Gaming Spotlight 2023: The Year in Review

Mobile gaming consumer spend is projected to decline 2% year-over-year to $108 billion in 2023, driven by macroeconomic instability, Apple’s App Tracking Transparency, and Chinese regulatory constraints.

Home console and PC/Mac gaming spending are bucking the mobile trend with projected growth of 3% and 4% respectively, fueled by improved hardware availability and subscription-based revenue models.

User acquisition is becoming more difficult and costly, forcing publishers to shift toward playable ads for action genres and diversify revenue through battle passes and subscriptions.

US gamer sentiment toward traditional in-game advertising is deteriorating, with rewarded video remaining the most tolerated format despite a general decline in its popularity.

The handheld gaming market is shifting as interest in the Nintendo Switch Lite wanes, while devices like the Steam Deck gain traction among distinct demographic segments.

Successful mobile titles in H1 2023, such as Monopoly GO and Honkai: Star Rail, achieved growth by combining strong intellectual property with sophisticated monetization strategies and social engagement features.