Online Microtransaction Market Expected to Reach $51.09 Billion by 2025

Strategic Insights -

The online microtransaction market, which includes sales of in-game virtual goods and related services, is expected to grow significantly over the next few years. According to a report by ResearchAndMarkets.com, the global online microtransaction market size was $33.4 billion in 2020 and is expected to reach $34.59 billion in 2021 at a compound annual growth rate (CAGR) of 3.6%. The market is also expected to reach $51.09 billion in 2025 at a CAGR of 10%.

Key Takeaways:

  • The online microtransaction market consists of sales of in-game virtual goods and related services, with microtransactions being in-game purchases of virtual items for small amounts of money.
  • Major players in the online microtransaction market include SmileGate (CrossFire), Riot Games, Inc., Nexon Co., Ltd., Wargaming.net, NCSoft, Activision Blizzard Inc., Electronic Arts Inc., Valve Corporation, Tencent Holdings Ltd., and NetEase Inc.
  • The expansion of the gaming industry is expected to drive the development of the online microtransaction market, with the video gaming industry generating revenues of $152.1 billion in 2019.
  • Stringent regulations imposed on microtransactions, such as those introduced by China to limit online microtransactions for minors, are likely to limit market growth during the period.
  • The online microtransaction market is segmented by type into in-game currencies, random chance purchases, in-game items, expiration, and by device into mobile, console, and PC.
  • The market is expected to be driven by the adoption of online gaming and the increasing popularity of free-to-play games.
  • Key topics covered in the report include executive summary, online microtransaction market characteristics, market trends and strategies, impact of COVID-19 on the market, market size and growth, market segmentation, and regional and country analysis.

Statistics:

  • Global online microtransaction market size: $33.4 billion (2020)
  • Expected market size in 2021: $34.59 billion (CAGR: 3.6%)
  • Expected market size in 2025: $51.09 billion (CAGR: 10%)
  • Video gaming industry revenues: $152.1 billion (2019)
  • Number of countries with regulations on microtransactions: 1 (China)
  • Number of major players in the online microtransaction market: 10 (including SmileGate, Riot Games, and Tencent Holdings Ltd.)

Sources:

  • ResearchAndMarkets.com - "Online Microtransaction Global Market Report 2021: COVID-19 Impact and Recovery to 2030"
  • NPR - News article published in November 2019 on China's restrictions on video games and online microtransactions for minors.