July 21, 2024
Social Gaming Market
Ict

Social Gaming Market Revolution: Emerging Technologies and Strategies

The global Social Gaming Market is estimated to be valued at US$ 17.40 Bn in 2022 and is expected to exhibit a CAGR of 16.1% over the forecast period 2020 to 2027, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Social gaming refers to playing games on social media platforms, including games played on social networking sites like Facebook, Twitter, and Instagram as well as on dedicated social gaming platforms. Social games offer various advantages such as providing a fun interaction among friends and families, allowing social connectivity, and enabling collaboration and competition. The growing penetration of smartphones and internet along with attractive features of social games such as multiplayer modes and in-game communication have driven their popularity worldwide.

Market key trends:

One of the major trends driving the social gaming market growth is the rising popularity of hyper-casual games. Hyper-casual games refer to easy-to-learn casual games that require little strategic thinking and can be completed in a short period of time. Factors such as their simple gameplay, non-time-consuming nature, and availability across platforms have increased their popularity massively. According to data, hyper-casual games now account for over 50% of all mobile game downloads. Their ability to reach a wider audience through compelling gameplay mechanisms is boosting the social gaming market.

Porter’s Analysis

Threat of new entrants: The threat of new entrants in the social gaming market is moderate. Establishing a brand and acquiring users require substantial investments which make entry difficult for new players.

Bargaining power of buyers: The bargaining power of buyers is high in this market. There is a large number of competitors providing similar social gaming experiences giving buyers significant influence over prices.

Bargaining power of suppliers: The bargaining power of suppliers is low. There are many software development studios and game developers that supply games to publishers.

Threat of new substitutes: The threat of substitutes is high as there are many alternative entertainment platforms like video streaming, chatting, etc. that compete for users’ time and attention.

Competitive rivalry: The competitive rivalry in the social gaming industry is high given the large number of established players competing for users and their time spent on social platforms.

Key Takeaways

The global Social Gaming Market Size is expected to witness high growth, exhibiting CAGR of 16.1% over the forecast period, due to increasing internet and smartphone proliferation. Several social media platforms are integrating advanced gaming capabilities to engage users for longer durations.

North America dominated the social gaming market in 2019 due to high smartphone and internet penetration coupled with rising number of active gamers in the region. However, Asia Pacific is expected to grow at the fastest pace during the forecast period. Growing middle-class population with increasing disposable income and time spent on social media in countries like India and China will drive adoption.

Key players operating in the social gaming market are Zynga, Inc., Wooga GmbH, Playtika Ltd., King, Tencent Holdings Ltd., Electronic Arts, Inc., Renren Inc., CrowdStar, Booyah Inc., and Social Point. Zynga and King hold significant share owing to their immensely popular games like FarmVille and Candy Crush respectively. Meanwhile, Tencent is also strengthening its position through mergers and acquisitions.

*Note:
1.            Source: Coherent Market Insights, Public sources, Desk research
2.            We have leveraged AI tools to mine information and compile it