India E-Gaming Market Assessment, By Type of Platform [Mobile and Tablets, PC-Based, Console-Based], By Type of Games [Multiplayer Online Battle Arena, Players Vs. Players, First-Person Shooters, Real Time Strategy], By Types of Game Category [Action, Edu

India E-Gaming Market Assessment, By Type of Platform [Mobile and Tablets, PC-Based, Console-Based], By Type of Games [Multiplayer Online Battle Arena, Players Vs. Players, First-Person Shooters, Real Time Strategy], By Types of Game Category [Action, Educational, Racing, Sports, Simulation, Others], By Region, Opportunities and Forecast, FY2017-FY2031

India e-gaming market is projected to witness a CAGR of 25.37% during the forecast period FY2024-FY2031, growing from USD 1.71 billion in FY2023 to USD 10.44 billion in FY2031. The market has grown substantially in recent years, fueled by increasing internet penetration, smartphone adoption, and a burgeoning youth population. The widespread development of broadband connectivity in Tier-II and Tier-III cities, coupled with reduced data costs and affordability of smartphones, has democratically expanded e-gaming access. Notably, every second internet user in India is now a gamer, and every third online transaction participant is a paying gamer, underscoring the pervasive influence of online gaming.

With a diverse gaming landscape encompassing mobile, personal computers, and consoles, India has emerged as a significant player in the global gaming industry. The market is undergoing a transformative phase, evident from the highlights of India Gaming Show (IGS) 2023, which encompassed diverse areas such as technology showcase, animation, gamification, gaming zones, Internet of Things, start-ups, skills and skill development, Digital India, and Make in India. The event, with its focus on generating a talented pool of game developers, emphasize the industry's commitment to increasing cost-competitiveness.

Additionally, the e-gaming industry has attracted investments, leading to the development of indigenous game studios and the creation of engaging, culturally relevant content. As digital infrastructure continues to improve, the Indian e-gaming market is poised for further expansion, presenting opportunities for both domestic and international stakeholders. Furthermore, the integration of blockchain-based technologies has bolstered security and reliability, providing players with a robust gaming environment.

Innovative Brand Strategies and Emerging Startups Drive the Market Growth

The e-gaming market in India is experiencing rapid growth, owing to the rise of digital payments and innovative monetization models like in-app branding. Brands like United Colors of Benetton (UCB) and Toyota are creating trends in the e-gaming world. For instance, in December 2023, Toyota engaged with its Asian audience through the e-Motorsport event TOYOTA GAZOO Racing GT Cup on Gran Turismo, live-streamed on various platforms such as Twitch, Facebook, YouTube, and Twitter, allowing gamers to race using Toyota sports cars. Therefore, brands capitalize on the online gaming market for product launches, events, and innovative monetization avenues.

In the last three years, several e-gaming startups have emerged in the country, leading to the establishment of three gaming unicorns i.e. Mobile Premier League (MPL), Dream Sports, and Games 24 Seven. Furthermore, Nazara has achieved the distinction of being the first listed gaming company in India. International giants like Electronic Arts (FIFA), Rockstar Games (Call of Duty), Ubisoft, and Zynga play a significant role in the country's e-gaming landscape.

The growth aligns with the government's Start-up India and Atmanirbhar Bharat initiatives, fostering a vibrant startup culture and a robust ecosystem for innovation and entrepreneurship in India. With a supportive environment, the collaborative efforts of startups, established companies, and global gaming giants are propelling India into a transformative era of engaging entertainment experiences.

Increasing Women Participation Fuels Market Growth

The rising participation of women in e-gaming is reshaping the gaming landscape, creating a more diverse player base and expanding the market for e-gaming related products and services in India. As the number of women engaging in competitive gaming increases, there is a notable surge in demand for gaming hardware, peripherals, merchandise, and related products. The 'State of India Gaming Report 2022' underscores this trend, revealing that 40% of the total e-gaming players in India are women.

