AR & VR - Bangladesh

Bangladesh

The AR & VR market in Bangladesh is projected to reach a revenue of US$38.2m in 2024.
This market segment is expected to show an annual growth rate (CAGR 2024-2029) of 8.92%, resulting in a projected market volume of US$58.5m by 2029.
Among the various segments in this market, AR Advertising holds the largest share with a market volume of US$21.8m in 2024.
In terms of revenue generation, in the United States leads with a projected market volume of US$10,900.0m in 2024.
In the AR & VR market in Bangladesh, the number of users is expected to reach 20,080.0k users by 2029.
The user penetration rate is predicted to be 9.4% in 2024 and is expected to reach 11.0% by 2029.
The average revenue per user (ARPU) is anticipated to be US$2.3 .
It is worth noting that the revenue values mentioned here only account for B2C revenues.
Consequently, the displayed market share of B2C indicates that 0.00 of the total market (B2C & B2B) is covered.
Bangladesh is experiencing a growing demand for AR & VR technologies, with companies investing in immersive experiences to enhance education and training.

Definition:

Augmented reality (AR) and virtual reality (VR) make it possible to combine the real and virtual worlds. AR is generally accessed via mobile phones and primarily relies on lenses. AR effects can be created by using lenses in social media apps, for example. AR is also used for displaying digital 3D objects in our surroundings, e.g., in gaming or eCommerce apps. Meanwhile, VR technology allows users to dive into the virtual world, and, unlike AR technology, it requires a headset device which enables the creation of virtual worlds.

Structure:

The AR & VR market consists of six different markets: AR Advertising, AR Hardware, AR Software, VR Advertising, VR Hardware, and VR Software. AR Advertising covers mobile advertising that is displayed in the most prominent social media apps. AR Hardware comprises AR headsets and glasses. AR Software is divided into three different application types, namely social media, gaming, and eCommerce applications, which can be accessed via the most prominent app stores. VR Advertising covers in-game advertising as well as advertising in VR videos. VR Hardware comprises both tethered head-mounted displays (HMDs) and stand-alone HMD headsets. Lastly, VR Software covers VR games and VR videos, which require headsets.

Additional information:

The market comprises revenues, users, average revenue per user, and penetration rates. Revenues are generated through in-app purchases, advertising spending, and consumer spending on apps, games, and hardware such as headsets or glasses. Sales channel data shows both online and offline revenues, which include VAT. The market only displays B2C revenues and users for the above-mentioned markets and markets; B2B and B2G revenues are not included. Additional definitions for each market can be found on the respective market pages.
Market numbers for VR headsets are also featured in the Consumer Market Insights, namely in the Gaming Equipment market of the Consumer Electronics market. Unlike the VR Hardware market in the Advertising & Media Outlook, the Gaming Equipment market also covers smartphone VR devices.
Key players in the market include companies such as Meta (Oculus VR), Microsoft (HoloLens), Snap Inc. with different lenses, and Nvidia, which offers computing hardware components.
For more information on the data displayed, use the info button right next to the boxes.

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Analyst Opinion

The AR & VR market in Bangladesh has been experiencing significant growth in recent years, driven by customer preferences for immersive and interactive experiences, as well as advancements in technology.

Customer preferences: Bangladeshi consumers have shown a growing interest in AR & VR technology, as they seek more engaging and interactive experiences. This includes both entertainment applications, such as gaming and virtual tours, as well as practical applications in fields like education and healthcare. The demand for AR & VR devices and content has been driven by a desire for more realistic and immersive experiences.

Trends in the market: One of the key trends in the AR & VR market in Bangladesh is the increasing adoption of these technologies in the education sector. Schools and universities are incorporating AR & VR into their teaching methods to enhance learning and make it more interactive. This trend is driven by the recognition that AR & VR can provide students with a more engaging and hands-on learning experience, allowing them to visualize complex concepts and explore virtual environments. Another trend in the market is the growing popularity of AR & VR in the entertainment industry. Bangladeshi consumers are increasingly using AR & VR devices for gaming, virtual reality experiences, and immersive storytelling. This trend is fueled by the availability of a wide range of content and the increasing affordability of AR & VR devices.

Local special circumstances: Bangladesh has a large and young population, which presents a significant market opportunity for AR & VR technology. The country's tech-savvy youth are early adopters of new technologies and are driving the demand for AR & VR devices and content. Additionally, the government of Bangladesh has been supportive of the development of the AR & VR industry, providing incentives and support to local companies and startups.

Underlying macroeconomic factors: The growing AR & VR market in Bangladesh can also be attributed to favorable macroeconomic factors. The country has experienced steady economic growth in recent years, which has led to an increase in disposable income and consumer spending. This has allowed more consumers to afford AR & VR devices and content. Additionally, the rapid development of the country's internet infrastructure and the increasing penetration of smartphones have made AR & VR more accessible to a larger population. In conclusion, the AR & VR market in Bangladesh is experiencing significant growth due to customer preferences for immersive experiences, the adoption of these technologies in the education sector, and the increasing popularity of AR & VR in the entertainment industry. The country's large and young population, supportive government policies, and favorable macroeconomic factors have also contributed to the development of the market.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on the AR & VR market. AR and VR enable consumers to experience a new dimension, using either a headset or installed units, as they combine the real and virtual worlds. Consumer revenue figures refer to revenues relating to AR hardware, AR software, VR hardware, VR software, and spending on AR and VR advertising. Both digital and non-digital revenues are included.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on specific predefined factors for each market market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies and industry associations, as well as third-party studies and reports. In addition, we use relevant key market indicators and data from country-specific associations, such as consumer spending, internet penetration, 4G coverage, and historical developments. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption. The main drivers are level of digitalization, adoption of technology, GDP per capita, and internet penetration.

Additional notes:

The market is updated twice a year in case market dynamics change. The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).