In-game Advertising - Nigeria

Nigeria

Highlights

In Nigeria, revenue in the In-game Advertising market market is projected to reach US$13.97m in 2024.
The revenue in this market is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 10.42%, which will lead to a projected market volume of US$22.93m by 2029.
The average revenue per user (ARPU) in Nigeria is anticipated to amount to US$0.13.
In global comparison, the majority of revenue will be generated China, which is forecasted to reach US$46.61bn in 2024.
In-game advertising in Nigeria is rapidly gaining traction as local developers increasingly integrate immersive ad experiences to enhance user engagement and monetization strategies.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

In recent years, the In-game Advertising market in Nigeria has experienced significant growth and development. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors have all contributed to this expansion. Customer preferences in Nigeria have played a crucial role in the development of the In-game Advertising market. With a large and growing population of gamers, there is a high demand for immersive gaming experiences. Nigerian gamers are increasingly receptive to in-game advertising as a means of monetizing their gaming activities. They appreciate the opportunity to access free or low-cost games while still enjoying high-quality gameplay. As a result, advertisers have recognized the potential of reaching a captive audience through in-game advertising in Nigeria. Trends in the market further support the growth of in-game advertising in Nigeria. The increasing penetration of smartphones and internet connectivity has made gaming more accessible to a wider population. As more Nigerians gain access to smartphones and affordable data plans, the number of gamers is expected to rise. This presents a significant opportunity for advertisers to reach a larger audience through in-game advertising. Additionally, the rise of mobile gaming, particularly among younger demographics, has fueled the demand for in-game advertising in Nigeria. Local special circumstances also contribute to the growth of the In-game Advertising market in Nigeria. The country has a vibrant and rapidly expanding tech industry, with numerous startups and tech hubs emerging. These companies are driving innovation in the gaming sector, creating a conducive environment for in-game advertising to thrive. Furthermore, the Nigerian government has shown support for the gaming industry, recognizing its potential for job creation and economic growth. This support has encouraged investment in the sector and has paved the way for the development of in-game advertising solutions. Underlying macroeconomic factors have also played a role in the development of the In-game Advertising market in Nigeria. The country's growing middle class and increasing disposable income have led to higher consumer spending on entertainment and leisure activities, including gaming. This has created a favorable environment for advertisers to invest in in-game advertising as a way to reach this expanding consumer base. Additionally, the Nigerian economy has been experiencing steady growth, which has further boosted consumer confidence and spending power. In conclusion, the In-game Advertising market in Nigeria is developing rapidly due to customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors. As more Nigerians embrace gaming and advertisers recognize the potential of in-game advertising, the market is expected to continue its growth trajectory. With the support of a vibrant tech industry, government initiatives, and favorable macroeconomic conditions, the future of in-game advertising in Nigeria looks promising.

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.