As gamers in the United States navigate inflated pricing, tariffs on imported tech, and myriad microtransactions, new industry data shows just how much modern players are spending.
The newly published findings from Newzoo and Tebex, titled “Unlocking Games Revenue: Player Behavior and Payment Trends in the West,” reveal that gamers in North America spend more than gamers in any other region.
The continent “leads in average annual spending per payer” — one who has spent money on PC, console, mobile, or cloud gaming in the past six months — despite only comprising 10% of gamers globally.
The report found that the global market size is $189 billion (a 3.4% year-on-year jump), with North America accounting for 28% ($52.7 billion) and Europe, about 18% ($33.1 billion). According to these figures, spending among gamers in the West accounts for 46% of global games spending, despite the two continents being home to just 20% of the world’s gamers.
Image Credit: Newzoo; Tebex.The report names North American gamers as leaders in annual spending per player, with gamers averaging around $325 annually. European players comprise the globe’s second-most spendy, averaging about $125.
On average, Western gamers spend roughly three times what Eastern players do — around $170 versus $51, respectively.
The report goes further, examining the driving factors behind players’ spending habits. Around 34% of North American gamers say they spend money to bypass premium content paywalls, while 29% opt to invest in customization options, like skins and other cosmetics. In Europe, over 1 in 4 players (28%) jump on discounts and deals, and 21% spend on ad-free gaming.
The report also noted regional discrepancies in spending patterns. About 27% of North American players pick up content packs, power-ups, and in-game currencies (think Roblox‘s Robux or Fortnite‘s V-Bucks), while 24% sign up for subscriptions, and 23% buy battle passes. Conversely, 21% of European players prefer to spend on virtual currencies and premium content, 20% on subscription-based offerings, and just 18% on quality-of-life additions. According to the report, gamers’ varied purchases denote “a growing trend toward personalized and flexible monetization models.”
Even more concerning is the “emergence of Buy Now, Pay Later (BNPL) and crypto” in the industry. “In Western markets, these are gaining traction. BNPL, in particular, is influencing player behavior by increased perceived affordability,” the report reads. In other words, Buy Now, Pay Later platforms like Affirm and Klarna appeal to players with seemingly lower up-front prices.
According to the report, microtransactions comprise 49% of PC revenue and 51% of console earnings. While shiny new skins may lure players in, it’s important to remember that consumer willingness to roll over for microtransactions only further incentivizes big brands to add more costly content.
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A lifelong gamer raised on classic titles like Crash Bandicoot, Spyro, and Croc, Stephanie brings her expertise of gaming and pop culture to deliver unique, refreshing views on the world of video games, complete with references to absurd and obscure media.
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