Online gaming market has grown rapidly in recent years, generating potential revenue for game publishers and gamers.
Online gaming contributes to the world economy through job creation, game development, and revenue generation.
As per reports, the global online gaming market has generated a revenue of approximately 26.14 billion U.S. dollars in 2023 with a 9.8% growth rate compared to the previous year. We can understand the contribution of online gaming with a brief discussion.
How Online Gaming contributes to economic growth
The global gaming market has gained popularity with the advancement of data connectivity, smartphones, the growth of the digital world, and the rise of information technology.
The rising growth of the gaming industry has estimated a revenue of 347 billion US dollars by 2029. The major gaming markets including North America, Africa, and Asia-Pacific have promised the market to boom in the future.
Let us discuss the revenue streams in online gaming to understand its contribution to the global economy.
4 Different Revenue Streams in Online Gaming
The online gaming industry generates revenue through the following streams:
Purchasing the full version of games
Traditional games generate revenue by selling the complete version of games through physical copies or digital downloads. However, the revenue created was not satisfactory as purchasing the full version was not suitable for those who want to test a smaller version of the game.
In-Game Purchases
Some free-to-play online games feature a unique way to generate revenue through in-game purchases. Players can purchase virtual things such as costumes, cosmetics, or power-ups that create an income source for game publishers.
Subscriptions-based games
Some popular online games like Xbox and Nintendo Switch feature subscription-based models to allow players to purchase games for a certain period. This model became popular as players do not have to pay large amounts as they used to pay for full-version games.
This model was accepted by many players and thus helped generate good revenue for the gaming industry.
Sponsorships
Many brands put their interest in investing in online games, which automatically creates revenue for the gaming industry. Brands could reach a large audience through advertisements due to the rising popularity of the gaming world.
Online Games Contributing To Economic Growth By Creating Employment Opportunities
Online games contribute to the world economy by creating job opportunities for various sectors.
The online gaming industry creates numerous job opportunities across various sectors like game development, marketing, esports, and content creation. People associated with these sectors are getting employment opportunities with the progress of the gaming sector.
Money-making opportunities for players:
The scope of online gaming is not confined to entertainment only. The gaming industry also creates money-making opportunities for the players.
For example, gaming websites like Basant club feature fun money games and also offer a joining bonus to registered users. Those who want to take advantage of joining bonuses and play money-making fun games can explore Basant Club online games.
Game Development
Online games also create employment opportunities for game programmers, artists, and sound engineers. They develop games with the best gaming plots, improved graphics, and amazing sound quality.
The immersive and interactive games attract many gaming enthusiasts to explore the gaming world with a new perspective. The rising participation in the gaming sector also helps create revenue for all the associated professionals.
Marketing and Distribution
The companies involved in the marketing and distribution of games also create employment opportunities for professionals with the rise in the gaming industry.
Esports Tournaments:
Esports has become a top employment opportunity for potential gamers, coaches, event organizers, and game broadcasters.
Live Streams
Social media platforms like YouTube have also contributed to the world economy by creating job opportunities for content creators.
The live streaming of games on YouTube also encourages companies to promote their brands to get global recognition. Consequently, it creates revenue for the professionals associated with these sectors.
The Bottom Line
Online gaming has become a major economic source by creating job opportunities for game publishers and players. We expect major development in gaming techniques in the coming years.
The concept of realism and metaverse has created an optimistic impact on the global economy. The gaming industry is expected to boom very soon.
