Games - South America

South America

Highlights

In South America, revenue in the Games market is projected to reach US$12.27bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 7.65%, which will result in a projected market volume of US$17.74bn by 2029.
In global comparison, most revenue will be generated United States, with a forecast of US$128.10bn in 2024.
In the Games market withSouth_America, the number of users is expected to amount to 182.0m users by 2029.
User penetration will be 38.3% in 2024 and is anticipated to reach 42.8% by 2029.
The average revenue per user (ARPU) is expected to amount to [arpu_firstmarket_yeartoday].
In South America, the gaming industry is witnessing a surge in mobile gaming popularity, driven by increased internet accessibility and youthful demographics.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Games market in South America has been experiencing significant growth in recent years, driven by the increasing popularity of gaming among consumers in the region. Customer preferences have shifted towards online gaming, with a particular focus on multiplayer and mobile games. This trend is supported by the growing availability of high-speed internet and the widespread adoption of smartphones in South America.

Customer preferences: In South America, customer preferences in the Games market have been influenced by several factors. Firstly, there is a strong demand for online gaming, as it allows players to connect with others from around the world and engage in multiplayer experiences. This preference for online gaming is driven by the social aspect of gaming, as well as the competitive nature of multiplayer games. Additionally, mobile gaming has become increasingly popular in South America. This can be attributed to the widespread adoption of smartphones in the region, which has made gaming more accessible to a larger audience. Mobile games offer convenience and flexibility, allowing users to play games on the go.

Trends in the market: One of the key trends in the Games market in South America is the rise of esports. Esports refers to competitive video gaming, where professional players compete against each other in organized tournaments. Esports has gained significant traction in South America, with a growing number of players and spectators. This trend is driven by the increasing recognition of esports as a legitimate form of entertainment, as well as the potential for lucrative prize pools and sponsorships. Another trend in the market is the increasing popularity of virtual reality (VR) gaming. VR gaming provides an immersive and interactive experience, allowing players to feel like they are part of the game world. This trend is supported by the advancements in VR technology and the availability of affordable VR headsets in the market.

Local special circumstances: South America has a diverse gaming market, with each country having its own unique characteristics. For example, Brazil has the largest gaming market in the region, driven by a large population and a growing middle class. Argentina, on the other hand, has a strong gaming culture and a vibrant indie game development scene. Furthermore, language plays a significant role in the Games market in South America. While Spanish is the dominant language in most countries, Portuguese is spoken in Brazil. This linguistic diversity influences the types of games that are popular in each country, as well as the localization efforts of game developers.

Underlying macroeconomic factors: The growth of the Games market in South America can be attributed to several macroeconomic factors. Firstly, the region has experienced steady economic growth in recent years, which has increased disposable incomes and consumer spending. This has allowed more people to afford gaming devices and invest in gaming experiences. Additionally, the increasing availability of high-speed internet in South America has facilitated the growth of online gaming. Improved internet infrastructure has made it easier for players to connect with others and access online gaming platforms. In conclusion, the Games market in South America is experiencing growth due to customer preferences for online and mobile gaming, as well as the rise of esports and VR gaming. Local special circumstances, such as linguistic diversity and country-specific gaming cultures, further contribute to the market's development. The underlying macroeconomic factors of economic growth and improved internet infrastructure also play a significant role in the market's expansion.

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.