Hey there guys and welcome to new
episode. Today we started something new Game Basics for all of you guys who are
preparing to build a new game whether you're a beginner or expert already
have a few games behind your back, whether you're a studio or even a
publisher. You're going to benefit from this a lot. These are some game industry
insights that are going to help you if you are looking to increase revenue in
your game if you're looking to build games that can have more players that
you can be engaged with with your target group, this is this is gonna be
really amazing I'm really excited about what we are doing here and all this data
and information that we have to share with you.
So I invite you all to step
back for a moment and take a look at the industry overall so we can have a better
understanding where are things headed I'm going to start with the market where
it was before and where it's going now so we have some contests when we were
talking about some specific in the game industry. Let's go back to 2012 when the
consoles had 40% of the market PC accounted for 37% of the market and
mobile 18% of the market making the total industry around seventy billion US
dollars now let's go flash-forward five years after that and see that in 2017
things have changed both PC have 27% and consoles have 27% of the market
and the mobile has taken 46% of the market this is a very important
thing for you all to know that the majority of them that the revenue is
coming now from the mobile side now it's not that people who were playing
consoles and PC are moving to the mobile know that that's not what happening
those industries both console and PC are still growing at smaller rate but the
mobile is growing around 27% right that's huge that means the
the mobile is a blue ocean.
It's very clear why it's growing, because the mobile phones have become so affordable everybody have them all the time but if
you're traveling going to work whenever you are doing you have to mobile phone
with you and you can play at your convenience and you can purchase from
your phone it's really incredible it's so clear that all the companies who made
bet back in 2012 are now cashing in on their games and this market is here to
stay because now in 2017 the industry was 120 billion dollars and in 2018 it's
even more if you take a look at data for 2018 you can see the industry almost
doubled that's just 6 years you know what what double how much time it takes
for some industry to double it takes a lot of time if this was a company
everybody would be throwing money at them let alone
industry has doubled in 6 years when you know what it's going to keep growing
more and faster even faster the growth is expected to be even faster in coming
years that means in the next 5-10 years the most revenue is going to come from
the mobile side in the game industry.
If you have already developed games for
consoles or pieces you're not so much impact by this your revenue is going to
stay same you're going to have more problems raising money for those new
games why because that is becoming a flat market the players the complex code
working there and operating are already known they already have their own market
share they're already figure out all the ways to reach users and everything so
there are not so many the innovation is going to be happening on the mobile side
more then it's going to be happening with those traditional ways to play
games and that's majority of the reasons why investors and everybody investing in
games are turning around to the mobile side because they see higher growth and
potential to earn more returns and that's how investors work no I'm gonna
I'm gonna give you additionally something very interested
and there is that in 2018 something happened and mobile phones have
surpassed us 51% all the Internet traffic globally now I'm talking about
globally because in some countries this happen even before like Asian countries
China especially like the mobile phones globally took over more than 50 percent
of the traffic both Apple and Google immediately changes there are policies
in the way they work and now there do not allow any more organic downloads in
their stores what does this mean for the industry this means that if you remember
when you publish some of your games you could get some amount of organic
downloads that mean people will be searching and your app will be short
like suggested that recommended app or similar apps right you know you remember
those things in the App Store well now how all those inventories are actually
paid ads that's there are ads for some other games and they are not going to be
giving this inventory anymore for free so the very simply there are no more
organic downloads you have to pay to play and that's why there are some new
solutions coming up there are going to be there to help you get some free users
again but I wanna should focus and go to talk about where is the revenue now
coming we understand that the revenues on mobile side and we understand it's
going but let's let's be specific and see where is the revenue globally coming
from.
If you take a look at this next picture that I have here you will
immediately see that Asia Pacific is around 52 percent of the market that's
huge guys that means that most people playing games will become information
not from US or Europe or things like that and the parish in China has around
40 billion US dollars game revenue that is around 28% global market
coming just from one country China and you can see that their growth year over
here is around 17% so I suggest if you're
building a game you should definitely participate in that market the next
important thing is we have North America where US and Canada these counters
for around thirty three billion dollars and it's going to 10%
we have Europe that's okay we have Europe together with Middle East and
Africa that's also around 29 billion dollars very similar to US and
Canada and they're going around 9% and we have South America that's
around 5 billion dollars and they're going around 14% something
like that right so from this it should be very clear to you that we're you
should participate in which markets but more importantly it should be very clear
to you which kind of place you want to build game it's very easy to say let's
build global games but most of them don't the games they are popular in one
region are not popular in the other so when you're designing game if you want
to be diverse and go everywhere you need to take a lot of inputs nowadays to
understand how it's going to be played in different markets and user onboarding
and how users understand everything from starting to to reaching the aha moment
in the game where they understand the gameplay and everything it's gonna be
very very important when you are designing the game now I'm gonna give
you another insight for this is if you take a look at the US particularly you
will see that uses lagging behind the global market that means that the
console games are they're still on 49% something like that right and you can
see the majority of players are using to play console games and that's that's
where the growth is that they're growing around four point four percent according
to this report and that's that's just one market US market so if you're going
to tell market you need to know that having maybe previously some company
that released the game for console or for PC maybe partnering
with them to make a game for the mobile would be a great idea if your mobile
studio that is making game you find some company they totally have game in US you say hey let's do a partnership we're gonna use your IP we're gonna develop
the game we're gonna find ways to sell our game together and we could
generating some revenue and you have some users already waiting for expecting
our games things like that.
Those things are possible today because the industry
is going in all directions. I wanna give you another quick insight it
is about Japanese market. Japanese market is growing 15% year-over-year and Japanese player spends 2 times more than the US player, Japanese player spends
3 times more than European player so if you are able to make a game that's
suitable for Japanese market that Japanese users will like it you're
potentially setting up yourself for the highest paid market in the world at this
moment even though that Japan market is considered to be the third behind China
and US I have so many interesting things I want to talk to you guys but this was
the first episode about some very basic stuff I want to see you in the next
episode when we were going to talk about more specific things like how to start
connecting yourself to the business part of game industry.
See you guys.