Games - Eastern Asia

Eastern Asia

Highlights

In Eastern Asia, revenue in the Games market is projected to reach US$188.20bn in 2024.
This revenue is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 7.50%, leading to a projected market volume of US$270.20bn by 2029.
In a global context, the majority of revenue will be generated United States, which is anticipated to generate US$128.10bn in 2024.
Within the Games market, the number of users in Eastern Asia is expected to reach 1.0bn users by 2029.
User penetration in this region will be 54.1% in 2024 and is anticipated to increase to 61.9% by 2029.
The average revenue per user (ARPU) is expected to amount to [arpu_firstmarket_yeartoday].
In Eastern Asia, particularly in South Korea, the rise of mobile gaming is re-shaping the media landscape, driving innovative content creation and consumption habits.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Games market in Eastern Asia has been experiencing significant growth in recent years, driven by a combination of customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. Customer preferences in Eastern Asia have played a key role in driving the growth of the Games market. The region has a large and growing population of young consumers who are increasingly interested in gaming. They are attracted to the immersive and interactive nature of video games, which provide a form of entertainment that can be enjoyed alone or with friends. Additionally, the popularity of mobile gaming has surged in recent years, as smartphones have become more affordable and accessible to a wider audience. This has led to a shift in consumer behavior, with more people playing games on their mobile devices. Trends in the market have also contributed to the growth of the Games industry in Eastern Asia. One notable trend is the rise of esports, which has gained significant popularity in countries like South Korea and China. Esports tournaments attract millions of viewers and generate substantial revenue through sponsorships, ticket sales, and media rights. This has created a thriving ecosystem of professional gamers, teams, and leagues, further fueling the demand for gaming products and services. Local special circumstances in Eastern Asia have also had an impact on the Games market. For example, in China, the government has implemented regulations to restrict the number of new video game releases and limit the amount of time minors can spend playing games. These measures aim to address concerns about gaming addiction and protect the well-being of young people. While these regulations have had a short-term impact on the market, they have also created opportunities for game developers to innovate and create new gaming experiences that comply with the regulations. Underlying macroeconomic factors have also contributed to the growth of the Games market in Eastern Asia. The region has experienced rapid economic development and rising disposable incomes, which have increased the affordability of gaming devices and software. In addition, advancements in technology have made gaming more accessible and immersive, with virtual reality and augmented reality technologies gaining traction in the market. These factors, combined with the large and growing population in the region, have created a favorable environment for the Games industry to thrive. In conclusion, the Games market in Eastern Asia is experiencing significant growth due to customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. The region's young and tech-savvy population, coupled with the rise of mobile gaming and esports, has created a strong demand for gaming products and services. Additionally, local regulations and economic development have further fueled the growth of the market. As the region continues to evolve, the Games industry is expected to continue its upward trajectory.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the Games market, which is divided into Physically Sold Video Games and Digital Video Games. Physically Sold Video Games comprises revenues associated with in-person purchases of video games in retail stores. All monetary figures refer to consumer spending on digital goods or subscriptions in the respective market. This spending factors in discounts, margins, and taxes.

Modeling approach / market size:

The market size is determined through a bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party studies and reports, survey results from our primary research (e.g., Consumer Insights), as well as performance factors (e.g., user penetration, price per product, usage) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as various macroeconomic indicators, historical developments, current trends, and reported performance indicators of key market players. In particular, we consider average prices and annual purchase frequencies.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant market. For instance, 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 GDP per capita, consumer spending per capita, and 4G coverage.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. 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. The market is updated twice a year. 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). Consumer Insights data is reweighted for representativeness.