribution channels.
- Diverse Ethnicities and Languages: Africa’s rich cultural tapestry translates to a diverse gaming audience with varied tastes and preferences. Understanding and catering to these nuances is crucial for success.
Internet Penetration:
- Mobile-First Approach: While internet penetration is still evolving in many parts, mobile access is leading the charge, reaching 87% of the online gaming population in Africa (Newzoo, 2023).
- This makes mobile games the dominant form of gaming in the region.
- Data Affordability Challenges: Limited data plans and high internet costs remain hurdles for some players. Developers need to consider data-light options, offline functionality, and partnerships with mobile network operators to overcome these challenges.
- Uneven Distribution: Internet access varies significantly across regions and countries. Understanding these disparities is crucial for focusing marketing and development efforts on the most promising areas.
Mobile Device Usage:
- Smartphone Domination: Smartphones are the primary gaming device in Africa, with feature phones playing a smaller but still significant role.
- Android’s Reign: Android dominates the mobile OS market, reaching over 90% share in Africa (Statista, 2023). Developers need to prioritize compatibility and optimization for Android devices.
- Affordability Concerns: Entry-level and budget smartphones are popular, impacting game development in terms of graphics, processing power, and data consumption considerations.
Preferred Gaming Genres:
- Casual Games Rule the Roost: Simple, accessible, and often free-to-play, casual games like puzzle, match-3, and hyper-casuals lead the download charts in Africa, accounting for 48% of all downloads (App Annie, 2023).
- Local Flavors Emerge: Culturally-relevant games incorporating local languages, themes, and references are gaining traction, resonating deeply with African audiences.
- Action and Sports Find Fans: While casual games dominate, action and sports genres also see significant popularity in specific regions, with titles like FIFA Mobile performing well.
II. CASUAL GAMING IN AFRICA
African mobile gamers have crowned a clear champion: casual games. While action-packed adventures and sprawling RPGs hold sway in other regions, the simplicity, accessibility, and affordability of casual games have captured the hearts (and thumbs) of African players. Let’s dissect why:
- Download Domination: Casual games lead the charge in Africa, accounting for a whopping 48% of all downloads compared to a global average of 39% (App Annie, 2023).
- Genre Breakdown: Puzzle and match-3 games reign supreme, claiming 32% and 28% of casual game downloads respectively in Africa (App Annie, 2023). Hyper-casuals are also rapidly gaining traction, particularly in regions with limited data availability.
- Regional Variations: Local preferences play a role. For example, South Africans favor action games like endless runners, while puzzle games thrive in Nigeria (Africa Gaming Expo, 2023).
So why are casual games so popular and what are the factors affecting this frenzy? Let’s look into some factors:
- Affordability: Free-to-play with optional in-app purchases makes casual games accessible to a wider audience, especially in regions with limited disposable income, as is the case with African countries. (World Bank, 2020)
- Lite Designs: Simple mechanics and minimal graphics translate to lower data consumption, a crucial factor in regions with expensive or limited internet access.
- Pick-up-and-Play: Short play sessions and easy-to-understand gameplay cater to busy lifestyles and make gaming an on-the-go treat.
- Cultural Resonance: Local game developers are creating culturally relevant games that incorporate familiar languages, themes, and references, resonating deeply with African audiences (Africa Gaming Expo, 2023).
Challenges and Opportunities:
- Monetization Strategies: While downloads are high, and in-app purchases on the rise in the region, adoption may be low compared to other regions in the West and Asia. It is very necessary to explore alternative monetization models like rewarded video ads and localized IAP offerings.
- Data Cost Concerns: Addressing data consumption concerns through offline functionality, data-saving options.
- Building Trust and Transparency: Clear pricing structures are essential for building trust with players and encouraging spending.
III. KEY PLAYERS & TRENDS
The African casual gaming scene is teeming with both established players and rising stars. From local developers crafting cultural experiences to global giants adapting their strategies to the unique landscape, the market is brimming with exciting developments. Let’s dive into the key players driving this dynamic ecosystem and explore the hottest trends shaping its future:
Locally;
- Dash Studios (Nigeria): Creators of casual game hit, Nouns Hunt, an adaptation to the popular household name of ‘Name, Animal, Name & Thing’, currently at open beta with over 4000 users in over 50 countries worldwide.
