Players in power: How gamers are redefining the industry

Oct 18, 2024

By: Kapil Yadav

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Bain & Company

The gaming industry is rapidly evolving, driven by technological advancements, expanding mobile platforms and changing consumer preferences. The primary driving force behind the industry is the gamers themselves. Here are the top insights from Bain & Company regarding the future growth prospects of the gaming industry.

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Surging market growth

The global video game market reached $196 billion in 2023, surpassing revenues from streaming and box office combined, with a projected annual growth rate of 6% through 2028.

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Youth engagement

Approximately 80% of individuals aged 2 to 18 are gamers, dedicating nearly 30% of their entertainment time to gaming, highlighting the importance of young players in driving industry growth.

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Beyond gameplay

Gamers increasingly engage in activities beyond just playing, such as socialising and shopping within game environments, which enhances their overall spending.

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Co-creation trend

A significant number of gamers (80%) have engaged with user-generated content games (UGC), and one in seven gamers have created content themselves, indicating a shift toward collaborative gaming experiences.

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Desire for interoperability

Gamers express a strong preference for cross-platform play, with nearly 70% using multiple devices and half desiring greater accessibility across platforms in future games.

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Impact of gaming on other media

Over half of gamers have watched shows or movies based on video games in the past year, demonstrating the growing influence of gaming IP across various media formats.

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Immersive gaming experiences

The demand for immersive games is rising, with younger gamers particularly favouring expansive virtual environments that facilitate social interaction and content creation.

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Older gamers' potential

While younger players dominate the market, older gamers (45+) represent a smaller yet significant segment with potential for increased spending as gaming becomes more accessible.

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Strategic imperatives for success

Companies must understand their diverse customer base, expand gaming experiences beyond gameplay, meet gamers where they are and create new engaging experiences to thrive in a competitive landscape.

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Market dynamics shifting

The evolving preferences of gamers are reshaping industry dynamics, compelling companies to adapt quickly to maintain relevance and competitiveness against technology and media giants.

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