India’s Gaming Market: An Overview
- With the world’s largest youth population, India is expected to become one of the leading markets in the gaming industry.
- In 2023, the total valuation of India’s gaming industry reached USD 3.1 billion (approx. KRW 4.2631 trillion.) By 2028, this number is expected to more than double, to USD 7.5 billion (approx. KRW 7.3115 trillion.)
- When it comes to mobile games, at 15.4 billion downloads, India is ranked second in the world.
- The most popular game genres in India are such genres as shooting games, adventure games, strategy games, and puzzle games.
- According to a 2023 survey, India has around 900+ gaming companies and about 560 million active gamers, which account for 40% of the total gamer population.
- Among the over 500 million gamers, 25% will pay to play. This earned amount has increased, from USD 80 million (approx. KRW 104 billion) in 2020, USD 96 million (approx. KRW 124.8 billion) in 2021, USD 120 billion (approx. KRW 156 billion) in 2022, to USD 140 million (approx. KRW 182 billion) in 2023.
- Male gamers make up 57% of the audience, with 43% being female. By age group, 10% are 18-24 years of age, 59% are between 25-44, and 31% are over 45.
- Looking at India’s gamers by region, in 2022, 57% of gamers live in non-metro areas, whilst 43% live metro areas. By 2023, gamers located non-metro areas slightly increased, to 66%, while gamers in metro areas dropped to 34%.
Hallmarks of India’s Gaming Market
- Although English is one of India’s two official languages, the actual proficiency of its population does not seem to be high. According to the 2011 census, India ranked 52nd in the world and 6th in Asia.
- India’s other official language, Hindi, is spoken more widely than English. This is reflected in the 2011 survey, where approximately 500 million people in India indicated speaking Hindi as their first language, which represents 35% of the total population.
- When looking at mobile games produced in India, it seems many projects are only in Hindi.
- Therefore, when entering the market in India, localizing games in Hindi will provide a strong competitive advantage by increasing accessibility to the residents of that country.
- With this understanding, the Korean gaming company, Krafton, entered India’s market in July, 2021, with the launch of their game, “Battlegrounds.” Within 2 years, their recognition such high growth potential was rewarded with USD 200 million (KRW 136.8 billion) in sales, leading to the establishment of a corporate entity within that country.
- One survey has found Indian gamers have a strong preference for Korean games, with Battlegrounds being the most popular.
- Since the majority of gamers in India skew younger in age, their high purchasing power is expected to fuel the expansion of the gaming market.
- With esports taking off in India, the Battlegrounds India (BGMI) Esports event was broadcast live on TV, the first in India’s history, reaching 200 million total viewers. Going forward, India’s esports community is expected to grow in the spotlight.
India’s Gaming Market: It’s Future Outlook
- The rapid penetration into India’s smartphone market is expected to drive up sales in mobile gaming.
- Indian gamers may have a strong appetite for free-to-play, but Niko Partners estimates that by 2023, 31% of Indian gamers were willing to pay for in-game purchases. With an average revenue per person (ARPPU) of USD 6.38 (KRW 8,300,) there are huge implications for the potential in revenue.
- As such, in April 2023, Sony also began supporting indie game development in India through the India Hero Project.
- Impressed with the rapid growth in India’s gaming market, Sony announced plans to make it easier for game developers to enter through a range of support.
- India’s rapid growth in population presents a huge opportunity for the gaming market.
- With the relaunch of Krafton’s “BGMI” and Garena’s “Free Fire” in the Indian market, such actions signal a positive sign for the entire industry therein, as such success stories provide further incentives for foreign gaming companies to enter the gaming market in India.
