The global mobile gaming market is expected to reach $58.71 billion by 2023, growing at a CAGR of 9.4% from 2017 to 2023, according to a new market intelligence report by BIS Research.
The increasing proliferation of smartphones, improving internet accessibility across the globe along with the availability of a diverse range of gaming genres will result in a strong growth of the market globally.
The mobile gaming industry has been undergoing dynamic changes in the recent years due to ongoing technological advancements coupled with the rising demand for interactive entertainment on portable devices. Minimal capital requirements have led to an influx of mobile game developers, causing an abundance of mobile games across iOS and Android platforms.
According to BIS Research, the diverse consumer base of these games has paved way for an array of new revenue streams and integrated payment solutions ranging from subscription fees, pay-per-play, and in-app purchases royalties to a premium account and upgrade remunerations. The rise of augmented and virtual reality in the gaming industry has given an opportunity to the developers to come up with new mobile gaming content incorporating these new forms of technologies.
Moreover, as the competition in the market intensifies, it is becoming increasingly difficult for the developers to generate brand loyalty and sustain a revenue generating consumer base, said the market research firm. However, provision of secure payment gateways, improving internet accessibility across the globe and availability of a diverse range of gaming options are expected to continue driving the industry towards growth in the coming future. In terms of gaming genre, strategy and brain games had the largest share in 2016 and these games are expected to witness a strong growth rate during the forecast period.
Their large revenue can be attributed to the widespread success of games such as Clash of Clans, Game of War: Fire Age and Puzzles and Dragons, which are top grossing games in most of the countries, says the research.
Rachit Jain, Analyst, BIS Research
Asia-Pacific (APAC) mobile gaming market is expected to witness the fastest growth throughout the forecast period. Improving internet connections and availability of low cost smartphones will be the primary growth drivers in the region. For instance, the Indian mobile gaming market is poised to grow with the faster CAGR of 28% in coming 5 years.
