Sponsored By

We're looking at $2.2 billion by 2027.

August 18, 2022

5 Min Read

[This unedited press release is made available courtesy of Game Developer and its partnership with notable game PR-related resource Games Press]

Research and Markets | [18-August-2022]
DUBLIN, Aug. 18, 2022 /PRNewswire/ -- The "In-Game Advertising Market - Forecasts from 2022 to 2027" report has been added to ResearchAndMarkets.com's offering.

The in-game advertising market is estimated to grow at a CAGR of 7.08% during the forecast period to reach US$221.511 billion by 2027, from US$137.266 billion in 2020.

Market Trend:
Following the COVID-19 pandemic, the advertising market saw huge potential in the gaming industry. Due to the government-imposed lockdowns and remote-work norms, the gaming industry saw an inflow of consumers. The mobile gaming industry reported a significant increase in users, due to its accessibility and economic factors.

This allowed the in-game industry to increase in size and demand as companies started to flood in for the industry. The in-game advertising industry is also expected to experience better technology, as companies develop better advertisement technology to improve the advertising consumption experience without interrupting the gameplay. Also, with the advancement in the virtual gaming industry and the metaverse, the in-game ad experience is expected to improve a lot.

Growth Factors

Prevalence of mobile games
With the growing adoption of smartphones and handheld devices, the mobile gaming sector has become a huge market in recent times. Mobile gaming provides its users with the ability to play games at any moment without the use of any other equipment.

According to Hubspot, there are 2.2 billion mobile gamers globally, and this number is expected to increase by another million users by the end of 2023. The US accounts for about 203 million of these mobile gamers, and about 56% of them play more than 10 times a week. With this rapid adoption of mobile gaming among people, the in-game advertising market is expected to rise.

Investments in the sector
Evaluating the immense scope in the in-game advertisement sector, companies have started to pool their investments for the market. Investments in the sector would help develop a better and more interactive advertising experience for the gaming industry.

Admix has secured $25 million to develop its in-game advertising platform. Because businesses continue to target wealthy people who are increasingly playing games, the time is ideal. The current round of investment takes Admix's total funding to $37 millio n, making it the most by any "non-intrusive games monetization firm." Elefund, Force Over Mass, DIP Capital, Notion Capital, Speedinvest, Rocket Capital, Colopl Next, Sure Valley Ventures, Kuvi Capital, and Sidedoor Ventures are among the investors. This funding would help in developing a lot of opportunities for the advertising company.

Gadsme, a French IT startup that bills itself as the first in-game adtech platform to enable "immersive brand experiences" through in-game advertising, has received $8 million just 11 months after launching. As an outcome, it has received funding and direct creative collaboration from some of the greatest market players in gaming. Firms, including Ubisoft, were involved in the venture, which was led by interactive digital investment company Galaxy Interactive. Gadsme provides non-intrusive ad formats that are "blended, immersed, and organic to the gameplay," as well as being easy to configure and privacy compliant, allowing for appropriate advertisements to be presented to players across all devices, locations, and demographics. Due to the immense investment and developments in the sector, the in-game advertising market is expected to rise further.


Measuring viewability
Despite its enormous potential, in-game advertising has been virtually unexplored thus far. Advertisers have to come up with a new technique to present video game commercials. The mid-game or mid-video format of YouTube advertising was originally explored in mobile games. But video ads in between games interrupt the overall gaming experience.

The development of contextualized in-game ads is a better alternative to traditional video ads. Companies like Adverty and Bidstack have come up with real-world ads for games that are embedded into the gameplay and hence provide a better ad experience. However, there are still issues with in-game advertising. The criterion for determining viewability is still unsure. Advertisers sell ad space in part by guaranteeing viewability, which is why ads on television and the super bowl in the United States sell for millions of dollars.
However, contextualized in-game ads cannot be measured based on viewability directly. A user might miss it subconsciously if they are not paying attention to the peripheral gameplay environment. Hence, companies cannot be sure about the reach of their in-game advertisements, which is why some companies are reluctant to invest in contextualized game ads.

Market Segmentation:

By Ad Type

  • Static Ads

  • Dynamic Ads

  • Advergaming

By Game Type

  • PC/Laptop Games

  • Console Games

  • Smartphone/ Tablet Games

By Geography
Key Topics Covered:










 Companies Mentioned

  • Admix

  • Adverty

  • Bidstack

  • Rapidfire Inc.

  • Playwire Media LLC

  • Gamelin Advergames

  • Engage

  • Ironsource

For more information about this report visit https://www.researchandmarkets.com/r/3ngjie

Media Contact:
Research and Markets 
Laura Wood, Senior Manager 
[email protected]  
For E.S.T Office Hours Call +1-917-300-0470 
For U.S./CAN Toll Free Call +1-800-526-8630 
For GMT Office Hours Call +353-1-416-8900 
U.S. Fax: 646-607-1907 
Fax (outside U.S.): +353-1-481-1716
Logo: http://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg

CisionView original content:https://www.prnewswire.com/news-releases/in-game-advertising-global-market-to-surpass-2-2-billion-in-2027-growing-at-7-08-annually-301608399.html

SOURCE Research and Markets

Daily news, dev blogs, and stories from Game Developer straight to your inbox

You May Also Like