Market Insights Advertising & Media Media

Games - Latvia

Latvia

In Latvia, revenue in the Games market is projected to reach US$66.65m in 2024.
The revenue is expected to show an annual growth rate (CAGR 2024-2029) of 6.81%, resulting in a projected market volume of US$92.64m by 2029.
When compared globally, most revenue will be generated in China (US$128.90bn in 2024).
In the Games market in Latvia, the number of users is expected to amount to 432.4k users by 2029.
User penetration will be 22.1% in 2024 and is expected to hit 25.2% by 2029.
The average revenue per user (ARPU) is expected to amount to [arpu_firstmarket_yeartoday].
Latvia's gaming media market is experiencing a surge in virtual reality content creation, captivating audiences with immersive experiences.

Key regions: United Kingdom, Germany, India, United States, South Korea

Market

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Region comparison

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Analyst Opinion

The Games market in Latvia has been experiencing significant growth in recent years, driven by changing customer preferences, emerging trends, and local special circumstances. Customer preferences in the Games market have shifted towards digital gaming, with a growing demand for online and mobile games.

This trend can be attributed to the increasing availability of smartphones and high-speed internet connections, which have made gaming more accessible to a wider audience. Additionally, the convenience and affordability of digital games compared to physical copies have also contributed to their popularity among customers. Trends in the market indicate a strong focus on multiplayer and social gaming experiences.

Players are increasingly seeking out games that allow them to connect and interact with friends and other players from around the world. This has led to the rise of online multiplayer games, where players can collaborate or compete with each other in virtual environments. The popularity of esports has also grown, with competitive gaming events attracting large audiences and generating significant revenue.

Local special circumstances in Latvia have played a role in the development of the Games market. The country has a strong tradition of computer programming and technology innovation, which has created a favorable environment for game development studios to thrive. Latvia's relatively low cost of living and business-friendly policies have also attracted foreign investment in the gaming industry, leading to the establishment of international game development studios in the country.

This has not only contributed to the growth of the Games market in Latvia but also to the creation of job opportunities and economic development. Underlying macroeconomic factors have also influenced the growth of the Games market in Latvia. The country's stable economy and increasing disposable income have allowed more people to afford gaming devices and software.

Additionally, the government's support for the technology sector and initiatives to promote digital innovation have further stimulated the growth of the Games market. In conclusion, the Games market in Latvia has experienced significant growth due to changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. The shift towards digital gaming, the focus on multiplayer and social gaming experiences, the favorable business environment, and the stable economy have all contributed to the development of the Games market in Latvia.

Methodology

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.