Loot Boxes & In-Game Spend Drive Digital Games Market: Surpassing $160 billion by 2022
New Game Formats & Monetisation Strategies Boost Developer Prospects
Hampshire, UK - May 1, 2018 (Investorideas.com Newswire) A new study from Juniper Research forecasts that the total digital games market will reach $160 billion by 2022, up from $117 billion this year. The market is set to be boosted by the increasing prevalence of loot boxes; purchasable in-game packs which contain a random selection of items, thus monetising users in-game. The practice has already proved immensely popular globally, especially in the Chinese games sector.
For more insights, download the free whitepaper: 3 Takeaways from the Booming Chinese Digital Games Market
New Monetisation Models & Game Styles
The new research, Future Games Market: Market Sizing & Forecasts 2018-2022, argued that how loot boxes are monetised will be a critical decision for games developers for the future.
Research author Lauren Foye explained: "Loot boxes play upon the gamers' desire to have the most prestigious and sought-after in-game items, whether these be weapons or cosmetic goods. By monetising the random generation of items, developers are effectively encouraging a form of in-game gambling, extending both the lifecycle and engagement of games titles to their audience."
In addition, the research notes the opportunity presented by evolving game formats, as evidenced from the surge in popularity of Battle Royale titles, where dozens of players face-off in a ‘last-man standing' format. Titles include PUBG & Fortnite, each of which hosts 35 million unique players.
Meanwhile, in the well-established mobile games sector, Juniper finds advertising is set to play a still greater role in monetising consumers whom avoid paying into popular free titles; with ad spend reaching $20 billion by 2022.
Core Devices See Uptick in Spend
Juniper states that the console market is set for a revival, noting that the Nintendo Switch has done markedly well with over 16 million units sold since its March 2017 launch. Console revenues are set to hit $33.2 billion by 2022, up from $25.3 billion in 2017. The research pinpoints growth in digital formats, as well as anticipated boosts to sales from the next generation of consoles, now expected from 2020 onwards.
Juniper Research provides research and analytical services to the global hi-tech communications sector, providing consultancy, analyst reports and industry commentary.
GamingIndustryStocks.com - investing ideas in gaming stocks, gambling and casino stocks, game publishers and developers stocks
Like Gaming Stocks? View our Gaming Stocks Directory
This news is published on the Investorideas.com Newswire - a global digital news source for investors and business leaders
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investment involves risk and possible loss of investment. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Contact each company directly regarding content and press release questions. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. More disclaimer info: http://www.investorideas.com/About/Disclaimer.asp Learn more about publishing your news release on the Investorideas.com newswire http://www.investorideas.com/News-Upload/
Additional info regarding BC Residents and global Investors: Effective September 15 2008 - all BC investors should review all OTC and Pink sheet listed companies for adherence in new disclosure filings and filing appropriate documents with Sedar. Read for more info: http://www.bcsc.bc.ca/release.aspx?id=6894. Global investors must adhere to regulations of each country.