Global Gaming Market Reached $200 Billion
The global gaming market has reached an annual revenue of approximately 200 billion dollars. Although advertisers have not yet fully utilized this huge market potential, it is certain that in-game ads will emerge more and more in the coming period.
200 Billion Dollar Global Gaming Market Creates New Advertising Opportunities
WARC Media’s latest Global Advertising Trends report highlights that the gaming industry offers huge transformational potential for advertisers. The global gaming industry generates an annual revenue of $183.9 billion, surpassing the music and movie industries. WARC’s report emphasizes that the gaming industry is a significant growth opportunity for advertisers due to its ability to reach a wide range of age groups and its conversion potential. This is evident in the fact that ad spending in the sector will only increase by 10% to $6.7 billion in 2024.
Despite declining advertiser interest in in-game ads, revenue from in-app game ads increased by 26.7%. Advertisers not directing their spend to in-game ads are failing to capitalize on the 72% of 35-54 year olds and 46% of 55+ year olds who play games at least once a week.
Recently, brands such as Netflix and The New York Times have also invested in gaming. Netflix, which spent $1 billion on its gaming business three years ago, announced a 200% increase in downloads since 2022. The New York Times, on the other hand, has managed to retain users on other digital platforms by investing in gaming content.
When we make an assessment in the light of this information, we see that it is not a very distant future that we will encounter ads in PC and console games. In addition, Microsoft’s Xbox Game Pass model with ads and Netflix’s Ad Subscription systems also reveal the high expectations in this market.
Previously, in games like FIFA (the new EA FC series), the use of advertisements on signboards during the match was discussed. While we won’t be bothered by this kind of advertising, it’s not a very exciting development for games like Assassin’s Creed or God of War, as it will affect our gameplay experience.
While advertisers recognize the huge potential of the global gaming market, they continue to tread cautiously in this complex and rapidly evolving ecosystem. The opportunities presented by in-game advertising, coupled with the right strategies, can play an important role in reaching new audiences and driving revenue growth for brands. However, in order to fully capitalize on these opportunities, it is necessary to closely follow the dynamics and trends in the industry.
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