World Video Game Market Overview:
The global video game market was valued at US$ 163.70 Bn in 2020 is expected to reach US$ 334.82 Bn by 2027, with a growing CAGR of 10.8% during the forecast period (2020-2027).The video game industry is tapping into global consumer demand for online interactive entertainment creating an enormous user base for the vendors in the market space. The new trends in the video game market such as demographic shift and cord-cutting, drive the demand for video games. Consumers below 30 years of age have grown up online and engage more often with the online video game ecosystem. The demographic shift also explains the rising number of adults engaging in the video games. According to the Entertainment Software Association, as of 2020, 65% of the American adults play video games. The rising adoption of video games as a source of entertainment especially by the adults is proliferating the video game market growth.
The video game industry demand is also supported by the rising internet and smart devices penetration, growing technology integration and constant improvisation in the video games market segment. The easy accessibility to internet has surged the demand for online video games over past couple of years. In addition to this, the growing trend of social media substantially increased the live streaming of video games. Video game players are more interested in using social media for video games as it helps in communicating strategizing and forging relationships in much more meaningful way. Gaming has become the new social networking which is reinforcing the video game market forecast.
The regulatory standards and laws regulating the video games industry have material impacts on the gaming revenue. China in particular has very strict gaming such as laws related to launch of new game, gaming content regulations, and anti-addition policies, among others. In 2018, the government of China announced the establishment of gaming regulator to limit the number of new online games, to develop an age-restriction system and to limit the playing time in response to the concerns regarding near-sightedness in children. The policies and standards like these are hampering the video game market growth.
The Global Video Game Industry Segmentation:
By Game Type
By Age Group
Based on the platform, in 2020, PC games accounted for a market share of 33.8%, whereas the mobile games market segment is growing at a high rate
PC games accounted for a market share of 26.7% in the base year 2020 followed by console games. The PC video game market growth is attributed to the presence of a large number of game developers that develop game for this platform. Moreover, the console games platform segment is anticipated to outperform the PC game market during the forecast period. The mobile game platform segment is witnessing the fastest growth rate of 12.8% in the video game market scope. A large population across the globe own a smartphone and have access to the internet connectivity. The smartphone devices are more affordable and thus have an enormous growth opportunity in the video game industry.
Based on the age group, 18-34 years of age accounted for the largest share in 2020 in the video game industry
The age group of 18-34 years held a market share of 37% in the global video game industry followed by 34-54 years age group. The age of an average video game player 34 years and people aged between 18-24 years are more likely to purchase a video game, proliferating the demand for video game among 18-34 years of age group. Furthermore, the rising popularity of video games among them age group of above 54 years coupled with growing expenditure on media and entertainment is anticipated to boost the global demand for video games market.
Based on regions, the Asia Pacific region dominated the video game market size holding a market share of 45% in 2020
The Asia Pacific region has the presence of world’s 60% of the population which highly supports the rise in consumption of video games. Rapid digitization, rising mobile phone penetration, and growth in the static console hardware is driving the demand for video game market in the region. The countries such as China, Japan and South Korea led the video game industry growth in the Asia Pacific region. The gamers in Asia Pacific region spend a significant time on console and PC game but the mobile game is the strongest market segment for video game industry in the region.
The rise in number internet users is the region has proliferated the online video game market size. To support the increasing demand for online video game the market players are making investments and introducing new products in the market. Furthermore, the increasing consumer disposable incomes and rising expenditure on the entertainment industries is further increasing the demand for video market in Asia Pacific region.
Company Profiles and Competitive Intelligence: The major players operating in the global video game market are Blizzard Entertainment, Inc., Apple Inc., King.com Ltd., Disney, Bluestack Systems, Inc., Atari, Inc., Electronic Arts Inc., Facebook, Nintendo, and SQUARE ENIX LTD., among others.
The report also provides in-depth analysis of video game market dynamics such as drivers, restraints opportunities and challenges
COVID-19 Impact on the Video Game Market Analysis
The pandemic has accelerated the consumption of video game with approximately 82% of the global consumers playing video games and watched the video game content during the lockdown period. The governments across the globe mandated people to stay at home to prevent the spread of virus. Amid the pandemic the companies experienced surge in the number of users and the time spent online gaming. With growth in the number of online video game users the market players also introduced new online games to meet the rising demand.
The report also provides in-depth analysis of key trends in Video Game market
|1||The video game industry is witnessing a surge in the video game streaming with rise in the digital platforms||Positive|
|2||The developers are increasingly incorporating the options to socialize within their video games to address the increasing social aspect of gaming||Positive|
|3||The cloud gaming services are expanding at a significant rate over past year supporting the video game industry growth||Positive|
The report also provides in-depth analysis of recent news developments and investments
Company Profiles and Competitive Intelligence
The key players operating in the market are:
The unique insights provided by this report also includes the following:
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