Online Games - NAFTA

NAFTA

Highlights

Revenue in the Online Games market market within NAFTA is projected to reach US$6.47bn in 2024.
Revenue in this market is expected to exhibit an annual growth rate (CAGR 2024-2029) of 4.47%, leading to a projected market volume of US$8.06bn by 2029.
By 2029, the number of users in the Online Games market market in NAFTA is anticipated to amount to 116.2m users.
User penetration in this market is expected to be 21.1% in 2024 and is projected to increase to 22.1% by 2029.
In a global context, the majority of revenue will be generated China, which is expected to reach US$6.53bn in 2024.
The average revenue per user (ARPU) in the Online Games market market in NAFTA is projected to be US$60.08 in 2024.
The United States is witnessing an unprecedented surge in the popularity of online games, driven by innovative gameplay and expanded access to digital platforms.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Online Games market in NAFTA is experiencing significant growth and development due to several key factors. Customer preferences are shifting towards online gaming as a form of entertainment, and technological advancements have made it easier for people to access and play games. Additionally, there are local special circumstances within the NAFTA region that contribute to the growth of the Online Games market. Underlying macroeconomic factors, such as increasing disposable income and the rise of digital economies, also play a role in the market's development. Customer preferences in the NAFTA region are driving the growth of the Online Games market. With the increasing availability of high-speed internet and the widespread use of smartphones, consumers are increasingly turning to online gaming as a form of entertainment. Online games offer a wide range of genres and gameplay options, catering to different preferences and interests. Additionally, the social aspect of online gaming, such as multiplayer features and virtual communities, attracts a large number of players who enjoy interacting with others while playing. Trends in the Online Games market in NAFTA include the rise of mobile gaming and the popularity of esports. Mobile gaming has become increasingly popular due to the convenience and portability of smartphones. This trend is particularly evident in the NAFTA region, where smartphone penetration is high. Mobile games are often free to play but offer in-app purchases, making them accessible to a wide range of consumers. Esports, or competitive video gaming, has also gained significant traction in the NAFTA region. Large-scale esports tournaments and events attract millions of viewers and generate substantial revenue through sponsorships, advertising, and ticket sales. Local special circumstances within the NAFTA region contribute to the growth of the Online Games market. For example, the United States, Canada, and Mexico have a large population of young people who are avid gamers. This demographic, combined with the high disposable income in the region, creates a favorable market for online games. Additionally, the cultural diversity within NAFTA countries leads to a diverse range of gaming preferences and interests, driving demand for a variety of online games. Underlying macroeconomic factors also play a role in the development of the Online Games market in NAFTA. Increasing disposable income allows consumers to spend more on leisure activities, including online gaming. The rise of digital economies, where virtual goods and services are bought and sold, creates additional revenue streams for online game developers and publishers. Furthermore, the growth of the technology sector in the NAFTA region provides a supportive environment for the development and innovation of online games. In conclusion, the Online Games market in NAFTA is experiencing significant growth and development due to customer preferences, local special circumstances, and underlying macroeconomic factors. The increasing popularity of online gaming, the rise of mobile gaming and esports, and the cultural diversity within the region all contribute to the market's growth. Additionally, increasing disposable income and the growth of digital economies provide a favorable environment for the Online Games market in NAFTA.

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.