The gaming industry as a whole is today the largest entertainment industry in the world with close to 3 billion gamers globally. In 2021, the gaming industry was expected to generate revenues of around USD 180.3 billion, a year-on-year increase by 1.4 percent, according to Newzoo.
The games market is expected to swiftly recover from its slight 2021 decline and continue its strong growth in the coming years. The global market is expected to grow with a CAGR of +8.7% between 2019 to 2024 and exceed USD 200 billion at the end of 2023, according to Newzoo.
The gaming industry is usually classified into three main categories – PC, mobile and console gaming.
Mobile gaming is the world’s most popular form of gaming. Mobile games were expected to reach 2.6 billion players and generate revenues of USD 93.2 billion in 2021, representing more than half of the global games market in terms of revenues. The mobile games market was expected to grow by 7.3 percent year-on-year in 2021 and will continue to grow faster than the total games market up to 2024, according to Newzoo.
Free-to-play (F2P) games are gaining market share
Stillfront’s games are predominantly within the Free-to-Play (F2P) segment. F2P games give gamers free access to games, as opposed to premium games which must be paid for prior to being played. The F2P business model relies upon three different levels of usage. The majority of the users are non-paying but can still be very dedicated to the game. The vast majority of the paying users spend small amounts for unlocking extra functions or purchasing digital currency to use within the game. A minority of the paying users are very dedicated, with gaming as their hobby, and spend much time and money on their favorite games.
The F2P model has successfully been applied to the browser game market for years and has now taken over the mobile market as well.
And everyone is playing
People across all age demographics play online games. The average age of a gamer in the US is 31 years of age, according to the Entertainment Software Association, ESA, and 80% of all gamers are above 18 years old. The number of female gamers has increased during the past years and represents 45% of the total population of gamers in the US.