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PwC (PricewaterhouseCoopers, a professional services network) has projected outlooks for the entertainment and media industry for 16 years. Their current report covers a 5-year span from 2015-2019 using consumer and advertiser histories for 13 different entertainment and media segments across 54 countries. After a period of slower growth (based on console sale and release), in the report, the global gaming industry is projected to grow – a lot. Rising at a CAGR of 5.7%, the industry is expected to reach $93.18 billion by 2019. These gaming statistics cover revenue from social/casual gaming, traditional video gameplay, and video game advertising.
Traditional games are expected to gain a large boost from digital distribution. While the continued use of physical games remains strong, the digital distribution market is expected to account for 19.6% of traditional gaming revenue for a total of $12.89 billion. Digital distribution of console games has been rising steadily since 2012, and the digital sell-through revenue of PC games has experienced an overall increase since 2010. This increase in gaming revenue is also good news for advertisers – or at least, for most advertisers. Currently accounting for the smallest revenue in the gaming industry at $2.84 billion in 2014, gaming advertising is expected to reach $4.75 billion by 2019. This segment is also the fastest growing area in gaming revenue. While this segment is growing, researchers still counsel caution for industry leaders. Only four markets are expected to top $300 million in advertising revenue within 5 years – Japan, China, the US, and the UK.
For more info on the predictions for the future of social/casual gaming, check out our latest Big Fish Stat on how Social and Casual Gaming Rise Ahead of Traditional Games Internationally.