Gaming industry, through the pandemic became an integral and ever-developing segment of the entertainment market. With most of the people working from home, the gaming companies have significantly benefitted with the increase in demand for more innovative games. Most of the popular games have now transformed into a standalone social media platform. Besides the actual game, gaming platforms have both, interactive and linear consumption models where the bustle of watching gaming video streams has become nearly as enormous as playing the game itself.
Apart from making games as persuasive as possible, the strategy for doing so has been the adoption of in-game monetisation opportunities. In today’s time, people are playing games mostly to interact with their friends and have a life outside their work from home regime. It can be nearly termed as having a digital social life by interacting to new people outside of their near friend’s circle. The gaming medium’s social value stands at an all-time high now and largely driven by consumption and in-game spending.
As a result of this tremendous outcome due to exhilarated demand, the gaming industry is laser-focused in increasing their revenue per user. Opportunities like in-house gaming packs, additional features, gaming characters, surprise boxes are effectively a sweepstake of virtual items minting money for gaming companies.
As per various reports and analyst predictions, revenue in online games segment is projected to reach USD 23,582 Bn in 2021 which is expected to show an CAGR 7.4% over 5 years, which means that the projected market volume would be around USD 31,328 Mn by 2025 with user penetration growing to 16.4% in 2025 from 14.6% in early 2021.
As countries begin to open and up-lift stay at home restrictions, the industry is expected to see a remarkable jump and sustain new-found gains through the pandemic. The long-term value to the industry will majorly drive from acquiring new fans to their consumer base because a person who was playing zero hours a week is now playing one or two hours a week, which directly conveys that the gaming company had won them over forever. There is very high possibility of gaming accelerating a shift towards delivery of games though mobile and cloud platforms, which is already underway.
At best, this pandemic has prompted media companies and brands that there is a market of millions and an enormous addressable market of highly engagement consumers as their target group. Thus, sudden change to an online mode of e-sports from the traditional sporting will likely inch e-sport and gaming market towards the mainstream entertainment segment.
Nowadays people do not need therapy, they just need a video game to get back to life.