Digital Games Becoming $100 Billion Industry by End of 2017

Digital Games Becoming $100 Billion Industry by End of 2017

Foto: Fotolia

A new study from Juniper Research has found that revenues from the global digital games market are set to reach the $100 billion milestone by the end of this year. Juniper's annual report, Future Games Market: Emerging Opportunities & Pivotal Publisher Analysis 2017-2021, found that, contrary to previous concerns, the PC market has seen reinvigoration via F2P (Free to Play) games. Coupled with the continued growth of mobile, the industry will see total revenues reach $132 billion by 2021.

Juniper found Supercell to be the clear market leader, effectively monetising consumers through engaging games, highly rated by consumers. The research advised that publishers such as Niantic must create longevity and engagement, lest they see drop-off in terms of active users. The outlook for the mobile industry is positive. Publishers are now seeking to integrate in-game advertising. The research found that this will be most effective when users opt-in; watching a short video to provide players with additional in-game credits can be marketed alongside paid options for an "ad-free experience".

The research noted rapid adoption of the F2P monetisation strategy on PC devices, where consumers are enticed into accessing a game which is free, before developers harness the freemium model; popularised by mobile games, in order to accelerate spend, with this accounting for almost 80% of the platform's revenues by 2021. "Juniper believes there is further opportunity for F2P on PC; particularly in Western markets; as well as console, with digital platforms such as Xbox Live playing host to F2P titles which are then monetised via in-game purchases and add-ons" explained research author Lauren Foye.

More from category

Digital Video Is a Rising Star in UK

Digital Video Is a Rising Star in UK

25 Apr 2017 comment

Digital video usage is becoming a significant part of UK adults’ media consumption. According to eMarketer’s first digital video viewing forecast, adults in the UK will spend an average of 53 minutes per day watching digital video this year, a tally more than double what it was five years ago.

EMEA Traditional PC Market Returning to Growth in 1Q17

EMEA Traditional PC Market Returning to Growth in 1Q17

25 Apr 2017 comment

The Europe, Middle East, and Africa (EMEA) traditional PC market (desktops, notebooks, and workstations) continued to stabilize in the first quarter of 2017, with the market posting modest growth (1.6%) and totaling 17.4 million units, according to IDC.

Detection and Response is Top Security Priority in 2017

Detection and Response is Top Security Priority in 2017

21 Apr 2017 comment

Enterprises are transforming their security spending strategy in 2017, moving away from prevention-only approaches to focus more on detection and response, according to Gartner. Worldwide spending on information security is expected to reach $90 billion in 2017, an increase of 7.6 percent over 2016, and to top $113 billion by 2020.