Gaming Industry: Transition to Digital and Changes In Revenue Streams

The transitions observed in the gaming industry are huge. From selling video games as physical goods to making them digital, the entire industry has faced many changes including the change in revenue streams and game development also where user demands and changing requirements of publishers play an important role.

Growth in the Video Gaming Industry: Surpasses Million Dollar Mark Over Time

According to Statista, the video gaming industry is expected to grow over 138 billion dollars in revenues in 2021. Also, the increasing interest of gamers leads to reach the strength of 2.5 billion video gamers from all over the world. (Reported in 2016) And since smartphones are becoming famous among all other devices, 80% of the total revenue of the gaming industry gets generated through software sales.

Major Shift in Purchasing Behavior: Thanks to Subscriptions

A major shift in customers' purchasing behavior is observed. With passing time and updating technology, it becomes easier for customers to choose from different options available in the market that aim to deliver excellent results in lesser costs. If you are ready to deliver excellent games at lower prices, users will automatically prefer you over other competitors of yours.

Subscriptions have become a concept that delivers excellent results for any business. Starting from usability apps to marketplace businesses, all are opting for subscriptions to increase their profits. For example, there are multiple marketplace apps in the market that help users find nearby subscribed workers of their platform, like uber for house cleaning and more. Also, the usability apps allow users to avail services by paying up in subscriptions rather than all at once to keep earning revenues.

And the concept of subscriptions is becoming more present in the gaming world too. Instead of insisting on buying the entire game set, users can choose to subscribe to the game set and enjoy the benefits of playing new games that get released every month on the platform and as long as they keep on paying subscriptions, they get access to the launched games.

This concept differs from the old concept of purchasing physical video games. The floppy that was delivered and used to play games already added in could be sold, loaned, returned and used in turn by more than one user with their permission except copying it. However, for digital subscribing, the accounts of users are created online and access remained limited to a single person only. 

Gaming Subscriptions: Popular in App Publishers for Earning Revenues

Gaming subscriptions are increasingly becoming popular as they become one of the essential revenue streams for app publishers and game developers. Leading gaming app developers are familiar with the changing industry demands and they are favoring it too as the subscriptions can essentially fuel their development process by helping them earn more profits.

Inducing users to buy extra content through the app solution, the subscription model promises to unlock new user experience for which users are paying. Therefore, it asks for excellent development support as it should be graphically beautiful to attract more users. And searching a good development firm that helps deliver excellent results is a challenging task as making their efforts fit in your budget is not easy.