To foster inclusivity, women-only tournaments and initiatives encouraging female gamers have gained prominence. Organizations focused on diversity and inclusion in the e-sports industry actively contribute to a more balanced representation. According to the study, Indian gamers, on average, spend 8.5 to 11 hours per week being immersed in gaming, with women dedicating more time (11.2 hours/week) than males (10.2 hours/week). It underscores the growing influence of women in e-gaming and highlight their significant contribution to the overall engagement and dynamism of the Indian e-gaming market.

Gen-Z’s Growing Interest Impact Market Surge

The growing interest of Gen-Zs play a pivotal role in propelling the India e-gaming market. With a staggering population of around 375 million, Gen-Z is a digitally immersed generation, spending up to eight hours a day online, primarily on smartphones. Social media serves as their main source of news, indicating their reliance on digital platforms for information. Recognizing their value for social connections, brands are adapting content creation to align with Gen Z's preferences, and e-gaming has become a significant aspect of their entertainment and engagement.

Furthermore, Gen Z's focus on brands incorporating purpose and social responsibility in their values. It is crucial for brands to anticipate the rise of Gen Alpha, the succeeding generation, with unique preferences and behaviors. Gen-Z's relationship with the virtual world is distinctive, marked by early exposure to technology, inclination for immediate gratification, and shorter attention spans. These dynamics make gaming a significant aspect of their lives, providing emotions like adrenaline rushes and knowledge crucial to young individuals. In navigating the landscape, a balance must be maintained to ensure good content for the burgeoning interest of Gen Z in e-gaming.

Mobile Gaming Takes the Crown

Mobile gaming stands as the dominant type of platform in India e-gaming market, with a staggering 15 billion app downloads in FY2022, securing a substantial 17% share of the global market. One prominent example of youth engagement in the Indian e-gaming industry is the tremendous popularity of the game ""PlayerUnknown's Battlegrounds Mobile"" (PUBG Mobile) among young gamers. PUBG Mobile became a sensation among Indian millennials and Generation-Z, attracting millions of players and viewers.

Mobile gaming dominates the Indian e-gaming landscape with an overwhelming 96.8% share. The market dominance is underpinned by key factors such as the cost-effectiveness of mobile devices compared to other platforms and the extensive availability of diverse game titles, including a wide array of free-to-play options. The business implications are profound, as the surge in India's gaming user base, driven by accessibility and a diverse range of gaming choices, underscoring the strategic significance of the mobile gaming segment.

Future Market Scenario (FY2024 – FY2031F)

The future of e-gaming market in India appears promising, marked by transformative trends reshaping the industry. With a burgeoning user base, driven predominantly by the tech-savvy Gen Z population, the landscape is evolving dynamically. Key trends include the rise of mobile gaming, bolstered by increased smartphone penetration and connectivity improvements. The integration of advanced technologies like augmented reality (AR) and virtual reality (VR) is set to redefine the e-gaming experience, immersing players in more interactive and engaging environments.

E-sports is poised for exponential growth, with professional gaming tournaments and leagues capturing widespread attention. Collaborations between gaming platforms and mainstream media, along with the advent of cloud gaming services, are anticipated to expand the market reach further. Moreover, the importance of community building and content creation in shaping the future of e-gaming. Social interaction, personalized gaming experiences, and innovative monetization models are expected to drive sustained engagement. Overall, the future scenario envisages a robust and diversified e-gaming ecosystem in India, offering a blend of cutting-edge technology, immersive experiences, and a thriving community culture.

Key Players Landscape and Outlook

Several strategies opted by major players in the market collectively contribute to the growth and development of the e-gaming industry in India, allowing players to establish a strong presence, engage with fans, attract sponsors, and drive the overall industry forward.

The major players in the industry focus on expansion. For instance, Nazara Technologies Limited has been focused on expanding its gaming and esports ecosystem by partnering with various stakeholders. Nazara Technologies has collaborated with global gaming and esports companies like ESL to organize and promote e-gaming tournaments and events in India.