Metaverse

The Metaverse market is set to witness a significant surge in value, with a projected reach of US$609.7m in 2024.
This growth is expected to continue at an annual rate of 39.98% from 2024 to 2030, resulting in a market volume of US$4.6bn by 2030.
Notably, United States dominates the market, accounting for a projected market volume of US$23.0bn in 2024.
Looking at the number of users, the Metaverse market is estimated to attract a substantial user base, reaching 25.7m users by 2030.
User penetration, which stands at 17.0% in 2024, is expected to increase significantly to 48.3% by 2030.
This growth indicates a rising interest and adoption of the Metaverse market among users.
Furthermore, the average value per user (ARPU) is projected to be US$71.9.
This metric highlights the amount of value generated by each user within the Metaverse market.
It is important to note that these projections and figures apply to the global market.
Specifically, in the GCC country, similar trends can be observed, albeit with varying magnitudes.
The GCC countries are witnessing a growing trend in the adoption of Metaverse technologies, with virtual reality experiences becoming increasingly popular among tech-savvy consumers.

Definition:

The term metaverse refers to a virtual world or collection of virtual worlds that exist in a shared digital space and can be accessed by users through the internet. It typically includes virtual reality, augmented reality, and other immersive technologies. Its scope encompasses a wide range of possibilities and opportunities in education, entertainment, health and fitness, and even remote work, but it is commonly associated with eCommerce and gaming.

Structure:

The Metaverse market covers the markets eCommerce, Gaming, and Education. The eCommerce market covers all goods that can be purchased and distributed within and throughout the metaverse. Gaming encompasses all games that are either directly involved in classified metaverse apps or collaborative open-world games. Education covers the range of possibilities for consumers to experience courses, classes, field trips, and more in the metaverse. For a more detailed explanation of all the markets, see the respective market page.

Additional Notes:

The market comprises market sizes, users, average revenue per user, and penetration rates. Market sizes are generated through in-app purchases, advertising spending, and consumer spending on apps, games, items, products, and hardware such as headsets or glasses. Sales channel data shows both online and offline market sizes. Information on gaming, eCommerce, virtual assets, digital media, digital health, digital advertising, and education can also be found in the Digital Market Insights. Information on AR & VR hardware can also be found in the Advertising & Media Insights. Key players of the market include companies such as Meta, Roblox, Epic Games, and Decentraland.

Open-world games with social interaction, such as Fortnite
Ecommerce marketplaces, such as NIKELAND in Roblox
Virtual Assets used to buy goods in the metaverse, such as Ethereum
Education in form of online classes or certificates in the metaverse, such as Decentraland University

Non-related open-world games, such as World of Warcraft
Physical goods, service and products bought with cryptocurrencies, such as Fashion
Non-fungible Tokens bought as personal collectable, such as non-metaverse selection on OpenSea

The Metaverse market in GCC is experiencing significant growth and development. Customer preferences are shifting towards immersive and interactive digital experiences, leading to increased demand for Metaverse platforms. This trend is driven by several factors, including the desire for social interaction, entertainment, and the potential for economic opportunities.

Customer preferences: Customers in GCC are increasingly seeking immersive and interactive digital experiences. The Metaverse offers a virtual world where users can engage with others, explore virtual environments, and participate in various activities. This appeals to individuals who are looking for new forms of social interaction, entertainment, and self-expression. Additionally, the Metaverse provides opportunities for users to create and monetize their digital assets, further enhancing its appeal.

Trends in the market: One of the key trends in the Metaverse market in GCC is the rise of virtual events and entertainment. With the limitations imposed by physical gatherings, virtual events have gained popularity as a way to connect and engage with others. From virtual concerts and conferences to virtual gaming tournaments, these events provide a unique and immersive experience for participants. As a result, Metaverse platforms that offer such virtual events are seeing increased adoption and demand. Another trend in the market is the integration of blockchain technology in Metaverse platforms. Blockchain provides a secure and transparent infrastructure for digital assets, enabling users to buy, sell, and trade virtual goods with confidence. This integration opens up new possibilities for the creation and ownership of digital assets, as well as the potential for economic opportunities within the Metaverse. Users can now invest in virtual real estate, create and sell virtual products, and even earn virtual currencies.

Local special circumstances: The GCC region has a tech-savvy population with high smartphone and internet penetration rates. This provides a strong foundation for the adoption and growth of Metaverse platforms. Additionally, the region has a vibrant gaming and entertainment industry, which further contributes to the demand for immersive digital experiences. Furthermore, the GCC countries have been actively investing in digital transformation and innovation. Governments in the region recognize the potential of emerging technologies like the Metaverse and are taking steps to support their development. This includes providing infrastructure, funding, and regulatory frameworks to encourage the growth of the Metaverse market.

Underlying macroeconomic factors: The GCC region has a young and affluent population, which drives the demand for digital experiences and entertainment. The region also has a strong economy and high disposable income levels, allowing individuals to invest in digital assets and participate in the Metaverse economy. Additionally, the GCC countries have a strategic location and are well-connected globally, making them attractive for international businesses and investors in the Metaverse market. In conclusion, the Metaverse market in GCC is experiencing rapid growth and development due to changing customer preferences, including the desire for immersive digital experiences and economic opportunities. The rise of virtual events, integration of blockchain technology, and supportive local circumstances are further fueling this trend. With a tech-savvy population, vibrant entertainment industry, and favorable macroeconomic factors, the GCC region is well-positioned to capitalize on the opportunities presented by the Metaverse.

Data coverage:

Figures are based on advertising spending, in-app spending, in-game spending, online and offline sales, consumer spending, app downloads, and investment and funding data.

Modeling approach / Market size:

Market sizes are determined by a top-down approach, based on a specific rationale for each market market. As a basis for evaluating markets, we use reports, third-party studies, and research companies. Next we use relevant key market indicators and data from country-specific associations such as GDP, consumer spending, and internet penetration rates. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, the S-curve function and exponential trend smoothing are well suited to forecast digital products and services due to the non-linear growth of technology adoption. The main drivers are consumer spending per capita, level of digitalization, and cloud revenues.

Additional Notes:

The market is updated twice per year in case market dynamics change. Consumer Insights data is unbiased for representativeness.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.

Regarded as the next iteration of the internet, the metaverse is where the physical and digital worlds come together. As an evolution of social technologies, the metaverse allows digital representations of people, avatars, to interact with each other in a variety of settings. Whether it be at work, in an office, going to concerts or sports events, or even trying on clothes, the metaverse provides a space for endless, interconnected virtual communities using virtual reality (VR) headsets, augmented reality (AR) glasses, smartphone apps, or other devices.