Turnover Generated by Game Apps for Smartphones and Tablets: Germany 2017

Key insights

6 takeaways

01
Turnover for smartphone and tablet game apps in Germany reached 208 million euros in the first half of 2016, representing a 27% year-on-year increase from 164 million euros in the first half of 2015.
02
The total German market for computer and video games grew by 10% in the first half of 2016, generating 971 million euros in total turnover.
03
Microtransactions for virtual goods and additional content are the primary growth drivers for mobile game apps, with segment turnover rising 30% to 199 million euros, while direct sales of game apps fell from 11 million to 9 million euros.
04
Across the broader gaming market, turnover from virtual goods and additional content via microtransactions grew by 20% to 317 million euros, while game subscription services grew by 26% to 82 million euros.
05
Expenditure on fee-based online networks, such as PlayStation Plus and Xbox Live Gold, saw a significant 144% increase, rising from 21 million euros in the first half of 2015 to 51 million euros in the first half of 2016.
06
Revenue from the sale of games for PCs, consoles, and handheld devices declined slightly by 2.4%, dropping from 534 million euros in the first half of 2015 to 521 million euros in the same period of 2016.

Summary

The German games industry experienced significant growth in the mobile sector during the first half of 2016, with turnover from smartphone and tablet game apps rising by 27 percent to reach 208 million euros. This expansion highlights the increasing importance of mobile devices as primary gaming platforms, driven largely by the popularity of free-to-play models and microtransactions. Revenue from virtual goods and additional content within these apps grew by 30 percent to 199 million euros, while direct sales of game apps declined to 9 million euros, underscoring a clear shift in consumer spending habits toward in-game purchases.

The broader German computer and video game market also saw positive momentum, generating 971 million euros in the first half of 2016, a 10 percent increase over the same period in 2015. While traditional game sales revenue experienced a slight contraction of 2.4 percent to 521 million euros, other segments showed robust performance. Specifically, revenue from virtual goods and additional content across all platforms rose by 20 percent to 317 million euros, and subscription-based services grew by 26 percent to 82 million euros. Notably, spending on fee-based online networks, such as PlayStation Plus and Xbox Live Gold, surged by 144 percent to 51 million euros.

These findings are based on data compiled by the market research institute GfK, utilizing a representative consumer panel of 25,000 individuals in Germany. The analysis provides a comprehensive overview of the German digital games market, reflecting the strategic importance of mobile technology and digital service models in the industry's ongoing development.