Serious Games Market Overview:
Serious games are digital applications designed for education with fun. The primary function of serious games is to provide knowledge, train, inform, memorize, and teach end users, rather than mere entertainment. It enables advertisers to optimize brand awareness by increasing receptiveness of message, target more audience, and generate additional traffic to their websites. It also helps students to learn with fun as it bridges gap between theory and practical. Serious games are also used in inspection, technical training, competency evaluation, fault finding & rectification, and other applications.
The global serious games market was valued at $2,731 million in 2016, and is expected to reach $9,167 million by 2023, growing at a CAGR of 19.2% from 2017 to 2023. The major factors that drive the market growth are increased need for user engagement across enterprises, growth in usage of mobile-based educational games, and improvement in learning outcomes. Improper game design and lack of awareness about serious games hinder the growth of the market. Large-scale digitization and emergence of social networks pave new opportunities in the market.
The key players operating in the global serious games industry include BreakAway, Ltd., Designing Digitally, Inc., DIGINEXT, IBM Corporation, Intuition, Learning Nexus Ltd, Nintendo Co., Ltd., Promotion Software GmbH, Revelian, and Tata Interactive Systems. These players have expanded their market presence by adopting various business strategies such as acquisition, geographical expansion, product development, strategic alliance, and collaboration.
The serious games market is segmented based on user type, application, industry vertical, and geography. Based on user type, it is bifurcated into enterprises and consumers. As per application, the market is classified into advertising & marketing, simulation training, research & planning, human resources, and others. Based on industry vertical, the global serious games market is studied across healthcare, aerospace & defense, government, education, retail, media & entertainment, and others. Based on region, the market is divided into North America, Europe, Asia-Pacific, and LAMEA.
The Asia-Pacific serious games market generated the highest revenue in 2016, attributed to large population, high Internet penetration in the region, and high number of youth active on social networks & other online platforms. The LAMEA serious games market is expected to grow at the highest CAGR, owing to the growth in penetration of internet, changes in consumer demographics, and uncaptured opportunities for the suppliers in LAMEA for e-learning content, software, hardware, and other services. Further, Government of the Middle East focuses on promoting mass digitization process especially in soft skills development.
Increase in Need of Better User Engagement Platforms Across Enterprises
Employee and student engagement and productivity are directly proportional to each other. To improve the productivity of enterprises, employee engagement in training and development programs is one of the crucial activity. For such activities, organizations are willing to invest in serious games platform such as Comarch Enterprise Engagement Platform, which is an IT system for organizations that comprehensively implement mechanisms and components of engagement in the work environment by defining game conditions, rules, and achievements.
Significant Adoption of Virtual Reality in Training and Development Activities
Virtual reality is getting significant adoption in the serious games market as it creates a realistic environment for the training and development activities, which increases employee activities and their performance. Factors that contribute to the growth of virtual reality market across the globe include increase in awareness about such technologies, cost-effective solutions easily available in the market, and increased expenditure from end user verticals such as defense, education, healthcare and others on employee engagement solutions.
Large-scale digitization across growing economies has offered considerable growth opportunities for the global serious games market worldwide. Highly digitized regions found it easier to collaborate with the serious games to enhance their employee engagement programs and productivity as the deployment of such programs becomes much easier and affordable.
Unsuitable Game Designs
The working mechanism of a serious game is highly dependent on its design to create a maximum impact on a user. However, if the game fails to achieve its intended target, which is employee engagement, training, and development then there is no use in investing in such games. Such unsuitable game designs can hamper the market growth.
Key Benefits for Stakeholders
- In-depth analysis of the global serious games market and dynamics is provided to understand the market scenario.
- Quantitative analysis of the current trends and future estimations from 2017 to 2023 is provided to assist strategists and stakeholders to capitalize on prevailing opportunities.
- Porters Five Forces analysis examines the competitive structure of the serious games market and provides a clear understanding of the factors that influence the market entry and expansion.
- A detailed analysis of the geographical segments enables identification of profitable segments for market players in the global serious games industry.
- Comprehensive analyses of the trends, sub-segments, and key revenue pockets are provided.
- Detailed analyses of the key players operating in the global serious games industry and their business strategies are anticipated to assist stakeholders to take informed business decisions.
Serious Games Market Key Market Segments
By User Type
- Advertising & Marketing
- Simulation Training
- Research & Planning
- Human resources
By Industry Vertical
- Aerospace & defense
- Media & Entertainment
- North America
- Rest of Europe
- Rest of Asia-Pacific
- Latin America
- Middle East
The Key Players Profiled in The Report are as Follows:
- BreakAway, Ltd.
- Designing Digitally, Inc.
- IBM Corporation
- Learning Nexus Ltd
- Nintendo Co., Ltd.
- Promotion Software GmbH
- Tata Interactive Systems