- Deluxe Creation Studios (Nigeria): Renowned for creating engaging hyper-casual & casual games like “Stickman Fight” and “Adventures of Chike”. Deluxe Creation Studios showcases the potential of African talent in this rapidly growing genre.
- Leti Arts (Ghana): Developers of puzzle scout.
- Maliyo Games (Nigeria): Creators of Whot King and Aboki Run.
Globally,
- King (Sweden): The creators of Candy Crush Saga and Bubble Witch Saga have successfully adapted their casual game portfolio to African markets, incorporating local elements and marketing strategies.
- Playrix (Russia): Known for titles like Homescapes and Gardenscapes, Playrix has seen significant success in Africa by offering localized versions of their popular games with culturally relevant themes.
- Miniclip (Switzerland): The developers of Subway Surfers continue to dominate the African market with their vibrant and accessible game, proving that global appeal can translate well to local audiences.
METRICS
I. DOWNLOADS
Africa’s vibrant mobile gaming scene pulsates with the beat of casual games, and understanding the most downloaded titles across platforms unlocks valuable insights into regional preferences and trends. By 2022, The number of downloads in the Casual Games market was projected to reach 177.20m downloads, and predicted to increase by over 50% of this by 2027. The average revenue per download currently is also expected to amount to US$0.14. (Statista).
Let’s delve into the data-driven landscape, categorizing champion titles by sub-genres and uncovering the unique tastes of each region:
Platform Powerhouses:
- Google Play Store: As Android dominates the mobile OS market in Africa (reaching over 90% share, Statista, 2023), the Google Play Store reigns supreme for casual game downloads.
- iOS App Store: While representing a smaller market share, the iOS App Store attracts premium players willing to spend on in-app purchases.
- Alternative App Stores: Regional app stores like GetJar and Opera Mini Play might harbor hidden gems popular in specific countries. Exploring these platforms can reveal unique preferences not found on global giants.
Sub-Genre Showdown:
- Puzzle & Match-3 Domination: Classic puzzle and match-3 games like Gardenscapes and Candy Crush Saga maintain their stronghold across platforms and regions, accounting for 60% of casual game downloads in Africa (App Annie, 2023).
- Hyper-Casual Hustle: Data-light and addictive, hyper-casual games like “Chop It!” are rapidly gaining traction, particularly in regions with limited internet access. Expect their presence to skyrocket in the coming years.
Regional Variations:
- South Africa: Action-packed titles like Subway Surfers and Temple Run find favor, alongside puzzle titans like Gardenscapes.
- Nigeria: Puzzle mania reigns supreme, with Homescapes and Candy Crush Saga leading the charge. Hyper-casuals like “Stack Ball” are also gaining popularity.
- Kenya: Culturally relevant games thrive here.
II. APP STORE OPTIMIZATION
In the vibrant landscape of African casual gaming, App Store Optimization (ASO) is not just a tactic — it’s a necessity. With limited brand awareness and fierce competition, optimizing your app for discoverability becomes the key to unlocking downloads and conquering the charts. Let’s explore the most effective ASO strategies for African markets:
Keyword Mastery:
- Localize, localize, localize: Research and use relevant keywords in African languages like Swahili, Hausa, and Yoruba. Tools like Google Keyword Planner and ASO platforms can guide your research.
- Target specific sub-genres: Instead of generic terms like “casual game,” focus on keywords like “puzzle game Nigeria” or “hyper-casual game South Africa” to reach engaged audiences.
- Competitor analysis: Learn from your rivals! Analyze the keywords used by successful local and global games in your target market.
Visual Storytelling:
- Culturally-resonant screenshots and icons: Showcase gameplay elements and characters that resonate with African audiences. Use familiar symbols, landscapes, and references to grab attention.
- Localized app descriptions: Translate your app description into local languages, highlighting features and benefits relevant to African players. Avoid generic jargon and embrace local humor and storytelling.
- Video trailers with a local twist: Showcase your game’s most engaging features in short, captivating videos featuring local actors or settings.
IN-APP PURCHASES
Casual games in Africa are surging, but unlocking sustainable revenue requires navigating the unique monetization landscape. Total revenue in the Casual Games market was projected to reach US$25.63m in 2022, and with total revenue expected to show an annual growth rate (CAGR 2022–2027) of 8.89% which results in a projected market volume of US$39.06m by 2027 (statista), this is a market with tons of opportunities.
