According to a forecast report by Sequoia and BCG, the Indian Mobile Gaming Market will cross the $5 billion mark by 2025. Currently, it is abruptly growing, and it is expected to break all the boundaries in the coming years.
India accounts for around 500 million gamers across the country. All these gamers generated a revenue of over $1.8 billion in 2020 across all the platforms.
This shows five times growth when compared to 2016. From this, mobile gaming accounts for over 83% of total revenue, which is $1.5 billion, with 300 million gamers.
Indian Mobile Gaming Market: A $5 Million Market Opportunity in India
According to the report, the Mobile Gaming Market of India will show a tremendous three times growth by 2025. Various factors catalyze the development of the industry. Following are the main factors that contribute to this heavy growth.
Factors affecting the growth of Mobile Gaming in India
- Mobile Gaming Player Base:
Currently, the player base accounts for 300 million players. However, it is continuously growing with the easy availability of Smartphones and the Internet across the country.
- Increase in Monetization:
Even though monetization is in its primitive stage, it has shown impressive growth in the past couple of years. Currently, most of the revenue is generated by ads, around 43%, and player spending is low. However, it is expected to change in the coming years.
- High Investor Interest:
The mobile gaming industry is seeing unprecedented high growth in investor interest. Moreover, 33% of all funding for gaming came in the first quarter of 2021.
- Evolution of Consumers:
Due to the evolution of gamers and the increase in competition, gamers tend to spend more on games.
Besides this, external factors also play a vital role in boosting the Gaming industry. Following are some external factors that affect the industry.
External factors affecting the growth of Mobile gaming in India
- Affordable and improved internet quality:
Compared to a couple of years back, internet quality has improved considerably. Moreover, around 46% of internet users have access to around 12Mbps internet speed.
Besides, the average monthly data consumption of an Indian internet user is about 14.6 GB, whereas the average monthly data consumption of a US internet user is 11 GB.
- Affordable Gaming Phones:
With the Indian Gaming Market being such a huge gaming market, the requirement for electronics also increases. Hence, various mobile phone companies are fighting to dominate the Indian market by launching affordable phones with higher performance.
- Improvisation in Mobile games:
With the increase in popularity of mobile games, the developers are trying hard to keep their audience engaged by improving their games. Before the ban, PUBG Mobile had a whopping 50 million Monthly Active Users. Likewise, many other games such as Free Fire, Dream 11, and LudoKing also have a vast audience.
- Improved Marketing by the Game Developers:
The developers are doing massive marketing to increase their games’ reach. For example, Dream 11 sponsored IPL, and MPL sponsored the Indian Cricket Team Kit. This creates awareness about the gaming industry amongst the unfamiliar audience.
- The Digitalization during Pandemic:
There was a massive spike in digitalization across the entire country during the pandemic. People moved towards the newer methods rather than conventional ones. Also, during the hard times, the Gaming medium provided social interaction during the pandemic.
- The growth of Multiplayer games:
Multiplayer games attract more audiences than single-player games. Many developers moved towards a multiplayer gaming approach in the past couple of years rather than a single player. This increased the reach of the games.
The Indian Mobile Gaming Market is showing some unprecedented growth with a massive audience. PUBG Mobile, Free Fire, Clash of Clans, Dream 11, and other games have contributed to this growth.
Moreover, the future of Mobile Esports in India always seemed bright. It will be exciting to see how the industry turns out in the end.
Also read Most popular mobile Esports games in Asia.