Sep 19, 2018
Innovations in Formats and Themes supported by Technology Advances key Determinant of Milieu in Video Games Market, finds Fact.MR
by Team Fact.MR
Playing video games is no more limited to hobbies but has become a dynamic part of the entertainment industry having occupied a form of self-expression for gamers, world over. The popularity of video games has been rising steadily alongside the mainstream gaming across the globe. The vast allure that video games have generated, especially among adolescents and young adults, in recent decades has been fueled by myriad of socio-economic trends, world over. Several of these trends have been reinforced by the rapid strides taken by broadcast platforms, emergence of new themes, and advancement in technologies. The growing focus of developers on constant improvements in gaming hardware is another trend key to the expansion of the video games market.
However, a key concern emerging as a bottleneck in the video games market is substantially adverse social implications their addiction has been considered to have on the gamers in various parts of the world. Several studies concur that the addiction promotes social violence. However, new generation of developers in the video games market have taken caution of these aspects. With video games increasingly triggering creativity and piquing curiosity of gamers, the popularity isn’t going to wane anytime soon.
According to projections by Fact.MR, the global video games market is anticipated to rise at a tepid growth rate during the assessment period of 2017–2022. The opportunities in the video games market is estimated to reach US$140 Bn by the end of this period.
Among the various hardware for video games, handheld consoles are projected to lead the global video game market, vis-à-vis revenue. The segment is expected to contribute US$60 Bn in revenues by 2022 end. Meanwhile, the demand for static consoles is also anticipated to rise more rapidly. This segment is expected to contribute nearly one-third of the revenue share in global video games market.
Among the various types of product in the video games market, the demand for action-based ones is prominent, since their popularity is stoked by graphical aspects of these video games. This is evident in the whopping sales of action-based and fighting category video games as they contribute nearly 33% of the video games sold in 2017 amounting to US$33 Bn. However, their popularity is likely to wane over the years, as the effect of violent content of these games can be devastating. In this backdrop, sports games are the demand for sport games in the video games market is fast gathering pace. Sports games are expected to lead the pack in sales in the global video games market. The segment is expected to create more than US$3.8 billion of incremental opportunity between 2017 and 2022.
The video games market is witnessing some exciting trajectories in Asia Pacific excluding Japan (APEJ). A sizeable chunk of the regional sales is impacted by the growing trend on online multiplayer gaming, thereby leading to the rise of multi-player user dungeons (MUDs). Moreover, the promising pace of growth of the APEJ market for video games is greatly influenced by the rapid penetration of smartphones. The staggering rise in digital platforms is paving way for the rising demand for video games played on smartphones and the trend is increasingly becoming global.
Meanwhile it is North America that is anticipated to hold the sway in the global video games market throughout the assessment period. The growing prominence of digital platforms portable media devices including smartphones has been fueling the uptake of video games in Canada and the US. The growing demand for cutting-edge user interfaces such as virtual reality (VR) across regional consumers will prove pivotal to the strategies opted by video game developers.
Among the two broad physical platforms computer games occupies a sizeable share of nearly 25% in the overall video games market, vis-à-vis revenue. This is attributed to the wide compatibility they have across multiple video game developers. However, the proposition of better consumer engagement will make console games as the leading segment. The segment is likely to contribute revenue worth of US$100 Bn by the end of 2022.