Online Games - GCC

GCC

Highlights

In the GCC region, revenue in the Online Games market market is projected to reach US$121.50m in 2024.
This revenue is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 4.83%, leading to a projected market volume of US$153.90m by 2029.
By 2029, the number of users in the Online Games market market within the GCC is expected to amount to 6.0m users.
User penetration in this market will be 9.2% in 2024 and is forecasted to increase to 9.5% by 2029.
In a global context, it is noteworthy that the majority of revenue will be generated China, which is expected to reach US$6.53bn in 2024.
Furthermore, the average revenue per user (ARPU) in the Online Games market market in the GCC is projected to amount to US$21.84 in 2024.
In the GCC, the online gaming market is witnessing a surge in popularity, driven by increased mobile accessibility and a younger, tech-savvy population.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Online Games market in GCC is experiencing significant growth and development.

Customer preferences: Customers in the GCC region have shown a strong preference for online games, with a particular interest in multiplayer online games and mobile gaming. This can be attributed to the increasing availability of high-speed internet and the widespread use of smartphones and other mobile devices. The convenience and accessibility of online gaming platforms have made them a popular choice among gamers in the region.

Trends in the market: One of the key trends in the Online Games market in GCC is the rise of eSports. eSports tournaments and events have gained immense popularity in recent years, attracting a large number of participants and spectators. This trend has been fueled by the growing interest in competitive gaming and the increasing number of professional eSports teams in the region. The rise of eSports has also led to the development of specialized gaming arenas and facilities, further contributing to the growth of the market. Another trend in the market is the increasing focus on localization. Game developers are recognizing the importance of catering to the cultural preferences and tastes of the GCC market. This includes incorporating local languages, themes, and characters into the games, as well as providing localized customer support. This localization strategy has proven to be successful in attracting and retaining customers in the region.

Local special circumstances: The Online Games market in GCC is influenced by several local special circumstances. One such circumstance is the cultural and religious sensitivities in the region. Game developers need to be mindful of these sensitivities and ensure that their games comply with local norms and regulations. This may involve making adjustments to game content, such as avoiding depictions of violence or offensive material. Another special circumstance is the high disposable income of the population in the GCC region. This allows gamers to spend more on in-game purchases and subscriptions, contributing to the revenue growth of the market. Game developers have recognized this opportunity and are increasingly offering premium content and features that can be purchased within the games.

Underlying macroeconomic factors: The Online Games market in GCC is benefiting from several underlying macroeconomic factors. The region has witnessed strong economic growth in recent years, leading to an increase in disposable income and consumer spending. This has created a favorable environment for the growth of the online gaming market. Additionally, the GCC governments have been actively promoting the development of the digital economy, including the gaming sector. This has resulted in the establishment of supportive policies and infrastructure, such as high-speed internet connectivity and gaming hubs. These initiatives have attracted both local and international game developers, further fueling the growth of the market. In conclusion, the Online Games market in GCC is experiencing significant growth and development due to customer preferences for online gaming, the rise of eSports, the focus on localization, local special circumstances, and underlying macroeconomic factors. The market is expected to continue to expand in the coming years, driven by the increasing availability of high-speed internet, the popularity of mobile gaming, and the growing interest in competitive gaming.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the Video Games market. Digital video games are defined as fee-based video games distributed over the internet. These include online games, download games, mobile games, and gaming networks. 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.