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Games - Southern Africa

Southern Africa

Revenue in the Games market is projected to reach US$1,413.00m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 7.36%, resulting in a projected market volume of US$2,015.00m by 2029.
In global comparison, most revenue will be generated in China (US$128.90bn in 2024).
In the Games market, the number of users is expected to amount to 23.3m users by 2029.
User penetration will be 28.6% in 2024 and is expected to hit 31.6% by 2029.
The average revenue per user (ARPU) is expected to amount to [arpu_firstmarket_yeartoday].

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

Market

Region

Region comparison

Currency

Analyst Opinion

The Games market in Southern Africa has been experiencing significant growth in recent years, driven by the increasing popularity of video games and the rising disposable income of consumers in the region. Customer preferences in the Games market in Southern Africa have shifted towards digital gaming platforms, with a growing number of gamers opting for online gaming and mobile gaming. This can be attributed to the widespread availability of smartphones and affordable internet access in the region. Additionally, there is a strong demand for multiplayer games, as gamers in Southern Africa enjoy the social aspect of gaming and interacting with other players. One of the key trends in the Games market in Southern Africa is the rise of esports. Esports tournaments and events have gained immense popularity in the region, attracting a large number of participants and spectators. This trend can be attributed to the growing interest in competitive gaming, as well as the increased accessibility of esports platforms and infrastructure. Another trend in the market is the increasing focus on localized content. Game developers are recognizing the importance of catering to the unique preferences and cultural nuances of the Southern African market. This includes creating games that feature local languages, characters, and settings, which resonate with the local audience. Local special circumstances in the Games market in Southern Africa include the presence of a young and tech-savvy population. The region has a large youth population, which is driving the demand for video games and gaming consoles. Additionally, the region has a vibrant gaming community, with numerous gaming cafes and events that cater to gamers of all ages. Underlying macroeconomic factors that contribute to the development of the Games market in Southern Africa include the improving economic conditions in the region and the increasing disposable income of consumers. As the economies of Southern African countries continue to grow, consumers have more discretionary income to spend on leisure activities such as gaming. In conclusion, the Games market in Southern Africa is experiencing growth and development, driven by customer preferences for digital gaming, the rise of esports, the focus on localized content, and the presence of a young and tech-savvy population. These trends, coupled with the improving macroeconomic conditions in the region, are expected to continue driving the growth of the Games market in Southern Africa in the coming years.

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.