India’s Gaming Industry Set To Surge From $3.8 Billion To $9.2 Billion By FY29
India’s booming gaming industry is on the cusp of remarkable growth, set to expand from its current $3.8 billion valuation to an astonishing $9.2 billion by the fiscal year 2029. This impressive upsurge is being propelled by avid gaming enthusiasts from non-metropolitan regions, according to a new analysis released earlier this week.
Remarkably, almost half of the gaming populace consists of women, making up 44% of India’s 591 million gamers. What’s more, 66% of these gamers hail from areas outside the major cities, while a significant 43% are first-time earners aged between 18 to 30 years.
The upward trajectory of the sector can be attributed to the dual forces of entrepreneurial innovation and increased venture capital inflows. These factors are fueling the ecosystem, attracted by the promise of a rapidly expanding and highly promising market.
Time invested in gaming has seen considerable growth, surpassing social media usage. The average weekly gaming duration has escalated by 30%, reaching 13 hours per week. India stands proudly as the world’s second-largest mobile gaming market with an impressive 15.2 billion downloads, a figure that overshadows the combined totals of Brazil and the United States.
Key insights reveal a mature and sophisticated gaming audience. Currently, the nation boasts 148 million paying users, contributing to an average revenue per paying user (ARPPU) of approximately $22 (around ₹1,800).
Within India’s newly evaluated media landscape, with a projected worth of $12.5 billion for FY24, gaming represents a substantial 30% share. The past year alone saw the addition of eight million new paying gamers, elevating the total to 148 million by FY24.
The sector’s growth can be attributed partly to the increasing popularity of mid-core games. In-app purchases have experienced a staggering 41% growth year over year, illustrating their role as the most swiftly expanding segment within the $3.8 billion revenue forecast for FY24.
Furthermore, the overlap in gamer preferences is highly noteworthy. Around 64% of individuals who engage with real-money gaming (RMG) formats also indulge in purchasing mid-core titles, highlighting versatile gaming habits.
Maintaining consistency with FY23 data, an estimated quarter of gamers, approximately 25%, are willing to spend money on gaming. Among these spenders, a significant 83% favor digital wallets or UPI for their in-game transactions, indicating an ongoing shift towards digital payment solutions.
The industry’s fervent energy and transformative potential mark an exciting chapter in India’s digital and interactive landscape, heralding opportunities for innovation and growth. As the gaming sector continues to evolve, its robust expansion signals a burgeoning era for the industry, which holds promise for both developers and gamers nationwide.