In-app purchase (IAP) revenue in the Casual Games market was projected to reach US$12.33m in 2022 and paid app revenue in the Casual Games market was projected to reach US$2.85m in 2022(statista).
Let’s explore the IAP models, cultural preferences, and payment methods shaping this dynamic market:
- One-time purchases: This straightforward model, popular for premium content like additional levels or power-ups, generates moderate ARPU but boasts high conversion rates (App Annie, 2023).
- Subscriptions: While still in its early stages, subscription models are gaining traction, particularly for games with ongoing content updates or live features. However, lower adoption rates require carefully crafted value propositions.
- Virtual goods: From cosmetic items to gameplay boosters, virtual goods offer a flexible monetization strategy with varying price points to cater to diverse budgets. ARPU depends heavily on player engagement and the perceived value of virtual goods.
REWARDED VIDEO ADS
Advertising revenue in the African Casual Games market is projected to reach US$10.45m in 2022 (statista), and in the vibrant world of African casual games, rewarded video ads (RV ads) shine as a monetization powerhouse. These short, engaging video ads offer players bonus rewards like in-game currency, extra lives, or exclusive content in exchange for watching the entire ad. Let’s delve into the data and insights driving RV ad success in Africa:
Significant Contribution: RV ads contribute an estimated 40–50% of revenue for casual games in Africa, compared to a global average of 30% (Apps Flyer, 2023). This highlights the reliance and effectiveness of RV ads in this region.
eCPM Varies: Average eCPM for RV ads in Africa ranges from $0.50 to $1.50, depending on factors like game genre, target audience, and ad network (Newzoo, 2023). While lower than some developed markets, it still presents a significant revenue stream.
Completion Rates Matter: Completion rates for RV ads in Africa are encouraging, reaching around 70–80% (AppsFlyer, 2023). This indicates high user engagement and willingness to watch ads for rewards, further boosting revenue potential.
RV Ad Formats:
- Interstitial Ads: While still used, interstitial ads, which interrupt gameplay, can be disruptive and negatively impact completion rates. Consider them as a last resort or for specific campaigns.
- Rewarded Video Ads: The clear champion, rewarded video ads offer a win-win for both players and developers. Users get valuable rewards, and developers earn revenue while keeping players engaged.
- Playable Ads: These interactive ads allow users to experience a game before downloading, potentially increasing downloads and engagement. However, they can be resource-intensive to develop and require careful integration.
CHALLENGES & OPPORTUNITIES
While the African casual gaming market holds immense potential, it’s not without its unique challenges:
1. Localization and Cultural Relevance:
- Challenges: Adapting games to local languages, themes, and references requires deep cultural understanding and sensitivity. Avoiding stereotypes and misrepresentations is crucial, as is striking a balance between global appeal and local resonance.
- Opportunities: Culturally relevant games foster deeper engagement and build loyal local communities. Leveraging local talent, artists, and game developers ensures authentic representation and unlocks unique experiences for players.
2. Data Costs and Internet Access:
- Challenges: Limited internet access and high data costs in some regions restrict player reach and engagement. Data-intensive games can alienate a significant portion of the audience.
- Opportunities: Developing data-light games, utilizing offline play options, and partnering with mobile network operators for data-free access can bridge the digital divide and expand the player base.
3. Building a Sustainable Ecosystem:
- Challenges: Lack of infrastructure, funding, and skilled professionals can hinder local game development. Limited access to distribution channels and monetization options further restricts growth.
- Opportunities: Government initiatives, educational programs, and incubator hubs can nurture local talent and foster innovation. Attracting international investment, creating regional app stores, and exploring alternative monetization models like in-app advertising can support sustainable growth.
CONCLUSION
The African casual gaming market is a thrilling adventure, brimming with both challenges and opportunities. By embracing cultural sensitivity, overcoming data limitations, and nurturing a vibrant ecosystem, developers and investors can unlock the true potential of this dynamic frontier. Remember, it’s not just about racking up downloads; it’s about building a sustainable future for African gaming and empowering local talent to create experiences that resonate with the world.
