Market Insights Advertising & Media Media Games

In-game Advertising - Kenya

Kenya

In Kenya, revenue in the In-game Advertising market market is projected to reach US$3.40m in 2024.
Revenue in this sector is expected to show an annual growth rate (CAGR 2024-2029) of 11.69%, which will result in a projected market volume of US$5.91m by 2029.
The average revenue per user (ARPU) in Kenya is expected to amount to US$0.23.
In global comparison, most revenue will be generated China, with an expected figure of US$46,610.00m in 2024.
In Kenya, the surge in mobile gaming is driving innovative in-game advertising strategies that resonate with the country’s youthful and tech-savvy population.

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

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Analyst Opinion

The In-game Advertising market in Kenya is experiencing significant growth and development.

Customer preferences: Kenyan consumers are increasingly drawn to in-game advertising due to its interactive and engaging nature. In-game ads provide a seamless integration of brands within the gaming experience, allowing for a more immersive and realistic gameplay. This form of advertising also appeals to a younger demographic, who are avid gamers and spend a significant amount of time playing video games.

Trends in the market: One of the key trends in the In-game Advertising market in Kenya is the rise of mobile gaming. With the increasing penetration of smartphones and affordable data plans, more Kenyans are accessing mobile games. This presents a lucrative opportunity for advertisers to reach a wide audience through in-game ads. Additionally, the popularity of eSports in Kenya is contributing to the growth of in-game advertising. eSports tournaments attract a large number of viewers, both online and offline, providing advertisers with a platform to promote their products and services.

Local special circumstances: Kenya has a vibrant gaming community, with a growing number of local game developers and studios. This has led to the creation of games that are tailored to the Kenyan market, featuring local themes and characters. In-game advertising in these locally-developed games allows brands to connect with Kenyan consumers on a deeper level, leveraging the cultural relevance and familiarity of the content.

Underlying macroeconomic factors: Kenya's growing middle class and increasing disposable income have contributed to the rise of the In-game Advertising market. As more Kenyans have the means to purchase smartphones and access the internet, the demand for mobile gaming and in-game advertising has surged. Additionally, the country's favorable regulatory environment and supportive government policies have created a conducive business environment for the gaming and advertising industries to thrive. In conclusion, the In-game Advertising market in Kenya is witnessing rapid growth and development, driven by customer preferences for interactive and immersive advertising experiences. The rise of mobile gaming, the popularity of eSports, the presence of a vibrant gaming community, and favorable macroeconomic factors are all contributing to the expansion of the market. Advertisers in Kenya have a unique opportunity to leverage in-game advertising to reach a wide audience and engage with consumers in a meaningful way.

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.