Market Insights Advertising & Media Media Games

In-game Advertising - D-A-CH

D-A-CH

In the D-A-CH region, revenue in the In-game Advertising market market is projected to reach US$1.95bn in 2024.
This revenue is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 9.14%, leading to a projected market volume of US$3.02bn by 2029.
The average revenue per user (ARPU) in this market is expected to amount to US$59.89.
In a global context, the most revenue will be generated China, amounting to US$46,610.00m in 2024.
In Germany, the integration of in-game advertising is gaining traction as brands seek innovative ways to engage with the gaming community.

Key regions: China, India, United States, Germany, Europe

Market

Region

Region comparison

Currency

Analyst Opinion

The In-game Advertising market in D-A-CH is experiencing significant growth and development.

Customer preferences: Customers in the D-A-CH region have shown a growing interest in in-game advertising. This can be attributed to the increasing popularity of gaming and the rise of mobile gaming in particular. Gamers in this region are receptive to advertising within games, as long as it is relevant, non-intrusive, and enhances their gaming experience. They appreciate advertisements that offer rewards or bonuses within the game, such as extra lives or in-game currency. Additionally, customers in D-A-CH are more likely to engage with brands that align with their values and interests.

Trends in the market: One of the key trends in the In-game Advertising market in D-A-CH is the integration of native advertising. Native ads seamlessly blend into the gaming environment, making them less disruptive and more appealing to gamers. This form of advertising allows brands to reach their target audience in a more organic and authentic way. Advertisements that are integrated into the storyline or game mechanics are particularly effective in capturing the attention of gamers and driving brand engagement. Another trend in the market is the use of personalized and targeted advertising. With advancements in data analytics and user profiling, advertisers can now deliver tailored advertisements to individual gamers based on their preferences, demographics, and gaming behavior. This level of personalization not only enhances the user experience but also increases the effectiveness of the advertisements.

Local special circumstances: The D-A-CH region, consisting of Germany, Austria, and Switzerland, has a strong gaming culture and a large number of active gamers. Germany, in particular, is one of the largest gaming markets in Europe. This presents a significant opportunity for in-game advertising companies to reach a large and engaged audience. Additionally, the region has a high internet penetration rate and a strong infrastructure, making it conducive for online gaming and in-game advertising.

Underlying macroeconomic factors: The growth of the In-game Advertising market in D-A-CH can be attributed to several macroeconomic factors. Firstly, the increasing popularity of gaming globally has led to a larger pool of potential customers for in-game advertising. The COVID-19 pandemic further accelerated this trend, as people turned to gaming for entertainment and social interaction during lockdowns. Secondly, the rise of mobile gaming has made gaming more accessible to a wider audience. Mobile games are easily accessible on smartphones and tablets, allowing gamers to play anytime and anywhere. This has opened up new opportunities for in-game advertising, as mobile games often offer a higher level of engagement and interaction with the audience. Lastly, the advancements in technology and data analytics have enabled advertisers to deliver more targeted and personalized advertisements. This has increased the effectiveness of in-game advertising and improved the return on investment for advertisers. Overall, the In-game Advertising market in D-A-CH is thriving due to customer preferences for relevant and non-intrusive advertisements, the integration of native advertising, the use of personalized and targeted advertising, the strong gaming culture and infrastructure in the region, and the underlying macroeconomic factors such as the growing popularity of gaming and advancements in technology.

Methodology

Data coverage:

The data encompasses B2C revenues. Figures are based on in-app advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers ad spending on advertisements displayed within a mobile application.

Modeling approach / Market size:

The market size is determined through a combined top-down and bottom-up approach. We use market data from independent databases, the number of application downloads from data partners, survey results taken from our primary research (e.g., Consumer Insights), and third-party reports to analyze and estimate global in-app advertising spending. To analyze the markets, we start by researching digital advertising in mobile applications for each advertising format, incidents of in-app and mobile browser usage, as well as the time spent in mobile apps by categories. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, mobile users, and digital consumer spending. Lastly, we benchmark key countries and/or regions (e.g., global, the United States, China) with external sources.

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.

Additional Notes:

The market is updated twice per year in case market dynamics change. Consumer Insights data is unbiased for representativeness.