2021-06-01-毕马威-A_primer_on_online_casual_gaming_in_India_56页_6mb

Summary of "Beyond the Tipping Point: A Primer on Online Casual Gaming in India"

Core Content

This document provides an in-depth analysis of the online casual gaming market in India, highlighting its growth trajectory, monetisation models, and key stakeholders in the value chain. It outlines the market's evolution from pre-pandemic to post-pandemic periods and projects its future potential.

Main Points

• Growth Trajectory:
  The Indian online gaming market has experienced rapid growth, with the casual gaming segment being the largest in terms of consumption.

  • Pre-COVID: ~433 million users, INR 136 billion in revenue, with casual games contributing INR 60.2 billion.
  • Post-COVID (FY25 Projection): 657 million users, INR 290 billion in revenue, with casual games expected to reach INR 169 billion.

• Tipping Point:
  The pandemic acted as a catalyst for online gaming in India, significantly increasing time spent on games, downloads, and monetisation.

  • Time spent on mobile games increased from 2.5 hours (pre-COVID) to 4.1 hours (April 2020) and then slightly decreased to 3.1 hours (June 2020).
  • Mobile game downloads in Q3 2020 reached 2.9 billion, indicating a shift towards mobile gaming.

• Monetisation Models:
  The market is primarily driven by advertising, but In-App Purchases (IAPs) and commission-based income are also growing.

  • Ad monetisation is the most dominant, especially in casual and hyper-casual games.
  • IAPs are more prevalent in mid-core and hardcore games, with some casual games also adopting this model.
  • Commission income is common in Real Money Games (RMG) and Online Fantasy Sports (OFS) segments.

• Device Segmentation:

  • Mobile dominates the market, accounting for 94% of casual gaming users.
  • PC and console segments are smaller, with console adoption still low due to high costs.

• Gamer Segmentation:

  • The market is currently casual gamers-driven, with mid-core gamers growing as users mature.
  • Hardcore and professional gamers are less common but represent a growing segment.

• Market Potential:

  • The casual gaming segment is projected to grow significantly from INR 60.2 billion (FY21) to INR 169 billion (FY25).
  • Esports is expected to grow from INR 1.7 billion (FY21) to INR 5.7 billion (FY25), acting as a driver for both casual and mid-core games.

Key Information

Market Metrics

Metric	FY21	FY25
Users	433 mn	657 mn
Revenue	INR 136 bn	INR 290 bn
Casual Games Revenue	INR 60.2 bn	INR 169 bn
Real Money Games Revenue	INR 49.8 bn	INR 61.3 bn
Online Fantasy Sports Revenue	INR 24.3 bn	INR 54.3 bn
Esports Revenue	INR 1.7 bn	INR 5.7 bn

Monetisation Model Breakdown (FY21)

Monetisation Model	Revenue (INR bn)
Ads	36.2
Consumer Spend (IAPs)	24.1
Total	60.3

Monetisation Model Breakdown (FY25)

Monetisation Model	Revenue (INR bn)
Ads	98.9
Consumer Spend (IAPs)	69.7
Total	168.6

Key Drivers of Growth

• Digital Infrastructure: Expansion of 4G, affordable data, and smartphone penetration.
• Demographics: A young population and increased digital literacy.
• Content Localization: Indian studios producing high-quality, culturally relevant games.
• Investor Interest: Growing support for the gaming ecosystem.
• Emerging Technologies: Cloud gaming, AR/VR, and AI are expected to enhance accessibility and engagement.

Key Stakeholders in the Value Chain

Stakeholder	Description
IP/Brand Owner	Owns the brand or IP, earns licensing fees.
Developer/Game Studio	Designs, develops, and tests games.
Publisher	Distributes and markets games, often in collaboration with developers.
Distributor	Offers games through various platforms.
Advertising Agency/Network	Manages ad placements and monetisation through ad networks.

Unique Features of the Indian Market

• Multi-gaming Platforms: These platforms, such as MPL, Paytm First Games, and WinZo, have emerged as key distribution channels.
• Sideloading: Popular in India, allowing developers to bypass app stores and reach users directly.
• Social Gaming: Games like Ludo King and Teen Patti have successfully integrated social and competitive elements.

Future Trends

• Cloud Gaming: Expected to improve access and reduce device costs.
• Esports Integration: Will help drive interest in casual and mid-core games.
• Content Diversity: Increasing variety of game genres, including board, action, RPG, and sports.
• Monetisation Diversification: Growth in both ad-based and consumer-based models.

Conclusion

The Indian online casual gaming market is on a growth trajectory, with mobile as the dominant device and casual gamers as the primary demographic. The market is expected to reach INR 169 billion in FY25, driven by digital infrastructure, localisation, and emerging technologies. The integration of Esports and multi-gaming platforms is also anticipated to play a crucial role in shaping the future of the market.