Over the past years, gaming has become an all-around world phenomenon. Not just in terms of the involvement of the people but also terms of its scope and rise. Globally speaking, the gaming industry has a plethora of participants, including both the creators and the players. From research to market value creation, it has been at the forefront for a long time now. In terms of entertainment, it has no equivalent as such, thereby becoming the world’s favourite pass time.
An Introduction to the Global Games Market
According to the research on the Global Games Market, 2.3 billion gamers all around the world spent $137.9 billion on games in 2018. In this, the Digital Games Market has a 91% share amounting to $125.3 billion.
As per the forecasts, for the next ten years, at least Mobile Gaming will continue to procure the largest segment of growth. Every year the revenue through Mobile Gaming will grow more than 25% to reach a total of $70.3 billion. That implies that Mobile Gaming will account for more than half of the game revenues generated for the very first time. To segregate between smartphones and tablets, the former will account for 80% of the revenue while the latter will account for the remaining 20%. Further numbers include Console gaming, which is the second largest segment responsible for generating $34.6 billion in 2018. Moreover, PC games will account for $32.9 billion.
Several factors influence and enhance the Global Games Market. Some of them are as follows:
The need for Entertainment: In the metropolis world where life has several demands from a person, each person finds an escape from the otherwise mechanized routine. As discussed above, gaming has become a frequently preferred activity for almost everyone. So much that it might pose itself as a need.
Passionate Gamers: People who are passionate about gaming find satisfaction in buying and owning physical products designed for gaming. That adds to the possibility of gamers enjoying their passion even more.
Engagement by the people: It has been seen that a ‘good game’ need not spend money on its marketing. The gamers worldwide engage with the gaming content and discussions on various social media platforms and in communities, thereby giving this industry an additional overlying dimension.
To expand this idea of engagement further, we can trace the division of time done by the people in terms of playing the game. Also, reading about it on several platforms or engaging in discussions along with the other enthusiasts in the community. The idea of gaming in isolation has become an old school activity. It is more concerned with the idea of community development now.
It now becomes necessary to divide the gamers into segments based on the level of their engagement in the Gaming industry. This approach will not only help identify serious gamers but will also, lead a fulfilling path towards the view of the size of potential markets, focus on appropriate and effective marketing strategies and also forecast the potential of a new product, service or even a new game.
By adopting this approach, we can identify global gamers as ‘types.’ That will further help in the enhancement and advancement of the industry itself at the core of which is the true potential of the community which develops and shares new and exciting gaming experiences.
We are keeping in mind the present revenue stream of the Global Gaming Industry. We must also look at some forecasts of its future scope of rising into a bigger giant by the year 2021. The report suggested that the consumer spends on games will increase to $180.1 billion by the year 2021. In just a decade, Mobile Gaming would have grown from the smallest segment in 2012 to a 100-billion-dollar industry by 2021.
But, surprisingly, this growth in the Mobile gaming industry does not account for any decrease in the revenue generated from console gaming or even PC games. Mobile gaming is expected to outpace the overall Global Games market, amounting to $106.4 billion in 2021. Expectedly by then smartphones and tablet games both will generate 59% of the revenue of the gaming marking as a whole. The future for both PC games and console games looks bright as well. By the year 2021, PC games will generate a revenue of $32.3 billion.
In 2018, the third largest in the world is the Japanese gaming market (behind the United States and China), growing 15.1 percent per year to $19.2 billion due to the continued success of mobile gaming companies in Japan. That implies that the size of Japan’s mobile games market is now approximately equal to that of North America, with roughly one-third of the number of gamers. Japanese gamers spend the most out of any country, particularly for mobile games.
China alone accounts for more than one-quarter of all global game revenues, reaching $37.9 billion this year. It will remain the number one gaming market in terms of the revenues and also by the number of players.
Coherently, the Asia-Pacific territories will generate $71.4 billion, or 52 % of the total global game revenues. That represents a 17 percent per year increase, nearly all of which is attributable to mobile. The Asia-Pacific territories are a primary driver of continued growth for the global games industry as the number of smartphone users in emerging markets. As India and Southeast Asia, grows exponentially and, at the same time, the willingness to spend on mobile games becomes in more established markets like China and Japan.
North America is the second-largest region, with estimated revenues of $32.7 billion in 2018, a per year increase of 10 %. Most of this growth will come from smartphone gaming and, to a lesser extent, console gaming. In European countries, mobile gamers are less willing to spend than Americans, with the average, pay per player in North America 1.6 times as high as in Europe.
As per the facts provided above, the Global Gaming Market is on the rise. Even if we ignore the numbers and only look at the gaming market trends around the world. We would realize that gaming is now is more than just gaming and entertainment as such. With a serious approach by creators and receivers, the industry has become a full-fledged opportunity for those who are passionate about their gaming approach.
Moreover, the community outlook of the Global Gaming industry cannot be negated during a time when the engagement of the users is at its peak. This willing participation is what proves to be a catalyst in the actual development of the Gaming Industry revenue stream that we discussed about a while ago. The numbers may be, but they are believable in a sense that we can feel it by what we see in our normal lives.
The gaming industry, therefore, proves to be an excellent platform for those who are passionate about their gaming endeavor. Whether it is for the production of games or for playing them, the industry has space and scope for all those who are willing to be a serious and responsive part of it.