Inside the European Gaming Market: Trends, Opportunities, and Challenges

Inside the European Gaming Market: Trends, Opportunities, and Challenges

As projected, the European market is poised to emerge as a dominant player in the global digital gaming industry. Gaming has long been a favoured form of entertainment for the populace of Europe. At present, mobile gaming is experiencing a surge in popularity, while console gaming continues to be a major source of revenue.

The worldwide gaming market is expected to witness substantial growth owing to the proliferation of mobile phones and the ease of accessing online games. Additionally, industry experts predict that advancements in hardware and software will also drive growth. An important trend in the gaming industry is the growing acceptance of free-to-play business models for mobile and browser-based games. These trends are expected to have a favourable impact on the overall growth of the gaming industry.

Online casino games saw significant developments. More and more players are engaging in online casino international platforms to gamble. Hence, there has been rapid growth in the total number of gambling sites available.

eSports has emerged as a popular segment in the gaming industry where professional and amateur players compete in multiplayer video games. As per industry projections, the global gaming market is expected to reach a staggering US$ 287.1 Billion by 2026, registering a commendable CAGR of 9.24% from 2021 through 2026.

Now, let’s take a look at the trends and challenges of the European gaming market.

The market trend of European Gaming

  • The COVID-19 pandemic resulted in the closure of educational institutions, emphasising the importance of the Internet and technological advancements. People started using mobile devices for various purposes, including ordering groceries, communication, and gaming. Consequently, there was a surge in demand for mobile solutions.
  • Mobile devices are commonly used by students, making Mobile Game-based Learning (MGbL) an advantageous teaching tool. The integration of gaming can enhance student motivation and improve learning outcomes.
  • The combination of game-based learning and mobile technology, particularly through Mobile Game-based Learning (MGbL), presents a promising way to revolutionise education. Students can utilise their mobile devices to participate in educational and leisure activities, studying and assessing their knowledge in a gaming environment. This provides opportunities for more interactive and engaging learning experiences.

Challenges the Gambling market is facing

There are a few areas where the European gaming market appears to be struggling. So, let’s take a look at the challenges that the industry is facing.

1.  Standing Out in the Crowd

The gaming industry is renowned for its innovative approach, evident by the vast number of titles available to consumers. However, with over a million releases, there arises a concern about the ability of future games to offer something novel in an increasingly competitive market. In this regard, the online casino industry is seemingly ahead of mainstream console developers, thanks to the sheer number of games they provide.

2.  Increase in Mobile Gaming

Mobile gaming has become ubiquitous in recent times, with mobile games accounting for 60% of the industry’s total revenue. iGB Live statistics indicate that nearly 70% of the online casino market’s turnover is generated from smartphones. It is a clear indication that both mainstream and casino gaming is shifting towards a mobile-dominant future. However, console titles with high specifications may face challenges in optimizing for mobile platforms, potentially impacting future profits and participation.

3.  Balancing Pay-to-Win

At present, loot boxes and micro-transactions are highly debated topics in the gaming industry. Despite their substantial contributions to the industry’s revenue, game developers face mounting pressure to reduce the number of future games that rely on pay-to-win mechanics. Unlike loot boxes, micro-transactions are transparent, leading players to unknowingly spend real money instead of in-game currency. While some suggest the complete elimination of micro-transactions, doing so could significantly impact the financial state of the global gaming industry.

4.  Green Issues

Like every other industry, tech companies are under pressure to reduce their carbon footprint. However, the online gaming industry often avoids such scrutiny, with other sectors being more visible targets for campaigners. Although the online gaming industry is more environmentally friendly than its land-based counterpart, running popular websites still requires a significant amount of energy. While there are no clear statistics to prove it, playing casino games online has been compared to the emissions of millions of cars. Therefore, this is a significant issue that must be addressed.

5.  Online Gambling Regulatory Trends

The legalisation of sports betting in several U.S. states was driven by the prospect of generating additional tax revenue. However, the actual tax revenue generated fell significantly short of expectations, catching many legislators off guard. With approximately 30 states legalising sports betting, the remaining states are losing out on potential gambling revenues, which are being generated outside their jurisdictions.

To minimise taxable income, companies are investing their profits from sports betting in player promotions. This strategy is being used due to the high level of competition in the market. To boost the tax revenue they were expecting, states are revisiting statutes to limit the amount of income deductions that companies can claim.

6.  Metaverse, AI, and VR

AR and VR are currently dominating the market, with the metaverse being a digital space that is driven by these technologies. It has garnered the attention of the European gaming market, as well. Predictions indicate that the availability of cheaper and more accessible headsets will dominate the conversation surrounding access to the metaverse. In the past, VR headsets were costly, difficult to manage, and required powerful computing equipment to function optimally.

Conclusion

The gaming and online casino industry has made significant progress since the turn of the 21st century, overcoming numerous challenges along the way. Despite these hurdles, the sector has managed to maintain its financial stability and continues to thrive.

As the industry advances, new challenges have emerged, such as compatibility issues, paywalls, and repetition. However, the industry’s successful track record suggests that it will overcome these challenges while maintaining its strong financial position.

Overall, the gaming and online casino industry shows no signs of slowing down. As it faces new challenges, the industry is expected to continue to evolve and improve, paving the way for even greater success in the future.

Sponsored

Author

Bart Crebolder

Bart is the lead content manager for Online Casino Groups.Thanks to his background as a journalist in the iGaming industry is he always first with news about online casinos. Bart is working for almost 10 years in the iGaming industry so you can take his fair casino reviews for granted!

Thank you for taking the time to read this article. Do remember to come back and check The Euro Weekly News website for all your up-to-date local and international news stories and remember, you can also follow us on Facebook and Instagram.

Author badge placeholder
Written by

Guest Writer

Comments